spond more efectively to them?

Learn Korean faster, Networking with COGIC memers, !rod"ce#sell Learn

Korean Now prod"ct$
Cash Flow Is Everything
Look at yo"r cash %ow and levels of pro&taility from each prod"ct, service
and
area of activity'
(re yo"r pro&ts going "p or down?
)p
(re they on "dget or going sideways?
Look at the percentages' (naly*e yo"r ret"rn+on+e,"ity, ret"rn+on+
investment,
and ret"rn+on+sales'
(re they increasing or decreasing?
If yo"r goal is to "ild a great company, why isn-t yo"r company already
great?
.ore capital re,"ired for /mpower network
0hich of yo"r prod"cts or services is selling well today?
.y sales skills and /mpower Network
0hich of yo"r prod"cts and services are the most pro&tale?
.y sales skills and /mpower Network
0hich ones are doing poorly?
0hich ones do yo" lose money on?
1rinking too m"ch alchohol
Is yo"r c"rrent "siness sit"ation, positive or negative, in any area?
.ore capital re,"ired
2emporary or part of a long+term trend?
Longterm
3ow can yo" know for s"re?
(ction
3ow can yo" &nd o"t?
4e5oin /mpower Network with 6I.#7ick 8tri*he"s9Like 3os9!ro5ect (0OL
0hat sho"ld yo" then do?
.ake :;<,<<< &rst =< days
Clarity Is the Key
0hy has yo"r "siness een s"ccessf"l in the past?
.y st"dy of "siness
0hat have yo" done well in the past that has een responsile for yo"r
s"ccess to date?
.y st"dy of "siness, marketing and sales'
0hat are the most important skills and competencies that yo"r company
possesses today?
.y st"dy of "siness, marketing and sales'
0hat are the very est prod"cts and services that yo" ofer right now?
.y st"dy of "siness, marketing and sales'
Look at the people aro"nd yo"' 0ho are yo"r most val"ale people?
(>3 8hoppette and )niversity of .aryland 6(3 money
0ho are no longer as val"ale as efore?
0ho represents a net loss or detriment to yo"r "siness?
6e prepared to ask and answer the r"tal ,"estions'
The Customer Is the King
0ho are yo"r est c"stomers today?
Koreans, single males, and "siness opport"nity seekers
0hat and where are yo"r est markets?
(sia and the internet
0hat do yo"r c"stomers like the most ao"t what yo" do for them?
.ake them happy
0hat do they compliment the most of what yo" ofer or do for them?
.ake them happy, talk alot and very smart in "siness and life
0hat is yo"r n"mer one area of c"stomer satisfaction?
8ales and presentation
0hat do yo"r c"stomers like the least ao"t what yo" do?
0hen I?m angry or tired
0hat do they complain ao"t the most?
Not having what they want availale for p"rchase
0hat is it that yo" sell that yo"r c"stomers and potential c"stomers prefer to
"y somewhere else, rather than from yo"?
Identify Your Personal Strengths
Look at yo"rself honestly' 0hat are yo"r own personal est skills, ,"alities
and ailities?
/nglish, 8t"dying, strategic planning, marketing and sales
0hat are the most important things that yo" do at work, and for yo"r
company?
1aily facility improvement, strategic planning, marketing and sales
0hat are the most val"ale contri"tions yo" make personally to yo"r
"siness?
Increase sales, c"stomer service, and c"stomer retention
Start Where You Are:
;' 0hat is working the very est in yo"r "siness today?
8ales and marketing
0hat parts of yo"r "siness make yo" the happiest?
.arketing
@' 0hat-s not working in yo"r "siness?
0aiting on capital
0hat ca"ses yo" the most aggravation and fr"stration?
0aiting on capital
=' 0hat are yo"r most important prod"cts and markets?
.e Asales#marketing#english skillsB, /mpower Network in th )8#8o"th
Korean markets
0hat acco"nts for the largest portion of yo"r reven"es?
(>3 and /mpower Network
C' 0ho are yo"r most important people?
(>3 and /mpower Network
0ho are the people who acco"nt for most of yo"r res"lts?
(>3 and /mpower Network
D' 0hat are yo"r special talents and skills?
0hat is it yo" do that acco"nts for most of yo"r s"ccess?
E' 0hat are the ma5or changes taking place in yo"r market?
0hat changes sho"ld yo" make to compensate for them?
F' 0hat are yo"r most treas"red ass"mptions ao"t yo"r people, c"stomers,
markets,
prod"cts, services and yo"rself?
0hat if one of them wasn-t tr"e?
0hat wo"ld yo" do then?
Imagine Starting ver
Gero+ased thinking re,"ires that yo" apply this HscraperI mentality to every
part
of yo"r "siness' Jo" do this y asking this key ,"estionK
Is there anything that you are doing in your business that,
knowing what you now know, you wouldnt start up again today, if you
had it to do over?
Instead of str"ggling to determine how yo" might modify, change, &L, revise,
improve or alter some "siness f"nction, yo" instead ask,
HIf I was not doing this today, wo"ld I start it "p again today, knowing what I
now know?
2o start with, is there any prod"ct or service that yo" wo"ld not ring to the
market, ofer or sell, if yo" had to do it over again, starting today?
8ince M<N of yo"r prod"cts and services are proaly going to e osolete
within the neLt D years, there
may e prod"cts and services yo" are ofering today that, eca"se of
changed market
conditions, yo" wo"ld not introd"ce again today, if yo" had to do it over
again, knowing
what you now know' 2hese prod"cts or services are prime candidates for
discontin"ation
or divestit"re'
Is there any person in yo"r "siness that yo" wo"ld not hire, assign, appoint,
go
to work for, or ecome associated with if yo" had to do it over again today?
.ost of yo"r prolems in "siness will come from attempting to work with or
aro"nd a diOc"lt person,
who knowing what yo" now know, yo" wo"ldn-t get involved with again
today'
0ho does this ring to mind?
Is there any s"pplier, anker or vendor that yo" are dealing with today that,
knowing what yo" now know, yo" wo"ldn-t get involved with again today, if
yo" had to
do it over?
Sin!e many of your "usiness relationshi#s will not wor$ out over
time% you
must "e #re#ared to !ontinually reevaluate them% es#e!ially if they
are !ausing you any
#ro"lems or frustrations&
Analy'e Your Customers
Is there any customer that yo" are selling to or servicing today that, knowing
what yo" now know, yo" wo"ldn-t take on again as a c"stomer?
.any companies are asking this ,"estion ao"t their diOc"lt c"stomers and
deciding to let them go'
8ometimes, one of the smartest things yo" can do is to H&re yo"r c"stomers'I
/nco"rage
them to go and deal with someone else who wo"ld e more appropriate for
them'
Assess Your (usiness #erations
Is there any expenditure in yo"r "siness that yo" wo"ld not a"thori*e again
if
yo" had it to do over?
Is there any process, proced"re or activity that, knowing what yo"
now know, yo" wo"ldn-t start "p again, or get into, if yo" were making the
decision
today, knowing what yo" now know?
Is there any advertising, marketing or selling methodology or eLpense that
knowing what yo" now know, yo" wo"ldn-t start "p again today, if yo" had to
do it
over?
Keep asking, H0hat-s working?I
and H0hat-s not working?I
Pay Attention To The Indi!ators
Jo" can always tell when yo" are in a *ero+ased
thinking sit"ation eca"se it
ca"ses yo" contin"o"s stress, aggravation,
fr"stration, negativity and "nhappiness' Jo"
think ao"t it contin"ally' Often yo" ring it home at
night and disc"ss it at the family
dinner tale' 8ometimes it will even keep yo" awake
at night'
0henever something is not working, or not working
o"t the way yo" eLpected,
or ca"sing yo" stress, &nancial losses, aggravation,
or irritation, ask,
Knowing what I now know, would I get into this
again today if I had to do it over?
If the answer is HNo$I then yo"r neLt ,"estion is
How do I get out and how fast?
The )e!ision Is Inevita"le
3ere-s an important point' If something is not working, event"ally yo" will
have to
get o"t of it' Jo" will have to let the person go, discontin"e the prod"ct or
service,
eliminate the activity or eLpense, or change the method of operation' It is
only a matter of
time' It is not going to get etter all y itself' (nd every single eLec"tive who
&nally
decides to get o"t of an "nhappy sit"ation says afterwards, HI sho"ld have
done this a
long time ago$I
A##ly This A##roa!h Continually
Pra!ti!e 'ero*"ased thin$ing as a +go forward, method for the rest
of your
"usiness !areer& A##ly it to everything you do% to every #art of your
"usiness% every single
day& A##ly it to every #rodu!t% servi!e% #ro!ess% #ro!edure and
#erson and "e sure that%
$nowing what you now $now% you would get into it again
today if you had to do it over &
If not% get out% and as fast as you !an&
)raw A -ine .nder the Past:
;' Imagine starting over again in every part of yo"r "sinessP is there
anything yo"
are doing that, knowing what yo" now know, yo" wo"ldn-t start "p again
today?
@' Is there any person in yo"r "siness life who, knowing what yo" now know,
yo"
wo"ldn-t hire, assign, promote or otherwise get involved with again today,
knowing what
yo" now know?
=' Is there any prod"ct or service that, knowing what yo" now know, yo"
wo"ldn-t
ring to the market again today?
C' Is there any investment that yo" have made that, knowing what yo" now
know,
yo" wo"ldn-t make again today?
D' Is there any "siness activity or process that yo" are "sing that, knowing
what yo"
now know, yo" wo"ldn-t start "p again today?
E' Is there any c"stomer or market that, knowing what yo" now know, yo"
wo"ldn-t
take on or get into again today, if yo" had it to do over?
F' Is there any career decision that yo" have made that, knowing what yo"
now
know, yo" wo"ldn-t make the same way if yo" had it to do over again today?
Start With The (asi!s
2he starting point of "siness analysis is for yo" to askK
H0hat "siness am I in?I
0hat "siness are yo" really in?
0hat "siness are yo" really, really in?I
I soon reali*ed I was in the Hgoal
a!hievement "usinessI A.e 2OO$
Q/4GB'
.y "siness was helping people to
achieve their personal and "siness
goals faster y providing them with
practical ideas
that they co"ld "se immediately to get
etter res"lts'
2his insight led me from talks and
seminars into a"dio and video
recording,
ooks, training programs and Internet
ased e+ learning on a variety of
s"5ects, incl"ding the development
and presentation of the 2"rostrategy
!rocess'
The Customer As Center#ie!e
H0ho is my c"stomer?I
0ho is the person who "ys from yo" today? 1escrie yo"r c"stomer in
detail'
0hat is the age, income, ed"cation, position, attit"de, location and interest of
yo"r ideal c"stomer?
.any companies are not eLactly s"re of the answer to this ,"estion' 2hey
have at est an
"nclear pict"re of the psychological and demographic characteristics of their
c"stomers'
0ho will yo"r c"stomer e tomorrow, if c"rrent trends contin"e?
