Profitable Growth Is Everyone's Business
"10 Tools You Can Use Monday Morning"By Ram Charan
The days of ruthless downsizing and drastic cost cutting are long gone. Nowadays, companies have realized that the best way to earn profit is only through growth – profitable growth. In this book, author Ram Charan provides 10 tools anyone can use to hurdle obstacles and achieve profitable growth.These tools are:
1. Revenue growth is everyone’s business, so make it part of everyone’s daily work routine.
2. Hit many singles and doubles, not just home runs.
3. Seek good growth and avoid bad growth.
4. Dispel the myths that inhibit both people and organizations from growing.
5. Turn the idea of productivity on its head by increasing revenue productivity.
6. Develop and implement a growth budget.
7. Beef up upstream marketing.
8. Understand how to do effective cross-selling (or value/solutions selling).
9. Create a social engine to accelerate revenue growth.
10. Operationalize innovation by converting ideas into revenue growth.
One of the most critical points discussed is the need for re-orientation of thinking. Most businessmen and executives think about growth as “home-runs” and more often than not disregard the “singles and doubles”. Managers often look forward to the big breakthrough or the grand new product without realizing that home runs don’t happen everywhere – sometimes, they don’t even happen in a decade.Instead of aiming for that one grand home run, aim for singles and doubles. This is a surer and more consistent path. Of course, it is important to note that while aiming for singles and doubles, one should not exclude home runs. These singles and doubles come from an in-depth analysis of ALL the fundamentals of a business.Another factor to be considered is the difference between good growth and bad growth. Managers should dispel the myth that growth in whatever form is a victory. Although growth (both good and bad) builds revenue, only good growth increases not only revenues but also improves profits and is sustainable over time.Bad growth, on the other hand, lowers shareholder value. Unwise mergers and acquisitions are examples of bad growth. Price cutting to gain market share without cutting costs can also be detrimental to your company’s health.Here are some questions that can help you diagnose whether or not you are part of a growth business:
1. What percentage of time and emotional energy does the management team routinely devote to revenue growth?
2. Are there just exhortations and talk about growth or is there actually follow through?
3. Do managers talk about growth only in terms of home runs? Do they understand the importance of singles and doubles for long-term, sustained organic growth?
4. How much of each management team member’s time is devoted to making effective visits with customers? Do they do more than listen and probe for information and then try to “connect the dots”?
5. Does the management team come into contact with the final user of your product?
6. Are people in the business clear about what the specific future sources of revenue growth will be? Do they know who is accountable?7. Would you characterize your company or business unit’s culture as cost cutting or growth oriented? If the answer is one or another you need to start doing both. Do people in leadership positions have the skill, orientation, and determination to grow revenues?
8. Does the company practice revenue productivity? Does it think through whether there are ways to more effectively use current resources to generate higher revenues?
9. How well does your sales force extract intelligence from customers and other players in the marketplace? How well is this information communicated and acted on by other parts of your organization, such as product development?
10. How good are the upstream marketing skills- that is, the ability to segment markets and identify consumer attributes- in your business?
Showing posts with label productivity. Show all posts
Showing posts with label productivity. Show all posts
Thursday, June 28, 2007
Tuesday, June 26, 2007
How To Work With Just About Anyone
“A Three-step Solution For Getting Difficult People To Change” By Lucy Gill
“I just can't seem to get along with this person!”
Every office has that one difficult person to work with, who affects productivity due to a terrible attitude, chronic tardiness, or simply drives everyone else up the wall. Here is the answer to common problems in conflict management. Dealing with negative behavior, whether at work or at home, can be solved with three steps:
1. Get to the heart of the matter.
2. Determine what problem-solving methods to avoid so you don't perpetuate the conflict.
3. Choose a different, surprising approach to solve the problem and keep it solved.
Finally, here is your key to some peace and sanity in the workplace, drawn from forty years of research and professional experience in consulting on the prevention and management of nonproductive behavior.
How difficult behavior is reinforced: People use the same solution that never brings new results. The answer is to try something radically different. Employ a totally new approach and choose your response carefully.
Why we fail to change negative behavior:
1. We are caught in the web of our own logic.
2. We don't realize we are doing the same things over and over.
3. We can't think of anything better to try.
This three-question formula can lead you to a new strategy:
1. What is the primary problem? Be specific. How exactly does it affect productivity?
2. What have you been doing about your problem so far? Identify the logic of your favorite solution.
3. What do you need to do instead?
You need to undo what your ineffective solution did. Attack with a brand new set of weapons. Focus on the facts. Figure out what the heart of the matter is:
1. List all the issues affecting you.
2. Decide which issue or who in particular is bothering you the most.
3. Encircle the issue or person's name on your list.
4. Focus on what you circled. List all the things that bother you about this person.
5. Now pick the problem to work on. If you could only fix one item on the list, and had to live with all the others, what would you choose?
6. Then with the particular problem chosen, spell out specifically: Who is doing what that presents a problem, to whom, and how is this behavior a problem?
