Category: Grow Business

#1 way to accelerate growth: consensus

You need consensus among your senior leadership team. Without that, any strategy will be practically useless for the company because it won’t be applied. No matter how smart the thinking is, the strong individuals attracted to leadership positions have different skill sets, personalities, agendas, etc. And they will naturally pursue the directions that appear correct to them.

Microsoft is a great example of this. Their lateral competitive structure brought them innovations that were ahead of the market for a time, but now they suffer from lack of cooperation between departments.

They need a unifying vision strong enough to overcome this lack of cooperation or they will fade away as a market leader.

The leadership team must be unified to be efficient. If not, there will inevitably be multiple directions pursued at any given time, which will impede growth. The best way—perhaps the only way—to achieve true consensus is for all the senior staff to be engaged in the process of developing the visionary strategy platform. All guidelines and principles need to be generated collectively with full leadership participation.

Caution: If you hire a consultant to help develop a growth plan, that consultant will not want to engage in a true consensus-building process. It is much easier to do a few interviews within the organization, complete a little outside research, and come back to inform you of who you should pretend to be in order to meet the current demand. This is exactly how it’s been done for years, but it cannot be effective in creating an executable, long-term vision for an organization that faces a newly empowered buyer.

 

What’s being demanded by the empowered buyer?

The research company GlobeScan annually surveys a thousand top thought leaders, as well as the general public, in a majority of countries around the world on some really pertinent issues. At the Sustainable Brand Conference in 2007, Rob Kerr, Executive VP of GlobeScan, discussed recent key findings. That research showed how rapidly the consumer’s sense of empowerment is increasing. Does the consumer believe they possess the power to influence a company’s behavior? Over the last few years there is strong and steady growth in mainstream activism in most countries.

It’s no surprise there is now a strong belief that a company should be rewarded for being socially and environmentally responsible, but there is an even stronger sense that a company should be punished for harming social and environmental health. In North America, 46% of leaders say they would reward a company for good behavior while 55% say they would punish a company for behavior that may damage social or environmental health. Now, that’s a sense of empowerment.

These statistics indicate there are a growing number of individuals around the world who feel they can apply pressure that will force companies to comply with their desires. And, of course, they are right. Companies desperately need those who will purchase their products or services. There is no business without someone to do business with.

It is interesting that the sixties helped us distrust authority, but it took until now sometime after the turn of the century—to really understand that the buyer, not the seller, has the power.

The Brand is losing power.

We want more—more than just “stuff” for the sake of having it. We want more than the emotional high of associating our personal worth with the brands we choose. We want less jargon and more for our money. We want to save the trees, save the planet, save the children, and educate the poor, and we want a product that does what it claims it will do. Or we’re out.

This is an exciting time for brands who prefer telling the truth. It’s encouraging that we are all demanding more from the products and offerings we spend our money on. It restores a little faith in human nature. But it will also increase the demands on the business owners to pay attention to their customers and to find a way to be accurate about who their company is and it’s motivations. The question is how?