Archive for the 'The Quick and the Dead - case studies' Category

In the dark

You need to know that I am grumpy. At 1:29am this morning, my electricity was turned back on - after 3 days of being off. I mean completely off - nada, nothing - since Monday night at 3am. Then, as I dragged myself out of bed for a 4am wake up to get to the airport, I discovered that the municipality, in order to make up for actually supplying me electricity, had shut my water supply off. So, sitting on an airplane next to some poor soul, I have not yet had a morning shower. And, to top it all, when I arrived at Joburg airport, the check in system had crashed and the queues were out the building. Remarkably, it looks as if we land in Cape Town on schedule. But more of that below, with some lessons for everyone.

The facts

  • The suburb I live in (most of the time), Bedfordview - on the east of Johannesburg - is serviced by two major electrical supplies - a primary supply and a backup cable. These are underground cables, laid in 1978.
  • In February this year, the municipality was installing CCTV cables, and damaged the primary supply line. They informed Eskom, the electrical utility supplier, as they were meant to do. Eskom then added this cable to its maintenance list, but electricity was not disrupted as it was supplied via the backup line. That list is way too long, not being serviced enough and is a mess. I know this because we do work with one of the companies that is outsourced by Eskom to do the maintenance, and they have spoken of “disasters waiting to happen” because Eskom is running its maintenance too lean. This is a cost cutting exercise - and I have said much on that topic on this blog.
  • At 3am on Monday morning, the backup line faulted, with a major coupling being dislodged. Electricity to more than 100,000 people was instantly cut.
  • It was left to Radio stations to let the public know what had happened. It was just short of 3 days later that electricity was restored.
  • Eskom’s spokesmen consistently lied to the public and to journalists, and even when their lies were consistently shown to be false, they continued to reiterate them.
  • To date, Eskom has issued no apology.

So, what lessons can be learned…

Continue reading ‘In the dark’

The Pope’s Limbo

It’s official. After 800 years of being Catholic church policy, the theological construct of “limbo” has been abolished (read the International Herald Tribune on this). This was a place were unbaptised babies were said to go, awaiting some kind of final judgement at the end of times. It was “created” over 800 years ago, as a way of dealing with two competing theological factions in the Catholic Church. Last week, after a 3 year theological review, the Pope agreed that it was an error in judgement, and officially “abolished” it as a concept in Catholic dogma.

Good for him!

I suppose the lesson for us all is to ask what long held beliefs we each have that we need to be prepared to give up - no matter how embarrassing or life-changing it might be to do so. You can criticise the Vatican for this change. But you can’t argue with their guts to do something!

What do you need to change? And do you have the guts to do so?

Mount Grace Country House and Spa: how NOT to manage a management change

One of our family’s favourite luxury holiday destinations has been Mount Grace. My father was a friend of the founder, and so I have known about this hotel literally since attending its opening many years ago. Before our youngest child came, Mount Grace Easter breakaways were a favourite - as children (not normally allowed at the hotel) were catered for spectacularly. This was the hotel I took my wife to on our first “parents only” night away after the birth of our first child. And, as a professional conference speaker and facilitator, I have been a day and overnight conference guest at the hotel many times. A Sunday drive was well worth it - the buffet lunch the stuff of legends. We’ve also made use of the Spa on stay overs and day trips. Sure, they know how to charge for this luxury and reputation, but it has always been well worth it. And so, it was with great anticipation that my family and I (with in-laws in tow) set off for Mount Grace Country Hotel and Spa for an Easter weekend getaway!

Our expectations were rudely shattered. Short version: we shall not be going back to Mount Grace anytime soon! What a disappointing and shocking weekend we’ve had!

You can read the gory details below, if you’re the type of person who tends to slow down to rubberneck at car crashes on the side of the highway. But, for casual readers of this blog, let me start this piece by giving you the lessons that can be learned.

