Category Archives: Leadership

The Five Gifts of Uncertainty

GUEST POST from Robyn Bolton

“How are you doing? How are you handling all this?”

It seems like 90% of conversations these days start with those two sentences. We ask out of genuine concern and also out of a need to commiserate, to share our experiences, and to find someone that understands.

The connection these questions create is just one of the Gifts of Uncertainty that have been given to us by the pandemic.

Yes, I know that the idea of uncertainty, especially in big things like our lives and businesses, being a gift is bizarre. When one of my friends first suggested the idea, I rolled my eyes pretty hard and then checked to make sure I was talk to my smart sarcastic fellow business owner and not the Dali Lama.

But as I thought about it more, started looking for “gifts” in the news and listening for them in conversations with friends and clients, I realized how wise my friend truly was.

Faced with levels of uncertainty we’ve never before experienced, people and businesses are doing things they’ve never imagined having to do and, as a result, are discovering skills and abilities they never knew they had. These are the Five Gifts of Uncertainty

Necessity of offering a vision – When we’re facing or doing something new, we don’t have all the answers. But we don’t need all the answers to take action. The people emerging as leaders, in both the political and business realms, are the ones acknowledging this reality by sharing what they do know, offering a vision for the future, laying out a process to achieve it, and admitting the unknowns and the variables that will affect both the plan and the outcome.

Freedom to experiment – As governments ordered businesses like restaurants to close and social distancing made it nearly impossible for other businesses to continue operating, business owners were suddenly faced with a tough choice – stop operations completely or find new ways to continue to serve. Restaurants began to offer carry out and delivery. Bookstores, like Powell’s in Portland OR and Northshire Bookstore in Manchester VT, also got into curbside pick-up and delivery game. Even dentists and orthodontists began to offer virtual visits through services like Wally Health and Orthodontic Screening Kit, respectively.

Ability to change – Businesses are discovering that they can move quickly, change rapidly, and use existing capabilities to produce entirely new products. Nike and HP are producing face shields. Zara and Prada are producing face masks. Fanatics, makers of MLB uniforms, and Ford are producing gowns. GM and Dyson are gearing up to produce ventilators. And seemingly every alcohol company is making hand sanitizer. Months ago, all of these companies were in very different businesses and likely never imagined that they could or would pivot to producing products for the healthcare sector. But they did pivot.

Power of Relationships – Social distancing and self-isolation are bringing into sharp relief the importance of human connection and the power of relationships. The shift to virtual meetups like happy hours, coffees, and lunches is causing us to be thoughtful about who we spend time with rather than defaulting to whoever is nearby. We are shifting to seeking connection with others rather than simply racking up as many LinkedIn Connections, Facebook friends, or Instagram followers as possible. Even companies are realizing the powerful difference between relationships and subscribers as people unsubscribed en mass to the “How we’re dealing with COVID-19 emails” they received from every company with which they had ever provided their information.

Business benefit of doing the right thing – In a perfect world, businesses that consistently operate ethically, fairly, and with the best interests of ALL their stakeholders (not just shareholders) in mind, would be rewarded. We are certainly not in a perfect world, but some businesses are doing the “right thing” and rea being rewarded. Companies like Target are offering high-risk employees like seniors pregnant women, and those with compromised immune systems 30-days of paid leave. CVS and Comcast are paying store employees extra in the form of one-time bonuses or percent increases on hourly wages. Sweetgreen and AllBirds are donating food and shoes, respectively, to healthcare workers. On the other hand, businesses that try to leverage the pandemic to boost their bottom lines are being taken to task. Rothy’s, the popular shoe brand, announced on April 13 that they would shift one-third of their production capacity to making “disposable, non-medical masks to workers on the front line” and would donate five face masks for every item purchased. Less than 12 hours later, they issued an apology for their “mis-step,” withdrew their purchase-to-donate program, and announced a bulk donation of 100,000 non-medical masks.

Before the pandemic, many of these things seemed impossibly hard, even theoretical. In the midst of uncertainty, though, these each of these things became practical, even necessary. As a result, in a few short weeks, we’ve proven to ourselves that we can do what we spent years saying we could not.

These are gifts to be cherished, remembered and used when the uncertainty, inevitably, fades.

Image credit: Pixabay

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Hyper-Innovation

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A Change Management Strategy for Better, Faster Ideas

Hyper-Innovation

GUEST POST from Douglas Ferguson

The nature of innovation is that it is a hyper-fluid force that is never fully predictable. A well-curated change management strategy helps to harness the power of innovative change.

