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Important decisions are emotional and rationalized after the fact with data. We like to view ourselves as objective, data-based decision makers who consistently lead with our head and not our heart. The fact is, even the most “Spockish” among us listen to our heart first.
Neuroscientist,Antonio Damasio, studied people who had received brain injuries that had had one specific effect: damage to that part of the brain where emotions are generated. In all other respects they seemed normal - they just lost the ability to feel emotions. The interesting thing he found was that their ability to make decisions was seriously impaired. They could logically describe what they should be doing, in practice they found it very difficult to make decisions.
We are human, and listening to our emotions is a big component of that humanity. It is also why, looking back, each of us made such illogical choices in our youth. We led with our heart and not our head. It is true we are older and wiser now, and less prone to let our heart have complete free reign. But, even now, if a decision doesn’t “feel” right we don’t move in that direction.
I have a good friend who lectures on effective leadership. He often says that the distance between your head and heart is 32 cm. If you want to be a successful leader you better make the trip and speak to your people’s hearts.
In economic development, the challenge is no different. Most economic development professionals put forward any number of logical arguments to try and convince CEOs why they should consider locating or expanding their business in their community. They speak to the CEO’s head, but often fail to travel the 32 cm to speak to the heart.
There is no argument that a community needs a competitive asset package to be considered as a location for capital investment. If a CEO does not believe that a company can be successful in a location, then the community is not put on the list for due diligence. Similarly, if the CFO cannot be convinced that the company can generate an acceptable return on investment for shareholders, the community will not be considered.
But, when a company is comparing location options on their short list, they typically will get down to 2 – 3 that are indistinguishable from each other based on any logical parameter. The only way a CEO has to make the choice between the final candidates is on an emotional basis – the CEO goes with his/her gut. The community selected is the one that “feels” like the best fit for the company culture. It will be the community the CEO can most easily envision the company being successful longer term. The heart ultimately leads the final decision.
If this is the case, then what can a community do to be more competitive for capital investment?
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The first thing is to recognize and appreciate the role emotion plays in the final decision. This doesn’t mean simply acknowledge it. It means to overtly address the role of emotion in capital attraction, retention and expansion action plans. As my friend would argue, you can’t stop at simply knowing the location of the heart, you need actually to take the trip.
Think about how your community is perceived when people visit. First impressions mean a lot. Assess how people-friendly the economic development processes are. Do potential investors feel respected and attended to, or do they feel like they constantly get the runaround? A great experience goes a long way in making your community feel like a place to do business from.
In addition, do your community’s economic development processes address the emotional needs of the company’s employees and families? How easy or hard will it be for company employees to convince their families to move to your community? How open is your community to receiving and welcoming new families as genuine members regardless of potential differences?
It is hard enough to get your community in a position where it is being considered as a location choice for a company to locate. But, it is impossible if you only pay attention to the rational reasons why your community should be selected. There are only 32 cm between the head and the heart. Encourage your community’s economic development professionals to make the journey often.
Ed Burghard is a retired Procter & Gamble Harley Procter Marketer. As Executive Director of the Ohio Business Development Coalition and the creator of the Strengthening Brand America Project ,
www.strengtheningbrandamerica.com he is committed to helping catalyze the transfer of product and corporate branding knowledge from the private sector to the economic development community. |
