A story of how a group of leaders decided to do the ‘Right Thing’ whatever the cost and produced the most productive Network in the world
Forever Living Products Inc [Forever] is the world leader in aloe vera products and one of the world’s largest and most admired Network Marketing companies. In the 1990’s Edward Ludbrook has supported the expansion of Forever in the UK and a number of other European countries.
In 1998, a Swedish friend of Edward, Babi Wallenberg, contacted him and asked him to help them launch Forever in Scandinavia. Babi and other key leaders and their new General Manager, Ulf Oscarsson, had all been top leaders in an American company called Quorum International, which one could easily say epitomized the Numbers Game for its hype, bluster and massive failure rates. It was effectively a recruiting pyramid.
These key leadership were very disturbed by their experience in Quorum and were determined not to create the Forever Scandinavia business based on these principles. Thus when Edward explained an alternate network based on skill development, they immediately agreed that they were prepared to invest whatever effort was required to make it successful.
Edward then wrote was became known as the Forever Learning Programme [FLP] and spent 24 months, returning to Scandinavia, coaching the leadership as they implemented this programme and drove the business into momentum.
By 2001, Forever Scandinavia had achieved momentum growth and the FLP was producing record levels of sales productivity. Ludbrook’s development role therefore completed.
Nine year Analysis
In early 2007, Ulf Oscarson re-employed Ludbrook to evaluate the business progress and assist in the implementation of a new ‘Good to Great’ programme within Forever Scandinavia. In the nine years from FLP launch to 2007, Forever Scandinavia had:
become the largest Network company by revenues in Scandinavian
become the largest health products company in Scandinavian
the highest known percentage of distributors ordering on a monthly basis [the total was taken as a percentage of all distributors who have ever joined the company in the nine years. Yes, everyone for nine years]. They operate no autoship programme.
the highest average monthly order total for a large network. This is total sales per person ordering.
the strongest retail base of any large networking company. The distributors sell premium health products at the retail price. No ‘wholesale buying’ just because someone does not have the skill to promote a great product and make a profit.
What was exciting was that they had created the most productive large Network Marketing company with the highest retention that Edward had ever seen. A point to note is that Edward is considered Europe’s leading network consultants, with a specialisation in network strategy. He has seen the actual statistics in nearly 100 organisations.
The difference in results with comparative countries such as UK, Netherlands and Germany only underlined the success of the Learning Programme; that is, the only difference between markets was that Scandi used this programme and others did not.
The last important facts related to Networker incomes.
Residual incomes.
Any leader that had actively participated in the development of the business had created a stable solid residual income with years of proof of its strength [ie so many of them effectively ‘retired’]. They had delivered the ‘dream of network marketing’ that is not evident in many companies. And this wasn’t just the top people.
This long term proof of residual income in top AND team leaders which means they now have the evidence to project incomes out ten or more years. Why is this important? To become a leader, you must create momentum using the TidalWave strategy. This requires a massive effort for 12 month period where incomes will never match the effort invested. Thus you need to believe that the effort will be rewarded. If the min income of a leader was $100,000 per year and the income will last for 10 years, then the 12 month effort is a million dollar reward! Forever Scandinavia has proof that if you use a 100% Success based programme [their Forever Learning], this is real.
Big middle class. With a Numbers Game programme, the graph of income earners will look like the third world; a few rich and lots of poor. The sign of a developed capitalist organisation is the size of the ‘middle class.’ People earning good incomes without the need to have superstar talent or luck. Forever Scandi and their Learning programme, has produced a significant number of people who have a stable credible ‘middle class’ income. When you add the time freedom, travel, friendships and fun, you are unlikely to find a better career/job/business!
The Lessons learnt
A 100% strategy will only be successfully implemented if the network leaders, including key managementfully understand and commit to completing its implementation. There will be a period of confusion for any leaders who have operated under a Numbers strategy
A network system based on 100% strategy must be complete with clear training manuals, audio-visual learning and testing programmes.
The testing of knowledge and competence standards must have priority for new people over compensation plan performance. Otherwise you are recognizing incompetence!
The network [or company] must introduce significant learning and activity based incentives and recognition to reinforce the system. Incentives and recognition are normally only based on results.
Leaders must learn how to run workshops which are normally used to support learning.
Leaders must be diligent to ensure that no conflicting ideas, techniques or systems are exposed to their networks. This includes from company personnel or cross-line, downline or upline groups not using their system. Confusion is a killer.
The company must not communicate to the network anything that conflicts with the 100% strategy.
The implementation of a 100% strategy based Network System does not eliminate the initial primary objective to create network momentum based on recruiting speed. In practice the 100% strategy will drive momentum as it builds confidence for action.
Final Comment
Forever Scandinavia provided the final validation of the 100% Success strategy. Ulf and Forever Leaders have to be admired for their enormous act of leadership to pioneer a new network strategy when every other of the near 100 countries in the Forever world was following the Numbers Game.
The definition of Leadership is your ‘ability to influence your people to do the Right Thing when you are not there’. The ‘Right Thing’ was a skill-based training programme so the Forever Leaders [including their General Manager Ulf] have passed the ultimate test of leadership.
