(Thank you, forever, New Yorker)
Strategic Strategy
Strategy + Business helps us admit that a great strategy should simply be unique, specific, and complete.
Strategy concepts should stimulate your thinking without substituting for it ... they should enhance your strategy without becoming it.
The key point is that your strategy can evolve but should be at the center of everything you do. The latest buzzword techniques should inspire your options but not distract you from your goals. In the last 50 years we have seen many flavors ...
In the 1960s and 1970s, the hot concepts were the experience curve, the growth-share matrix, and SWOT (strengths, weaknesses, opportunities, and threats) analysis. The 1980s gave us five forces, value chain strategy, scenario planning, and total quality management. In the 1990s, business process engineering, customer loyalty, competing for time, competing for the future (core competencies), and growth horizons gained traction. Those ideas were followed by co-opetition, BHAGs (big, hairy, audacious goals), growth adjacencies, Kanban, and blue oceans in the 2000s. Now we are believers in lean startup, disruptive innovation, digital strategy, transient advantage, and agile.
I believe what we are learning is to KISS...
Great strategies answer 5 critical questions:
1. What business or businesses should you be in?
2. How do you add value to your businesses?
3. Who are the target customers for your businesses?
4. What are your value propositions to those target customers?
5. What capabilities are essential to adding value to your businesses and differentiating their value propositions?
Reputationism
Of all the isms... let's make Reputationism a compulsion we can be proud of.
The Reputation Institute has been champions of which corporations have the best reputations and how. There should be no need to ask why. Being good is good for business.
Watch their reveal of this year's top 10 companies
Rolex is still #1. Netflix jumped the highest. Microsoft is back. Uber saved it's sould. Facebook is really lucky they own the market.
What you will learn is this seemingly simple advice ... tell the world about your company as much as you tell/sell them about your products. Share how you are good ethical corporate citizens with an engaged workplace. Easy... right.
Your stories should be about how you are supporting the below 4 circled activities (click to enlarge)... They are: Positive influence on society, Fair in doing business, Ethical, Open and transparent:
The Reputation Institute has been champions of which corporations have the best reputations and how. There should be no need to ask why. Being good is good for business.
Watch their reveal of this year's top 10 companies
Rolex is still #1. Netflix jumped the highest. Microsoft is back. Uber saved it's sould. Facebook is really lucky they own the market.
What you will learn is this seemingly simple advice ... tell the world about your company as much as you tell/sell them about your products. Share how you are good ethical corporate citizens with an engaged workplace. Easy... right.
Your stories should be about how you are supporting the below 4 circled activities (click to enlarge)... They are: Positive influence on society, Fair in doing business, Ethical, Open and transparent:
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The Job of Your Milkshake...?
What Jobs are you accomplishing for your prospects?
Know what they are REALLY trying to accomplish... Watch how Clayton thinks about milkshakes:
More from Mr. Innovator's Dilemma about "Jobs To Be Done" here.
Thrv has a platform and process to use JTBD. Check out more about the below list of 11 new ways to think (click to enlarge):
Know what they are REALLY trying to accomplish... Watch how Clayton thinks about milkshakes:
More from Mr. Innovator's Dilemma about "Jobs To Be Done" here.
Thrv has a platform and process to use JTBD. Check out more about the below list of 11 new ways to think (click to enlarge):
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3:00 Summary for your Digital Strategy
What is your number?... "Only 8% of companies believe their business model will remain economically viable through digitization."
We recently worked with McKinsey when this short video on digital strategy was created. The production is enticing, the content should be inspiring ... and appropriately worrisome and motivating:
Click here to read details about these 5 pitfalls:
Pitfall 1: Fuzzy definitions
Pitfall 2: Misunderstanding the economics of digital
Pitfall 3: Overlooking ecosystems
Pitfall 4: Overindexing on the ‘usual suspects’
Pitfall 5: Missing the duality of digital
Where are you in this flow? (click to enlarge):
We recently worked with McKinsey when this short video on digital strategy was created. The production is enticing, the content should be inspiring ... and appropriately worrisome and motivating:
Click here to read details about these 5 pitfalls:
Pitfall 1: Fuzzy definitions
Pitfall 2: Misunderstanding the economics of digital
Pitfall 3: Overlooking ecosystems
Pitfall 4: Overindexing on the ‘usual suspects’
Pitfall 5: Missing the duality of digital
Where are you in this flow? (click to enlarge):
Be Curious
Tim and Team - as promised, here are those sales and marketing ideas for CIC and VenCaf...
