MONEY wall street

Burger King Wants to Cut its Exposure to Hamburgers, Not Just Taxes

While all the focus is on the tax savings Burger King could enjoy through a Canadian inversion, the real benefit of buying Tim Hortons is boosting breakfast and coffee sales.

The initial media reaction is that Burger King is turning its back on America by reportedly seeking to buy the Canadian coffee-and-doughnut chain Tim Hortons. After all, it can move its headquarters to Ontario to pay less in taxes.

In reality, Burger King BURGER KING WORLDWIDE INC BKW -2.0968% may be more interested in turning its back on the hamburger.

The $11 billion burger chain is in talks to buy Tim Hortons TIM HORTONS INC THI -1.6656% , Canada’s biggest fast-food chain with a market value of around $10 billion. The deal would reportedly involve a so-called inversion, where Florida-based Burger King would for tax purposes be headquartered in Canada, where the top corporate tax rate is 15%, versus 35% in the U.S.

But as The New York Times pointed out, Burger King’s tax rate is actually closer to 27%, and this inversion really wouldn’t cut its taxes that much because the majority of its revenues are generated in the U.S. Even if it moved to Canada, BK would still be on the hook for U.S. taxes on sales made on American soil.

No, there’s something else driving this deal, and it could be that Burger King wants to abdicate its rule over burgers and switch kingdoms.

As Americans’ tastes have changed, burger sales, which have long dominated the fast-food landscape, have started to stall. Last year, for instance, revenues at Burger King restaurants in the U.S. that have been open for at least a year fell 0.9%, while U.S. same-store sales at McDonald’s slumped 0.2%. By comparison, Starbucks STARBUCKS CORP. SBUX 0.1671% reported an 8% rise in comparable store sales in fiscal 2013 while Dunkin’ Brands DUNKIN BRANDS GROUP DNKN -0.4795% , the parent company of Dunkin’ Donuts, enjoyed a 3.4% rise in revenues.

This isn’t just a short-term problem. Analysts at Janney Montgomery Scott recently noted that while three of the five biggest fast-food chains in the U.S. are still hamburger joints (McDonald’s, Wendy’s, and Burger King), by 2020 that number should drop to just one: McDonald’s.

Meanwhile, coffee chains Starbucks and Dunkin’ Donuts are expected to move up the ranks. And McDonald’s is itself doubling down on coffee, pushing more java not just in its restaurants but also on supermarket shelves.

Noticing a common theme here?

In the fast food realm, there are three buzzy trends right now. There’s the rise of the higher-end “fast-casual” restaurants such as Chipotle Mexican GrillCHIPOTLE MEXICAN GRILL INC. CMG -1.0031% . There’s the explosion of cafe coffee shops, which according to the consulting firm Technomic was the fastest-growing part of the fast-food industry last year, with growth of 9%.

Darren Tristano, executive vice president at Technomic, recently noted that “the segment continues to be the high-growth industry leader with Dunkin’ Donuts and Tim Hortons rapidly expanding.”

He added:

[The] coffee-café segment competition will heat up, and new national chain, regional chain and independent units will increase major market penetration. Smaller rural and suburban markets will be getting more attention. Fast-casual brands in the bakery-café segment like Panera Bread, Einstein Bros. Bagels and Corner Bakery will also create new options for consumers as more locations open. Quick-service brands like McDonald’s will provide lower-priced, drive-thru convenience that provide value-seekers with a strong level of quality that is also affordable.

And the third area of growth in fast food is breakfast. According to The NPD Group, while total “quick serve” restaurant traffic fell by 1% at lunch and dinner time in 2013, business at breakfast time rose 3%.

“Breakfast continues to be a bright spot for the restaurant industry as evidenced by the number of chains expanding their breakfast offerings and times,” says Bonnie Riggs, NPD’s restaurant industry analyst.

Now, while Burger King isn’t really positioned to go after the Chipotles of the world, the acquisition of Tim Hortons could quickly make it a bigger player in the coffee and breakfast markets, where it has languished far behind McDonald’s and Dunkin’ Donuts.

