• Save
Leading  On The  Edge Of  Chaos  R E V I S E D
Upcoming SlideShare
Loading in...5
×
 

Leading On The Edge Of Chaos R E V I S E D

on

  • 2,082 views

 

Statistics

Views

Total Views
2,082
Views on SlideShare
2,079
Embed Views
3

Actions

Likes
1
Downloads
0
Comments
0

1 Embed 3

http://www.slideshare.net 3

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Leading  On The  Edge Of  Chaos  R E V I S E D Leading On The Edge Of Chaos R E V I S E D Presentation Transcript

  •  
  • Leading On The Edge Of Chaos The 10 Critical Elements Foe Success In Volatile Times AUTHOR: Emmett C. Murphy and Mark A. Murphy PUBLISHER: Prentice Hall DATE OF PUBLICATION: 2002 NUMBER OF PAGES: 226 pages Book pic
    • A timely book for today’s chaotic economy, the Murphy’s suggest 10 key strategies for business leaders.
      • If you fail to deliver, a volatile market can be terribly unforgiving.
      • How you handle uncertainty will determine your company’s success.
    THE BIG IDEA View slide
    • Rule 1: Resist the lure of “ready, fire, aim”
    • Rule 2: Aim at multiple targets –now.
      • Prepare your team for all possible scenarios, not just one likely scenario.
    • Rule 3: Pace yourself
    • Rule 4: Find a center that can hold.
      • Focus. Focus. Focus.
        • Many companies only pay lip service to their mission and vision statements.
      • Take Enron.
        • There was no real sense of values in that company.
    CHAPTER 1: MAKE HASTE SLOWLY View slide
    • There are 3 models of customer partnership:
      • The egoist
      • The bureaucracy
      • The Customer-as-partner model
    • Customer retention and satisfaction drives profits.
      • CAP checklist
        • Does staff regularly involve customers in the R&D process?
        • Does R&D seek feedback from other departments during a product development cycle?
        • Does the sales staff feed information to other departments regarding changing customer needs?
        • Does marketing continually identify new areas of buyer need?
        • Do they constantly suggest new offerings for existing customer segments?
    CHAPTER 2: PARTNER WITH CUSTOMERS
        • Do billing and collections strategies strain or build customer relations?
        • Do your people understand the profitability of various customers?
        • Do you continually strive to improve quality, speed, and cost of the service?
        • Do people understand how the end-user benefits from your product/service?
    • Partner with your potential customers.
    • Partner with your lost customers as well.
    • Effectively increase wallet share through customer partnerships.
    • Let go of “poor fit” customers.
    CHAPTER 2: PARTNER WITH CUSTOMERS
    • Practical strategies for customer partnership:
      • It’s important to remember your customers always have choices.
      • Your organization needs to honor what the frontline employees are saying.
        • High-performing leaders take the initiative to discover what customers really want and then provide it.
        • They share this with the entire company.
        • Institute small changes for huge outcomes.
        • Find the magic in your products so you can delight your customers.
        • If you are a hospital, maybe sensitivity to customer’s feelings is your edge, for instance.
    CHAPTER 2: PARTNER WITH CUSTOMERS
    • “ A purpose is the eternal condition of success”. -Theodore T. Munger
    • How do you measure commitment and purpose?
    • “ It’s not you It’s me Culture”
    • Where does your organization stand in terms of commitment?
      • Here are some techniques used to create a shared purpose:
        • Orientation and training programs that emphasize corporate values.
        • Social gatherings.
        • Storytelling events and corporate histories that dramatize guiding values
        • A unique, shared corporate language that reflects these values
    CHAPTER 3: BUILD A CULTURE OF COMMITMENT
    • Know what you’re looking for!
    • Don’t fill up empty chairs with the people who are on the layoff boundary just for the sake of filling up the bases
    • Look behind the resume.
    • Check the references personally.
    • Look beyond the obvious choices.
    CHAPTER 4: PUT THE RIGHT PERSON IN THE RIGHT PLACE, RIGHT NOW.
    • Identify and eliminate organizational practices that promote knowledge hoarding and punish knowledge sharing.
    • Involve all departments in developing a culture that rewards knowledge sharing
    • Integrate special projects with the core business so people don’t treat it as a “flavor of the month”
    • Teach people to share information through Intranet, videoconferencing, and centralized databases
    CHAPTER 5: MAXIMIZE KNOWLEDGE ASSETS
    • First, confront your financial reality.
    • Draw a financial reality chart.
    • Plot your past, present, and estimated future revenues.
    • Next, plot your past, present, and future expenses along the same timeline.
      • You cannot save your way to profit.
      • Do not invest in low-return projects
      • Aim for high-return opportunities.
      • Anticipate your upcoming cash expenditures.
      • If you choose debt to raise cash, you will not only face interest payments, you continue to drain on cash that could prevent future investments
    CHAPTER 6: CUT COSTS, NOT VALUE
  • CHAPTER 6: CUT COSTS, NOT VALUE
      • Achieve a balance between payment of payables and conversion of receivables to cash.
      • In times of volatility, companies with strong cash positions will have better analyst ratings, bond ratings, investor support and borrowing rates.
    • Measure demand.
    • Know thy competition, from the obvious rivals to the upstarts (never underestimate these) to the unforeseen rivals.
      • Practical strategies for strengthening your competitive position:
        • Take a multidimensional approach, aim for more advantages than just price and quality
        • Align the advantage with practice. Choose your main source of advantage and align the entire organization to support it
    CHAPTER 7: OUTPOSITION YOUR COMPETITORS
    • How do you keep your team motivated?
      • Be vigilant for signs of stress.
          • Signs of team stress:
            • low morale
            • increase in sick-day usage
            • increase in complaints and grievances
            • increase in illnesses or injuries
            • increased turnover.
          • Signs of individual stress:
            • Headaches
            • Avoidance
            • difficulty concentrating
            • Overreacting
            • short temper
            • Depression
            • Lackluster performance.
    CHAPTER 8: STIR, DON”T SHAKE
        • First identify the root of the problem, whether it is personal or organizational.
        • Act calm in the face of chaos.
        • Make time for humor and play.
      • Remember, it’s ok to give yourself a break.
    CHAPTER 8: STIR, DON”T SHAKE
  • CHAPTER 9: CUT THROUGH THE NOISE
    • We experience communication breakdowns mostly because of interference, cross talk, attenuation, and glitches.
    • Attenuation is when the message is so filtered down from the top that by the time it reaches people down at the frontlines, it is no longer the original message.
    • When you communicate with different types of people, you need to fashion your message in the way that they will understand it according to their own communication style.
    • Rapid response is the key to communicating in a crisis.
  • CHAPTER 10: FOCUS OR FAIL
      • Define the challenge and measure the organization’s readiness to meet it.
      • Establish a vision for meeting the challenge
      • Plan for leverage with high-impact opportunities
      • Implementation means constantly adjusting short and long term goals
      • Test, refine, and repeat. Act like you only have one chance to get things right the first time.
    • Four key rules all leaders must put into practice when bad things happen: 
      • Understand the threat
      • Plan for crisis
      • Adapt on the run
  • BusinessSummaries.com is a business book Summaries service. Every week, it sends out to subscribers a 9- to 12-page summary of a best-selling business book chosen from among the hundreds of books printed out in the United States every week. For more information, please go to http://www.bizsum.com. ABOUT BUSINESSSUMMARIES