The goal?
To deliver the message about the value of CIC/Venture Cafe and increase occupancy of successful tenants in every location around the world... Easy, Right?
Quick Hit:
The first way to differentiate your value from other workspaces is to have your Community Leaders actively make connections as they ask and hear about needs and opportunities.
Longer Hit:
Question: What is your real value?... what motivates which tenant prospects and corporate participants?
Like her t-shirt above says, how are you (specifically) "Connecting Innovators to Make Things Happen?"
Most companies need help with company growth ... business development and sales.
I am such a fan CIC/VenCaf that I personally experience the value and can visualize the real potential, more than free beer, to differentiate in the very competitive market for both corporate partners and entrepreneurial tenants... by facilitating bizdev... more specifically techdev for bizdev... even more specifically, a mobile app that puts all the awesomeness of VenCaf in your hands ... to optimize before/during/after events... and the right info at the right time in the specific point in the lifecycle of anyone's project.I believe that corporate sponsors would pool funds and pay for a mobile app that provided an optimized experience for THEIR audience - including prospect sales, business partners (vendors and Startups), their employees, the press, etc.
We are special here. We want to be quantified. We want to iterate and perfect our dreams of a better world. Most of us are not worried about privacy as we validate our ideas. We can lock them down later.
The "M" Word
There are great stories to tell about what you are doing and what is happening. Tell them for yourself. Tell them as part of the PR/Marcom machine we all need.
However, there is a gap in CIC's brand... I am talking about your Marketing. There, I said it.
So...
Let's create multimedia promotional case studies of successful collaborations between CIC tenants - re-enact and document engagements at scheduled events, random/repeat Venture Cafe meetings, and CIC-facilitated introductions. Leverage bizdev from, as Tim calls it, "The Density"
4 Elements:
1) Encourage and enable tenants (with an online gallery?) to share stories for community pride and a self-promotion PR machine... while solidifying our desire to stay tenants!
2) Demonstrate that we are here because we recognize the unique benefits of CIC. We are curious and open to learning about options. We raise our hands for help. We help others because givers gain (and learn beyond our core silos). Brand idea = "CIC - Be Curious"
3) Team Support - Community Leaders are CIC's most powerful differentiator to alternative workspaces ... when these awesome people start actively looking for ways to facilitate business solutions for individual tenant needs, CIC's reputation will flourish beyond ALL other options.
4) Connect the connectors - Gather the best CLs and the most zealous advocates already here. They will have great CIC stories and would benefit from showing their participation. Collaborate on ways to harness their ability to help without harassing.
We got some community feedback in a whiteboard session here in the 5th floor Midtown kitchen... I captured a few community conversations about the "CIC Value" and why we are here:
Growth/Revenue for all... Connecting the Density... Community Leaders as Advisors and Connectors ... and the obvious opportunities about all of us being quantified lab rats...
The opportunities to leverage are already happening all around us... Let's get meta... and share some awesome "Overheard in the halls of CIC" stories...
FYI - Share this post at www.bit.ly/CIC_Be_Curious
David "More Than a Tenant" Cutler
Managing Director at CreativeChaos.co
One Broadway CIC/Kendall - 5th Floor - Midtown
Partner Portal - Partners.CreativeChaos.co
617-331-7852 - dcutler@creativechaos.co
Personal: DavidCutler.net
Who Owns Your Innovation?
About 60 percent of companies are only in the earliest stages of innovation maturity.
What is your plan?
Innovation Leader and KPMG surveyed 270 global companies about their corporate innovation. Get the entire report. Below is a summary from Inc.
According to the study, 73% of innovation, strategy, and R&D executives say that leadership support is the biggest enabler of innovation. Over 55% of executives report that politics, turf wars, and a lack of alignment are the biggest barriers to innovation. Strikingly, the biggest enablers to (and barriers of) innovation are related to who takes responsibility over a project rather than more concrete things like lack of budget, strategy or vision.