  • The hotel was recently taken over by a new company. They have clearly lost key staff. But when you take over an existing brand, you should be absolutely sure that systems are in place, that you know what these systems are, that you have the staff to back you up, and that you have a proper transitional process and knowledge continuity plan in place. This has clearly not happened at Mount Grace, as systems have almost entirely collapsed and staff are undertrained. What a waste of such a good brand (I shudder to think what was paid in goodwill, and how much of that payment has already been lost!)
  • “The Luxury Touch” is what distinguishes the truly great from the also rans at this end of the market - see the previous blog entry for four things that must be maintained in order to ensure the luxury touch is always there.
  • When a problem occurs, admit it, and ask the simple question: “what can we do to make this right?” Apologies are one thing, but when they come from a junior manager, who’s obvious role is to just stand there and take your abuse with an appropriately sad looking face, they are meaningless. When a customer indicates they’ve had a bad experience, agreeing with them, but obviously not having any intent to resolve the issue just serves to inflame the customer even more.
  • It takes a team - it was obvious that there were certain staff members who knew that the systems were collapsing and were incredibly frustrated at the rest of the team who were messing things up. This is understandable, but should not be allowed to come into the client space. It showed distinct low morale amongst the competent staff. It would not surprise me if Mount Grace lost even more of its talent very soon. So sadly, as always, its likely to get worse before it gets better.
  • Communication is the basis of all teamwork. The most basic error made over our weekend was a breakdown in communication between different people, and different departments. Some were actually hilarious in their magnitude - read below for some of the howlers. A lot of our frustration could have been avoided by simple communication between staff.
  • Leadership required. Ultimately this was a lack of leadership/management. We left detailed written comments for management, and I will be interested to see if they respond. BREAKING NEWS: AS I WRITE THIS, I HAVE JUST RECEIVED A PHONE CALL FROM THE GENERAL MANAGER. He has said, “No apologies, we dropped the ball. We were overwhelmed, and our new team couldn’t cope.” Well, maybe that accounts for some of what you’ll read below, but not all of it. Anyway, they’ve offered my wife and I a free weekend to attempt to show that the Easter weekend was a once off slip. I suppose I can’t ask for much more, and I really, really hope that they will get it sorted, as I love the venue. When that weekend happens, I will write a follow up to this blog. For now, our story is what our story is…
  • You only get one chance. In the 21st century, with so much consumer choice, your customers will only give you one chance to impress or disappoint them. There’s no need for my family to go back to Mount Grace - there are plenty of other options. And so, we won’t. It costs you about 5 times more to get new customers than it does to retain existing ones. And bad news tends to travel, especially when it comes from people who are perceived as knowledgeable in the field they’re commenting on. So, make sure you know what’s going on with your customers, and keep them in the fold!! HAVING SAID YOU GET ONLY ONE CHANCE, I suppose if you really grovel you can get just one more :-). This is what Mount Grace have now done, and my wife and I will give them another chance. It’s going to cost them the price of a weekend for two, but I suppose that’s ultimately cheaper than losing us forever, and living with the bad press we can create.

Simple lesson: stay away from Mount Grace - at least until they have their systems sorted.

So, now for our story…

Continue reading ‘Mount Grace Country House and Spa: how NOT to manage a management change’

The Luxury Touch

In Strategy+Business, recently, there was a great article on “The Luxury Touch” by by Robert Reppa and Evan Hirsh. They suggest four things that luxury brands have to consistently get right in order to differentiate themselves from the also rans:

“Although there’s no single process for achieving high levels of customer satisfaction, four principles are common to nearly all top-performing luxury brand companies:

  • They create a customer-centered culture that identifies, nurtures, and reinforces service as a primary value.
  • They use a rigorous selection process to populate the organization with superior sales and support staff. The impulse to care about accommodating customers cannot be taught to people who are not predisposed to it.
  • They constantly retrain employees to perpetuate organizational values and to help them attain greater mastery of products and procedures.
  • They systematically measure and reward customer-centric behavior and excellence in sales and service to enforce high standards and reinforce expectations.

When these four principles are at work, the result is a highly integrated business model that combines a superior product line with outstanding sales and service quality, driving strong growth and profitability in the process.”

Read the full article here.

Yes, it will cost more

Graeme CodringtonI spend much of my time helping companies to create corporate cultures that will attract and retain talented young people. This involves looking at everything from terms and conditions of employment, remuneration policies and bonus schemes, to office layout, use of technology, management styles and team dynamics. One of my biggest frustrations is that very often those within an organisation who understand what needs to be done to get top talent to work there are overruled by those who are focused on saving money, efficiencies and creating “lean and mean” environments.