0ho should yo"r c"stomer e, if yo" want to e s"ccessf"l in the markets of
tomorrow?
0ho could yo"r c"stomer e if yo" were to change, improve or "pgrade yo"r
prod"ct or service
oferings?
)etermine What You Sell
Jo"r neLt ,"estion isK H0hy does my c"stomer "y?I
0hat val"e, ene&t, res"lt or diference does yo"r c"stomer seek or eLpect
to en5oy as a res"lt of doing "siness
with yo"?
Of all the vario"s ene&ts that yo"r prod"cts or services ofer yo"r
c"stomers,
what do yo"r c"stomers consider to e more important than anything else?
1o yo" know?
Jo"r aility to de&ne and promote this "ni,"e ene&t is the real key to
competitive
advantage and market s"ccess' Jo" neLt ,"estion isK
H0hat do we do especially well?I
0hat do yo" do etter than any of yo"r competitors?
0here are yo" s"perior?
C"stomers only "y from a partic"lar company eca"se they feel that, in
some way, that company ofers something
that is s"perior to that of any other ofering'
0hat is yo"r area of eLcellence?
Rack 0elch of General /lectric was famo"s for saying, HIf yo" don-t have
competitive advantage, don-t compete'I 3is philosophy was that General
/lectric wo"ld
e n"mer one or n"mer two in every market segment in which they
competed, or they
wo"ld get o"t of that market'
(re yo" n"mer one or n"mer two in yo"r market?
Can yo" e?
0hat is yo"r plan to achieve this market position?
)e/ne Your Com#etitor
2he neLt ,"estion, which we will deal with eLtensively in Chapter ;<, isK
H0ho is yo"r competition?I
Once yo" have identi&ed yo"r competition, yo" m"st ask,
H0hy does yo"r potential c"stomer "y from yo"r competition, rather than
from yo"?I
0hat val"e or ene&t does he perceive that he receives from someone else
that he does not feel he
receives from yo"?
3ow co"ld yo" ofset this perception?
Set Clear 0oals
In performing an eLamination of yo"r "siness, yo" m"st ask contin"ally,
H0hat are my goals?I
0hat are yo" trying to accomplish?
If yo" are clear ao"t yo"r goals, what is holding yo" ack from achieving
them?
Jo" need clear, written, meas"rale, time+o"nded goals for every part of
yo"r
"siness and personal life' Jo" need short+term, medi"m+term and long+term
goals' /ach
goal m"st e in writing, with plans for its accomplishment' Jo" can-t hit a
target that yo"
can-t see' (naly*e everything yo" do in the co"rse of a day or a week'
0hat are the @<N of yo"r activities that co"ld acco"nt for M<N or more of
yo"r res"lts?
8ometimes, 5"st ;<N of yo"r activities, if yo" were to p"rs"e them
aggressively, co"ld acco"nt for S<N of yo"r
res"lts'
0hat might they e?
(e!ome A!tion*riented
0hat actions sho"ld yo" take immediately in response to the answers to
these
,"estions?
0hat is the very &rst thing yo" sho"ld do right now to increase yo"r sales
and
improve yo"r market position?
(nother good ,"estion yo" sho"ld ask yo"rself isK
H0hy am I in "siness at all?I
0hy do yo" eList?
0hat social p"rpose does yo"r company serve?
0hat loss wo"ld occ"r to society if yo" ceased to do "siness altogether?
Imagine that yo" had to go in front of a government tri"nal each year to
5"stify
yo"r contin"ed eListence'
0hat wo"ld yo" say to the tri"nal in terms of how yo" serve, help, or make
a
diference in the lives or work of yo"r c"stomers to 5"stify staying in
"siness?
2hese are key ,"estions that yo" need to ask and answer for yo"r "siness
on a
reg"lar asis' Jo" sho"ld ask and answer these ,"estions for yourself, as
well' If yo" are
"nclear or inacc"rate in yo"r answers to any of them, the health of yo"r
enterprise co"ld
e in 5eopardy'
Condu!t A (asi! (usiness Analysis:
;' 0hat are yo"r goals for yo"r "siness?
0hat are yo" trying to accomplish?
@' 0ho is yo"r ideal c"stomer?
1escrie him or her acc"rately'
=' 0hy does yo"r c"stomer "y from yo"?
0hat special ene&ts or advantages do yo" ofer that yo"r competitors
don-t have?
C' 0hat "siness are yo" really in?
1escrie yo"r "siness in terms of what yo" do for yo"r c"stomer, what
res"lts yo" get'
D' 0hat are the @<N of yo"r activities that co"ld acco"nt for M<N of yo"r
res"lts?
E' 0hat is yo"r competitive advantage, yo"r Harea of eLcellence?I
In what ways are yo" s"perior to S<N or more of yo"r competitors?
F' 0hat speci&c, meas"rale actions sho"ld yo" take immediately in answer
to the aove ,"estions?
Cha#ter Four 1 )e!ide E2a!tly What You Want
he world has the habit of making way for the man whose words and actions
show that
he knows where he is going! ANapoleon 3illB
2"rostrategy egins with yo"r deciding eLactly what yo" want to accomplish
in
the key areas of yo"r "siness life' Once yo" know yo"r goals in each area,
yo" can then
decide "pon the est steps yo" can take to get there'
The 0SPA 3odel
Jo" can "se the GO8!( .odel as a g"ide for strategic planning' 2hese &ve
key
thinking tools form the asis for s"ccessf"l "siness operations'
(egin With The End In 3ind
2he &rst letter, HGI stands for 0oals' 2hese are the "ltimate res"lts that yo"
want
to achieve' Jo"r goals are the end targets that yo" aim at thro"gho"t yo"r
"siness year
or planning period' Jo"r goals are yo"r sales, pro&ts, growth rate, market
share, or
percentage of ret"rn on assets, e,"ity, investment or sales' Goals are always
meas"rale'
0hat are yo"rs?
Ste#s on the Stair!ase
2he second letter, HOI stands for "4e!tives' 2hese are the steps yo" will
have to
take to achieve yo"r goals' 2hey are like the r"ngs on the ladder to get to the
top'
Jo"r "siness o5ectives can e speci&c rates of ret"rn from advertising,
levels of sales of
certain prod"cts and services, n"mer of items shipped and illed, monies
collected and
cost levels for certain activities' ( lower defect rate or a higher sale amo"nt
per c"stomer
can e o5ectives on the path to achieving the main corporate goals' 0hat
are yo"r
interim o5ectives?
5ow to 0et There
2he letter H8I stands for Strategies' 2hese are the diferent approaches that
yo"
can take to achieve yo"r o5ectives and reach yo"r goals' >or eLample,
achieving a
speci&c level of pro&taility will re,"ire prod"cing and selling speci&c
,"antities of
prod"cts or services to a speci&c market in a speci&c way' 2here are many
diferent ways
to go ao"t accomplishing these o5ectives' 2he way yo" choose is yo"r
strategy, and
may determine the s"ccess or fail"re of yo"r enterprise'
1o yo" prod"ce, market, sell, deliver yo"rself, or do yo" o"tso"rce some part
of
the process? 1o yo" sell direct, via retail, direct mail, catalog or Internet? 1o
yo" charge
more, charge less, "p+sell, cross+sell or disco"nt? 1o yo" enter certain
markets and
aandon others? 0hat is yo"r strategy? Is it working?
Planning For Su!!ess
2he letter H!I stands for Plans' 2hese are yo"r l"eprints for achieving yo"r
goals' Jo"r plans are composed of step+y+step lists of eLactly what yo" will
do, day y
day, to get from wherever yo" are to wherever yo" want to go' !lans are
always roken
down y se,"ence and priority'
8ome things have to e done before others can e done' 8ome things are
more important
than others in achieving the goal or o5ective' 0hen yo"r plan is organi*ed y
se,"ence
and priority, yo" can accomplish m"ch more in less time'
6"siness life consists almost entirely of pro5ects, one after the other' ( pro5ect
can
e de&ned as a multi"task #ob, a 5o made "p of many small 5os, each of
which has to e
done properly to complete the larger task' Jo"r aility to plan, organi*e and
complete
m"lti+task 5os, ever larger and more compleL, is the most important single
element of
yo"r s"ccess, in any &eld'
)evelo# a (ias for A!tion
2he last letter in the GO8!( process, H(I, stands for A!tions' 2hese are the
speci&c tasks
that yo" are going to complete to carry o"t the plans to implement the
strategies to
accomplish the ob#ectives to achieve yo"r goals'
/very important task m"st e clear, meas"rale and time o"nded' It m"st
e assigned to
a speci&c person who is ,"ali&ed to perform the task correctly, on time and
on "dget'
$hat gets measured gets done!
Fo!us on Pro/ta"ility
2he central p"rpose of 2"rostrategy is to oost yo"r cash %ow and pro&ts,
and
to increase yo"r ret"rn on the money invested in yo"r "siness' 2he aim of
strategy is to
generate a higher level of cash %ow and pro&taility than yo" wo"ld reali*e
witho"t the
strategy, or with yo"r previo"s strategy' In short, it is to make more money
than yo" are
making right now from the way that yo" are doing "siness today'
2he essential reso"rces of people, money and talent that yo" need to
s"cceed in
yo"r "siness are always limited' 2hey m"st e foc"sed and concentrated for
maLim"m
res"lts' 2his is what a good strategy enales yo" to do'
Four Ways to Im#rove Your (usiness
8etting strategy re,"ires making hard decisions in fo"r areasK >irst, yo" m"st
decide what yo" are going to do more of'
0hat-s working?
0hat is selling well?
0hat prod"cts, services and activities are the most pro&tale?
8econd, yo" m"st decide what yo" are going to do less of'
0hat-s not working?
0hat contri"tes very little to growth and pro&taility?
0hat sho"ld yo" discontin"e or eliminate ased on the realities of today-s
market and today-s c"stomers?
0hat can yo" do to red"ce costs in areas where they contri"te very little to
res"lts?
2hird, what are yo" going to start doing that yo"-re not doing today?
0hat new prod"cts, services or activities sho"ld yo" introd"ce if yo" want to
increase yo"r sales and
pro&taility, or improve and streamline yo"r activities?
>inally, what are yo" going to stop doing altogether?
4ememer, the critical reso"rces of time and money are always scarce' 2he
only way yo" can improve res"lts is
y discontin"ing certain activities altogether' Jo" can then channel those
reso"rces into
areas where they yield higher levels of "siness res"lts'
Clarity is the key to strategic s"ccess' 2he more time yo" take to e
asol"tely
clear ao"t who yo" are, and what yo" want to accomplish, the more
s"ccessf"l and
pro&tale yo" will e'
)e!ide E2a!tly What You Want:
;' 0hat are yo"r speci&c, meas"rale long+term goals for sales and
pro&taility in
yo"r "siness?