Responsibility for innovation is typically spread out across an organization. Champions are tapped from individual business units, innovation teams, R&D teams, skunkworks teams, corporate VC groups, challenge winners, and even outside resources. This is for good reason. Different parts of the business tend to be responsible for different types of innovation because of their background and expertise.
A large proportion of respondents (82%) said that business units "owned" incremental innovation, innovation designed to serve existing customers. This type of innovation involves improving currently existing products, services and processes, so having a specific business unit manage this process makes sense.
Execution of adjacent innovation, the creation of new value in an adjacent category, market or customer segment, tends to be dealt with differently. While 59% of executives said that business units were responsible for innovation in this area, 58% of executives said that innovation teams were made responsible. R&D teams are also more important at this stage, jumping from 35% to 41% for execution of adjacent innovation.
Less than one quarter of respondents (24%) said their business units were involved in transformational innovation, the type of innovation that creates an entirely new business in a new market. The majority of transformational activity was owned by central innovation (65%) and R&D teams (33%).
Since incremental growth for any size company comes from new products, services, markets, ideas, etc... What is your plan?
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Speed Thrills
Why Move Faster?...
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- Save money - make fast decisions to more efficiently learn HOW you make your best and worst moves.
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- Build momentum - rally your team's commitment to a more focused strategy and tactics.
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- Snapshot Opportunities - Get in the market ASAP (with an MVP) to REALLY learn. Only build on that.
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- Delays compound - It's WAY more expensive to catch up... if you ever do ... (cue squealing tires of your competitors).
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Awesome AI
The Amazon Echo as an anatomical map of human labor, data and planetary resources:
Read more about this art project that honors and questions the magnitude of Artificial Intelligence and automation.
Click to enlarge
Truth or Consequences
Since they all promise everything... what is a client left to do but consider them all commodities... and work with the cheapest.
Alternatives have been encroaching...
In-House Agencies can get closer to real data and accountability. Check out the fast growing and fun folks at In House Agency Forum - IHAForum.org
Management Consultants are promising big-picture results that includes marcom... which are just a few cogs in the wheel. Their not-so-secret method is to charge outrageous rates that require the sharing of all client data and issues... then (and only then) can actually really help.
Remember, Agencies have that conundrum of focusing services to be a defined brand but therefore not helping their clients across their entire ecosystem (the answer is working with trusted partners... I would love to talk to you about the right ways to do this).
Michael Farmer has been trying to help Agencies by being brutally honest in his book Madison Avenue Manslaughter - read it.
Excerpt from his recent post …
"Transformed agencies will require sophisticated mid-level executives who can thoroughly engage with their clients to solve business issues, like underperforming brands. This will require a considerable amount of analytical and strategic expertise. Currently, there is an agency deficit in talent, training and salaries.
To pay for the required talent for agency transformations, agencies need to upgrade their fee levels. This is possible today only if agencies document the work they do and negotiate fees based on Scopes of Work rather than on client-controlled benchmarked salaries and overhead rates. My analyses show that agencies are currently underpaid by 15-30% for the work they do – and their poor Scope of Work documentation and negotiation practices are root causes of the problem."
More on his methods at www.farmerandco.com
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Mind The Gap
You and your team should have some heated conversations around what customers want and what they want you to provide...
From PWC's Future of Consumer Experience
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Blah, Blah, ... then BLAH!
Note to CEOs: 3 levels of "talking" is required before a successful tech development (i.e mobile app, new product site, enterprise fix, etc) results in growth of your asset value and delivers net new revenue.
The 3 Blahs spell ACT ... because that's the message.
Blah #1 - A - Acknowledge
You have been observing the market shifts and talking with your team about your customers asking for more... and about competitors freaking you out... and about your options being expensive and endless.
Blah #2 - C - Commit
You have decided to invest RIGHT NOW in your future ... with a budget and a "safe container" to protect a dedicated team from the cynical "white blood cells" around your organization. You are encouraging and training these special people to develop clear goals and innovate with enthusiasm (while honoring those clear goals). They have been researching market opportunities, business models, creating mockups, and talking to customers (a lot).
