Professional Documents
Culture Documents
A company allows small niche players to coexist with it. The Big Idea outstanding products
The loyalty of a company’s supplier is won by a nontraditional competitor.. Why, then, do companies such as these go wrong?
The warning signs
New entrants, especially those from emerging economies, are underestimated. Habit #5: Competitive Myopia: A Nearsighted View Of The Competition
The company becomes helpless against a substitute technology.
Redefine the competitive landscape. Why You Need This Book it helps its readers diagnose and do away with these habits before they destroy the readers' companies.
Outsource non-core functions to outsiders with appropriate economies of scale. Breaking the habit Exceptional achievement in the past
Become a world-class customer The people behind the company are, plain and simple, smarter
Growth requires the institution of formal policies and procedures Habit #2: Arrogance: Pride Before The Fall The warning signs The company browbeats others
Things that lead to the habit
The company becomes high-handed and abuses rules and procedures
The founder’s culture is subsumed within a larger corporate culture
The company curries approval
A company’s culture is dominated by one functional specialty.
Rotate management to new challenges.
Dissension
Implement nontraditional succession planning.
Indecision
Breaking the habit
The warning signs Habit #7: The Territorial Impulse: Culture Conflicts And Turf Wars Diversify the talent pool
Confusion
Change the leadership
Malaise
Engage in effective internal marketing The company’s past success came via a regulated monopoly.
Breaking the habit
Create permanent cross-functional teams The company’s success was based on a distribution monopoly.
Things that lead to the habit
Reorganize around customers or products The company was “chosen” for success by the government.
Hire a professional executive coach who reminds you of the pitfalls of arrogance. Habit #3: Complacency: Success Breeds Failure The warning signs The company has a bottom-up, decentralized, consensus-based culture.
Acquire peripheral or niche companies that are potential paradigm shifters. Efforts to transform the company have been futile.
Set up a reward system for the sales force based on account profitability. Habit #4: Competency Dependency: The Curse Of Incumbency The warning signs The thrill is gone and the company is in a funk.
Make procurement a strategic function, not an administrative one. Volume obsession Stakeholders are leaving.
Consistently and aggressively add new, higher-margin products to the portfolio. Find new applications
Implement a transparent and predictable method for succession planning. Determine new markets
Breaking the habit
Create a culture in which no one function is superior to another. Move upstream, downstream
By
Territorial impulse
Focus on an external driver to have functions operate as a coalition with a common goal. Jagdish N. Sheth Refocus company resources
Wharton School Publishing, 2007
Rotate people from that culture among the various functional silos. ISBN: 0-13-179113-3
270 pages