Tim Horton’s already controls 75% of the Canadian market for caffeinated beverages sold at fast-food restaurants, according to Morningstar, and more than half the foot traffic at the key morning rush hour.

Morningstar analyst R.J. Hottovy noted recently that same-store sales throughout the chain are expected to rise 3-4% over the next decade, which would be a marked improvement over the same-store declines that Burger King has been witnessing lately.

Even though Burger King is a bigger company by market capitalization, it generates less than half the $3 billion in annual revenues that Tim Hortons does. This means that by buying the Canadian chain, Burger King will be able to buy the type of same-store growth that it could not muster with hamburgers and fries.

So the next time you go to Burger King, don’t be surprised if they ask you “would like some coffee to go with that?”

SLIDESHOW: Burger King’s Worldwide Journey To Canada

 

 

TIME technology

WhatsApp Now Has 600 Million Monthly Users

Fackbook Acquires WhatsApp For $16 Billion
Justin Sullivan—Getty Images

That's 100 million more than in April

Popular messaging service WhatsApp has reached 600 million monthly active users, according to the company’s CEO, Jan Koum.

WhatsApp was approaching the half-billion user mark when Facebook agreed to buy the company for $19 billion in February, and passed that figure in April.

WhatsApp is one of a variety of SMS alternatives that allow users to send mobile photos and messages to each other via the Internet. Line, a app popular in Asia, has 400 million users and Facebook’s own Messenger service has 200 million.

Facebook’s purchase of WhatsApp is expected to be completed by the end of the year.

TIME Travel

Hotels Charging Record Fees in 2014, Study Says

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A bellhop walks at the entrance of the "The Peninsula Paris" hotel on August 21, 2014 in Paris. Fred Dufour—AFP/Getty Images

Profits on fees can easily exceed 90%

Hotels will charge customers a record-breaking $2.25 billion in fees and surcharges in 2014, according to a new study that reveals the big business of little expenses.

The study, released Monday by New York University professor Bjorn Hanson, attributed this year’s record forecast to slightly higher occupancy rates, higher amounts charged for services and an ever-expanding list of chargeable services, from early departure fees to automatic gratuities to mini-bar restocking fees.

The study estimates that hotels can make a profit of roughly 80%-90% on fees and surcharges, and that the amount collected has steadily climbed since charging fees became a widely embraced industry practice in the late 1990s. In 2000, hotels were collecting $1.2 billion in fees and surcharges. By 2013, the amount had nearly doubled to $2.1 billion.

TIME Careers & Workplace

6 Sure-Fire Signs They’re Planning to Replace You

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What to look out for and how to deal with it

LinkedIn Influencer Liz Ryan published this post originally on LinkedIn. Follow Liz on LinkedIn.

There’s lot of wildlife in Boulder. I was gobsmacked the first time bear came into our yard, after living in Chicago and New York for years. It got to be more normal, and then we had a mountain lion on our street. Now there’s a mother lion and two cubs wandering the neighborhood. We didn’t have this kind of thing in New Jersey.

They say that a prey animal’s nervous system shuts down when the prey animal is snatched by a predator. Humans have a bit of that going on, too. We tune out signals that should alert us to be on guard and on our feet, at home and at work.

Most of us are so tuned into the next thing on our to-do list and the general crush of daily obligations that we shut down our antennae for new information, especially scary information. We don’t take it in, for example the signals that tell you “You are not going to have this job much longer.”

Every day in our office we hear people say “I was completely blindsided. I got called into someone’s office, they gave me papers to sign and I wasn’t tracking with the conversation, I was so overwhelmed.”

When you lose your job suddenly, you’re in shock. It’s normal. When you get bushwhacked, how else would you react?

When you turn on your antennae to be mindful of signals in the energy field around you, you’ll be in a better position whether you’re working for someone else or for yourself.

The more information you can take in and attend to, the better. The closer you can keep an ear to the ground and all your other senses working at a high level, the stronger your position will be.

