Archive for the ‘corporate strategy’ Category

Collapse of Distinction: Stand out and move up while your competition fails

Monday, July 13th, 2009

The author Scott McKain makes a strong case for Organization Distinction.  He states that too many organizations have lost customers trying to meet their competition conditions rather than making their own.  McKain explains that organizations can succeed by focusing on four cornerstones, Clarity, Creativity, Communication, and Customer.

DistinctiveThe author’s fist cornerstone discussion and one he insists must be first, is Clarity.  How can you sell anything unless you know what it is?  This concept certainly made me think about my own situation.  What is it that makes the organization different than the rest of the pack?  I quickly realized that I couldn’t state in “High Concept” what our company really does.  High Concept is a short, less than five words, statement of who an organization, a team, or a person is.

The second cornerstone is Creativity.  Thank you, Scott McKain for taking me out of the box called “Out of the Box.”  I agree the term has become so convoluted that it is confusing.  Creativity cannot grow without roots, the knowing why and what we are creating.  My manager certainly doesn’t want a song when he needs a story.  The author gives a series of steps that are well worth considering and applying to your situation.

At first the third cornerstone, Communication, the process of telling the organization’s story, seemed a bit hokey.  Why an organization is created seemed quite obvious to me, the organization wants to sell or promote its product or service.  However, the author is saying because your competitor has the same product, you need to tell why you are different.  This difference is solely because of your story and includes all of the reasons you chose that particular product or service to support.  Secondly, you need to let everyone know what it is that makes you unique.  Finally, McKain tells us you can’t sell what you don’t know.  I found this was exceptionally beneficial for me.  It is well worth the effort to write the story down before you try to sell the world about your passion.

Finally the last corner stone is the customer.  Here the author hit the nail on the head.  One of my pet peeves is trying to purchase an item only to have the salesperson tell me that I want something else.  Just as he stated, I seldom go back to that business.  Certainly, customers may not know about or understand new products, but they do know what they are looking for and what they will spend their money on.  Taking time to learn the wants of your customer is not only an important way to develop truly impressive distinction, it is critical if you are to succeed.

While reading industry books, I often make write comments in the margin.  In this book,  “Good Point” far exceeded the “I’ll think about this” or “Missed” notations.  This book compelled me to consider what it is that makes me distinctive.  What makes my organization distinctive?  How I can become distinctive?  I highly recommend this book to any organization trying to survive in these turbulent times, and to take up the author’s charge; Don’t be simply value-added; Be Distinctive.

5 Keys In Building A Global Company

Wednesday, April 15th, 2009

Several years ago I was invited to participate on an industry association panel, discussing “offshoring,” (which means outsourcing globally). Having been a senior leader in a global company for many years, I asked the first very obvious question — Which shore? I proceeded to have some fun in addressing the subject by noting that virtually all developed countries (and of late some not so developed countries) are having similar discussions.

While many educated people can discuss the economic and social impacts on countries of the movement of goods and services around the globe, I would like to address some principles of building and operating a company that spans multiple continents.

Global Company, Worldwide Organization, International Company, Grow BusinessLet’s begin by getting some of our vocabulary aligned. There is a difference between being an International” company versus a “Global” company. A lot of companies have out-of-country activities that may include sales and procurement – this is an international company, even if it includes a few regional offices. A global company truly operates in various countries providing goods/services both in the native country as well as moving goods/services between countries. A fully functioning global company has a culture and perspective that transcends the locale where it is registered or where its stock is listed.

For those companies desiring to be truly global, the development of an appropriate company culture cannot be left to chance – building the desired culture is a full-time job. A global company is not just a series of regional companies strung together under common ownership. Quickly one can see the need for tailored products/services and the delivery of these to satisfy the local or regional market expectations. But here is the bigger question: How do you build a team of people who recognize the need to serve the local market and effectively operate their assigned area while also being part of the bigger team where they can exchange ideas, get inspiration, and contribute to the advancement of the entire company?

Commitment
Building an effective global culture is not inexpensive, nor is it a one-shot deal. It is a concept to which all senior leadership must commit and make a part of their daily actions. Human Resources can help with well planned global talent assessments, succession planning, and leadership skills development, including expatriate assignments. Cultural sensitivity training and facilitated mixed culture forums can start the process.

Vision
There has to be a Global Vision/Mission statement that is an anchor point for your leaders, irrespective of their home country. It must have longevity, addressing the business purpose and corporate values.

Acceptance
Perhaps the most powerful force in building a global company is the basic human trait to accept and bond with those we have come to know on a more personal basis. Audio/video conferencing is a nice tool once a relationship is established, but it is ineffective for establishing the relationship. To establish the bonds between people and break down inherent nationalistic, cultural and personal biases, people need to travel and partake in the cultures of their colleagues.

Share
Forming a global team to implement a global or regional project (contrasted to a local team doing a global project) brings the best ideas forward and builds strong bonds that benefit the company well beyond the specific project. Functional leadership forums and best-practice sharing sessions break down barriers and drive the best ideas forward. Promoting those individuals that best demonstrate the desired culture will send powerful messages throughout the organization.

Diversity
There is a large WATCH OUT. In the drive for a corporate global culture it is easy to inadvertently paint a picture that the “desired culture” is, for example, American or German or Chinese. To be most effective, a company’s global corporate culture must reflect a mix of the best qualities its participants have to offer.

One way to measure your success in building an effective global company culture is to monitor your recruitment results.  Are you able to equally attract and retain talented people from all the countries you serve?