We live in an era where competitive advantage is found less and less in the products and services a company offers - mainly because the competitors are so closely aligned that the market can’t tell the difference between them. We live an era where technology is pervasive, markets open, and global competition the norm. In such an era, the only really sustainable competitive advantage is your people. This is why there is currently a “war for talent” in every industry across the globe.
Continue reading ‘Yes, it will cost more’

NOT always better on the big screen

CinemaSouth Africa’s top cinema chain, Ster Kinekor, uses the tagline, “Always better on our big screen” in their advertising. Well, the last few times I’ve gone out to a cinema, I’ve had exactly the opposite experience.

I have previously complained on this blog about the way in which cinemas lie to us. They don’t let us take in food and drinks bought outside of their own concession stands, and they make up all sorts of stupid reasons for this. The real reason, of course, is that they charge a small fortune for their food and drink, and make a hefty chunk of their profit there.

But last night’s issue was that in a 16 rated movie (The Last King of Scotland), a woman came in with her husband/boyfriend, another female friend and a toddler who couldn’t have been more than 2 years old. The guy went to sit down near the middle of the theatre, and the women sat at the back. As the movie started, the woman walked down, and dumped the child on the guy’s lap and then went back to her seat. The child was niggling, crying and chirping all the way through the movie. The guy was disinterested, then just allowed the toddler to wander around the cinema. The child was friendly enough - climbing onto people and talking to everyone.

Meanwhile the mother was taking phone calls on her mobile!! What chaos and distraction! My wife actually went out to call cinema staff, but they did nothing.

If cinemas want people to flock to their venues, they are going to have to create an envrionment where it is better on their big screens. At the moment, it is not!

Manager, offshore thyself

A great article in the latest Economist magazine looks at the issue of corporate locations, and where you place your key executives. The subtitle asks: “Does the location of a company’s headquarters matter any more?” Read the article, from the 8 March 2007 editiion, here (subscription may be required).

Basically, the answer is that, “Yes” it does matter. Certain executive positions are being offshored, and big companies, like IBM and Nokia are leading the way in this trend.

Continue reading ‘Manager, offshore thyself’

IBM to spend $50 million on staff financial education

The China Post is reporting this morning that IBM has announced a $50 million staff development initiative specifically aimed at improving their staff member’s financial education.

Employees, as well as their spouses or domestic partners, will be offered a series of live and Web-based investment seminars starting this month. Employees will be able to get unlimited one-on-one personal financial planning and counseling by phone through [external financial services companies]. Financial planners from Fidelity and Ayco will be trained in all of IBM’s benefits programs and will receive no additional pay or commissions for selling their companies’ products.

“No other company that I’m aware of has ever done anything this comprehensive for its employees,” said Randy MacDonald, IBM Senior Vice President, Human Resources.

The move comes at a time when IBM and other companies are shifting retirement planning responsibility from the company to the employee. Traditional pensions, which promised an employee a guaranteed retirement income, are being replaced with “defined contribution” plans, in which employees put aside money for retirement, often with a partial match by employers. IBM, for instance, closed its traditional pension to new hires starting in 2005 and said last year that employees hired earlier will have their benefits frozen after 2007.

This type of investment makes sense on many different levels:

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Green Banking

ICICI Bank has started to become an internationally watched brand, since it was featured in “The Fortune at the Bottom of the Pyramid” (a book by Prahald, available at Amazon.com or Kalahari.net). It is one of the largest banks in the world, by size of customer base and branches (nearly 90,000 of them!!).

Based in India, this bank has recently launched a “green” initiative, called GoGreen. If you sign up for email statements, they will plant a tree in lieu of the savings they make by not having to send you printed paper through the mail. This is a great example of a corporate using green issues to develop a competitive advantage. Its small, but it shows commitment to the planet, not just to shareholder wealth.

Fast Company’s “Fast 50″ - 50 profit-driven solutions for fixing the planet

Every year, Fast Company releases a list of companies doing good things for the planet. This year, they extend the list to companies, organisations and individuals. The list is an interesting and uplifting one, in a sea of dark news on this issue. See the list here.