When people get in a rut at work it’s called falling asleep on your career. Your spidey sense weakens. Your old street muscles from the playground or the basketball court atrophy. You forget how to pay attention to what’s going on around you, and the press of your work makes that inattention even more likely.

Just then you get the lightning bolt and you’re out of a job without warning. Two weeks later when your body has had time to process everything, you’ll say “Actually, there were signs. I missed them.”

I don’t want to make you paranoid, but every time I write about this topic we get letters from people who say “I was guided to read your column today. I see it now. I’m putting the breadcrumbs together. My boss wants me out.”

That early warning helps you get centered. When you see the storm swells forming as you look out across the water, you can prepare. You can be proactive then. First we’ll walk through the six signs they’re planning to replace you, and then I’ll tell you what to do about them.

You’re Pulled Off a Big Project for No Reason

Be suspicious when you’re on a big project doing fine, and all of a sudden you’re off the project for no reason. That’s not a sensible business move, unless they can tell you what you’re doing next and why that’s good for your employer (and you). If you ask why you were pulled off the project and the answer is mushy and non-committal, get your job-search engine going and start building your mojo for a job search.

All of a Sudden, Your Knowledge is Valuable

God bless our colleagues who lack emotional intelligence, because they broadcast their intentions. One way they do it is to suddenly have an interest in everything you know about your job.

They’ll say one random day “Why don’t you train Elissa, our temp, on how you create newsletters and marketing brochures, and teach her how to do trade shows?” Cross-training is great, but there should be a particular need for it, because cross-training takes a lot of time. If you feel sketchy about somebody’s sudden desire to pick your entire brain, trust your feelings.

Former Strategic Conflicts Disappear

Knowledge work can get us emotionally and philosophically attached to our jobs. We care about decisions made at work when we’re connected to our power source there. Strategic disagreements can get fierce and personal at times.

If you’ve been in a wrangle with someone and suddenly it’s all forgotten, there’s no discussion and everything is fine, the word may have come down that you aren’t staying.

You Can’t Get Forward Visibility

Most folks outside the executive suite don’t get formal employment agreements unless they’re contractors, but we like to have some visibility a year or so into the future. We like to know what the organization is trying to do, and to hear as often as possible how well it’s doing with its goals.

If you can’t get a hint from your manager about your future, that’s a bad sign. Most people would rather waffle than tell you something and have to backtrack later. They may keep you treading water until they’re ready to toss you out of the pool completely.

Your Red-Hot Project Goes Suddenly Cold

A screaming neon sign of an upcoming personnel switch-out is for a person’s pet project which was high-priority suddenly to slip to the back burner almost without mention. It typically means that the leaders still still love the project but don’t want you running it, for whatever energetic-disturbance reason they have. They’ll low-key the project until you’re gone and then rev it back up.

Don’t take it personally. It isn’t about you. Your flame can grow from an experience like that, even if you leave. Look what influence you had! Your great ideas travel with you wherever you go.

You Just Feel It

Humans are an old species. Once I traveled to visit a friend, and on the last day of my visit she scheduled a half-day off work to show me her city. In the morning she had a meeting to attend at work, and she said “Come to my office and meet everyone. There’s a spare office where you can work.”

She went into her meeting and I sat in her office working. I felt a chill. I was in a private office but the door was open to a suite of three other offices in a corner of the building. I stopped typing and felt it. Something in the looks of my friend’s co-workers when they walked by — I couldn’t put my finger on it. I scribbled on a Post-It Note “Went down the street for coffee. Call me.”

My friend called me an hour later and said “Which coffee shop are you at? I’ll join you. I just got fired.”

The bad energy was in the air – the tension. It drove me out. You will feel things and your job is not to judge or pooh-pooh them but to let them sit in your right brain and percolate for a few days. Is there a change in the air temperature? If so, you’ve got to mention it.

What To Do If It Happens?

What if you see some of these signs, or all of them? Take the bull by the horns and find your center. Set up a time to talk with your boss and warmly ask him or her what’s up.

