Does Cash + Excess Capacity = Optimism

Recent commentary from Marketwise says yes. Do you agree? Their theory is that a lot of the bad news that makes its way into the newspaper and Internet is creating fertile ground for economic growth.

Please click below to read the rest of the story.

http://marketwi.se/2011/05/cash-excess-capacity-optimism/

About The Sundance Company
Established in 1976, The Sundance Company has the experience to help you with your commercial real estate needs in Boise, Meridian, Nampa, and the greater Treasure Valley. If your requirements include property management, leasing, real estate development, project planning, construction or space planning then look to us. The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime Boise and Meridian locations. More information is available at www.sundanceco.com or 208.322.7300.

Creating a Culture of Innovation

Here are some ways to help your organization help foster an environment of innovation in your office. Commit to a few of these today and you might be surprised at the results.

  • Remember that innovation requires no fixed rules or templates — only guiding principles.  Creating a more innovative culture is an organic and creative act.
  • Wherever you can, whenever you can, always drive fear out of the workplace.
  • Have more fun. If you’re not having fun (or at least enjoying the process) something is off.
  • Always question authority, especially the authority of your own longstanding beliefs.
  • Make new mistakes.
  • As far as the future is concerned, don’t speculate on what might happen, but imagine what you can make happen.
  • Increase the visual stimuli of your organization’s physical space. Replace gray and white walls with color. Add inspiring photos and art, especially visuals that inspire people to think differently. Reconfigure space whenever possible.
  • Help people broaden their perspective by creating diverse teams and rotating employees into new projects — especially ones they are fascinated by.
  • Ask questions about everything. After asking questions, ask different questions. After asking different questions, ask them in a different way.
  • Ensure a high level of personal freedom and trust. Provide more time for people to pursue new ideas and innovations.
  • Notice innovation efforts. Nurture them wherever they crop up. Reward them.
  • Encourage people to get out of their offices and silos. Encourage people to meet informally, one-on-one, and in small groups.
  • Think long term. Since the average successful “spin-off” takes about 7.5 years, the commitment to innovation initiatives need to be well beyond “next quarter.”
  • Don’t focus on growth. Growth is a product of successful innovation. Focus on the process of becoming adept at taking ideas from the generation stage to the marketplace.
  • Make customers your innovation partners, while realizing that customers are often limited to incremental innovations, not breakthrough ones.
  • Before reaching closure on any course of action, seek alternatives. Make it a discipline to seek the idea after the “best” idea emerges.
  • Know that attacking costs as a root problem solves nothing. Unreasonable costs are almost always a sign of more profound problems (e.g. inefficient structures, processes or training).
  • A great source of new ideas are people that are new to the company. Get new hires together and tap their brainpower and imagination.
  • Get customer feedback before committing resources to a product’s development.
  • Seek diversity of viewpoints. Get people together across functions. A diversity of views sparks more than conflict — it sparks innovation.
  • Don’t make innovation the responsibility of a few. Make innovation the responsibility of each and every employee with performance goals for each and every functional area.
  • Give your people specific, compelling, and measurable innovation goals.

About The Sundance Company

Established in 1976, The Sundance Company has the experience to help you with your commercial real estate needs in Boise, Meridian, Nampa, and the greater Treasure Valley. If your requirements include property management, leasing, real estate development, project planning, construction or space planning then look to us. The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime Boise and Meridian locations. More information is available at www.sundanceco.com or 208.322.7300.

Keep Your Employees Happy and Make More Money

Are your employees giving your company ‘their all?’ Do they believe that what they’re doing is important? Do they feel appreciated? Do they show up for work each day with passion and purpose?

A ‘red flag’ should go up if you answered “no” to any of those questions. Why? Managers who aren’t taking care of their employees are missing out on significant cost-savings and profits.

For business leaders in companies of all sizes, the writing is on the wall: You can make and save money by keeping employees engaged. Today’s managers must make it a priority to get to know them so that they, in turn, can provide whatever’s needed to keep their teams fully engaged in what they do. This creates wins for everyone. With that in mind, here are nine management tips for creating and sustaining employee engagement:

1) Let go of any negative opinions you may have about your employees. Approach each of them as a source of unique knowledge with something valuable to contribute to the company. Remember that you are co-creating the achievement of a vision with them.

2) Make sure employees have everything they need to do their jobs. Remember when you started a new school year and you’d prepare by getting all new school supplies? Why not build just such an opportunity into your department simply by asking each staff member, or the team as a whole, “Do you have everything you need to be as competent as you can be?” Remember, just as marketplace and customer needs change at daily, so do your employees’ needs change.

3) Clearly communicate what’s expected of employees – what the company values and vision are, and how the company defines success. Employees can?t perform well or be productive if they don’t clearly know what it is they’re there to do ? and the part they play in the overall success of the company. Be sure to communicate your expectations – and to do it often.

4) Get to know your employees – especially their goals, their stressors, what excites them and how they each define ‘success.’ I’m not suggesting you pry too deeply or start ‘counseling’ your team members. What I am suggesting is that you show an interest in their well being and that, when appropriate, you do what it takes to enable them to feel more fulfilled and better balanced.