Eventually, someone was going to step up and actually start doing something about the state of the world. You might have thought it would be a president–a senator, maybe–who would stand, point out at the future, and raise the alarm. Instead, it is business, and more specifically a certain strain of imaginative, entrepreneurial business, that has found the upside in addressing global malfunction. Whether old-line, established companies or tiny startups, they’re tweaking old technologies and inventing startling new ones, tackling everything from pandemics to ancient scourges like hunger. Are they doing all this because they want to save the world, or because they can turn a profit? Yes. And not a moment too soon.

Continue reading ‘Fast Company’s “Fast 50″ - 50 profit-driven solutions for fixing the planet’

Cost cutting for competitiveness - really? What about executive pay!

In yesterday’s Star newspaper’s Business Report, there was an article on how Beacon, a sweet making division of Tiger Brands, had had to face up to stiff Brazilian competition. For example, by shaving just 1mm off each sweet’s wrapper, they had saved R 3 million in the last financial year. In addition to a continuous improvement programme, Beacon have been helped by increased import duties on their competitors.

This is a good news story for the South African manufacturer, but it got me thinking about what’s going on behind the scenes at companies that need to slash costs to be internationally competitive. So, I went digging. I am sure its not a conspiracy, but at Tiger’s annual results website, the link to their Executive remuneration summary is not working (its the only non functional link on the page). The only way to get at this info is to download the PDF of the entire financials, and wade through to page 73 to get a 6 page explanation of Executive pay principles, followed on page 79 by the chart of actual pay and bonuses. In line with strict accounting standards, share options are NOT accounted for or listed. You have to go elsewhere to get estimates of this information.

Continue reading ‘Cost cutting for competitiveness - really? What about executive pay!’

How not to apply for a job

This is too good to be true… It was reported in London newspapers last week, and is just unbelievable. It’s an anti-talent story. The story of a young web designer looking for a job in Dubai. He applies by email, and gets a favourable response. And, then… well, its hard to describe, but the guy has a complete mental breakdown.

The reason I’m giving you this link is to show you how powerful blogging is, how important understanding the Connection Economy can be, and how NOT to get ahead in advertising. It’s worth reading the whole thing through. My best is the last line: Congratulations, you’re famous. Read this great story here.

The Company of the Future

In Fast Company, Dec/Jan 07 edition, there is a short piece about a new type of company, entitled “Ears Wide Shut“. The company is Squeezebox, which sells “a $300 device that lets audiophiles take digital music from their computer hard drives or from Internet-radio streams, and play it with impressive clarity on high-end speakers in their living rooms.” It is made by Slim Devices, founded by Sean Adams, a 27-year-old college dropout in 2001. They have sold over 50,000 units with about $ 10 million revenue in 2006.

This is a classic Connection Economy, open source and “citizen development” story, because the product is “largely the brainchild of its customers around the world, who have done much of the vital engineering and design work–for free. They’ve been motivated by their passions–for great audio, for cool products, for the art of engineering–and also by the satisfaction of being admired and relied on by a global community of their peers… People around the world have been contributing to Slim Devices free of charge for all sorts of reasons. Some do it to showcase their skills in the hope of attracting a job offer. Some do it for the challenge. But much of it comes down to this: We want things our way.”

Continue reading ‘The Company of the Future’

WH Smith closes pension fund

Today, it was announced that WH Smith, the UK retailer, would close its company pension fund and restrict it only to existing members. This would mean that over the next few years, the pension fund would decline and eventually die out as current employees use it up.

This is an example of exactly what we have been predicting for a number of years, as Gen Xers hit the workplace in force. Companies will cite increasing costs, but the effect will be that Gen Xer workers will be excluded. At one level, this is not a problem as most Gen Xers would prefer to look after their own retirement planning anyway. But it will breed further divides between young and old in the workforce, and reinforce the lack of loyalty (if you don’t look after me, why should I look after you?) attitude of today’s young talent.

Fat Cats march on in 2007

The last few years have seen obscene payments made to CEOs. The gap between what the top managers earn and what labourers in their factories earn has never been as wide as it is today (unless you go back to Feudal landlord days). Of course, if these top managers with all the pressures on them were delivering serious financial returns to shareholders on a consistent basis and developing not only short-term, but also long-term capacity and sustainable comeptitive advantage, then they deserve to be rewarded appropriately.

