4 Steps to Setting the Value of Your Services (Part 3 of 3)

Continued from part 2.

BusNotesPt3Pricing Sample:

An editor I coached needed to make $50,000 a year. She also needed two weeks of vacation, holidays off, and some personal/sick days to take care of her kids. She was also able to work 6 hours a day, although not in a row, and wanted to make sure that her work time was filled at least 80% of the time. Here is the formula we used to determine hours she’s available to work each year:

((6 hours per day * 5 days per week) * 48 weeks per year) * 80% of time busy = 1,152 hours of work

• The 49 weeks allows for two weeks of vacation, one week of personal/sick time, and five holidays.

Next we had to figure out the hourly rate:

$50,000/1,152 hours = $43/hour (Not taking into account overhead, education, etc.)

Since no one wanted to hire her by the hour, she needed to convert the hourly rate into a per page or per word rate. She determined that there are about 150 words per page and it takes her 5, 10, or 20 minutes per page depending on the type of editing she does. So we developed the following two formulas:

$43/(60 minutes/time per page) = per page rate

per page rate/150 words = per word price

She created two versions of the above prices based on the three types of editing she does, which looked like this:

Editing Type A = $3.58/page
Editing Type B = $7.20/page
Editing Type C = $15.00/page
Editing Type A = $0.03/word
Editing Type B = $0.05/word
Editing Type C = $0.10/word

Now when she gets a call from a potential customer, she asks how many words are in the manuscript. If they tell her 77,000 words, she says, “For type A editing, your price will be $2,310.”

Gone are the days of calculating out how many days are left in the month and her workload. She no longer has to review the physical documents for typeset size based on the font used in the manuscript. She just uses a simple multiplier to calculate the answer. All the other background work is done by the previous formulas to free up her quoting process. And, if she’s a bit faster on a job or two, she’ll find a nice bonus at the end of the year.

End of part 3 of 3.

© 2017 by CJ Powers

Encourage Team by Casting Vision Using Four Simple Strategies

Ansel Adams TetonsComposition was a strong skill in my photography tool belt when I was in college. It attracted weekend wedding jobs, numerous awards and my first cinematography gig with CBS. My ability to artistically capture images through a lens was due to an employer who encouraged me by casting a vision for my future.

Alta was a writer and a photographer who took over the management of her parent’s local camera store. When I was in high school, she hired me for my technical knowledge and ability to sell. It was her hope that I’d free up her time so she could fulfill her love of writing for the trade papers.

On one particular day, she reviewed customer photo packets with me and pointed out the problems most had in composing an image. She then raved about Ansel Adams and suggested that I improve my skills to match. Once she saw that I bought into her inspiration, she asked me to enter Polaroid’s national photo competition.

After winning the award for best composition, I realized Alta had casted a vision that drove my skill improvements. I owed her a good deal of thanks for investing a vision in me and inspiring me to step up to it. And, I made a mental note of how she encouraged me, which I’d like to share.

Every leader can learn how to encourage their team by casting vision using four simple strategies.

Acknowledge a Recognized Problem

I was able to accept Alta’s challenge because she first pointed out what I could see and understand. The pictures in everyone’s vacation photos had no artistic value. We both saw it and could relate to each other’s perspective on the poor quality of composition. In that moment we were peers.

Share a Vision of What the Solution Looks Like

Alta then pointed out the great works of Ansel Adams, who I admired. His sense of composition was breathtaking and made the mundane look priceless. Developing similar skills promised equal benefits. I was sold on wanting to develop my eye for composition.

Suggest a Course of Action for the Team’s Success

I was given instructions to study and practice my composition for the up coming contest. Alta handed me a camera and numerous rolls of film. She only required the right to watch my development process and make suggestions along the way. After several months of intensive shooting, I came up with one perfect shot that would’ve thrilled Adams.

Ask for the Team’s Commitment

To benefit from the process, which would help the store and give her more time to write, Alta asked me to commit to practicing and submitting my best photo. I agreed and took first place in the category of composition. It was a thrill to have my name associated (for a few weeks) with the real pros that included photographers from National Geographic, Sports Illustrated and the like.

I was amazed at how a little encouragement through casting a vision impacted my life. It made me realize how much power rests in the hands of a true leader that can directly impact her company. And, its not limited to a few leaders. Every leader can encourage their team by casting a vision.

Copyright © 2015 by CJ Powers