Supporting Prop 8: Poor Business Practice?

This week the California Supreme Court upheld Proposition 8, a state constitutional ban on same-sex marriage that was decided by voters last November in the California general election. Not only does this sadly remind me that not all Californians share equal rights, but it also creates an interesting discussion surrounding workplace diversity.

The Yes on Prop 8 Campaign (favoring a ban on same-sex marriages) raised more than $38 million in campaign contributions, and of that, more than $7.2 million was donated by businesses (which I defined as a donation made by an organization that employs workers) from a variety of professions including lawyers, dentists, construction companies, even a preschool.

The fact that almost one-fifth of the campaign was funded by business dollars made me wonder:
when an employer publicly asserts his or her position on a certain issue – especially a fiercely debated one with religious underpinnings such as Prop 8 – is that considered workplace discrimination? Or just poor business practices?

Contributions to political campaigns in California are very public statements about one’s position on an issue. Due to donor disclosure laws enacted by California’s Political Reform Act of 1974, all contributions of more than $100 are made public - and information including the donor’s name, address, company and industry are required to process the payment. So for a business to donate money to a political campaign, its owners must feel strongly about the issue – as they must be willing to deal with the ramifications that could come with it.

Many businesses including the Manchester Grand Hyatt, the famous El Coyote restaurant in Hollywood and Urban Outfitters, learned this the hard way by being placed on widely-circulated boycott lists and experiencing deteriorating public images – with the hotelier hiring a crisis management consultant and the restaurant manager holding a press conference.

By contrast, companies who publicly opposed Proposition 8 – including public utilities company PG&E, which donated $250,000, and Apple, which donated $100,000 (and was among the first California companies to offer equal rights and benefits employees’ same-sex partners) - are seen as industry leaders that value equality for their employees and customers. Both companies noted that their donations were made as part of their overall commitment to diversity, which they see as essential to workplace morale, innovative ideas and a strong bottom-line.

Publicly supporting a law that limits the rights of a specific group does not qualify as job discrimination – but when workplace tolerance is violated, not only do employees suffer, but in the long run, so does the company.

In essence, it’s bad for business.

Real Estate: A Measure of Success?

I rent. And I like it.

When my AC needs a new HEPA filter, or when the neighbor's sprinkler repeatedly ruins my car wash – both of which happened this week – I don’t have to deal with it. I make a call and it’s someone else’s job to fix it. Not to mention that at any moment, I can move!

However, over the years, I’ve had a nagging sense that because I own a business, I should own a home. My two business partners own their residences and my 22-year old employee just made an offer on a condo. And many of my entrepreneur friends and corporate executive-types own homes – and we all live in Los Angeles, one of the most expensive real estate markets in the country.

Owning real estate exudes fiscal responsibility, maturity and realizing the American Dream. Really a measure of how well you’ve made it in the world. Does this mean I have not?

And is this concept still true? In this time of decreased home values, massive foreclosures and borrowing more than we can afford, is owning real estate as sexy as it used to be?

Most people I know are still on the ownership bandwagon:

“Real estate is still the best investment you will ever make.”

“Renting is like throwing money down the drain.”

“I’m in Escrow!” (heard three times this week)

Hmmm…

But last weekend I spoke to someone who's on my side of the fence. A successful set decorator for feature films, she has owned a home for a few years. She bought in an “up and coming” area – which fortunately came up as hip – and isn’t upside down in her mortgage or in over her head. But finances aside, she brought up a point that hit home for me; one that went beyond status and into obligation.

“As a single woman, owning a home is that much more of a commitment. You only have your self and your income or savings to rely on. If the plumbing goes out, or the tree falls over, I am the only one around to take care of it. And this additional responsibility can be overwhelming at times.”