Jump here for a script to guide you.

Liz Ryan is the CEO and Founder of Human Workplace.

TIME Companies

These 10 Companies Control the World’s Food Supply

Production Inside A Coca-Cola Amatil Ltd. Plant
Empty Coca-Cola Classic cans move along a conveyor to be filled. Bloomberg—Bloomberg via Getty Images

A relatively small band of companies control a vast amount of what we eat and drink every day

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This post is in partnership with 24/7 Wall Street. The article below was originally published on 247wallst.com.

By Alexander E.M. Hess

The agriculture and food production industry employed more than one billion people as of last year, or a third of the global workforce. While the industry is substantial, a relatively small number of companies wield an enormous amount of influence.

In its 2013 report, “Behind the Brands,” Oxfam International focused on 10 of the world’s biggest and most influential food and beverage companies. These corporations are so powerful that their policies can have a major impact on the diets and working conditions of people worldwide, as well as on the environment. Based on the report, these are the 10 companies that control the world’s food.

Click here to see the companies that control the world’s food.

In an interview with 24/7 Wall St., Chris Jochnick, director of the private sector department at Oxfam America, discussed the impact that these 10 companies have on the world. “If you look at the massive global food system, it’s hard to get your head around. Just a handful of companies can dictate food choices, supplier terms and consumer variety,” Jochnick said.

These 10 companies are among the largest in the world by a number of measures. All of them had revenues in the tens of billions of dollars in 2013. Five of these companies had at least $50 billion in assets, while four had more than $6 billion in profits last year. Additionally, these 10 companies directly employed more than 1.5 million people combined — and contracted with far more.

Nestle is the largest of these 10 companies. Converted into dollars, Nestle had more than $100 billion in sales and more than $11 billion in profits in 2013. The Switzerland food giant alone employed roughly 333,000 people.

Many of these companies and their brands are extremely well known. One reason is that they often spend huge sums on advertising. Nine of these 10 companies were among the 100 largest media spenders in the world in 2012. Coca-Cola (NYSE: KO), the world’s sixth largest advertiser, spent more than $3 billion in 2012 on advertising. Unilever’s media expenditure, at $7.4 billion, was the second-highest worldwide.

With such scale, many of these companies’ policies — including advertising, food ingredients, environmental impact, and labor practices — have an significant impact on millions of lives. Often, these companies have been reluctant to address issues related to their environmental impact and the quality of life of workers in their supply chain. According to Jochnick, many of these companies are “unaware of the social and environmental impact that they are creating or facilitating.”

However, not all the companies are reluctant to address these problems. None of the 10 companies was better-rated by Oxfam than Nestle, which was closely followed by Unilever. Still, even these companies had problems, according to Oxfam’s 2013 report. In 2011, Nestle discovered cases of children working in its cocoa supply chain, as well as instances of forced labor. A supplier of palm oil for Unilever was accused of illegal deforestation and forcible land grabs.

A strong public profile, as well as consumer awareness, may lead these companies to address issues of concern. “A company that is good and trusted ought to be a company that is aware of, and taking steps to avoid, serious human rights or social or environmental problems that it is part of,” Jochnick said.

MORE: America’s Fastest-Growing Retailers

Some companies have taken steps towards becoming better corporate citizens. General Mills and Kellogg, which have been among the 10 companies Oxfam studied, have implemented new policies to address important issues such as climate change. Both companies recently committed to disclosing and reducing greenhouse gas emissions in the coming years.

Based on Oxfam International’s 2013 report, “Behind the Brands: Food justice and the ‘Big 10’ food and beverage companies,” 24/7 Wall St. reviewed the 10 companies that control the world’s food. We also added information on each company’s revenue, net profit, total assets, and employee count from their most recent annual report. Data were translated from foreign currencies based on the exchange rate on the final date of each company’s reporting period. Information on companies’ brands come from corporate websites and Oxfam. Data on 2012 advertising expenditures are from Advertising Age’s report, “Global Marketers 2013,” and are estimates. Estimates for Mars Incorporated, which is privately held, are from Forbes’ report “America’s Largest Private Companies 2013.”

