Wednesday, June 23, 2010
Yesterday, I was at Carnegie Mellon University attending The Innovation Experience with Frans Johansson, author of best selling book, The Medici Effect. You can learn more about this at www.themedicieffect.com.
In his talk given at the start of the day Frans made a statement that really grabbed my attention. He shared that in the not too distant past, when a company made it S & P, it stayed on it for typically 30-35 years. Today, that has dropped to 10-15 years, implying the life cycle of businesses has compressed drastically. Given the increasing rate of change that is occurring globally, which I can only assume is going to further accelerate and life cycles of businesses and career are going to further compress, this raised some serious questions in my mind, some of which are as follows:
1. Given this climate, what impact will this have on associations?
2. Just to survive, let alone thrive, what new thinking will be required?
3. What thinking will be have to let go of?
4. What are the beliefs and assumptions by which we are/have been leading our associations?
5. Of these beliefs and assumptions, which ones will need to be reexamined, let go, and what new ones will we to take on?
What are your thoughts on this?
Monday, June 14, 2010
When I speak with business executives, conversations frequently turn to discussion of topics such as how to increase sales, drive revenue growth, increase client retention, and other measures of performance.
From my observation, my view is that these metrics and related conversations tend to be more inwardly focused. My sense is that to truly succeed and build lasting success, one needs to shift the focus 180 degrees and it is through this opposing route that we will achieve desired business performance.
When I think of customers I think of them as individuals, who are in the end striving to be happy. Reason for this way of thinking is when I think of a group, it feels somewhat generic, distant. But when I think of a single customer, let's call her Suzie, then I begin to see her differently, not just as a customer but more as a real person, a real living breathing human being, and this makes all the difference for me how I view then our collective customers, for they are ultimately a collection of individuals.
Therefore, I believe what we need to be instead asking questions such as how can we be more effective in getting answers to following types of questions:
1. What makes our customers happy?
2. What are their dreams? What do they want to be, do, have, achieve, create?
3. What truly matters to them?
4. How do they fill in: I will be happy, if/when______________?
5. What energizes them? Drains them?
6. What are they attracted to? What do they repel?
Then as we become more effective in gaining such crucial insights, then the questions become, such as:
1. How can be (re)structure our organizations to more effectively help our customers ultimately lead happier lives (through our offerings)?
2. What new programs and offerings do we need to create?
3. Of the current offerings, which ones do we need to dissolve, refine, further strengthen?
4. What will be our delivery mechanism?
All this of course within the context of our organizational visions, missions and core values. I realize the responses to first set of questions while will vary from customer to customer, perhaps major themes & patterns will emerge. Then as we become better at gaining such deep insights, the more effective we will become at taking our organizations to the next level.
Furthermore, if we can develop solutions that even more so help our customers acquire ultimately what they want deep within, perhaps they'll be willing to pay even more for our offerings.
I am not implying these are the absolute right questions. Rather these are just to get the thoughts flowing and to help see our routes to success from a different perspective.
It is said that framing the situation correctly and asking the right questions is a very important step to getting the right answers. Assume for the moment that anything is possible, that you have a blank slate and can redesign your organization anyway you like, what do you believe are the right questions we need to be asking, to not only survive today but to also thrive into the future?