5) Make sure they are trained – and retrained – in problem solving and conflict resolution skills. These critical skills will help them interact better with you, their teammates, customers and suppliers. It’s common sense – better communications reduce stress and increase positive outcomes.

6) Constantly ask how YOU are doing in your employees’ eyes. I know it can be difficult for managers to request employee feedback – and it can be equally if not more challenging for an employee to give the person who evaluates them an honest response. To get strong at this skill and to model it for employees, begin dialogs with employees using conversation starters such as, “It’s one of my goals to constantly improve myself as a manager. What would you like to see me do differently? What could I be doing to make your job easier?” Be sure to accept feedback graciously and to express appreciation.

7) Pay attention to company stories and rituals. Are people laughing at each other or with each other? Do they repeat stories of success of moments of shame? Stay away from participating in discussions that are destructive to people or the organization, and keep success stories alive.

8) Reward and recognize employees in ways that are meaningful to them (that’s why getting to know your employees is so important). And remember to celebrate both accomplishments AND efforts to give employees working on long-term goals a boost.

9) Be consistent for the long haul. If you start an ‘engagement initiative’ and then drop it your efforts will backfire, creating employee estrangement. People are exhausted and exasperated from ‘program du jour’ initiatives that engage their passion and then fizzle out when the manager gets bored, fired or moved to another department. There’s a connection between an employee’s commitment to an initiative and a manager’s commitment to supporting it. A manager’s ongoing commitment to keeping people engaged, involved in and excited about the work they do and the challenges they face must be a daily priority.

Ultimately, you must keep in mind that employees are a company’s greatest assets. Their collective ideas, feedback and enthusiasm for what they do can help your business grow and succeed. Some people are naturally wired to give their all and do their best no matter where they work. But the majority of people require the guidance of skilled managers who welcome their ideas, ask for feedback and generate enthusiasm in order to have a sense of purpose and energy about what they do.

About The Sundance Company

Established in 1976, The Sundance Company has the experience to help you with your commercial real estate needs in Boise, Meridian, Nampa, and the greater Treasure Valley. If your requirements include property management, leasing, real estate development, project planning, construction or space planning then look to us. The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime Boise and Meridian locations. More information is available at www.sundanceco.com or 208.322.7300.

Globe St: Commercial Real Estate Recovery on Track

A recent article on Globest.com discusses how the nation’s commercial real estate market is back on track.

Despite the fits and starts and multiple global and domestic headwinds addressed in recent blogs, the economic recovery should continue this year and hopefully gain more momentum as bad news abates. A similar pattern exists for recovery of the nation’s commercial real estate market, only with different lag and lead times by property type.

Please click here to read the rest of the story …

http://www.globest.com/blogs/streetsmart/-308429-1.html

About The Sundance Company
Established in 1976, The Sundance Company has the experience to help you with your commercial real estate needs in Boise, Meridian, Nampa, and the greater Treasure Valley. If your requirements include property management, leasing, real estate development, project planning, construction or space planning then look to us. The Sundance Company has more than 1.5 million square feet of office and industrial space available in prime Boise and Meridian locations. More information is available at www.sundanceco.com or 208.322.7300.

Commercial Real Estate News: Markets Stabilizing

A recent article from NAR (National Association of REALTORS®) discusses what 2011 looks like for commercial real estate markets.

Lawrence Yun, NAR chief economist, said commercial real estate sectors appear to be stabilizing. “The basic fundamental of rising commercial leasing demand, resulting from a steadily improving economy, means overall vacancy rates have already peaked or will soon top out,” he said. “The outlook for the office and industrial markets has moderated with modestly declining vacancy rates expected as 2011 progresses, while the retail sector should hold fairly steady. Still, high vacancy rates imply falling rents.”

Yun anticipates a rise in household formation from an improving economy, which will increase demand for housing, both ownership and rental. “Multifamily housing is the one commercial sector that has held on relatively well in the past year, and can expect the best performance in 2011,” he added.

“Apartment rents could rise by 1 to 2 percent in 2011, after having fallen in 2009 and no growth in 2010,” Yun said. “This rent rise therefore could start to force up broader consumer prices as well.” He noted that the housing shelter cost of primary rent, and owner’s rental equivalence, is the biggest component in the Consumer Price Index, accounting for 32 percent of its total weight.

The Society of Industrial and Office Realtors®, in its SIOR Commercial Real Estate Index, an attitudinal survey of more than 400 local market experts, shows vacancy rates are slowly improving, but rents continue to be soft with elevated levels of subleasing space on the market. The SIOR index, measuring the impact of 10 variables, rose 1.6 percentage points to 42.6 in the third quarter, but remains well below a level of 100 that represents a balanced marketplace. This is the fourth straight quarterly improvement following almost three years of decline.

The last time the commercial market was in equilibrium at the 100 level was in the third quarter of 2007; the index now matches where it was at the beginning of 2009. Fifty-nine percent of respondents expect improvements in the office and industrial sectors in the current quarter.

Commercial real estate development continues at stagnant levels with little investment activity, but is beginning to pick up in many parts of the country.