These are the companies that control the world’s food.

Associated British Foods plc
> Revenue: $21.1 billion
> Advertising spending: N/A
> Profits: $837 million
> Employees: 112,652

Associated British Foods is a U.K. food manufacturer that has built out a global presence largely through acquisitions. Associated British Foods operates sugar factories, sells food ingredients to wholesale and industry customers, and manufactures consumer products such as Mazola corn oil and Twinings tea. According to Oxfam, the company received low marks for its practices in water use, having failed to conduct impact assessments, while also failing to adopt strong practices in managing its water supply chain.

MORE: Cars Most Likely to be Dumped

The Coca-Cola Company
> Revenue: $46.9 billion
> Advertising spending: $3.0 billion
> Profits: $8.6 billion
> Employees: 130,600

Coca-Cola is among the most valuable brands in the world. In total, Coca-Cola and its bottlers sold sold 28.2 billion cases worth of drinks, of which 47% were “trademark Coca-Cola.” In total, sales for The Coca-Cola Company were nearly $47 billion in its latest fiscal year. Overall, The Coca-Cola Company scores well for a number of practices, including addressing inequality for women working in production and supporting female empowerment for workers in its supply chain. The company is also well-rated for its land-management practices.

Groupe Danone S.A.
> Revenue: $29.3 billion
> Advertising spending: $1.2 billion
> Profits: $2.0 billion
> Employees: 104,642

France’s Groupe Danone has a truly global presence. Its largest market, by sales, is Russia, followed by France, the U.S., China, and Indonesia. According to the company, Danone is the world’s largest seller of fresh dairy products, which accounted for 11.8 billion euros in revenue, or over half of the company’s total sales in 2013. Danone is also among the world’s largest sellers of early life nutrition products and bottled waters. Danone received high scores for its policies in a number of major issues, including transparency and managing water resources. However, the company also received low scores in other policies, including its handling of land and farming issues. Danone received the lowest score of any company from Oxfam for its policies regarding women’s issues in agricultural production.

For the rest of the list, please go to 24/7WallStreet.

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TIME Careers & Workplace

5 Things Successful Leaders Do in a Crisis

Chief Executive Officer Of Yahoo! Inc. Marissa Mayer Joins Key Speakers At Cannes Lions International Festival Of Creativity
Marissa Mayer, chief executive officer of Yahoo! Inc., gestures as she speaks at the Cannes Lions International Festival Of Creativity in Cannes, France, on Tuesday, June 17, 2014. Bloomberg—Bloomberg via Getty Images

Here are the traits you'll need to remain a successful leader during challenging times

This post is in partnership with Inc., which offers useful advice, resources and insights to entrepreneurs and business owners. The article below was originally published at Inc.com.

By Murray Newlands

A lot of people believe that the true leadership capacity of a person is tested during times of crisis. Performance under stress can show how quick witted or level headed a person is, or on the contrary, it can show where their weaknesses lie. As a business owner or as an entrepreneur, it’s important that you always keep your wits about you and stay cool in difficult situations. These are the five things that every successful leader does in times of crisis, and traits to you should always keep in mind when running a business.

Successful Leaders Don’t Let Their Emotions Get In The Way

The most important thing to do during a crisis is to maintain an example for your employees by keeping cool, calm, and collected, which will allow you to think about the curveballs being thrown your way.

Successful Leaders Are Brave

Many people respond to a crisis by being overwhelmed by stress, which turns to fear. It is easy to be afraid when you have a crisis situation in your business, as it is your entire livelihood on the line, but if you remain brave, then your employees will be too, and together a strong team will be able to turn anything around.

Successful Leaders Are Accountable For Their Victories And Their Losses

Good leaders own up to when they make mistakes. After all, we are all human, and someone who is too proud to admit their own mistake is not likely to be someone that others will follow. Taking responsibility for any actions that you have taken that could have contributed to the crisis will be a good way to prompt your employees into working on the situation with you wholeheartedly, instead of just because they have to.