The 4 ways to get bogged down in “whys” and therefore confused by superfluous issues:
1. Focusing on possible reasons for someone's behavior
2. Speculating about what the person is up to
3. Labeling behavior instead of describing it
4. Worrying about who is right or wrong Use reverse psychology!
1. Do something unexpected. Sometimes shock tactics or being brutally honest works.
2. Encourage the person to keep doing what it is that is irritating behavior. It is strange but encouraging people to continue their irritating behavior gets them to stop it.
3. Have fun experimenting with your new approaches!
4. Tell someone not to change what he is doing.
5. Create consequences or let the natural consequences of his negative behavior occur.
6. Urge someone to do the annoying actions even more New Conflict Management Techniques
1. Do not offer a long list of reasons why someone should change. Simply tell them what needs to be done. The more you rationalize or argue the more they will resist. You will be wasting time and energy.
2. In the face of constant criticism, silently take note of what is being said, then read the notes back – instead of actively defending each point.
3. Make statements (“Unless it creates a problem for you, I'm going to do X”)
4. Give a specific compliment to the other party in a conflict. (“I like the way you presented your report – your lineup of facts made it easy to follow”) It catches them off-guard and makes him/her less defensive.
5. Excuse yourself for a minute in the midst of a heated discussion to go to the toilet instead of escalating the argument.
6. Hold back for thirty minutes instead of rushing to fix a problem for someone else. Other “happy workplace” tips:
1. Keep an open mind about why the person behaves in such a manner.
2. See both sides of the situation, not just yours.
3. Be very specific when analyzing the problem. Make a mental videotape of the behavior.
4. Notice when it isn't happening. Understand why. You may have overlooked something you did that didn't result in the other person's annoying behavior.
5. Find someone with immunity and see how he or she successfully handles the troublesome behavior that you're struggling with.
“I just can't seem to get along with this person!”
Every office has that one difficult person to work with, who affects productivity due to a terrible attitude, chronic tardiness, or simply drives everyone else up the wall. Here is the answer to common problems in conflict management. Dealing with negative behavior, whether at work or at home, can be solved with three steps:
1. Get to the heart of the matter.
2. Determine what problem-solving methods to avoid so you don't perpetuate the conflict.
3. Choose a different, surprising approach to solve the problem and keep it solved.
Finally, here is your key to some peace and sanity in the workplace, drawn from forty years of research and professional experience in consulting on the prevention and management of nonproductive behavior.
How difficult behavior is reinforced: People use the same solution that never brings new results. The answer is to try something radically different. Employ a totally new approach and choose your response carefully.
Why we fail to change negative behavior:
1. We are caught in the web of our own logic.
2. We don't realize we are doing the same things over and over.
3. We can't think of anything better to try.
This three-question formula can lead you to a new strategy:
1. What is the primary problem? Be specific. How exactly does it affect productivity?
2. What have you been doing about your problem so far? Identify the logic of your favorite solution.
3. What do you need to do instead?
You need to undo what your ineffective solution did. Attack with a brand new set of weapons. Focus on the facts. Figure out what the heart of the matter is:
1. List all the issues affecting you.
2. Decide which issue or who in particular is bothering you the most.
3. Encircle the issue or person's name on your list.
4. Focus on what you circled. List all the things that bother you about this person.
5. Now pick the problem to work on. If you could only fix one item on the list, and had to live with all the others, what would you choose?
6. Then with the particular problem chosen, spell out specifically: Who is doing what that presents a problem, to whom, and how is this behavior a problem?
The 4 ways to get bogged down in “whys” and therefore confused by superfluous issues:
1. Focusing on possible reasons for someone's behavior
2. Speculating about what the person is up to
3. Labeling behavior instead of describing it
4. Worrying about who is right or wrong Use reverse psychology!
1. Do something unexpected. Sometimes shock tactics or being brutally honest works.
2. Encourage the person to keep doing what it is that is irritating behavior. It is strange but encouraging people to continue their irritating behavior gets them to stop it.
3. Have fun experimenting with your new approaches!
4. Tell someone not to change what he is doing.
5. Create consequences or let the natural consequences of his negative behavior occur.
6. Urge someone to do the annoying actions even more New Conflict Management Techniques
1. Do not offer a long list of reasons why someone should change. Simply tell them what needs to be done. The more you rationalize or argue the more they will resist. You will be wasting time and energy.
2. In the face of constant criticism, silently take note of what is being said, then read the notes back – instead of actively defending each point.
3. Make statements (“Unless it creates a problem for you, I'm going to do X”)
4. Give a specific compliment to the other party in a conflict. (“I like the way you presented your report – your lineup of facts made it easy to follow”) It catches them off-guard and makes him/her less defensive.
5. Excuse yourself for a minute in the midst of a heated discussion to go to the toilet instead of escalating the argument.
6. Hold back for thirty minutes instead of rushing to fix a problem for someone else. Other “happy workplace” tips:
1. Keep an open mind about why the person behaves in such a manner.
2. See both sides of the situation, not just yours.
3. Be very specific when analyzing the problem. Make a mental videotape of the behavior.
4. Notice when it isn't happening. Understand why. You may have overlooked something you did that didn't result in the other person's annoying behavior.
5. Find someone with immunity and see how he or she successfully handles the troublesome behavior that you're struggling with.
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