WITH JUST nine employees, you wouldn't think that Spokane-based biotech company GenPrime Inc. would have any staff communication issues.

Yet, here they are sitting around a table in a conference room listening to Chris Majer explain the theories of "transformational learning," and how better internal communication could help this small company advance to a higher level.

Majer, who founded Spokane-based Human Potential Project (HP2), talks about the cooperative management behavior and cohesive systems required to engage in what he calls "authentic learning." This unique approach to learning creates "embodied competencies," abilities that companies can use to develop a competitive advantage in the market.

It sounds like the latest in management buzz words. Indeed, some of the staff rolled their eyes when told they would have to sit through an empowerment seminar. But now, as Majer gives his presentation in a measured voice, using simple metaphors to elaborate on his ideas, everyone is listening intently.

"Motivation is to authentic development as cotton candy is to real nutrition," says Majer. "It's nice to have a little treat now and then, but don't confuse it with something that's going to sustain you."

Real change takes time, so Majer insists on working with companies over a long span. Today's session is just one of many he will present at GenPrime in the next seven months. During that time, he will provide guidance to the employees on business strategy, leadership, management issues and innovative practices. HP2 typically charges upward of $500,000 for its services. But by the end, he says, his clients come away with a strong culture that will lay a solid foundation for growth.

So confident is Majer in his approach that he offers clients an unusual guarantee: If the client doesn't see a major return on its investment, the HP2 staff will keep working with them until they do. Majer's roster of clients includes Microsoft, AT&T Consumer Products and Capital One. He helped Scripps Memorial Hospital in Encinitas, Calif., boost staff morale and increase customer satisfaction by 40 percent. He also helped Capital One complete a software development project three months ahead of schedule and save $3 million in burn rate.

Does GenPrime need this kind of help? After all, they're hardly in crisis mode. Rather, it's a proactive move as the company prepares for what they hope will be a period of significant growth.

"We're a real small company, but we've got a real good core of intelligence and a diversity of skills," says Buck Somes, co-founder of GenPrime. "Working with HP2 is going to help us establish a base of culture for the company's future growth, so that the people who are here right now can be mentors to new employees coming on board."

Founded in 1997, the company specializes in the development and implementation of technology that detects and measures microbial action and contamination. Their current focus is on products for homeland security, health care, and fermentation in beer brewing and ethanol fuel production.

GenPrime's newest product, BacSTAT, is a test for screening blood for bacterial contamination that would be used by blood banks and hospitals. It is awaiting approval by the Food and Drug Administration (FDA). The company is so small, most employees pull double duty as both scientists and salesmen.

"We're kind of like a software company in the sense that we have the secret sauce and can support the margin and add a lot to the volume without adding very many people," says board chairman and chief financial officer Johnny Humphreys.  

Humphreys, who is a former CEO of Itron Inc., knows how important it is for an early-stage business to build a strong foundation for growth.

"What's vital about having very few people is to have them working effectively together," Humphreys says. Without a strong culture, when new hires enter the company, they bring their own ways of doing things that often produce conflict, he explains. "As we add more people, we'll have a culture that has evolved that doesn't need fixing."

Majer puts it this way: "We produce large-scale change in a short amount of time in the systems, practices, processes and cultures of businesses. The net effect is that organizations experience dramatic increases in productivity, profitability and levels of satisfaction in both their customers and employees."

The key to Majer's methodology is performance. A former rugby player, Majer began by working with Olympic athletes and soldiers - people who are under constant pressure to perform. He quickly learned what worked and what didn't. He began to realize that learning wasn't so much about understanding theories and memorizing techniques. What was key to improving performance was the development of new competence, a new capacity for action.

Majer delivers a crisp, interactive presentation. One key to learning, he tells those around the table, is to not fear being a beginner. He says most managers focus too much on supervising their workers. This tactic tends to make employees resentful. And managers get frustrated, because they can't keep an eye on everyone. Majer teaches managers to be observers and "designers of commitments."

"When the commitments are in place," he says, "you don't have to worry about the activities, because they show up automatically."

With older businesses, Majer says the first step is "to scrape off the old paint so that the new coat will stick." That means getting rid of the distrust, cynicism and resignation that can often grip an organization.

GenPrime, less than a decade old, was ahead of this curve, because it did not face such problems. Still, after just a few sessions with HP2, the company is already seeing benefits.

"It gives us a language to use to discuss the things that are sometimes uncomfortable," says CEO Somes. "I feel more comfortable approaching people with issues or problems regarding their performance and not feeling like I'm attacking them."

"Some might think of 'human potential' as being touchy-feely and not having to do with the hard decisions of running a business," says Humphreys. "They start to get it when they realize that their people are more than just window dressing and really are their most important assets."

Small companies that achieve big things, Humphreys continues, "seldom reach their goals without going through a process where they solve their communication and fit and efficiency issues among their people."

Back in the conference room, Majer asks his audience if any of them play golf. He relates what he calls developing "embodied competence" to practicing a golf swing. The more you do it, the more it becomes an automatic part of your game.

"After they've been doing the work for a period of time, their daily routines become completely different," Majer explains afterward. "They're not wasting as much time, their meetings are run differently, the possibilities that they see are different and literally, a whole new world is opened up."

Darin Burt is a Spokane-based reporter.