Blah #3 - T - Test
Now it is time to take action and build your ideas in the market ... for real customers (NOT just research modeling, focus groups and mockups). You are working with internal and/or external software specialists that love what you have been blah blahing about! Growing in the right direction should feel as validating as small tweaks and mass pivots!
Learning is tough because innovation comes from iteration ... and that means building and launching through lots of wins AND losses along the always bumpy road to an optimized product that is never done but finally working, adding value, and generating the results you want... usually net new revenue.
READ: Our much more eloquent and thorough 4-page overview of the "Pitfalls on the Innovation Delivery Journey" at http://bit.ly/Pitfall_Innovation_Delivery_Journey
BONUS: from our partners at McKinsey:
https://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/the-seven-decisions-that-matter-in-a-digital-transformation
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Trust... Earned
Thanks to Rupal's riffs in AdAge on 6 ways Ad Agencies earn respect by delivering results from ideas.
Key line:
"Execution turns out to be harder, more strategic and more valuable than everyone thought and ... it's what clients are coming to agencies for."
(FYI, what qualifies Rupal is her years as an industry journalist and then realizing the best way to provide value is to work directly with the digital developers)
This is what the most ambitious and successful Agencies are providing: a safe havens for creative problem-solving with a diverse and appreciated workforce
led by sincere leaders that get out of the way of empowered teams
focusing on their mutually beloved clients and their bottom lines.
Well, that IS a lot...perhaps I have guarded optimism.
Well, that IS a lot...perhaps I have guarded optimism.
That key line above is about not spinning aimlessly around "innovation" when there are
products and services to be built! Yes, it sounds obvious ... the best plan is getting SOMETHING out in the market into the hands of actual users is the only way to validate your assumptions .... and increase your chances of growing your
client's revenue and asset value. The "i" word only works when it is
applied beyond thinking, into and through production of something
real. ONLY THEN can it be assessed accurately by real users and optimized.
Because... Innovation = Iteration.
Because... Innovation = Iteration.
Let's all
focus on what we do best but remember to include those that deliver. When you are talking about digital transformation, that's the frontend
and backend engineers and coders.
Frankly, I am done with small
talk about big ideas. The last several years have been great to open our
mindset, setup our strategy processes, and delivery frameworks... Now, there are few good reasons not to take action.
Agency
examples of how to grow businesses in this digital age should already be inspiring. By partnering with tech augmentors like Creative Chaos, you can deliver like R\GA, Anomaly, and (insert favorite Agency
that helps clients grow their business here).
If you want to know what you need to know, read Jules' 2016 State of the Digital Nation. Then look deeper at the new opportunities in the market to be yourself and read his 2020 update.
If you want to know what you need to know, read Jules' 2016 State of the Digital Nation. Then look deeper at the new opportunities in the market to be yourself and read his 2020 update.
Again, support your trusted nerds ... include them early and throughout your process to develop a dynamic tech architecture that includes CI/CD microservice containers.
Since lots of us get lost in that last sentence, we are happy to discuss it.
Any time... David - dcutler@creativechaos.co or 617-331-7852
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Diversity Required Around Tech and Everything!
At 10:30 Eric builds momentum on this helpful and very human speech on how to REALLY build a team of innovative problem-solvers... and he says:
Google, Apple, Facebook. Sixty-five percent of their open job opportunities are non-technical: marketers, designers, project managers, program managers, product managers, lawyers, HR specialists, trainers, coaches, sellers, buyers, on and on. These are the jobs they're hiring for. And if there's one thing that our future workforce needs -- and I think we can all agree on this -- it's diversity. But that diversity shouldn't end with gender or race. We need a diversity of backgrounds and skills, with introverts and extroverts and leaders and followers. That is our future workforce. And the fact that the technology is getting easier and more accessible frees that workforce up to study whatever they damn well please!"
Google, Apple, Facebook. Sixty-five percent of their open job opportunities are non-technical: marketers, designers, project managers, program managers, product managers, lawyers, HR specialists, trainers, coaches, sellers, buyers, on and on. These are the jobs they're hiring for. And if there's one thing that our future workforce needs -- and I think we can all agree on this -- it's diversity. But that diversity shouldn't end with gender or race. We need a diversity of backgrounds and skills, with introverts and extroverts and leaders and followers. That is our future workforce. And the fact that the technology is getting easier and more accessible frees that workforce up to study whatever they damn well please!"