Successful Leaders Don’t Take Failures Personally

By separating your personal feelings from the matter at hand, you are better able to focus on what is happening and take care of it in a manner that is going to be most successful for you, your employees, and the rest of your business. Crises can also bring out power dynamics in the workplace, and a successful leader does not let those office politics get in the way of taking care of business!

Successful Leaders Possess Positive Attitudes From Start To Finish

The end of the crisis is not just when you pull yourself out of the muck that it had put you in. The end of the crisis is when the team has started to recover and is moving on, which might take a bit. Keeping a positive attitude on your face and pushing the excellence of your team will keep morale high, which will put things right back on track in no time at all, and will also earn you the trust and respect of your employees.

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TIME Careers & Workplace

This Is Exactly How to Make Sure Your Resume Gets Seen

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nazdravie—Getty Images

The gatekeepers between you and the job you want are often digital first, human second. Here’s how to approach both

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This post is in partnership with Fortune, which offers the latest business and finance news. Read the article below originally published at Fortune.com.

By Anne Fisher

Dear Annie: What exactly is an applicant tracking system? I’ve applied for several job openings where my qualifications match the job descriptions for each position precisely, yet I’ve gotten called in for an interview only once (so far). A colleague at my current job told me he read somewhere that computerized applicant tracking systems reject most resumes before a human being even gets involved in the process. Is that true? If it is, how do you get past that and reach an actual person? — Left Hanging in Houston

Dear L.H.H.: An applicant tracking system (ATS), as the name implies, is how many big companies keep track of the hundreds or thousands of resumes that are constantly coming in. Designed to follow each candidate through each stage of the hiring process, from application to start date, the systems usually begin with computer software that “reads” each resume and weeds out the ones that don’t match up with specific job openings.

Unfortunately, that’s usually a lot less efficient than it sounds. That 75% rejection rate your friend cited probably came from a study by a job search services firm called Preptel (which was founded by its CEO Jon Ciampi, an alumnus of ATS maker SumTotal Systems).

The huge number of rejections is due to some, shall we say, quirks in the software that screens resumes before they arrive on a hiring manager’s desk. You could be the perfect prospect for a given job, using all the right keywords, and still be kicked aside by the system because it couldn’t quite make out parts of your resume — like work experience, for instance.

For the rest of the story, please visit Fortune.com.

TIME Video Games

Sony Says User Information Safe After Hackers Targeted PlayStation Network

Inside The 2014 E3 Electronic Entertainment Expo
Attendees walk past the Sony Corp. PlayStation booth during the E3 Electronic Entertainment Expo in Los Angeles, California, U.S. on Tuesday, June 10, 2014. Patrick T. Fallon/Bloomberg via Getty Images

The tech company just had a really rough weekend

Hackers hit the Sony Corp.’s huge Playstation network this weekend, before a bomb threat was made against a flight carrying a top Sony executive in the U.S.

The tech company said on its Playstation blog Monday that the network was taken down by a denial of service attack, but added that none of the personal data of its 53 million users was compromised.

“We have seen no evidence of any intrusion to the network and no evidence of any unauthorized access to users’ personal information,” said the blog post by Sid Shuman, senior manager of social media.

Somebody with the Twitter handle @LizardSquad claimed responsibility for the data breach on Sunday, Reuters said. The purported hacker said the attack was carried out to warn the Japan-based firm that more profits needed to be spent on data security.

“Sony, yet another large company, but they aren’t spending the waves of cash they obtain on their customers’ [PlayStation Network] service. End the greed,” said one @LizardSquad post on Sunday.

In other unsubstantiated claims, the user said that Blizzard Entertainment, the maker of World of Warcraft, had been targeted and also threatened Microsoft’s Xbox Live network.

The posts took an alarming turn when @LizardSquad tweeted at American Airlines on Sunday, claiming to know that explosives were aboard a flight being taken by Sony Online Entertainment President John Smedley.