@' 0hat are the speci&c ob#ectives of sales, staOng, prod"ction, delivery and
c"stomer development that yo" will have to achieve to accomplish yo"r
goals?
=' 0hat are the vario"s ways that yo" can meet yo"r o5ectives and achieve
yo"r
goals?
0hat is the est strategy for yo" in today-s market?
C' 0hat sho"ld yo" do more of and really foc"s on to increase yo"r sales and
pro&taility?
D' 0hat sho"ld yo" do less of, ased on yo"r c"rrent eLperience?
0hat-s not working?
E' 0hat sho"ld yo" start doing that yo" are not doing today?
0hat opport"nities are availale to yo"?
F' 0hat sho"ld yo" discontin"e, and stop doing altogether, so that yo" can
free "p
reso"rces for more pro&tale activities?
Cha#ter Five 1 )esign Your Ideal Future
$e have been endowed with the capacity and the power to create desirable
pictures within
and to %nd them automatically printed in the outer world of our
environment! ARohn
.c1onaldB
8ome time ago, I cond"cted a strategic planning session for the senior
eLec"tives
of a :;F@ illion dollar company' 2he organi*ation was going thro"gh a period
of
considerale t"r"lence, change, competition and new government
reg"lation' 2here had
een lay+ofs, &rings, downsi*ing and divestments' .y clients were the top
eLec"tives
who had s"rvived the recent t"rmoil, and the lood letting was not yet over'
In these
circ"mstances, they were oth worried ao"t the f"t"re and distracted in the
present'
Create A Five Year Fantasy
2o get them centered and foc"sed, I egan the strategy session with a
process that
I call +Ideali'ation&, In this process, which yo" can "se yo"rself, I had the
memers of
the top team create a H&ve year fantasy'I
HLet "s p"t aside the c"rrent sit"ation for the moment,I I s"ggested'
HInstead, tell
me what this company wo"ld look like &ve years from now if it was perfect in
every
respect?I
2his eLercise forced them to take their attention away from the prolems of
the
present and foc"s their thinking on the possiilities of the f"t"re'
(s we went aro"nd the room, each person contri"ted an idea ao"t what
the
company wo"ld look like if it were perfect' I wrote each idea on a %ip chart
and taped
the pages onto the walls where everyone co"ld see them' In less than half an
ho"r, we
generated @F ideal descriptions'
0e then voted on these ideali*ed goals and organi*ed them y priority' 0e
ended "p
with a series of clear o5ectives, incl"ding Hhighly pro&tale, tremendo"s
market
rep"tation, high stock price, top leadership, fa"lo"s c"stomer service, great
place to
work, est management, rapid growth rate and top rep"tation in the
ind"stry,I among
others'
Thin$ In Terms f Possi"ilities
I then asked them, H(re these goals possile?I One y one, they agreed that
all of
these goals were possile in &ve years' 2hey might not e achievale in one
or two years,
"t in &ve years, every one of them co"ld e accomplished with will and
determination'
0e came o"t of that session with everyone revitali*ed and committed to
working
on achieving one or more of those &ve+year fantasies' Over the neLt two
years, the
company completely reorgani*ed' 2hey did more of some things and less of
others' 2hey
started doing things that they had not done in the past, and they stopped
certain activities
altogether' 2hey took complete control of their corporate destiny and
changed it'
!eter 1r"cker once wrote, H0e greatly overestimate what we can accomplish
in one
yearP "t we greatly "nderestimate what is possile for "s in &ve years'I
Thin$ A"out The Future
Future*orientation is a key element of strategic planning and strategic
thinking'
It is a ma5or responsiility of leadership and top people in every area' Only
the leader can
think ao"t the f"t"re' Only the leader can plan for the f"t"re' 2here is no
one else in the
organi*ation who can do it, and if the leader does not think ao"t and plan for
the f"t"re
as an ongoing part of his 5o, it will not e done' (s they say in (laska, HOnly
the lead
sled dog ever gets a diferent view'I
3ow often and how well the top people in the company think ao"t the f"t"re
largely
determines the s"ccess or fail"re of the "siness' HIf yo" don-t know where
yo"-re going,
any road will take yo" there'I
2he development of the ,"ality of f"t"re+orientation re,"ires that yo"
contin"ally
create an ideal image of yo"r company some time in the f"t"re' You #ro4e!t
forward in
your mind 6*7 years and imagine that your !om#any is #erfe!t in
every res#e!t& You
de!ide e2a!tly how mu!h you would "e selling and earning at that
time& You imagine
your ideal sto!$ #ri!e% your ideal re#utation in the mar$et% your ideal
wor$ situation and
your ideal human environment&
(a!$ From The Future Thin$ing
Once yo" have a clear pict"re of yo"r
ideal f"t"re, yo" then ret"rn mentally
to
yo"r c"rrent sit"ation and think ao"t
what yo" wo"ld have to do, starting
today, to t"rn yo"r f"t"re vision into a
c"rrent reality' 2his is called, Hack
from the f"t"re thinking'I
.ake a list of all the things that wo"ld
have to happen for yo" to reali*e yo"r
fantasy sometime in the f"t"re' It is
ama*ing how yo"r perspective
changes when yo"
look ack from the f"t"re, eLactly as if
yo" were looking ack from the top of
the
mo"ntain to yo"rself down in the
valley, and seeing the eLact ro"te yo"
will have to
follow to get to the top'
-eaders 5ave 8ision
In ==<< st"dies of leaders reviewed y Rames .ac!herson, searching for the
common denominators of leadership thro"gho"t the ages, the one ,"ality
that all the
st"dies had in common was the ,"ality of vision' Leaders have visionP non+
leaders do
not'
2o ecome a visionary re,"ires that yo" develop the aility to imagine,
de&ne,
artic"late, share and inspire other people with an eLciting pict"re of the
f"t"re' Jo" get
everyone in yo"r "siness committed to f"l&lling this vision, and to working
toward it
every day' 2his is the key to leadership, and to "ilding a great company'
(ristotle wrote, +We "e!ome what we re#eatedly
do&, Jo" ecome a leader y thinking
the way leaders think, oth in yo"r "siness and in yo"r personal life' Jo"
ecome a
leader y thinking ao"t the f"t"re, and how yo" can make it a present
reality'
9ow% 3ore Than Ever
6"t it is in times of rapid change, and t"r"lence in the market, that an
eLciting
vision of the f"t"re ecomes more important that ever efore' ( vision can
ecome the
force that inds people together into a solid team' It can give meaning and
p"rpose to
work, even when times are to"gh and pay increases are not possile'
2here are many ways yo" can approach the development of a vision for yo"r
organi*ation' Perha#s the very "est vision for your !om#any in!ludes
two $ey
!om#onents& First% it is fo!used on your !ustomers and on doing
something for them that
!hanges and im#roves their lives or wor$ in some way& Se!ond% it
!ontains a !ommitment
to excellence % to "e the very "est at doing what you do for your
!ustomers& These are the
$eys to vision&
Jo"r vision is to He the est$I at the most important thing that yo" do for
yo"r
c"stomers' Jo"r vision is to serve yo"r c"stomers in s"ch a way that yo" are
seen as
s"perior in a partic"lar prod"ct, service or activity' Imagine that yo" co"ld e
known as
outstanding in any one thing that yo" do for yo"r c"stomers' 0hat wo"ld it
e? Jo"r
answer can e the starting point of a vision for yo"r "siness that changes
yo"r f"t"re
completely'
Your Personal 8ision
Jo" need a vision for yo"rself as well' !ro5ect forward D years in yo"r
imagination' If yo"r f"t"re were perfect in every way, what wo"ld it look like?
If yo"r
income, yo"r position in yo"r company or &eld, yo"r family life, yo"r health,
yo"r 5o
and every part of yo"r life were ideal in every way, how wo"ld it e diferent
from today?
Once yo" are clear ao"t yo"r vision, for yo"rself and for yo"r "siness, the
only ,"estion yo" ask is,
&ow do I make it a reality?
2op people think contin"ally in terms of how? 2hey think in terms of taking
action, of what can e done'
Once yo" have clari&ed yo"r vision, and determined what yo" will have to do
to make it a reality, yo" then do something every day to move yo" toward
the creation of
yo"r ideal f"t"re' Jo" take complete control of yo"r destiny' (s 1r"cker wrote,
H2he very
est way to predict the f"t"re is to create it'I (nd the starting point is vision'
)esign Your Ideal Future:
;' 0hat is yo"r vision for yo"r company? !ro5ect forward and imagine that
yo"r
"siness was ideal in every way' 0hat wo"ld it look like?
@' 0hat is yo"r vision for yo"rself? If yo"r life and career were ideal in every
way,
what wo"ld it look like?
=' Ideali*e in each area of yo"r "siness' If yo"r prod"cts, services, sale and
pro&taility were perfect, what wo"ld they look like?
C' Ideali*e with regard to yo"r people' If yo"r staf were ideal in terms of
skills,
ailities, personalities and res"lts, how wo"ld they e diferent from today?
D' Imagine that a ma5or maga*ine was going to write a story ao"t yo"r
company'
0hat wo"ld yo" want them to say?
E' !ro5ect forward &ve years and then look ack to today from that vantage
point'
0hat wo"ld yo" have to change today to create yo"r ideal f"t"re?
F' In what one area wo"ld it e most helpf"l to sales and pro&taility if yo"r
company were widely known as Hthe est?I 0hat steps co"ld yo" take
immediately to
egin earning that rep"tation?
Create A 3ission Statement:
;' 1etermine yo"r personal reasons for doing what yo" do' 0hat gives yo" a
sense
of meaning and purpose in life?
@' 1ecide "pon the =+D key val"es "pon which yo"r company is ased'
Involve other
people in the disc"ssion'
=' 1e&ne the actions and ehaviors that people will engage in, oth inside
and
o"tside the company, that are consistent with yo"r val"es'
C' 1esign a mission statement, an ideal description of what yo"r company
wants to
accomplish for its c"stomers sometime in the f"t"re'
7& 0rite o"t a list of yo"r val"es, and what they mean, pl"s yo"r mission
statement,
and share them with yo"r staf and c"stomers'
:& Create a personal mission statement for yo"r career' 0hat do yo" want to
accomplish, and how do yo" want to e known?
;& Create a mission statement for yo"rself and yo"r family' 0hat is it that yo"
want
to accomplish or achieve with yo"r family in the years ahead?
Cha#ter Seven 1 <einvent Your rgani'ation
'very man of genius sees the world at a di(erent angle than his fellows!
A3avelock /llisB
Rack 0elch of General /lectric once said, HIf the rate of change outside yo"r
organi*ation is greater than the rate of change inside yo"r organi*ation, then
the end is in
sight'I
In times of t"r"lence, yo" sho"ld e prepared to reinvent yo"r "siness as
often
as necessary as yo"r eLternal world changes'
(s an eLercise, imagine that yo" were starting yo"r "siness over again
today'
0hat wo"ld yo" get into, or not get into?