She knew her house was a great investment and she truly loved her home, but she often wondered if owning continued to be the right choice for her. And it made me feel so much better: Who wants to be responsible when the pipes need to be snaked, the weeds need to be plucked and the termites take up residence? Certainly not me. At this point, I feel I have enough on my plate in remembering to leave a key for the housekeeper, water my plants and check the mail (note to self: remember to do these things asap).

It has taken me three years of contemplation, an economic downturn and one late night chat with a friend to realize that owning real estate is not the powerful gauge of achievement that I once obsessed over. For some it is a smart choice, and for others not so much. So I will continue to own my business and rent my home.

And hopefully, one day soon, the truly important things in life – like being kind, honest, and gracious with your time and talents - will be the first things I/we think of when contemplating the measure of success.

Call Me Crazy: I Love Business Travel

I love to travel for business. I enjoy visiting new places, returning to favorite cities like New York and DC, and meeting with clients I don't see very often. But I think what I like most about business travel is the opportunity to experience quality alone time.

This love affair began in my early 20’s with my first out-of-state event. The gala was in Washington, DC and required three LA staff to oversee the project. My orders were to meet my two co-workers at the venue at noon on the day of the event - and how I got there, where I stayed and what I did with the rest of my time was up to me. These two particular co-workers (now my business partners) had very particular travel preferences – certain habits, airlines, hotels, friends to visit – and they figured that I too had my own.

I didn’t. So for my first business trip, I was left to fend for myself. At the time it seemed a little scary, but now I realize what a gift I'd been given.

My travel planning wasn't stellar – I chose the worst airport and airline, stayed in the wrong part of town and didn't understand the metro - but I had a fantastic time in the city by myself. I flew alone, ate alone, and made my own schedule. Besides the actual "work" part of the trip, no one knew me, cared what I was doing, or was expecting anything from me. I could do whatever I wanted - and it was liberating.

This week I traveled back to DC to oversee that same annual gala – and celebrate the sixth anniversary of my first business trip. Years later, still fending for myself, I continue to love the freedom that comes with traveling alone – and I eventually created my own travel preferences. My favorite rule: don’t make any specific plans. I leave my schedule open so I can partake in whatever suits my mood: stay in and order room service and a movie, go to a concert, visit a museum, indulge in Restaurant Week.

My sixth annual trip turned out to be one of my favorites. Nothing extraordinary happened – I worked a flawless event, ate a great meal, had an intriguing conversation with an international architect and met an up-and-coming DC chef - but it reminded me of how much I love to travel by myself and how thankful I am that my job – and my clients – afford me this opportunity.

If you haven’t experienced traveling solo – for business or for pleasure – I expressly recommend it. It’s kind of like living by yourself: everyone should try it at least once in their lives to really understand who you are when alone.

My recent trip also leads me to an update of an earlier post: Miles, Points & Perks. After an amazing stay at the Hotel Palomar (a Kimpton property) and hassle-free, enjoyable flights on Alaska Airlines, I’ve decided to end my six year relationship with American Airlines and Hilton Hotels.

The benefits of their “Loyalty Programs” just no longer perk me up. I've decided that I am willing to give up a free flight, a free hotel night and occasional upgrades for better service, free wi-fi, L’occitane products, hipper digs and a concierge who helped me enjoy my stay.

Because traveling solo is an adventure right? And staying with the same airlines and hotels has not only become disappointing, but also far too predictable.

Happy Travels!

Relative Productivity

So…it’s been two weeks since my last post – and yesterday, finally, I was truly feeling on board with my new mentality – and moving forward on the aforementioned journey. I was having one of those days where I was really on – I was embarking on a weekend without any plans and I woke up early (highly unusual on a Saturday), went to multiple markets to purchase healthy groceries for a week’s worth of meals, hiked Beachwood canyon and ran a work errand –hooray!

Then I arrived home from my industrious day, and was on my way to further productivity – reading a new business book – when I caught the beginning of “Almost Famous” and poured myself a glass of wine. It was 5pm.