Open Innovation = Ideas + Consensus + Process
Here are a few excerpts from another helpful HBR article:
... the reasons more ideas from open innovation
aren’t being adopted are political and cultural, not technical. Multiple
gatekeepers, skepticism regarding anything “not invented here,” and turf wars
all hold back adoption.
in addition to having good ideas, those design
agencies whose concepts were successfully implemented had a more flexible
approach to all stages of the development process.
Successful designers took five strategic
actions to cultivate flexibility and trust. … not to drive efficiency but to
create consensus:
- Create a multi-layered network
- Foster equal ownership
- Establish interim milestones
- Build an open business case
- Prototype early
David Cutler is Managing Director at Creative Chaos. They provide tech team
augmentation and custom software development for funded Startups, Agencies,
strategy consultants, and corporate Innovation Labs, such as: McKinsey BionicSolutions and AB InBev's Zx-Ventures.
Digital Transformation Is Operation Optimization
Listen here as eMarketer interviews top marketers about the challenges of Digital Transformation.
This is my summary with my POV... well, at least what I am observing that works.
Key Take Aways: #1 - The most important opportunities are beyond marketing. #2 - Have trusted nerds on speed-dial.
Digital Transformation is your Digital Strategy for your Business Operations.
Most business leaders are in "shock and awe." Help them.
"Digital" is over... everything is Digital
Hard to keep up - new channels - IoT, Connected Home, Car, voice! Since it is a constantly evolving market ... ther should be less pressure to know everything
Embrace the iteration process. Get ANYTHING into the market to react to - test test test!
FIX YOU FIRST.
- Use tech to deliver visibility and truth.
THEN YOUR CUSTOMERS.
- Silos must intersect and flow around a consistent customer journey.
Hard to keep up - new channels - IoT, Connected Home, Car, voice! Since it is a constantly evolving market ... ther should be less pressure to know everything
Embrace the iteration process. Get ANYTHING into the market to react to - test test test!
FIX YOU FIRST.
- Use tech to deliver visibility and truth.
THEN YOUR CUSTOMERS.
- Silos must intersect and flow around a consistent customer journey.
OWN YOUR DATA
- Do not rely on Facebook for an assessment of YOUR customers.
GET HELP TO TEST, ITERATE, AND DIFFERENTIATE
- Get tech architects to connect the dots between platforms.
KNOW YOUR PEOPLE
- Opportunities are around them. Just make them more productive!
- Do not rely on Facebook for an assessment of YOUR customers.
GET HELP TO TEST, ITERATE, AND DIFFERENTIATE
- Get tech architects to connect the dots between platforms.
KNOW YOUR PEOPLE
- Opportunities are around them. Just make them more productive!
Have CTRL = Content, Timing, Relevance, Location
Get out there and FEEL real retail experiences.
Emotional connections are NEEDED in this digital world
- acknowledge our very human analog existence
Get out there and FEEL real retail experiences.
Emotional connections are NEEDED in this digital world
- acknowledge our very human analog existence
Accept that there is ROI from learning
Make it fun to find mistakes since they are the process
Embrace sharing and learning together between client, vendor, customer
Marketers must be:
- Data Scientists (know enough to see the truth)
- Social Butterflies (friend and critic of media platforms)
- Economists (choosing priorities ...that produce)
Set innovation funds to experiment (removed from brand P and L)
Support successes (Remember cross-corp knowledge sharing)
Again, Summary: Have trusted nerds on speed-dial
Our Only Hope ... Is TechDev!
The "inside" Digitization needs of our corporate clients are not changing... they have been trying to evolve their Digital operations for decades.
The problem is that this transition to digital efficiency is difficult emotionally (who prioritizes what?) and technologically (who is coding what?).
The big Management Consultants have seized this opportunity by helping CEOs directly with this heavy lifting. Marketing Agencies are not... but they should and they can... by adding technology solutions beyond the Media Platforms.
Accenture, Deloitte, Mckinsey, PwC, etc. always follow the opportunity (so can you).
Here are some excerpts from the latest Advertising Age Cover Story - "Out of the Shadows, Consultants Creep in on Agency Turf."