But the trend has been to pay bonuses and perks completely unrelated to performance. Even worse, is when badly performing CEOs leave a company (by choice, or pushed) they are often paid unbelievable severance packages, rather than simply being sent packing in disgrace!

Bob NardelliThere has been great hope that those fat cat days were a thing of the past, and that the backlash of shareholders would stop this trend. But 2007 has started with the departure of Home Depot’s Bob Nardelli (he had previously been on the GE shortlist to replace Jack Welch, and left when Immelt was appointed to that post). For the last 6 years, he has consistently been near the top of the list of “most overpaid CEOs”. This is particularly true because Home Depot has gone nowhere under his leadership. Under the terms of his contract, his severance package is worth $210m. Not too bad, considering that the share price on the day before his departure (3 January) was slightly less than it was when he took the job in 2000.

This is unbelievable, indefensible and immoral. Simple as that!

Luckily, it appears as if shareholder activism is working, and this hopefully will be one of the last of these sorts of fat cat payouts.

The Economist sums it up this way:

Continue reading ‘Fat Cats march on in 2007′

The Five Most Important People Trends of the Next Five Years

CrowdIt is becoming increasingly difficult to differentiate between competitors in almost every industry in the world. New innovations are quickly copied and improvements in quality, service and price are easily matched. In this globalised world, you can no longer differentiate yourself simply on the basis of your product or service. What you do is becoming increasingly less and less important, and who you are is growing in significance.

If who you are is who you hire, then the ability to attract and retain talented staff (and customers) is increasingly becoming one of the most important capabilities of every company in every industry. Human resource management has therefore never been more strategic than it is now.

Employer brand

Companies spend a lot of time, effort and money raising the profile and acceptance of their brands. They focus on developing the market for what they sell. But very few companies allocate significant resources to developtheir “employer brand”. This is the perception of their company held by current and potential staff members. It directly impacts the company’s ability to attract and retain talented staff.

Younger generations are becoming increasingly discerning as they job hunt, looking beyond salary, basic conditions of employment and the obvious perks. They are asking questions about culture and the “heart” of an organisation they want to work for. There are a few key litmus tests that seem to be applying in analyzing a companys employer quotient.

To attract talent in South Africa in the next five years, the following five items need to be at the focal point of HR and senior leaderships radar screens (in addition to everything else that needs to be done):
Continue reading ‘The Five Most Important People Trends of the Next Five Years’

qnomore - gotta love the free market

Anyone who knows me will know that I am irrationally exuberant about South Africa’s future. I believe my home country has a rich legacy, a wonderful heritage to share with the world, and a bright future. Of course, there are problems - but we’re sorting many of them out. We need more houses - but we’ve built close to 2 million in the last 10 years (can’t ask for much more, can you?). We need a better AIDS policy - that seems to be happening, now that the health minister (in an ironic twist) has fallen ill, and is on long term sick leave. Every decent economist I know is confident our economy’s fundamentals are solid - and our finance department and tax office are absolutely top drawer! Crime is a HUGE problem, and must be sorted out. We need more political will in this area.

But my friends at SA The Good News, and Guy Lundy, author of Reasons to Believe, and the great crew at HomeComing Revolution and the official crowd at the International Marketing Council all help me to be positive.

Continue reading ‘qnomore - gotta love the free market’

MILLENNIALS PLAN TO REWARD OR PUNISH COMPANIES

Company KidsIf the results of a recent study are true, then Corporate Social Responsibility (CSR) needs to become a priority for companies and fast. A research study by the strategic planning and consumer insights division of AMP Agency shows that 61% of Millennials born between 1971 and 2001 feel personally responsible for making a difference in the world.
The results are eye-opening and socially and environmentally responsible businesses are positioned to reap rewards:

  • 83% will trust a company more if it is socially/environmentally responsible.
  • 74% are more likely to pay attention to a company’s marketing when they see that the company has a deep commitment to a cause.
  • 89% are likely or very likely to switch from one brand to another (price and quality being equal) if the second brand is associated with a good cause.
  • 79% want to work for a company that cares about how it impacts and contributes to society.
  • 64% say their company’s social/environmental activities make them feel loyal to that company.
  • 56% would refuse to work for an irresponsible corporation