Now, I was really into my movie and my Shiraz – and I was remembering how great movies can be and how cool it is that I can enjoy a Saturday night home alone. And by the time I knew it, I had finished the bottle, moved on to Sex and The City reruns, and sent uncertain texts to girlfriends. By 9pm. How did it go downhill so quickly?

I am mildly shocked about this quick turn of events – how did I go from completely on-track to, “Could this be a problem?” in four hours time?

My friends were incredibly supportive – who hasn’t been drunk at home alone at one time or another? – but I knew it wasn’t an evening of good decision making when I saw the reaction of Peaches, my darling, but brutally honest housemate (cat). She had no mercy – just an exasperated look (seriously?!) and a retreat to the bedroom.

So I follow her – it is now 10pm and I’m about sober. I get into bed and pick up last week’s Time magazine, and flip to Get Rich Slow by Josh Quittner, an article that seems to corroborate my last blog about starting a new venture in this new era – “launching now will make your company stronger later.” And then remember who I am and what I’m supposed to be doing. And I go to bed dreaming of writing, running a company and being fabulous.

So what is the moral of this story? That I’m okay with spending a weekend alone? That I'm kinda on the right track and getting closer to achieving my new intentions? That I shouldn’t start drinking so early in the day?

What I do know is that today I woke up early, had brunch, read the Sunday Times, hit the Farmer’s Market, hiked, saw a movie, cooked for a neighbor, and wrote this week’s blog. Not too bad on the productivity level.

I’m not sure if these activities hit any landmarks on the "new journey" roadmap. But I do feel good. And I did notice that there’s a New Moon in the sky tonight… which means that anything is possible for the upcoming week. Fingers crossed.

Recipe for Success in this New Era

I am embarking on a new project – and I’ve been having a hard time getting motivated to begin. I know where I want to go and have a general roadmap for the journey, but I haven’t been able to take the first steps.

There are three easy answers for this problem: I don’t really want to do this project; I don’t think I will succeed at it; or I’m comfortable enough in my current situation that I don’t want to spend the time necessary to make it fly.

While there may be a little truth in each of those scenarios, I’m almost certain that it is something greater – something intrinsically linked to our new “American” reality - that is keeping me from moving…

Obviously there has been a huge shift in the past few months regarding business and future prospects in general. Credit is tight (or unavailable), businesses are cutting costs (mine included), and there is a general feeling of economic uncertainty for the near future.

As a member of Gen Y, I essentially grew up in the “Age of Excess” – blissfully cruising along, solidly set in the reality of what Kurt Andersen, in his brilliant Time essay The End of Excess: Is this Crisis Good for America?, calls “magical thinking.” I was raised not only to expect Victoria’s Secret underwear and Starbucks coffee, but also taught that I could achieve anything I put my mind to – and the resources I would need to make that happen would somehow be available.

I launched two businesses during this “magical time” – and although both took great amounts of time, skill and entrepreneurial zest, I was lucky to be blessed with access to easy credit, companies willing to spend on services like event planning and personal concierge services, and Web 2.0, which allowed instant credibility by having a pretty website and an online presence.

Now things have shifted, and the environment has changed to an unfamiliar landscape – one that I haven’t encountered in all of my 20-something years. I think what I’ve inherently been aware of is that launching a new venture in this more practical world will take a little more persistence, loads of creativity, and a lot more effort… and I think that is where my inertia truly lies.

Smarter planning, saving rather than spending, old-fashioned hard work: Boo. But I have a sense that success achieved in this new era may be sweeter than in times past. And so I will take the first step.

And I will be taking it knowing that this time around will be a little bit different – moving into more of an “artisan-enterpriser and less prospector-speculator,” as Andersen advises. However, I still intend to imbibe on small doses of that “magical thinking” I grew up on. I agree it’s a belief system that got most of us into this mess, but as a bit of a dreamer myself, I also know that I need a little of it to carry on with a positive outlook. And this time around I will be sure to pepper in heavy doses of pragmatism and calculated risk.