(undle of <esour!es
>or greater perspective, stand ack and view yo"r "siness as a bundle of
resources and
capailities, like a &re hose of talent and aility that can e aimed in many
directions to
achieve diferent res"lts' Instead of limiting yo"rself to seeing yo"r "siness
as an
organi*ation that is designed to perform speci&c f"nctions, prod"cing and
selling certain
prod"cts and services, think of it as eing capale of doing a variety of things
completely
diferent from what yo" are doing today'
The 0reat Fire
(s yo" think ao"t reinventing yo"r "siness, imagine that yo"r company
"rned
to the gro"nd while yo" were away' 0hen yo" arrived at the scene, yo" fo"nd
that all
yo"r staf were safe and standing aro"nd in the parking lot'
(s it happens, there is "nocc"pied oOce space availale across the street'
Jo"
can immediately move into the new space and start yo"r "siness anew'
3ere is the
,"estionK 0hich of yo"r prod"cts and services wo"ld yo" egin prod"cing
and
distri"ting right away, and which ones wo"ld yo" not start "p again,
knowing what yo"
now know?
E2amine Every <elationshi#
If yo" were starting yo"r "siness over again today, completely free from any
enc"mrances of the past, which c"stomers wo"ld yo" call &rst, and which
ones not at
all? 0hich vendors, s"ppliers, ankers or other people wo"ld yo" immediately
get in
to"ch with, and who wo"ld yo" call later, if at all? 0hat wo"ld yo" do &rst?
0hat wo"ld
yo" do second? 0hat wo"ld yo" not start "p again, knowing what yo" now
know?
<einvent Your Sta= <elationshi#s
Now, let-s go ack to the parking lot' Let "s ass"me that all of yo"r people
are
safe and standing aro"nd waiting for instr"ctions' 0hich of them wo"ld yo"
take across
the street with yo" to the new "siness, and which ones wo"ld yo" leave in
the parking
lot? 0ho wo"ld e the &rst and most important person whose services yo"
wo"ld want to
sec"re? 0ho wo"ld e the second most important? 0ho wo"ld e third? (nd
so on'
E2amine Your rgani'ation
If yo" co"ld reinvent yo"r "siness, what wo"ld yo" do more of? 0hat wo"ld
yo"
do less of? 0hat wo"ld yo" start doing that yo" are not doing today? 0hat
wo"ld yo"
stop doing altogether?
In reinventing yo"r organi*ation, ask yo"rself, H0hat are my most important
talents, skills, ailities and core competencies, and what else co"ld I do with
them? 0ho
are my est people and what else co"ld they do? Keep thinking ao"t how
yo" wo"ld
reinvent yo"r "siness if yo" were starting over' 2his will keep yo" on the
c"tting edge of
creativity and innovation'
Thin$ In Terms of E2!ellen!e
2he key ,"estions in reinvention are, H0hat co"ld yo" e asol"tely eLcellent
at
doing in today-s market?I 0here co"ld yo" e the est? 0here co"ld yo"
achieve worldclass
,"ality? 0here co"ld yo" e etter than S<N of yo"r competitors? H
2he market only pays eLtraordinary rewards for eLtraordinary prod"cts and
services' 0here and how co"ld yo" do what yo" do in an eLtraordinary
fashion?
<einvent Your Career
>inally, think ao"t reinventing yo"rself and yo"r career on a reg"lar asis, as
well' If yo" were starting over again today, what wo"ld yo" do more of, less
of, start or
stop? 0hat wo"ld yo" get into or get o"t of?
If yo" were starting yo"r career over again, what additional knowledge and
skills
wo"ld yo" want to have? 0hat can yo" do, starting today, to ac,"ire those
key skills?
Imagine that yo" co"ld do a variety of 5os' 0hat wo"ld yo" really like to do
with yo"r
life?
8ince yo" were going to have to reinvent yo"rself reg"larly thro"gho"t yo"r
career, it is
very important that yo" think ao"t how yo" wo"ld do it well in advance of
when it
ecomes necessary'
<einvent Your rgani'ation:
;' If yo" were starting yo"r "siness over again today, what wo"ld yo" do
diferently?
@' If yo" were starting yo"r career over again today, what wo"ld yo" get
into, or o"t of?
=' If yo"r "siness "rned to the gro"nd and yo" co"ld only ofer one of
yo"r prod"cts or services, which one wo"ld it e?
C' 0ho are yo"r most important c"stomers, the ones who yo" wo"ld
immediately move to take care of, if yo" were starting over?
D' 0ho are yo"r most important people, oth inside and o"tside of yo"r
"siness?
E' 0hat are yo"r most important contacts and "siness relationships, the
ones yo" wo"ld want most to preserve if yo" were starting over?
F' If money were no o5ect, what steps wo"ld yo" take today to reinvent
yo"r "siness?
Cha#ter Eight 1 Sele!t the <ight Peo#le
&ere lies a man who know how to enlist into his service people better than
himself!
A(ndrew Carnegie +epitaphB
2he people in yo"r company are the most important parts of yo"r "siness'
(ll work, all
performance, all res"lts come from them, oth as individ"als and when they
work
together in teams of some kind' 2he manager-s o"tp"t is the o"tp"t of his or
her team,
and of the individ"al team memers'
In "siness, people come &rst' Ros, activities and res"lts are only achieved
after
the right people are in place' Rim Collins says in his ook, )ood to )reat, that
the key to
"ilding a great "siness is, H&rst, get the right people on the "s, and
second, get the
wrong people of the "s'I (ny other approach is o"nd to fail'
Two Key >ualities to -oo$ For
2he est people have two ,"alities' >irst, they can e co"nted on to get the
5o
done, to get it done well and to get it done in a timely fashion' 8econd, they
get along
well with others' 2hey are good team players'
Jo" sho"ld apply *ero"based thinking to each person who reports to yo" on a
reg"lar asis' Contin"ally ask, HKnowing what I now know, wo"ld I hire, assign
or
promote this person again, if I had to do it over?I
If the answer is HNo,I then yo"r neLt ,"estion is, H3ow do I remove or replace
this
person, and how fast can I do it?I
0hat do yo" want and need those res"lts to e?
Once yo" are clear ao"t the res"lts yo" desire, set speci&c meas"res of
performance on each 5o, and each task' 3ow will yo" and the candidate
know whether
or not the 5o has een done properly? 4ememer, H0hat gets meas"red,
gets done'I
(nd, HIf yo" can-t meas"re it, yo" can-t manage it'I
Sele!t the <ight Peo#le:
;' 4ank every one in yo"r company on a scale from ;+;<, with ;< eing the
highest, on their competence at their 5o'
@' 4esolve to "ild a team of highly motivated, competent and positive
employees to
help yo" get the res"lts yo" need'
=' 2hink thro"gh each new 5o or hire caref"lly in advance' 0rite o"t the
description
clearly'
C' Interview at least = candidates for a new position' Interview the candidate
yo"
like at least = times, in three places, and have him or her interviewed y at
least =
other people'
D' Check references caref"llyP seek the fatal %aw or weakness that wo"ld
make the
candidate "ns"itale'
E' 3ire only positive, likale peopleP they make the est team players'
F' 4es"lts are everythingP contin"ally emphasi*e and eLplain eLactly what
res"lts are
eLpected from each person'
Cha#ter 9ine 1 3ar$et 3ore E=e!tively
+ecause its purpose is to create a customer, the business enterprise has two
, and only
these two" basic functions- marketing and innovation! .arketing and
innovation produce
results/ all the rest are costs! A!eter 1r"ckerB
(ll "siness strategy is "ltimately marketing strategy' 0henever yo" are
worried ao"t the
health or f"t"re of yo"r "siness, get ack to thinking ao"t marketing and
selling' >oc"s
single+mindedly on increasing sales and reven"es' C"tting eLpenses and
controlling costs
is an ongoing necessity, "t yo" can-t cost+c"t yo"r way to "siness s"ccess'
Jo" have to
increase cash %ow, and this only comes from selling more of yo"r prod"cts or
services'
9o matter how !hallenging or !om#etitive the e!onomy a##ears% as
mu!h as
?@A of your mar$et is still unta##ed& 2here are almost always hidden
opport"nities
aro"nd yo"' Jo"r aility to "ncover and take advantage of those opport"nities
is the tr"e
test of competence as an eLec"tive or as a "siness'
)e!ide Who You Are and What You )o
0peciali*ation re,"ires that yo" foc"s on speci&c prod"cts or services,
speci&c
markets or speci&c c"stomer needs' Jo" m"st &ght the temptation to try to
ofer too many
prod"cts and services to too many c"stomers in too many areas' Jo" m"st
speciali*e,
oth in yo"r own mind, and in the mind of yo"r c"stomer'
0hat is it exactly that yo"r prod"ct or service is designed to achieve, avoid or
preserve for yo"r c"stomer? 0hat are the core competencies or proprietary
methods or
technologies that enale yo" to speciali*e in this area? 0hat speci&c prolem
or need can
yo" solve or satisfy for yo"r c"stomer? (nd of all the diferent res"lts yo" can
get with
yo"r "siness, where do yo", sho"ld yo", co"ld yo" speciali*e?
See Yourself As A (usiness
In yo"r personal life, yo" sho"ld ask the same ,"estions of yo"rself as well'
0hat
is yo"r personal area of speciali*ation? In what way is yo"r work superior to
yo"r
competitors? 0hat is the ideal position or area of responsiility for yo" to
apply yo"r
talents? 0here sho"ld yo" e concentrating yo"r energies to get the very
est res"lts and
greatest rewards possile?
/specially, yo" sho"ld contin"ally ask yo"rself, $hat is it that I do very, very
well?
0hat is yo"r personal area of eLcellence? 0hat co"ld it e? 0hat sho"ld it
e?
-oo$ing Ahead
Looking into the f"t"re of yo"r "siness or ind"stry, what new competencies
do yo" need
to develop to lead yo"r &eld in the months and years ahead? 0hat additional
knowledge
and skills do yo" need to ac,"ire? 0hat are those few tasks, which, if yo" did
them in an
eLcellent fashion, wo"ld have the greatest positive impact on yo"r career? In
what areas
co"ld e paid the very most for the application of yo"r special talents and
ailities? 2his
,"estion is 5"st as relevant for yo" as it is for yo"r company'
3ar$et 3ore E=e!tively:
;' 1ecide today to dominate yo"r &eld, to e the est at marketing and
innovation in yo"r prod"ct or service area' 0hat is the &rst step yo" sho"ld
take?
@' 1etermine yo"r area of speciali*ation, y prod"ct or service, market or
type of c"stomer' 0hat sho"ld it e? 0hat co"ld it e?
=' 3ow do yo" diferentiate yo"r prod"ct or service from those of yo"r
competitors? In what ways are yo" s"perior to anyone else? 0hat co"ld it e?
