MANAGING in the

NEW WORLD

The concept of Return on Experience (RoX) has gained substantial ground off late. It has now expanded to ROX3, which includes the three related experiences of leadership, employee and customers. The LX or Leadership Experience needs to focus on the corporate strategy. This entails earning employee commitment, and honing a company- wide work culture. Some key behaviours need to be linked between the brand, and the strategy followed. The EX or Employee Experience is all about earning loyalty by projecting a superior customer trajectory. While the LX is directed from the leaders to the employees, via a strategy for talent management, EX is flows from employees to customers. The third one is Customer Experience, also CX. This relation is transactional in nature, with rapid responses sought, that will power ad hoc tests and research. It is insight- driven and flows back from the customers to the formal leaders. It allows the company to think ahead vis-à-vis its competitors.

Source:https://www.strategy-business.com/article/ROX3-Boosting-returns-on-leadership-customer-and-employee-experience?gko=f3fff

Uploaded Date:11 March 2020

Dr. Clayton M Christensen has been among the foremost of management thinkers and trainers over the years. He spoke about how data gets trumped by theory. Conventional wisdom holds that one companies get big and successful, they shy away from business innovation, due to a certain risk- averse nature creeping in. Dr. Christensen does not fully agree with it, as elucidated through his Theory of Disruptive Innovation. There exist three distinct trajectories that shape how companies perform, even after attaining success. One is the customers’ utilizable performance improvement. It happens when the company understands the customers’ changing needs. Another includes the technology advances. The third is how new performance measures may be introduced on the back of the disruptive technology.

Source:https://www.strategy-business.com/article/14501?gko=787d8

Uploaded Date:27 February 2020

Some rules have been identified that will help lead companies or teams in the ongoing digital era. As these are times of unprecedented change, so it calls for a new leadership model. For years, the VUCA model has been in vogue, that stands for the volatile, uncertain, complex and ambiguous. This works perfectly in an environment where the data available and its subsequent storage doubles every few years. Fears of change induced by business innovation, often lead to a sense of inertia developing among companies. The team leaders need to effectively communicate their leadership signature. This was understand post research conducted at the MIT Leadership Center.

Source:https://sloanreview.mit.edu/article/five-rules-for-leading-in-a-digital-world/

Uploaded Date:27 February 2020

The Theory of Disruptive Innovation coined by Clayton Christensen first entered prominence about twenty- five years back. The profile of disrupters though has evolved dramatically. The original ones used to be those who would provide a cost advantage to the buyer, by coming out with cheap products. This ensured that the legacy companies remained strong in providing niche products. Now, it is being further challenged, as the startups are coming out with products, equal in quality to those from the stables of the incumbents. The theory has thus been challenged, so needs modification. Companies’ corporate strategy too needs to evolve accordingly. When newcomers are ignored, eventually the upstarts start dominating the older players, who are forced to cede space. The margins are lower for the newbies at the start, but keep improving with time.

Source:https://sloanreview.mit.edu/article/the-new-disrupters/

Uploaded Date:27 February 2020

Two Wharton Professors have written a new book, that just got published. The writers are Christian Terwiesch and Nicolaj Siggelkow, while the book is titled Connected Strategy: Building Continuous Customer Relationships for Competitive Advantage. One of the concepts introduced via this book is of frictionless transactions. This is best explained through the evolution of experiences at Disney theme parks from merely a ticket to now a Magic Band, that allows for far deeper connectivity. There are two elements to connected strategies. One is the connected customer relationship, while the other is the connected delivery model. Nike offers another similar apt example of this connected corporate strategy. Once implemented, this helps in fostering a competitive and sustainable advantage over others. One also does not have to develop all technologies themselves, but can also use the same already developed by others. Google Maps and 5G technologies are key examples of those that may be broadly used up.

Source:https://knowledge.wharton.upenn.edu/article/connected-strategy-book/

Uploaded Date:29 January 2020

Trade- offs have become a necessary part of the business process now, thanks to the constant churn in technology, workforce, and business modes. In order to derive optimum value out of such trade- offs, there are four modes of action that have been suggested. Firstly, one needs to know the trade- offs, before implementing them. It will also help understand beforehand who wins or loses in this particular round. Next, one needs to periodically review the trade- offs selected. The outcome of implementing them, must go beyond mere incremental transition. Business innovation has to be worked out around these trade- offs, in order to deliver maximum value. This will help the organization thrive within this trade- off space. Long- term goals now need to be pursued without compromising much on near- term targets.