Maybe this is the updated recipe for success in this new era.

Miles, Points and Perks

I have a very special relationship with my American Express card, Hilton Hotels and American Airlines. They all give me points (at least one per dollar spent!), which I frequently redeem for free flights, hotel nights and Lakers tickets.

I selected brands and began collecting points five years ago - and I've become so tied to their promises of free hotel nights and roundtrip tickets that I’m incapable of trying cute new boutique hotels, flying the hip upstart airlines, and using a Visa card for business purchases. What if I don’t make my status this year?!?

These psychological wonders – aptly named Loyalty Programs - began in 1981 with the launch of the American Airlines AAdvantage program and have gained steam over the last few decades as companies realized the fiscal benefit of retaining current customers to the cost of wooing new ones. According to Jonathan Barsky, a consultant for the hospitality industry, in 2007, 37% of guests said that the loyalty program was a key factor in deciding where to stay. Not a shabby statistic.

But that ever-steady number began to decline in the first nine months of 2008.

Could this down-turn be attributed to cost-cutting measures that resulted in decreased service, added blackout dates, and fewer perks? Or an outcome of a slowing economy? Yes.

But I also think part of it may be due to a new generation of younger, savvier consumers who expect more from their brands and are willing to pay for an experience that is important to them. Many of these brands don’t have the old-school loyalty programs we have become accustomed to – and that’s probably what adds to their appeal.

Now that there’s been a nationwide shift in saving vs. spending, maybe the added benefits of traditional loyalty programs seem more important - fiscally, a free breakfast might outweigh the desire to sleep in a room with solvent-free paint.

As I begin planning my spring travel season, I wonder… should I stick to the comforts of priority boarding, first class upgrades and free nights at the Hilton? Or do I venture off for an exciting personal experience at a trendy hotel via an airline that offers a healthy food choices and internet access? What are you planning to do this year?

Either way, I know I will be charging it to my American Express card, whose Membership Rewards program only seems to get better with age - and gets me great seats to see the Lakers.

Fight, Fight, Fight

I have a weakness for romantic comedies. Actually I love them and will watch them over and over again on Sunday afternoons.

One of my favorites is “You’ve Got Mail” – a late 90’s Nora Ephron classic starring Meg Ryan and Tom Hanks, who play NYC business owners who are unlikely opponents in the highly competitive world of book shops.

Unbeknownst to them, the two protagonists share an insightful and supportive relationship via email and swap business advice online. One of the classic bits of advice from Tom to Meg: “Go to the Mattresses,” since, “It’s not personal, it’s business.”

In this fight-or-flight business climate, many small business owners are going to the mattresses in an effort to save their beds. When perhaps what they should be focusing on is how they can make their business relations more personal.

I think that a major saving grace for many small businesses over the next year will be in the ability to develop the “personal” side of operations. Positive relationships with clients, vendors and investors have always been good business, but in this downsizing economy it is so much more important to stay close. And as a pretty likeable gal who strongly trusts the value of personal relationships, I can’t help but hope this predisposition will be helpful for my business.

This belief was further confirmed this week when I talked - on the phone! – to three individuals who are crucial to the wellbeing of my business. After chit-chatting about this and that before delving in to issues of relevance, all the conversations ended with some added-bonus for my company: crucial advice for a bid proposal, the continuation of much-appreciated free services, and an almost-done deal.

What I’ve always known, but just acutely realized, is that when people like you, they will go the extra step – or mile – to help you succeed. And in this fragile business climate, it can make or break a small business.

I would like to think that if “You’ve Got Mail” was released in 2009, the Tom-to-Meg advice would be something like, “It’s business – make it personal.” And of course that would come right before they realize they are in love with each other.

I say let’s leave going to the mattresses for more exciting things – like good sex and sleeping in on Sundays.