0hat
sho"ld it e?
C' 0hat are yo" est market segments? 0here are yo"r highest proaility
c"stomers? 0ho can ene&t the most from "sing what yo" sell?
D' 3ow can yo" organi*e yo"r "siness so that yo" concentrate yo"r
marketing and selling eforts on those c"stomers who can "y and pay faster
than any
others?
E' 0hat additional prod"cts, services, knowledge or capailities will yo"
need to dominate yo"r markets in the months and years ahead?
F' 0hat sho"ld yo" immediately start doing more of, less of, start or stop
to ad5"st to the c"rrent market?
Cha#ter Ten 1 Analy'e Your Com#etition
1oncentrate your strengths against your competitors relative weakness!
A6r"ce
3endersonB
Know Your Enemy
3ere then is a ,"estion for yo"K 0ho is yo"r competition? /Lactly? Jo"r
choice of
competitor determines almost everything yo" do in yo"r market, 5"st as the
choice of an
adversary determines everything a general does in the process of cond"cting
military
operations'
)etermine Their (uying 3otives
Once yo" have determined why it is that people "y from you, yo" m"st then
ask
and answer, H0hy do people "y from my competitors?I 0hat val"e or
ene&ts are yo"r
potential c"stomers convinced that they receive when "ying from yo"r
competitor rather
than from yo"?
0hat are yo"r competitor-s key strengths? 0hat are his areas of
speciali*ation,
diferentiation, segmentation and concentration? 0hat does yo"r competitor
have that
yo" don-t have? 0hat does he ofer that yo" don-t ofer? 0hat is he doing
more of or
etter than yo"? 0hat is his "ni,"e selling proposition?
=set Their Advantages
(s yo" st"dy yo"r competitors, look for ways to ofset or ne"trali*e the
advantages
their c"stomers perceive them to have' 0hat are yo"r competitor-s
weaknesses? 3ow can
yo" eLploit these weaknesses? 0hat do yo" do etter than they do? In what
ways are
yo"r prod"cts or services s"perior to their oferings? In what areas do yo"
have a distinct
advantage over yo"r competitors? 0hat can yo" do to ofset yo"r
competitor-s strengths
and maLimi*e yo"r advantages? 3ow can yo" etter position yo"rself against
yo"r
competitors in a to"gh market?
2he more time yo" take to st"dy and "nderstand why and how yo"r
competitors
are s"ccessf"l in selling to yo"r c"stomers, the more likely it is that yo" will
&nd an
opport"nity to take away their market share' (s 8"n 2*" says in he 2rt of
$ar, HIf yo"
know oth yo"rself and yo"r enemy, yo" will prevail in a h"ndred attles'I
Analy'e Your Com#etition:
;' 0ho is yo"r competition for what yo" sell, with the eLact c"stomers yo"
are
trying to attract?
@' 0hat wo"ld happen if yo" changed yo"r oferings in s"ch a way that yo"
targeted
a diferent gro"p of c"stomers, one that wo"ld e easier to sell to?
=' 0hy do yo"r potential c"stomers "y from yo"r competitors? 0hat
advantages do
they perceive?
C' 0hat is yo"r competitor-s "ni,"e selling proposition? 0hat special feat"re
or
ene&t does his prod"ct or service have that yo"rs does not?
D' In what ways are yo" s"perior to yo"r competitors? 0hat can yo" ofer
that they
cannot? 3ow can yo" emphasi*e this advantage in yo"r sales and marketing
eforts?
E' 0here is yo"r competitor v"lnerale? 3ow co"ld yo" eLploit this to yo"r
advantage?
F' 3ow co"ld yo" alter yo"r marketing strategy in s"ch a way that yo" co"ld
achieve
dominance in a partic"lar area, with a speci&c c"stomer or market segment?
Cha#ter Eleven 1 )o It (etter% Faster% Chea#er
he man who comes up with a means for doing or producing almost
anything better,
faster or more economically has his future and his fortune at his %ngertips!
AR' !a"l GettyB
2he most important single determinant of yo"r s"ccess is yo"r area of
competitive
advantage' It is more important than all other factors' It determines the rise
or fall of yo"r
"siness, yo"r level of pro&taility, yo"r position in the marketplace and
everything else
yo" accomplish'
Jo"r competitive advantage m"st e crystal clear to yo" and to everyone in
yo"r
company, as well as to yo"r prospective c"stomers, Lack of clear competitive
advantage
leads ,"ickly to diminished sales, loss of market share, lower pro&taility,
price c"tting,
and "ltimately to "siness fail"re'
Your 5igh Con!e#t
Jo"r "siness was started eca"se yo" or yo"r company had an idea for a
prod"ct or service that was diferent or etter from other prod"cts and
services' It ofered
to satisfy the same need or solve the same prolem etter, faster or cheaper
than anyone
or anything else then availale'
Jo"r aility to diferentiate yo"r prod"ct in the minds and hearts of yo"r
c"stomers is the key to winning them in the &rst place, and then keeping
them after the
initial sale' 2o "y from yo", a c"stomer m"st e convinced that, all things
considered,
yo"r ofering is diferent and etter than anything else that is c"rrently
availale at the
same price' Rack 0elch was famo"s for saying, HIf yo" don-t have competitive
advantage,
don-t compete$I
Three Areas of )i=erentiation
2o s"cceed in a to"gh market, what yo" sell m"st e s"perior to yo"r
competitor-s oferings in at least three ways' It must "e "etter% faster%
!hea#er% and easier
to use in some way that ma$es it more attra!tive than rival #rodu!ts
or servi!es& It m"st e
sold more professionally or serviced with greater sensitivity, speed or
eOciency' It m"st
e etter in at least three areas'
One of yo"r key 5os in strategic thinking is to identify the three areas where
yo" are
etter and then to emphasi*e those areas of s"periority in all yo"r marketing
and sales
3ow co"ld yo" achieve operational eLcellence in yo"r "siness, or some part
of yo"r
"siness, in s"ch a way that yo" co"ld e the low+cost provider in yo"r
market? 3ow
co"ld yo" dramatically red"ce yo"r costs of doing "siness and "se this low
cost
advantage to increase yo"r sales and pro&taility?
-ead the Field
2he second area where yo" co"ld achieve competitive advantage is in the
"se of
innovative te!hnology leading to the prod"ction of high ,"ality prod"cts
and services'
Companies like .ercedes and 4oleL fall into this category, as does 8ony and
LeL"s'
C"stomers are willing to pay a premi"m for a rand name that represents
high ,"ality and
c"tting+edge technology' 0here are there opport"nities for yo" to disting"ish
yo"r
prod"cts or services y "sing yo"r imagination to ecome the ,"ality leader
in yo"r &eld?
Close to the Customer
2he third area where yo" co"ld develop competitive advantage is in eing
Hclose to the
c"stomer'I 2his re,"ires that yo" invest the time to develop high ,"ality
relationships
ased on Hc"stomer intimacy'I C"stomers will pay more and remain loyal
longer to
companies that seem to know and "nderstand them etter than others'
!roviders of
speciali*ed services, s"ch as cons"lting &rms, law &rms and acco"nting &rms
fall into this
category'
In what ways co"ld yo" develop higher levels of tr"st and crediility with yo"r
c"stomers? 0hat co"ld yo" do to demonstrate to yo"r c"stomers that yo"
really care
ao"t them and their interests? 2his strategy can ofer a reakthro"gh
opport"nity,
especially in the sale of eLpensive prod"cts and services where resales and
referrals are
possile'
Pi!$ Your Targets
2o lead yo"r &eld and achieve higher levels of pro&taility, yo" have to e
o"tstanding in one of these three areas and very good in the other two' One
of the most
important decisions yo" make is to choose yo"r area of competitive
advantage, and then
to dedicate yo"r company to achieving it'
Strive For Su#eriority
Jo"r area of eLcellence is the key to yo"r s"ccess in a competitive
marketplace'
2his is where yo"r prod"ct or service stands o"t in comparison to yo"r
competitors' It is a
val"e or ene&t that yo" ofer that no one else ofers' 0ith regard to yo"r
prod"cts or
services, what is it? 0hat co"ld it e? 0hat sho"ld it e?
Jo"r area of s"periority is de&ned as an area of performance where yo"r
prod"ct
or service is s"perior to that of yo"r competitors' 2his performance diference
is
signi&cant eno"gh that yo"r c"stomer will "y it, and even pay yo" more for
it' In what
way does yo"r prod"ct perform etter, in terms of getting res"lts that yo"r
c"stomer cares
ao"t, than yo"r competitors? 3ow co"ld yo" improve the performance of
yo"r prod"cts
or services in some meaningf"l way?
>inally, yo"r uni3ue selling proposition is something that yo" and only yo"
ofer
to yo"r c"stomers, and is something that they really care ao"t' No one else
does as well
as yo" do in this area' No one else achieves the same ene&t or res"lt' 0hat
is yo"r
"ni,"e selling proposition? 0hat co"ld it e?
-oo$ Into Yourself
On a personal level, yo" m"st contin"ally ask these ,"estions of yo"rself'
0hat is yo"r
personal area of eLcellence? 0here are yo" s"perior to yo"r competitors?
0hat is yo"r
"ni,"e selling proposition? In what ways do yo" do yo"r 5o etter or faster
than others?
0hat is it that yo" and only you do in an o"tstanding fashion for yo"r
company? 0hat
co"ld it e? 0hat sho"ld it e?
!erhaps the most important area of s"periority yo" can develop is yo"r aility
to
do yo"r 5o ,"ickly and well, in an eLcellent fashion, consistently and
dependaly every
time' 2his is the key to s"ccess as an individ"al in a competitive marketplace'
)o It (etter% Faster% Chea#er:
;' In what ways are yo"r most important prod"cts or services s"perior to
those of
yo"r competitors?
@' 0hat is yo"r recogni*ed Harea of eLcellence?I If yo" were to cond"ct a
s"rvey,
what wo"ld people say that yo"r company does especially well?
=' In what ways are yo"r prod"cts or services faster to ac,"ire, "se and en5oy
than
yo"r competitor-s?
C' 0hat is yo"r "ni,"e selling proposition? 0hat is it that yo"r prod"cts or
services
ofer that no other company can match?
D' In what ways are yo"r prod"cts or services cheaper to "y and "se, or
achieve
s"perior &nancial res"lts for yo"r c"stomers for the same cost?
E' If yo" were known for eing o"tstanding in any one area of yo"r prod"ct or
service oferings, what one distinction wo"ld have the greatest positive
impact on yo"r
sale and pro&taility?
F' List the three areas where yo"r prod"cts are, or can e, s"perior to any of
yo"r
competitors' 0hat is yo"r plan to achieve this area of market s"periority?
0hat sho"ld
yo" do &rst?