The San Diego-bound flight from Dallas was later diverted to Phoenix, and its passengers have since made their way to San Diego.

Reuters reports that American Airlines said in a tweet that it was “aware of threats” made over Twitter and had alerted security.

American Airlines spokeswoman Michelle Mohr told AP that she couldn’t discuss security matters and referred questions to the FBI. The FBI declined Reuters’ request for comment.

[Reuters]

TIME Careers & Workplace

5 Ways to Deal With a Millennial Boss Driving You Nuts

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Cavan Images—Getty Images

Don't despair, here's how to deal

Think millennials are self-absorbed and entitled? Well, you have a lot of company, according to one recent survey which found that 71% of Americans think the younger generation is selfish, but here’s the thing: If you’re not working for one already, you probably will be soon.

Capital One’s new Spark Business Barometer survey finds that millennial small-business owners — those under the age of 34 — are doing better than their older counterparts. More than 60% reported higher sales in the past six months, compared with around 40% of businesses overall. They’re more optimistic, too; about three-quarters consider business conditions to be good or excellent, compared with roughly half of small-business owners overall.

This means millennials are the ones doing the hiring: 45% plan to hire in the next six months, compared with 30% of small-business owners overall. Since more than half the jobs in the country are at small businesses, this makes it likelier than not that today’s job seekers will end up working under someone in the Generation Y age bracket.

“We are seeing the same trend — that Gen Y are increasingly in management and ownership roles,” says Jason Dorsey, chief strategy officer at the Center for Generational Kinetics. “This is changing the dynamic within the workplace.”

We asked Dorsey, along with some executives who work with Generation Y (and, in some cases, are in that age bracket themselves) for tips on what workers should expect and how to succeed if they’re working for someone who might not even be old enough to remember life before the Internet.

Speak their language. “Determine how your millennial boss prefers to communicate,” Dorsey says. For instance, maybe they hardly ever check voicemail, but they might be quick to respond via online chat or text message.

Be prepared to hustle. “The day-to-day work at a Generation Y–led business is very intense and fast,” says Arvind Jay Dixit, CEO and founder of social-media platform Bubblews. Be flexible — you might be expected to jump into a variety of roles and do a wide variety of tasks, Dixit says. It might sound daunting, but it can pay real dividends for your career. “This keeps workers on their toes and motivated because they feel they have power to be able to influence decisions and strategy across the board,” he says.

Sharpen your social (media) skills. “Millennials expect to build a brand on various social platforms and be ‘liked’ in volume,” says Michelle Dennedy, vice president and chief privacy officer at McAfee Inc. Since before they were teenagers, millennials have been expressing themselves online and are used to a constant flow of information and communication, she says.

Don’t try to be their BFF. “What we see is that employees struggle more in a job as they become friends with a millennial boss outside of work,” Dorsey says. “Keeping it professional is the way to keep the job.”

Keep your tech skills up to snuff. “Millennial small-business owners tend to be very technologically savvy and open to digital tools and innovation that will help their business succeed,” says Keri Gohman, head of small-business banking at Capital One.

TIME Innovation

3 Simple Words to Revolutionize the World

Stephanie Alvarez Ewens

A business philosophy as old-school as it gets

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This is one of a 10-article series of conversations with transformational leaders who will be storytellers at the BIF10 Collaborative Innovation Summit in Providence, RI, on Sept. 17-18

How many people end business meetings with an “I love you” and a hug? Venture capitalist and former AT&T Labs scientist Deb Mills-Scofield does.

To Mills-Scofield, to do business is to negotiate diverse personalities to get things done — and she has the gift for it. “The broader, deeper, and more diverse your network, the bigger the impact you can make on the world,” she says.

She explains her network this way: Her consultancy, Mills-Scofield LLC, is her livelihood and passion; venture capital firm, Glengary, where she is a partner, is her way of giving back. She helps entrepreneurs get their ideas off the ground by connecting them with clients and collaborators who are hungry for innovation. Furthermore, she mentors a small army of students at her alma mater, Brown University, introducing them to opportunities where they can help “kick things up a bit.”