Source:https://www.strategy-business.com/article/The-upside-of-trade-offs?gko=3468f

Uploaded Date:28 January 2020

Any attempts at business transformations needs to go “all in”, or rather comprehensively, and not piece- by- piece. This will help remake the business portfolio of the organization. Thus, business transformation programmes need to go beyond the usual maxim of trying to merely make process better, cheaper and faster. Such a comprehensive approach is needed all the more now as the economic profit is rather unevenly distributed globally. A lot of this can be better understood from a reading of the book Strategy Beyond the Hockey Stick. In a study anchored by management consulting giant McKinsey, it emerged that about forty- seven percent of the organizations went for a static transformation. Another twenty- six percent opted for one based around performance alone. A further fifteen percent chose to go the portfolio only approach. That leaves a mere twelve percent to follow the “all in” strategy. These companies turned out to be the most successful ones. Sun Pharmaceutical is an example of one such successful strategy execution.

Source:https://www.mckinsey.com/business-functions/strategy-and-corporate-finance/our-insights/why-your-next-transformation-should-be-all-in

Uploaded Date:06 January 2020

The global economy is now underway one of the most uncertain periods in terms of macro economy and businesses. At the recent twenty- second Annual Global CEO Survey, conducted by management consulting giant PwC, more than a thousand business leaders were surveyed. While the figure stood at only eight percent last year, this year, fifteen percent were unable to name any exciting growth market beyond their own. The likes of USA, Germany and China that were on top of this list last year, found themselves lowered, while Canada, India and Brazil came up in it. Another concern is that last year about a third of the CEOs answered positive in their worry towards the ongoing trade wars, this year the figure jumped to forty- five percent, who are already trying to shift their corporate strategy and the supply chains alongside. Manufacturing costs are rising, with stronger suppliers in emerging markets. New consumer markets are also rising, at places often embedded with regulatory and political uncertainties. New market entry isn’t always so straightforward, so companies will need to cleverly realign their respective footprints.

Source:https://www.strategy-business.com/article/Growth-strategies-for-an-uncertain-world?gko=6710e

Uploaded Date:27 December 2019

A certain kind of business heads and CEOs are known to be particularly adept at making M & A (Mergers and Acquisitions) turnarounds, using their bold strategies. A study was conducted recently by BCG, which is a management consulting, to understand this occurrence. One such indicator is their willingness to act at pace. Another is how their ambitious targets, gain synergy all over the country. These types of leaders are also fixated at transformation, but ensure that enough investment goes in to it, so it all works out. Sufficient amount of corporate training is doled out to the employees, so they may thrive in the changing scenario. This also helps build a long- term orientation in the company, so that quick- fire solutions are dumped out. A well- defined purpose is drafted right at the start, supported by a mission statement, that spells out the true ambitions of the company.

Source:https://www.bcg.com/publications/2019/bold-ceos-succeed-mergers-and-acquisitions-turnarounds.aspx

Uploaded Date:23 December 2019

At the time of a business merger, companies of course face a number of expected upheavals. To ensure that the impact is minimized, one has to get the operating tool right. An operating model design is comprised of processes, structures and the people. The structure involves the roles and responsibilities, governance patterns, permeable boundaries and the axes of organizational structure. People includes the informal network, the talent management systems, skills, culture and the size of the workforce. The process is comprised of its design, linkages, performance management and the technology being uses. While designing this entire operating process, one has to start by building a baseline, that will help align the priorities. Then the preliminary end- state design needs to be developed. Interim models and plans come thereafter. After all this is done, the company needs to stabilize, integrate and transform.

Source:https://www.mckinsey.com/business-functions/organization/our-insights/realizing-the-value-of-your-merger-with-the-right-operating-model

Uploaded Date: 16th December 2019

Some secrets have been revealed on how business intelligence captured can actually be executed. First of all, the insights captured need to be revealed in real time. The presentation of the same has to be attractive, so that the “aha” moments can be truly captured. Brain science has even revealed that new insights may be deemed as fragile. This has been amplified in detail by Jeffrey Schwartz and David Rock in the article The Neuroscience of Leadership. Another trick is to ensure that the personal systems so curated need to be rigorous about managing commitments and the glare. The “aha” moments spoken of earlier, need to be further reactivated through the frequent deployment of probing questions. One needs to work while keeping track of everyone’s deadlines, as this will ensure a tight work framework.

Source:https://www.strategy-business.com/blog/Four-Secrets-for-Turning-Insight-into-Execution?gko=3d8b9

Uploaded Date: 16th December 2019

SKYLINE Knowledge Centre

Phone: 9971700059,9810877385
E-mail: info@skylinecollege.com
© 2017 SKYLINE. All right Reserved.