What )o You SellB
2he &rst part of the marketing miL is yo"r 4roduct or service' (lways de&ne
yo"r
prod"ct or service in terms of what it HdoesI for yo"r c"stomers, vers"s what
it His'I 3ere-s
the ,"estion, HIs yo"r prod"ct or service, as yo" are ofering it today, ideally
s"ited for
yo"r c"rrent market and c"stomers?I
5ow 3u!h )o You ChargeB
2he second part of the marketing miL is yo"r 4rice' Is yo"r price the right
price for what
yo" are selling? 8ho"ld yo" change yo"r price in some way? 8ho"ld yo"
increase it,
decrease it, comine yo"r price with other items, or add items to yo"r price?
8ho"ld yo"
change yo"r terms or ofer something diferent for the same price?
)ou"le Your Pri!eB
Is there any place in yo"r "siness that
yo" co"ld increase yo"r prices and still hold onto yo"r market?
5ow )o You Sell ItB
3ow are yo" c"rrently promoting and selling yo"r prod"ct or service? 0hat-s
working?
0hat-s not working? 8ho"ld yo" change yo"r methods of advertising,
marketing, selling
or ac,"iring c"stomers in any way?
Sell 3ore Stu=
/specially, sho"ld yo" "pgrade and improve yo"r direct selling methods,
people,
presentation, and capailities?
Is Your Phone <ingingB
/ver after, when I think ao"t the efectiveness of advertising, I always ask,
HIs
yo"r phone ringing?I
Where )o You SellB
2he fo"rth element of the marketing miL is the 4lace' 2his is the speci&c
location where
the sale of yo"r prod"ct takes place' 0here eLactly do yo" sell yo"r prod"ct
today? 1o
yo" sell in homes, oOces or in yo"r own retail estalishment? 1o yo" sell in a
partic"lar
city, state or nationwide? 1o yo" sell in stores or y direct selling or y direct
mail? .ost
importantly, sho"ld yo" change the place at which yo" ofer yo"r prod"cts?
( change in the location where yo" ofer yo"r prod"ct or
service co"ld change the direction of yo"r "siness' 0hat co"ld it e?
E2amine Your Assum#tions
0henever yo" have diOc"lties selling a s"Ocient ,"antity of yo"r prod"ct or
service, yo" sho"ld eLamine all of yo"r ass"mptions in the areas of prod"ct,
price,
promotion and place' Jo" sho"ld e willing to consider the possiility that
yo"r method
is completely wrong in one or more of these areas'
It often happens that a single change in one of the H!-sI in the marketing miL
can
change the entire nat"re of yo"r "siness, oost yo"r res"lts, increase yo"r
pro&taility
and move yo" toward market leadership' Keep an open mind'
The Answers Are Changing
0hat is the correct marketing miL for yo" to sell the very most at the highest
cost, and
earn the greatest pro&t? 0hat ass"mptions are yo" going on that
may no longer e tr"e?
Change Your 3ar$eting 3i2:
C& 6e prepared to challenge every aspect of yo"r marketing, especially if it is
not
working as well as efore' 0hat areas ca"se yo" the greatest fr"stration and
dissatisfaction?
D& 0hat eLactly do yo" sell, de&ned as what it HdoesI for yo"r c"stomers,
vers"s
what it His?I
6& 0hat prices do yo" charge? 3ow co"ld yo" change the way yo" charge to
make
"ying from yo" more attractive?
E& 3ow do yo" promote yo"r prod"ct? Co"ld there e etter ways of
advertising
yo"r prod"cts or services that wo"ld give yo" etter res"lts?
7& 3ow do yo" sell yo"r prod"ct or service? Is every person who deals with
yo"r
c"stomers f"lly trained in every key res"lt area of selling?
:& 0here do yo" sell yo"r prod"ct or service? 8ho"ld yo" e eLploring other
locations or methods of sale?
;& 8ho"ld yo" change more than one of the elements of the marketing miL at
the
same time? Challenging market conditions often call for old depart"res from
the methods
of the past, especially if they are no longer working'
What Words )o You wnB
1elierately or accidentally, each prod"ct or service develops a rep"tation
that
positions it against its competitors' 0hat is yo"rs?
Create Your wn Cheat Sheet
3ere is the ,"estion' 0hat words do you own? 0hat words should yo" own in
the
hearts and minds of yo"r prospective c"stomers? 0hat words could yo" own
if yo" were
to reorgani*e and redirect yo"r marketing eforts?
(s an eLercise, imagine one of yo"r prospects meeting with one of yo"r
c"stomers' Imagine that yo"r c"stomer called yo" and asked yo" what yo"
wo"ld like
him to say to yo"r prospect to convince yo"r prospect to "y from yo"?
If yo" co"ld p"t together a Hcheat sheetI with the eLact words or phrases
that yo"
wo"ld like yo"r c"stomer to leave in the mind of yo"r prospect, what words
wo"ld yo"
choose? 0o"ld yo" choose words like excellent 3uality, high integrity, friendly
service,
nice people, 3uick responses to problems, easy to work with, great prices?
3ow do yo" want
to e descried y yo"r c"stomers and potential c"stomers? Of all the words
and phrases
that c"stomers co"ld "se to descrie yo"r prod"cts and services, and yo"r
company,
which wo"ld e the most helpful for yo" and yo"r "siness?
What Is Your (randB
3ow are yo" descried and tho"ght ao"t y others when yo" are not there?
0hat is
yo"r personal brand? 0hat is yo"r rep"tation? 3ow do other people think and
talk ao"t
yo", oth as a person and as a contri"tor to the organi*ation?
Position Your Com#any For Su!!ess
;' 0hat is yo"r company-s rep"tation in yo"r market? 3ow do c"stomers and
competitors think and talk ao"t yo"?
@' 0hat words do people "se when descriing yo"r prod"cts or services to
others?
=' If yo" co"ld HownI certain words that apply to yo"r company, yo"r
prod"cts or
services, which words wo"ld yo" choose?
C' 0hat words, if they were a"tomatically associated with yo"r company,
wo"ld
have the greatest positive efect on yo"r sales and pro&taility?
D' 0hat changes wo"ld yo" have to make to ass"re that every c"stomer
contact
reinforced the message that yo" wanted to send to yo"r c"stomers ao"t
doing "siness
with yo"?
E' 0hat are the most important promises that yo" make to yo"r prospects to
get
them to "y from yo" for the &rst time? 1o yo" keep these promises after the
sale?
F' 0hat are the most positive things that yo"r c"stomers say ao"t dealing
with yo"r
company? 3ow co"ld create a system to ass"re that more c"stomers say
these things?
/Lamine yo"r complete range of prod"cts and services, especially the newer
ones,
and ask, H0hich of these has the potential to e a ig seller?I 0hat wo"ld
yo" have to do
or invest in o help make it a ma5or so"rce of sales and reven"es?
Keep asking yo"rself, HIf I had not already committed time and money to this
prod"ct, knowing what I now know, wo"ld I start investing in it again today?I
(pply the 86) concept to yo"rself and yo"r career' Jo" have several areas of
talent and aility, core competencies, eLperience, knowledge and ed"cation'
0hat are
yo"r cash cows, the skills that are central to yo"r val"e to the organi*ation?
0hat are yo"r Hstars,I the emerging areas of activity, or new skills and
knowledge
that can make yo" eLtremely val"ale in the f"t"re?
0hat are yo"r potential areas of great s"ccess? 0hat are the pro5ects,
responsiilities and areas of opport"nity, which, if yo" eLploit them f"lly, can
enale yo"
to move ahead more rapidly in yo"r career?
>inally, what are the HdogI areas of yo"r work life? 2hese are the tasks or
skills
that yo" may have mastered in the past, "t which distract yo" from yo"r
f"t"re' 2hese
are the 5os and activities that take "p a lot of time, "t which are nowhere
near as
val"ale as other things yo" co"ld e doing' 0hat are they?
)evelo# Strategi! (usiness .nits
;' 6egin today to view each prod"ct or service as a separate "siness,
responsile
for generating a certain amo"nt of pro&t every month'
@' Gro"p yo"r diferent prod"cts or services y similar characteristics, similar
c"stomers, or similar markets'
=' 0hat are the cash cows of yo"r "siness? 0hat are the core prod"cts or
services
that are essential to yo"r overall pro&taility?
C' 0hat can yo" do today to safeg"ard and n"rt"re yo"r cash cows to ass"re
that
they contin"e contri"ting sales and cash %ow far into the f"t"re?
D' 0hat are the HstarsI of yo"r "siness? 0hat are the prod"cts that are
selling well,
increasing in market share, and generating high pro&ts?
E' 0hat co"ld yo" do to increase the sales and pro&taility of yo"r stars?
F' 0hat are the H,"estion marksI of yo"r "siness? 0hich of yo"r c"rrent
prod"cts
or services sho"ld yo" discontin"e, knowing what yo" now know?
What Is To (e SoldB
2he &rst ,"estion is, +What is to "e soldB, 2o answer this correctly, yo"
have to de&ne
yo"r prod"ct or service in terms of what it does, and how it ene&ts yo"r
c"stomer' 3ow
does it improve his or her life or work? Of all the ene&ts that a c"stomer
en5oys from
p"rchasing yo"r prod"ct or service, what is the primary ene&t, the one thing
that yo"
ofer that makes yo" s"perior to any other competitor in the marketplace? 1o
yo" know
the answer to this?
Who Is 0oing To Sell ItB
2he second ,"estion is +(y whomB, 0ho is act"ally going to sell the
prod"ct or service
and get the check from the c"stomer? 3ow are yo" going to recr"it, train,
manage, &eld
and s"pport the sales person? 3ow is this salesperson going to "ncover the
necessary
leads and get face to face with the prospective c"stomer?
Who Is Your CustomerB
2he neLt part of the ,"estion is HTo whomB,
5ow 3u!h Are You 0oing To ChargeB
Is there any price yo" wo"ld raise, lower or modify in some
way?
Colle!ting Payment
2he neLt ,"estion is How is it going to be paid for? 1o yo" re,"ire
payment
in f"ll, in advance? 1o yo" re,"ire a deposit when the sale is made and with
the alance
to e paid at a later time on certain terms? 1o yo" ofer credit or &nancing?
/specially,
what do yo"r competitors do?
Often a change in the way yo" charge, or in yo"r pricing str"ct"re, can
dramatically increase yo"r sales' 0hat co"ld yo" do diferently in today-s
market that
wo"ld make it easier or more attractive to "y yo"r prod"ct or service?
)elivering The 0oods
2he &nal part of the ,"estion is How is going to be delivered
satisfactorily?
0hat is the eLact process of getting the prod"ct or service to yo"r c"stomer
in s"ch a
way, and at s"ch a level of ,"ality, that the c"stomer oth "ys from yo"
again and
recommends yo" to others?
Sell 3ore E=e!tively:
;' 0hat is the eLact sales process necessary to sell yo"r prod"ct or service,
from the
&rst c"stomer contact thro"gh to the close of the sale? 1o yo" know? 3ow
co"ld it e
improved?
