Beruflich Dokumente
Kultur Dokumente
Learning:-
• Do not try and replicate a system or process, just because it has worked for others,
in this case Apple tried to become mundane corporate driven by processes and
line of control, whereas its best fit lied in dynamic and entrepreneurial style of
management.
• Identify your core competency and focus on it, grow on it, consolidate and then
go for expansion in other areas.
• Change is the name of the game in IT sector be it hardwired products or cutting
edge softwares.
• It is bad to have prospects of a company hinge on a single individual but it is
better to have him, if the company turns loss making without him.
• Perseverance pays but not always so it is better to cut costs (on R & D) and
concentrate on Bottom line in recession.
• A very similar case to Apple Inc, but the big difference, Steve Jobs gave the
company to professionals, when he thought processes and line of control is
required as the org had reached a level, In this case Evan Williams did not let go
of it, both cases company made profit initially, then went into losses and again
turned the tide.
• One needs to give time for technology to be understood and accessible to the
masses, for it to be fully appreciated, gestation period is critical.
• Identify a long term plan and goal and abide by it, do not rush with too many
projects or ideas at a time i.e. make effective use of Management Bandwidth.
• A classic Case Study on the S & D, gives great know-how on the launch of a new
product by a 2nd tier company, when the industry magnet has decided to enter a
similar product in emphatic fashion.
• A very open case, I personally would go ahead and launch the product at minimal
cost as a completely new market will be tapped by the Industry Giant and some of
them will definitely fall into our bucket (Ambush Marketing)
• Also first Movers advantage will be highly rewarded but it has high risks of
failure also.
• A thorough financials need to be done before going ahead with product and
Cashflow estimated, in this case industry demands to go for big budget ad
spending but financials suggest otherwise.
• A thought – It is better to keep silent then blurt out a cacophony of music or song
in a singing competition of Heavyweights
• First Movers Advantage gives high return but has similar proportions of risks
• It takes a lot of analysis and guts to try and step into an area where industry old-
timers have failed.
• Technology is the way forward in Banking and Financial services, ICICI’s thrust
on it has helped it achieve the status of number 1 private bank in India
• An important parameter for going global is not just penetration of Indians in a
particular country but also their disposable incomes, vis-à-vis, important
parameter to launch a product or service is not just the number of users but also
their spending power and frequency of usage.
• Expansion done in an appreciating market or booming economy always turn out
to be fruitful, as it did for ICICI, conversely look at TATA – JLR or TATA –
CORUS deal, expansion done at the peak of economic boom, does not gel well, as
it turned out, as market dynamics changed rapidly (before post merger integration
PMI took place),
• My thoughts – No-one can predict economic boom or bust cycles or their periods,
as can be seen both TATA and ICICI had done their homework diligently but one
was successful other not quite, Reason – A person or entity whose style of
management or analysis resembles the then market dynamics or macro-economic
movements of that period is successful.