... bring together the agency's data, analytics, research, CRM and search technology capabilities with the goal of creating more personalized content for clients.
The big consultancies are underestimating the value of creativity [and] the agencies are under- exploiting the value of business analytics," said Ivan Pollard, senior VP-strategic marketing at Coca-Cola Co. "Someone's going to crack that soon because data plus creativity is the future."
... startups like Uber and Airbnb have built brands by disrupting traditional business models with easy-to-use consumer interfaces—not with big ad budgets.
"Historically, brands have been built by pushed messages" with ads that gave "suggestions about how you should feel, or emote or think about a product or service," he added. But "we don't believe that is true at all anymore." Instead, Accenture's philosophy is that brands are built through "hundreds of customer interactions," ranging from e-commerce experiences to how people are treated in physical stores
The new branding is this idea of building experiences for customers that allow them to experience you in ways that are much more honest and truthful and engaging than just standing on Mount Olympus shouting what it is that you want somebody to believe about your brand,
One of the things that the consultancies have going for them is that they are not going through the traditional marketing channels. They are either going top-down through CEOs, or they are even going through the board
Once inside, consultancies position themselves as cost savers via big reorganization projects, while ad agencies are perceived as cost drivers
Deloitte Digital's agency Heat says, " We won this account specifically because we understood their business. We could bring all of the competitive intelligence and business strategy to bear in the creative pitch process and ultimately brought a data-driven approach to world-class creative," Hatch said. "You've got to check all those boxes."
SO... the article headline is wrong. What the Managing Consultants provide has never been the "Turf" of the Agencies.
However, technology solutions integrated across a clients business goals is an opportunity AND an obligation for all vendor/partners.
FYI - Adweek also explodes this in the "Big Bang - New World Order - Global consultancies are rocking the agency world, creating a new universe of offerings that meld marketing and technology."
The problem is that this transition to digital efficiency is difficult emotionally (who prioritizes what?) and technologically (who is coding what?).
The big Management Consultants have seized this opportunity by helping CEOs directly with this heavy lifting. Marketing Agencies are not... but they should and they can... by adding technology solutions beyond the Media Platforms.
Accenture, Deloitte, Mckinsey, PwC, etc. always follow the opportunity (so can you).
Here are some excerpts from the latest Advertising Age Cover Story - "Out of the Shadows, Consultants Creep in on Agency Turf."
... bring together the agency's data, analytics, research, CRM and search technology capabilities with the goal of creating more personalized content for clients.
The big consultancies are underestimating the value of creativity [and] the agencies are under- exploiting the value of business analytics," said Ivan Pollard, senior VP-strategic marketing at Coca-Cola Co. "Someone's going to crack that soon because data plus creativity is the future."
... startups like Uber and Airbnb have built brands by disrupting traditional business models with easy-to-use consumer interfaces—not with big ad budgets.
"Historically, brands have been built by pushed messages" with ads that gave "suggestions about how you should feel, or emote or think about a product or service," he added. But "we don't believe that is true at all anymore." Instead, Accenture's philosophy is that brands are built through "hundreds of customer interactions," ranging from e-commerce experiences to how people are treated in physical stores
The new branding is this idea of building experiences for customers that allow them to experience you in ways that are much more honest and truthful and engaging than just standing on Mount Olympus shouting what it is that you want somebody to believe about your brand,
One of the things that the consultancies have going for them is that they are not going through the traditional marketing channels. They are either going top-down through CEOs, or they are even going through the board
Once inside, consultancies position themselves as cost savers via big reorganization projects, while ad agencies are perceived as cost drivers
Deloitte Digital's agency Heat says, " We won this account specifically because we understood their business. We could bring all of the competitive intelligence and business strategy to bear in the creative pitch process and ultimately brought a data-driven approach to world-class creative," Hatch said. "You've got to check all those boxes."
SO... the article headline is wrong. What the Managing Consultants provide has never been the "Turf" of the Agencies.
However, technology solutions integrated across a clients business goals is an opportunity AND an obligation for all vendor/partners.
FYI - Adweek also explodes this in the "Big Bang - New World Order - Global consultancies are rocking the agency world, creating a new universe of offerings that meld marketing and technology."
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