@' 0hat m"st yo"r prospective c"stomer e convinced of efore he chooses
yo"r
prod"ct over that of yo"r competitor?
=' If money were no o5ect, what special res"lts or ene&ts do yo" ofer in
yo"r
sales eforts that make yo"r prod"ct more desirale than any other availale?
C' 0hat is yo"r process for recr"iting salespeople? 0hat media do yo" "se?
0hat
levels of ed"cation and eLperience do yo" re,"ire?
D' 0hat kind of a compensation system do yo" have for salespeople? 0hat is
it
ased on? 3ow co"ld it e improved so that it motivates etter sales
performance?
E' 3ow m"ch of yo"r "siness comes from referrals from happy c"stomers?
3ow
co"ld yo" increase the n"mer of referrals yo" get as a percentage of yo"r
"siness?
F' 0hy aren-t yo"r sales twice as high already? 0hat sales eforts co"ld yo"
make to
tap into that M<N of the market that has never heard of yo"?
Follow the Formula
H0hy am I not at that goal already?I 0hat is holding yo"
ack? 0hat is the constraint, chokepoint or ottleneck that sets the speed on
how fast yo"
achieve yo"r speci&c goals of sales, cash %ow or pro&taility in yo"r
"siness?
Let "s ret"rn to my earlier ,"estion, H0o"ld yo" like to do"le yo"r sales and
do"le yo"r income?I If yo"r answer is HyesI, then why haven-t yo" done it
already? 0hy
aren-t yo"r sales twice as high? 0hy aren-t yo"r pro&ts twice as high? 0hat is
holding yo"
ack? 0hat is constraining yo"? 0hat is the limiting factor?
Identify Your Personal Constraints
2hink ao"t yo"r personal life and goals as will' (sk yo"rself, H0hat are my
most
important goals? 0hy am I not there already? 0hat is it within me that is
holding me
ack?I
Is it the lack of a partic"lar ,"ality, attri"te or skill that sets the speed at
which I
achieve my goals? Is it a partic"lar attit"de or elief that is holding me ack?
(nd most
important, what co"ld yo" do immediately to alleviate yo"r key constraints,
starting today?
Eliminate the <oad"lo!$s:
;' 8et clear, meas"rale goals for sales and pro&taility' Now ask, H0hat
determines
the speed at which I achieve these goals?I
@' )se sentence completion eLercises' 8ay, H0e co"ld do"le o"r sales if it
5"st
wasn-t for''I and &ll in the lank'
=' Identify the ma5or lock to yo"r achieving yo"r most important goal? 3ow
co"ld
yo" remove it?
C' Look within yo"r company for the limiting factors that hold yo" ack' 0hat
are
the chokepoints in yo"r "siness?
D' (ssess each person in each key position' (re they competent and capale
of
doing what needs to e done for yo" to e s"ccessf"l?
E' Once yo" have identi&ed yo"r key constraint to "siness s"ccess, ask,
H$hat else
is holding "s ack?I Keep asking, H0hat else?I "ntil yo" get to the real
prolem'
F' In yo"r own career and personal life, what sets the speed at which yo"
achieve
yo"r goals? Look within yo"rself for the answers'
3a$e Faster% (etter )e!isions
0henever they ring yo" a prolem
or a ,"estion, always ask, H0hat do you think we sho"ld do?I
<eengineer Your Com#any:
;' !ractice simpli&cation as a way of life' In what areas of work has yo"r life
ecome
too complicated, and what can yo" do to get it ack "nder control?
@' !ractice *ero+ased thinking with every step and every activity' If yo" were
not
now doing it this way, wo"ld yo" start doing it this way again today?
=' 2ake a single compleL process or 5o and make a list of every step from
eginning
to end' 3ow co"ld yo" red"ce the n"mer of steps y =<N the &rst time
thro"gh?
C' 0hat tasks or activities co"ld yo" delegate to someone who can do them
F<N as
well as yo"?
D' 0hat parts of yo"r "siness co"ld yo" o"tso"rce to companies or
individ"als who
speciali*e in that area?
E' 0hat parts of yo"r work co"ld yo" eliminate altogether with little or no
impact on
yo"r ottom line?
F' 0hat parts of yo"r personal life do yo" need to streamline and simplify?
0hen are
yo" going to do it?
Pum# .# Your Pro/ts:
;' 1o a complete pro&t analysis on every prod"ct and service yo" ofer' 4ank
them
from highest to lowest'
@' Identify the @<N of yo"r prod"cts that acco"nt for M<N of yo"r sales'
0hich are
they?
=' Identify the @<N of yo"r prod"cts and services that acco"nt for M<N of
yo"r
pro&ts' (re they the same as yo"r answer to T@?
C' (fter ded"cting all direct and indirect costs, which are yo"r most pro&tale
prod"cts or services ased on cost and ret"rn on investment?
D' 3ow m"ch is yo"r time worth on an ho"rly asis? 6"ild this cost into
everything
yo" do to get an acc"rate meas"re of costs and pro&taility'
E' (ttri"te a percentage of all general and administrative costs to each
prod"ct or
service yo" sell' 2his eLercise often t"rns pro&ts into losses'
F' If yo"r company was facing serio"s &nancial shortages, which prod"cts or
services
wo"ld yo" foc"s yo"r energies on, and which wo"ld yo" discontin"e? 2hink
ao"t doing
it now'
It Starts From The To#
/nco"rage each person to &nd ways to do their 5os etter, faster, and easier'
(llow them the freedom to eLperiment with improvements, with no fear of
criticism if
they don-t work' 8ometimes the greatest improvements occ"r as the res"lt of
a series of
small eLperiments that were not s"ccessf"l'
Jo" sho"ld stand ack reg"larly and eLamine every prod"ct, service and
process'
3ow co"ld yo" improve it in some way? 3ow co"ld yo" make it etter, faster
or cheaper?
3ow co"ld yo" get the same or etter res"lts faster, or at a lower cost? Never
e satis&ed
or content with eListing ,"ality levels' (lways look for ways to improve "pon
them'
6rainstorm with yo"r team reg"larly to generate ideas to c"t costs, improve
,"ality,
increase sales and oost pro&ts' /nco"rage everyone to think, all day long,
ao"t how
they can do their 5os etter' .ake this commitment to contin"o"s
improvement a part of
yo"r corporate c"lt"re'
Commit to E2!ellen!e
If everyone in yo"r marketplace referred to yo" and yo"r oferings as the
best in the business, what kind of a diference wo"ld that make in yo"r sales
and
pro&taility?
0ith that as yo"r goal, what wo"ld yo" have to do, starting today, to ass"re
that
everyone refers to yo" as Hthe estI sometime in the f"t"re? 0hat co"ld yo"
do, starting
today, to egin this process? 0hat is the &rst step yo" sho"ld take?
>uality and Pro/ta"ility
H0hich of these companies do yo" feel is the est in this partic"lar ind"stry?I
3ere-s the ,"estionK If s"ch a s"rvey were done among potential c"stomers
for what yo"
sell, where do yo" feel yo"r company wo"ld rank in s"ch a comparison?
0o"ld yo" e
ranked as Hthe est,I or somewhere lower? 0hat co"ld yo" do to move
higher in the
rankings? 0hat one step co"ld yo" take immediately?
5ow )o Customers )e/ne >ualityB
What )o Customers WantB
Commit to Continuous Im#rovement:
;' 3ow do yo"r c"stomers de&ne ,"ality? 0hat is most important to them in
choosing yo"r prod"ct or service?
@' 3ow do yo" rank against yo"r competitors on a scale from one to ten? 3ow
co"ld
yo" improve yo"r ranking immediately?
=' 8et "p a reward system in yo"r company for s"ggestions and ideas to
improve
,"ality and achieve greater c"stomer satisfaction?
C' 1o yo" have ,"ality and performance standards for people, prod"cts and
activities
in yo"r company? 1oes everyone know what they are?
D' 0hat company do yo" think is the est in yo"r "siness, the most
respected and
pro&tale? 3ow co"ld yo" enchmark yo"rself against them?
E' 0hat one step co"ld yo" take immediately to improve c"stomer
satisfaction with
yo"r company?
F' 0hat co"ld yo" do personally to "pgrade and improve the ,"ality of yo"r
performance in the most important things yo" do in yo"r 5o?
)e/ne Your Core (usiness
0hat is yo"r core "siness? If everything else was stripped away, what wo"ld
e left at
yo"r core?
Identify the @<N of opport"nities availale to yo" today that can e
responsile for
M<N of yo"r sales and reven"es in the years ahead' 2hese will almost always
e
eLtensions of yo"r c"rrent "siness, yo"r core competencies, and yo"r areas
of
eLcellence' Jo"r choice of the opport"nities availale to yo" largely
determines the
f"t"re of yo"r "siness' 0hat are they?
Fo!us n 8alue
0hat are the @<N of yo"r work activities that acco"nt for M<N of yo"r
personal
val"e and yo"r contri"tion to yo"r company? If yo" 5"st do"led the amo"nt
of time yo"
spend on the @<N of yo"r high val"e tasks, and discontin"ed the M<N of low
val"e#no
val"e tasks that yo" do, yo" co"ld ecome most of the most prod"ctive
people in yo"r
company' 2hese are yo"r core tasks'
0hat are the @<N of prolems, aggravations, and irritations that acco"nt for
M<N of
yo"r headaches in yo"r work? 0ho are the most diOc"lt people, c"stomers
or sit"ations
that yo" have to deal with each day? 0hat can yo" do today to minimi*e or
eliminate
them?
6ased on this M<#@< analysis, what steps can yo" take immediately to
improve,
increase, and strengthen yo"r core prod"cts, services, c"stomers and
activities? 0hat
sho"ld yo" do &rst?
Where )o You E2!elB
In what areas of yo"r prod"cts and services are yo", or co"ld yo" e better
than
SDN of yo"r competition?
Advan!e Planning
2his 1itadel is yo"r core "siness' 0hat is yours? 0hatever it is, practice
H8cenario
!lanningI on a reg"lar asis' (sk yo"rself, H0hat is the worst thing that co"ld
possily
happen in my market today?I
0hatever yo"r answer is to that ,"estion, egin making provisions today to
ass"re
that yo" will e ale to s"rvive, sho"ld it occ"r'
Your Personal Citadel Strategy
(s an individ"al, yo" m"st e clear ao"t yo"r personal core competencies,
as
well' 3ow co"ld yo" improve in each one of them? 0hat core competencies
will yo"
need to lead yo"r &eld in the years ahead? 0hat is yo"r plan to ac,"ire the
core
competencies of tomorrow?
Con!entrate n the Core:
;' 0hat is yo"r core "siness? 0hat prod"cts and services are most
responsile for
yo"r s"ccess today?
