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Friday, February 27, 2004 The Cumberland Group Featured Partner Page    
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Why you should care about Key Performance Indicators!
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Never Give Up!...An "Unfair Advantage" From An Industry Leader
BREAK THROUGHS, Every Day - Enabling Business Teams To Solve Their Toughest Problems
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Never Give Up!...An "Unfair Advantage" From An Industry Leader
by Brian McKibben, Cumberland Group

In a recent conversation with a client executive, I mentioned again that we often refer to his company as a "benchmark" for team-based business effectiveness.  In fact, they are so good at what they do that they have had huge profit increases even during the difficult last few years when their industry had under-utilized excess capacity, competitor pricing was cutthroat, and the customers took full advantage of the situation! 

I mentioned how I've described their people as having a natural "can do" attitude that plays out as a willing readiness to try new methods.  They never say "that's not likely to work here," or "we tried something like that before."  They always listen attentively to the techniques we're recommending, and then say "yeah, that might work, let's try it!"

Our client, as always modest but proud, gave credit to the troops who do have an obvious "follow-through" attitude.  But then he gave credit to top management for maintaining an expectation that they would "never give up" on a new idea until they've tried every way they can think of to capitalize on it.  Even then, they may only shelve it temporarily until more ideas surface to try it again from another angle. 

At that point it occurred to me that this was a striking example of how the "Continual Improvement" fundamental plays out in their culture. 

It also lent explanation to the prevailing "can do" attitude there.  On the front end, when considering something new, they feel confident to move ahead without looking for reasons to hold back — because they know risk-taking is expected and that they will have full management support to try it even if the early attempts don't succeed. 

Think about that for a moment. 

Imagine how many new ideas might be volunteered, tried and implemented in your business if everyone trusted management to support their improvement efforts to the point of telling them to "never give up!"  Such an environment of fostered-risk can have an empowering effect on any business team. 

Interestingly, in that same conversation our client reiterated a point he had made before — that they were not doing enough as a company to use measurements as a solid spring-board for their improvement efforts.  This was even as they were successfully down the road in adoption of Six-Sigma business process improvement methods.  And they have always been fanatical about the accuracy of all customer order information!

Several days later I found myself still musing about what he said, putting it in context with our methods for business performance improvement. 

People Processes

Their "never give up" attitude is clearly a foundation for many of the "people-based" things they do that encourages the workforce to stretch for improvements that will keep them setting the pace in their industry. 


Technical Processes

Their quest for better measurements, especially in operating processes, is a key "technical" paradigm that will add clarity to their continual improvement efforts so they can move faster yet, by working smarter, not harder. 

For years I've pointed to business process measurement as the most important fundamental practice of high-performance business cultures.  Not only is it difficult to improve business processes without measurements for analysis and development, but it's nearly impossible to maintain the gain after implementation if there are not good process management measures in place.

Now, I'm inclined to rank the "never give up" management attitude (and confirming behaviors) right behind "measurement" in terms of importance in a high-performance business culture. 

And, it's one more confirmation of a favorite quote:  “Technologies can be easily copied or emulated.  But people-based business differentiators are very difficult to copy, and constitute powerful, sustainable competitive advantages.”  (Wish I knew who said it so I could give credit.)  Our client is dramatic proof!

I won't share our client's identity in print since they are in a super-competitive industry with lots of predatory business practices to guard against.  But I can share a little more about our methods and why they use them if you contact me directly. 

Good luck with your own business performance improvements!

Brian McKibben

The CUMBERLAND Group

Team-based methods for continual improvement in products, services, operating processes, and working relationships.

For additional information contact Rainmakers at 847/251-3327


[PRINTER FRIENDLY VERSION]
Published by Jon C. Liberman
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