The pendulum appears to be swinging back, in the 80’s CSR was big and many companies leveraged this from a marketing perspective. Nedbank’s affinity and green products come to mind. But in the last decade CSR took a back seat to downsizing, rightsizing, operational efficiencies and bottom line profits.
Continue reading ‘MILLENNIALS PLAN TO REWARD OR PUNISH COMPANIES’

Girl Scouts update for the 21st century - its all about leadership

Sept. 18 /PRNewswire/ (full report here) — As it approaches its 95th anniversary in 2007, Girl Scouting is undergoing a historic transformation to modernize the iconic organization and focus on leadership development for girls in the 21st century. Addressing each area of the organization, the transformation intends to revitalize the Girl Scout brand, create new fundraising models, improve volunteer systems, and significantly realign the national Girl Scout council infrastructure. The monumental changes have been designed to deliver a program that focuses on Girl Scouts’ core strength of leadership development, while also offering provable outcomes that benefit girls, families and communities.

The National Board of Directors also endorsed a more contemporary leadership philosophy, and renewed an organizational commitment to develop leadership skills based on the values of the Girl Scout Promise and Law. This leadership philosophy is captured by the new Girl Scout mission statement: “Girl Scouting builds girls of courage, confidence, and character who make the world a better place.”

Girl Scouting has identified some core tenets of its leadership philosophy — discover, connect and take action — which will form the basis of all Girl Scout activities beginning in October 2008. The ideas of discovery, connection and action reflect the Girl Scout view that leadership extends beyond holding a position of authority. In Girl Scouting, leadership is about self, others, community service and philanthropy. You can’t lead well unless you really understand yourself and have your set of values very well in place. Research, conducted from June 2005-2006 by the Girl Scout Research Institute (GSRI), shows most girls see the value of developing leadership skills and that girls define leadership in terms of the qualities a leader possesses and the actions she takes.

No room at the Inn

Maybe it’s just my lack of skill and ability, and so I submit this post, open to learning from those who know better….

* I’m looking for the details of a Holiday Inn Hotel in Cape Town. I go to www.holidayinn.co.za. Seems reasonable right?
* I get re-directed to their UK site - Seems strange but I’ll go with it.
* I search for ANY hotel in their group in Cape Town - I get nothing
* Maybe it’s FireFox so I try in IE - still nothing

I can only conclude that tourism has finally taken off in South Africa, and Holiday Inn hotels are booked for the forseeable future. Or perhaps they’ve taken Robbie Williams advice when he was here, that we keep our beautiful country a secret from the world? Or perhaps they’ve levelled every Holiday Inn within a 30 mile radius of Cape Town (that’s what the search most suggested)

Whatever it is, I’ll be in the stable this evening : )

Click on the smaller image, for a larger image of what my search returned.

Larson not laughing

Gary Larson, creator and cartoonist of The Far Side © recently sent me an email. Now, under normal circumstances, I would have been ecstatically thrilled at this. The man is one of my heroes, and his self-imposed retirement from drawing Far Side cartoons a few years ago left my world that little bit emptier. I’ll be honest and say that I am still kept up at night trying to figure out a few of his cartoons I still don’t get. Before I die, I’ll work them out. But this obsession is testament to his skill! I have all his books, and most of the reprints and best of’s as well. I have had numerous desk calendars, bought a veritable pile of Far Side greeting cards, and may have even had Far Side branded underpants at some stage…

My point - I not only am a fan, I have also contributed to what I assume is a fairly wealthy man’s fortune.

So, it surprised me to receive a letter from him. Or, more precisely, from his lawyer (see the letter below). A website I own hosts a number of talks that can be used in youth groups. The site hasn’t been updated in about 7 years. One of the talks was about how to use Gary Larson’s cartoons to teach young people about God. It was a fun talk, and it included some examples of his cartoons. It was written by a friend of mine.

Now, Gary Larson, in a nice enough way, has asked us to remove the page. What I don’t get is his logic. His argument is all about his emotional attachment to his cartoons, his desire to exercise control over their usage and the fact that they are “his children”. Sure. But what about the 20 Larson books I have in my library? Why isn’t he concerned about them? I’ll be honest and say I don’t think I’ve dusted them in over a year, and one or two may have torn pages. Does that make him sad?