@' 0hat are yo"r core competencies? 0hat is it that yo"r company does
eLtremely
well?
=' 0hat are the worst possile things that co"ld happen to yo"r "siness in
the neLt
year? 0hat are yo"r plans to deal with them, sho"ld they occ"r?
C' 0hat are yo"r non+core prod"cts, services or activities? 0hat wo"ld
happen if yo"
discontin"ed them entirely?
D' 0ho are yo"r core c"stomers, and what are yo" doing to ass"re that they
never
leave yo"?
E' 0ho are yo"r core people, the ones who are most important for the
s"rvival and
growth of yo"r "siness? 0hat is yo"r strategy to keep them?
F' 0hat are yo"r core f"nctions? 0hat are the things yo" do that are central
to yo"r
5o? 0hat activities are peripheral?
Four Key >uestions
0hen considering "ying a prod"ct or service, c"stomers have fo"r ,"estions
that
m"st e answered efore going aheadK
;' 0hat does it cost?
@' 0hat do I get for the money?
=' 3ow fast do I get the ene&ts yo" promise?
C' 3ow s"re can I e that I will get those ene&ts?
0hichever company or salesperson answers these ,"estions most
convincingly
wins the sale'
)eliver n Your Promises
H0hat res"lts or ene&ts do my c"stomers eLpect of my
prod"ct or service?I and H3ow consistently do my c"stomers get those
res"lts and ene&ts
when they "y my prod"cts or services?I 2his is the tr"e de&nition of
H,"ality'I
U"ality can e de&ned as, Hthe percentage of times that yo"r prod"ct or
service
does what yo" say it will do, and contin"es to do it'I
( ,"ality rating of ;<<N, or perfect ,"ality, means that what yo" sell always
delivers on yo"r promises' ( ,"ality rating of S<N means that yo"r prod"ct
gets the
desired or promised res"lts nine o"t of ten times'
-ittle Things 3ean A -ot
>ederal /Lpress has determined that if its ,"ality rating was SS'S<N, they
wo"ld
make mistakes in the delivery of CC,<<< envelopes a day' (t SS'S<N ,"ality,
>ederal
/Lpress wo"ld collapse "nder its own weight of conf"sion' 2hat is how
important ,"ality
is in a "siness'
Jo"r personal s"ccess is also determined y how consistently and dependaly
yo"
perform and deliver on yo"r responsiilities and promises' Jo" sho"ld
contin"ally ask
yo"rself, H0hat res"lts are eLpected of me?I
Jo"r level of efectiveness is always de&ned y others, y what they need
from
yo"' Leaders are always asking, H0hat does this sit"ation need of me?I Once
they are
clear, they concentrate their energies in those areas'
(sk yo"rself, HOf all the res"lts I can accomplish, what are the most val"ale
and
important in terms of my rewards and my f"t"re?I
Im#roving Your A"ility to 0et <esults
3ere are seven of the est ,"estions yo" can ask and answer to improve yo"r
aility to get res"ltsK
;' H0hy am I on the payroll?I 0hat eLactly have yo" een hired to
accomplish?
.ake s"re that what yo" are doing every day is the answer to this ,"estion'
@' H0hat are my highest val"e tasks and activities?I Of all the things that yo"
co"ld e doing d"ring the day, what are the activities that yo" engage in that
contri"te
the greatest val"e to yo"rself and yo"r company?
=' H0hat are my key res"lt areas?I 0hat are the core competencies and key
tasks
that yo" m"st asol"tely, positively do in an eLcellent fashion to prod"ce the
most
important and val"ed res"lts eLpected of yo"? 4esolve today to ecome a
Hdo+it+toyo"rself+
pro5ect'I >or the rest of yo"r career, dedicate yo"rself to contin"ally learning
and
improving in those areas where top performance is most vital to yo"r
s"ccess' Getting
better at yo"r key tasks is one of the est time saving techni,"es of all'
C' H0hat can I and only I do that, if done well, will make a real diference?I
2here is always something that only yo" can do that can make a signi&cant
diference to
yo"r life and yo"r work' If yo" don-t do it, it won-t get done' No one else will
do it for
yo"' 6"t if yo" do it, and yo" do it well, it can make a signi&cant diference'
0hat is it?
D' H0hat one skill, if I developed and did it in an excellent fashion, wo"ld
have
the greatest positive impact on my career?I 2here is always one skill that if
yo" developed
it and did it well, wo"ld have a greater and more positive impact on yo"r
career than any
other single skill' Jo"r 5o is to identify that skill and then p"t yo"r whole
heart into
ecoming asol"tely eLcellent in that area, whatever it is'
E' H0hat one res"lt, if I achieved it consistently for my c"stomers, wo"ld
most
satisfy those c"stomers and ring me the greatest n"mer of additional
c"stomers?I 0hat
m"st yo"r c"stomer e asol"tely convinced that he or she will receive from
yo" in order
to "y yo"r prod"ct or service and to recommend it to his or her friends? 3ow
co"ld yo"
improve yo"r ,"ality and service in that area?
F' 2he &nal ,"estion for personal s"ccess, n"mer seven, is thisK H0hat is the
most val"ale "se of my time right now?I )se this ,"estion as yo"r g"iding
star
thro"gho"t the day' Keep asking, What is the most valuable use of my
time, right
now?
All )ay -ong
If yo" co"ld only perform one task all day long, what one thing co"ld yo" do
that
wo"ld contri"te more val"e to yo"r life and work than any other single task
or activity?
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Whatever your answer% #ut mastery of that tas$ at the to# of your
list of #riorities&
)edi!ate yourself to getting "etter and "etter doing the one thing
that !an ma$e more of a
di=eren!e than anything else& This is the $ey to getting su#er"
results at every stage of
your life and !areer&
n!e more% here then are the DC $ey ideas in the Tur"ostrategy
#ro!ess:
;' Start Where You AreK 1o a complete and honest analysis of yo"r
"siness as it is
today, incl"ding the c"rrent stat"s of yo"r sales, reven"es, pro&taility and
the market
sit"ation aro"nd yo"'
D& )raw A -ine .nder the Past: (pply *ero ased thinking to every part of
yo"r
"siness' If yo" were not doing it today, knowing what you now know, wo"ld
yo" get
into it again today?
6& Condu!t A (asi! (usiness Analysis: /Lamine yo"r prod"cts, services,
processes,
and activities as if yo" were looking at them for the &rst time' 6e prepared to
ask yo"rself
the Hr"tal ,"estionsI ao"t each one of them'
E& )e!ide E2a!tly What You Want: 8et clear, written, meas"rale goals
and
o5ectives for yo"rself in each part of yo"r "siness'
7& )esign Your Ideal Future: !ro5ect forward =+D years and imagine that
yo"r
"siness was ideal in every respect' 0hat wo"ld it look like? 0hat co"ld yo"
do, starting
today, to make that f"t"re vision into a c"rrent reality?
:& Create A 3ission Statement: 1ecide eLactly what it is yo" want to
accomplish
for others with yo"r "siness' .ake it meas"rale' .ake it eLciting' 8hare it
with
everyone'
;& <einvent Your rgani'ation: Imagine starting yo"r "siness or career
over again
today, with yo"r present knowledge and eLperience' 0hat wo"ld yo" do
diferently?
?& Sele!t the <ight Peo#le: >"lly SDN of yo"r s"ccess in "siness will e
determined y the people yo" choose to work with and for' 2ake the time to
make good
personnel decisions'
I& 3ar$et 3ore E=e!tively: 2hink thro"gh every part of yo"r marketing
strategy y
applying the fo"r principles of speciali*ation, diferentiation, segmentation
and
concentration to every prod"ct and service'
C@& Analy'e Your Com#etition: 1ecide eLactly who yo" are competing
against, and
why it is that yo"r prospective c"stomers prefer to "y from them' 3ow co"ld
yo" ofset
this perceived advantage?
CC& )o It (etter% Chea#er% FasterK Contin"ally seek ways to serve and
satisfy yo"r
c"stomer in a s"perior fashion to any one else in yo"r market' Never stop
raising the ar
on yo"rself'
CD& Change Your 3ar$eting 3i2: Imagine eing yo"r own management
cons"ltant
and asking yo"rself hard ,"estions ao"t the appropriateness of yo"r
prod"ct, price,
place and promotion in today-s market'
C6& Position Your Com#any For Su!!essK 1etermine how yo" want to e
tho"ght
ao"t and talked ao"t y yo"r c"stomers and prospective c"stomers' 0hat
are the very
est words they co"ld "se to descrie yo"?
CE& )evelo# Strategi! (usiness .nits: 1ivide yo"r prod"cts and services
into one
of fo"r categoriesK cash cows, stars, 3uestion marks and dogs' .ake one
person
responsile for sales and pro&taility for each prod"ct or gro"p of prod"cts'
C7& Sell 3ore E=e!tively: >oc"s single+mindedly on "pgrading the ,"ality
of yo"r
sales efort' 3ire more selectively, train more thoro"ghly, and manage more
professionally' 8ales are the lifelood of the "siness'
C:& Eliminate the (ottlene!$s: Identify the factors that determine how
fast yo"
achieve yo"r goals of sales and pro&taility' Concentrate on alleviating these
ottlenecks
in every part of yo"r "siness'
C;& <eengineer Your Com#any: Contin"ally seek ways to streamline and
simplify
the process of prod"cing and selling yo"r prod"cts and services' Learn to
delegate,
o"tso"rce, downsi*e and eliminate the compleLity of everything yo" do'
C?& Pum# .# Your Pro/ts: /val"ate every prod"ct and service to
determine eLactly
how m"ch net pro&t yo" are act"ally earning from each item yo" sell' 4esolve
to
discontin"e prod"cts and services that are not as pro&tale as others, and
channel more
reso"rces into those prod"cts that are the mainstays of yo"r "siness'
CI& Commit To Continuous Im#rovement: Install the Kai*en process of
Hcontin"o"s ettermentI into yo"r company' >ind o"t how yo"r c"stomer
de&nes
H,"alityI and then contin"ally strive to eLceed eLpectations'
D@& Con!entrate n The Core: Identify the most important prod"cts and
services
yo" ofer, and then foc"s on getting etter and etter selling more and more
of them'
!roaly M<N of the market potential for yo"r core prod"cts has not yet een
tapped'
@;' Fo!us n <esults: Concentrate yo"r est energies and reso"rces on
getting the
most important res"lts possile for yo"r company' 8et priorities in every area
and then
work single+mindedly to complete the few tasks that are more val"ale than
everything
else p"t together'
2he most important part of the 2"rostrategy is not what yo" learn, "t the
actions yo"
take, and how ,"ickly yo" take those actions' 2here is a direct relationship
etween how
fast yo" move on a new idea and how likely it is that yo" will ever move on a
new idea'
4esolve today to ecome intensely action+oriented for the rest of yo"r career'
R"st do it$
The Tur"ostrategy Pro!ess