Each connection Mills-Scofield makes is an iteration of her business philosophy, which is as old-school as it gets: she believes, simply, in “paying it forward.”

“Your network is not about you. A network is to be shared,” she maintains. “Networking is about people: seeing what makes them tick, and connecting them to someone to help them.”

She admits to being selective in networking, but her criterion is humble: “I only help people who are willing to help others.”

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Mills-Scofield grew up in Rumson, NJ. She and her sister attended public school, but every Tuesday, her mother took them into Manhattan to visit the museums. The girls were also encouraged to take another day off every week — to stay home and play.

“Right from the get-go,” Mills-Scofield says, “my model for education was that it is a personal responsibility.”

At Brown, she created one of the country’s first undergraduate majors in cognitive science. She went on to work for Bell Labs, where she was responsible for engineering the most lucrative messaging-system patent in the history of AT&T Lucent.

Long before corporate America started to sloganeer its rebellion, before “Work is Personal” and “All Business is Social,” Deb Mills-Scofield did business the only way that made sense to her — with curiosity and compassion. She called herself a “troublemaker.”

“Part of what I bring when I’m consulting is the fact that I care about you as a person, and not as your function,” she says.

In conversation, Mills-Scofield asserts a motherly kind of authority. She is frank but affectionate; she genuinely asks after your family. She doesn’t miss anything.

Her consultancy helps companies humanize their practice. “Any business that wants a return on investment needs to focus on how it impacts its community,” she says.

Mills-Scofield urges CEOs to put themselves in their customer’s shoes. “Have you ever tried to buy from yourself? Have you ever called your own customer service line?” she asks them. She teaches leaders to trust their employees’ desire to learn and create. “Treat them like adults!” she insists. “Give them the autonomy to innovate.”

Fundamentally, she believes that management’s job is to exercise “stewardship” over the organization, not control. “Business strategy is a living, breathing thing,” Mills-Scofield claims, “It’s not a plaque on a shelf, which is where most companies have gone wrong.”

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When Mills-Scofield visits the Brown campus in the fall, she will hold her “office hours” in the cozy kitchen of the student community service center. Over the years, the guidance she has offered her “kids,” as she calls them, has made her a household name within the institution.

This September, she looks forward to introducing her mentees to one of the greatest resources within her network: the Collaborative Innovation Summit hosted annually by the nonprofit Business Innovation Factory (BIF) in Providence, RI.

In 2009, Mills-Scofield connected with Saul Kaplan, BIF’s founder, to encourage a student’s interest in local business innovation. She and Kaplan struck up a friendship, founded on their belief in the better nature of business, and he invited her to speak at the BIF Summit.

“We desperately need to see real examples of world-changing innovation and the “ordinary” people who come together to create it,” Mills-Scofield says.

“I call the BIF Summit a ‘wedding.’ It is better than any other conference at creating connections among strangers at a profoundly human level, because it provides the space — physical, emotional, and intellectual — for you to challenge yourself to think differently, surrounded by other people who are willing to take the risk with you.”

“I came to the BIF-6 Summit, and my network has never been the same since,” she says. “It’s a gift. I’ve been to every one and I can’t wait to go to BIF10.”

The BIF Collaborative Innovation Summit combines 30 brilliant storytellers with more than 400 innovation junkies in a two-day storytelling jam, featuring tales of personal discovery and transformation that spark real connection and “random collisions of unusual suspects.”

Saul Kaplan is the author of The Business Model Innovation Factory. He is the founder and chief catalyst of the Business Innovation Factory (BIF) in Providence and blogs regularly at It’s Saul Connected. Follow him on Twitter at @skap5. Nicha Ratana is a senior pursuing a degree in English Nonfiction Writing at Brown University and an intern at The Business Innovation Factory. Follow her on Twitter at @nicharatana.

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