Why can’t he just be honest and say, “Hey punk, if you didn’t pay for the pictures, you can’t use them”. I did actually pay for them - the pics on the site were all scanned from legal copies of his books that I own.

Anyway, you read his letter, and let me know if I am being unreasonable to be just a little bit disappointed. If he had said, “Go to PayPal and make a donation”, I would have done that immediately. But I must say there is a slightly bitter taste in my mouth. But maybe I am just too much of an Internet idealist that believes there comes a time when what you’ve put “out there” just has to be trusted to the universe. As an author and presenter myself, I accept that people use my work, and I don’t pursue the copyright I own and am entitled to. Is that just me? I’d like your opinion.
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The Future of Newspapers

newspapersWe have a few clients who work in the news and publishing industries. These industries have always seemed out of date to me, but I recognise that many of these companies are working hard (scrambling?) to get into the digital age. One of the best articles I have read on this issue comes from Fast Company, and was written by Richard Watson under the Innovation heading of the magazine. You can read the article here.

A quick summary of what newspapers can do to become 21st century compliant:

Continue reading ‘The Future of Newspapers’

BA Systems release environmentally friendly weapons

In the The Sunday Times in the UK today, there is a bizarre story about BAE Systems (read it here). This company produces a variety of products, mainly military armaments. In a report on Sunday, BAE Systems announced that they would be pursuing an environmentally friendly approach to their products, including quieter missiles (so that as they zoom over your home to destroy the village down the road, you’re not irritated by the noisy whine?); military cars, ships and planes with lower CO2 emissions (so that future generations do not live in a messed up world? Oh wait, these vehicles are used for mass destruction - at least they won’t affect the ozone layer, though); missiles that have bio-degradeable components (so that after its killed your friends, it can bring new life by providing compost for your flower bed?); and my favourite: bullets with a lower lead content and missiles with reduced toxins.

Are these guys absolutely joking?

This is an example of the corporate world gone mad. Sure, we preach to our clients that environmental care is becoming an important part of a company’s reporting and ethics. Sure, we tell our clients that in this “connection economy”, we need to be concerned about what our clients are concerned about. And “being green” is important! But, no amount of “green” will cover the red stain of blood on the hands of arms manufacturers. I can only see this bringing ridicule to BAE Systems. I can’t see any government, militia or terrorist changing buying habits of armaments based on environmental factors. Can you?

HP spy scandal

News broke this past week that HP board chairperson, Patricia Dunn, had ordered a probe into how information was being leaked to the press. This investigation led to the obtaining of personal phone records of some directors, and at least two reporters covering HP. The investigation conducted by a company hired by HP used a controversial technique called “pretexting” to obtain the personal phone records of silicon.com sister site CNET News.com reporters Dawn Kawamoto and Tom Krazit, California state prosecutors said. Pretexting is an illegal method of obtaining personal records through misrepresentation of someone’s identity.

Dunn has resigned as chair of the Board, although she will remain on as a director. Another director has been forced to resign. The issue was raised by a non-executive director who resigned earlier this year in protest over the investigation, and took his complaint to the AG.

Right now, this story is simply proof that the connection economy exists. Its not just what you sell anymore, its who you are that people are worried about. How HP responds will be critical, and interesting to watch. An unanswered question for me is: “who was leaking the information, and did the inquiry come to any conclusions?” The answer to that question may be HP’s rescue boat. But, in this new era of transparency, its not just what you do, but how you do it that counts. HP are finding this out the tough way.

Listen to your customers

Every marketer says that they do. Companies swear that they know their customers. But, as a fantastic article from Fast Company shows, most organisations are just fooling themselves. Its a long read, but well worth it - from Fast Company, Issue 34, April 2000. Read it here (or below).

Key messages:

  • Where You Listen Is as Important as How You Listen
  • Whom You Listen to Is as Important as Where You Listen
  • To Listen Smarter, Give Customers Something to Talk About

This is one of the cornerstones of the connection economy. This is worth taking seriously!
Continue reading ‘Listen to your customers’