Innovation plays a significant role in driving positive change, as 51% of organizations attribute their success to innovative initiatives, all of whom also experienced an 11% increase in revenue.

In this article, we trace the pathway to innovative change in the following topics:

The Plan for Change
Designing Strategies for Change
An Agile Approach to Transformation
Getting Curious About Change

The Plan for Change

In charting a course to bigger and better ideas, a clear change management strategy helps to identify a direct path forward. Creating a thoughtful change management strategy allows you to plan several steps ahead and steer change in your favor.

The most intentional change management strategies focus on proactive change. The following are key elements in creating a proactive path for change:

1. Prepare to Plan

Preparing to create a change management strategy is essentially planning to plan. As you consider the best approach to creating change, take time to map out each step of your strategy. While it may seem more effective to just dive in, remember that intentionality is the name of the game in lasting change.

2. Cultivate Transparency

Many changes are unexpected and unwanted. For this reason, many organizations make the mistake of keeping changes quiet from the rest of the team. However, this type of secrecy can sabotage your organizational transformation.

Make it a point to cultivate a sense of transparency at every level of your organization. By including all parties in your plans for change, you’ll get a head start on driving innovation. When team members feel included in major decisions like a big change, they are more likely to accept and support it going forward.

3. Encourage High Tolerance

Tolerance for change is a muscle that should be exercised. Challenge your team members to fight their resistance to change by sharing the benefits of change. Explaining “what’s in it for me” gives team members a reason to root for change while increasing their tolerance for the unknown.

4. Monitor and Measure

Just as true change is a long-term endeavor, creating a change management strategy isn’t just a one-time event. Successful strategies for change will never be static, making monitoring and measuring key performance indicators a perpetual part of the change management process.

Design a fluid change management strategy by teaching your team to measure success, monitor potential problems, and resolve issues as efficiently as possible. This way, your strategy for change will evolve according to your needs.

Designing Strategies for Change

A design thinking change management strategy places team members at the heart of a change. This people-first approach to purposeful change lets team leaders curate a strategy with the greatest benefits for all parties involved. At Voltage Control, we explore design thinking as a change management practice to inspire the most innovative ideas, allowing team members to shape new initiatives together.

Apply design thinking to your change management strategy in the following ways:

1. Find the ‘What’ of Change

Design thinking facilitates purposeful change. Shape your change management strategy by determining the “what” of your change to inform your path to the most viable and innovative solutions.

2. Center Empathy

Successful changes tap into our emotions. Design thinking cuts to the heart of a change by prioritizing empathy from the very beginning. Harness empathy in your next change by considering your team members’ mindsets and perspectives before implementing change. Continue to research how all participants will be impacted by a change as you incorporate empathy into your change strategy.

3. Use Divergent Thinking

Employ divergent thinking in your change management strategy. Through a design-centered approach, shape a plan for change that encourages collaborative thinking, integrated innovation, and holistic decision-making.

4. Practice Constant Experimentation

Experimentation is the beating heart of design thinking. Make the strategizing process more tangible by testing new ideas and running experiments to see what works. By testing an idea on a small scale, you’ll be able to make the necessary changes to help shape your initiative for real change.

An Agile Approach to Transformation

An agile approach to change management zeroes in on a faster, more urgent need for transformation. Agile principles offer a valid framework for transformation. Agile is tailor-made for systemic problem-solving, allowing team members to find the most groundbreaking solutions to the most persistent problem.

According to Carie Davis, a corporate innovation specialist, inventing new methods for problem-solving is the key to driving innovative change. Regardless of how powerful an initial initiative is, lasting change won’t take hold until it truly transforms an organization. For this reason, Davis suggests that businesses initiate long-term shifts by starting small and by making little changes at the core of the company. These smaller changes are a key part of Agile change management strategy and are instrumental in catalyzing lasting transformation.

Consider applying agile methodology to your change strategy in the following ways:

1. Go Lean

Focus on a change strategy that provides increased value and positive change. Going lean allows for rapid transformation by limiting factors that waste resources, energy, and time.

2. Practice Continuous Improvement

Agile champions continuous improvement through small changes over time. These small changes lead to the most significant shifts.

3. Encourage Employee Authorship

Innovative change doesn’t happen with a top-down approach. Create an agile-informed change management strategy by bringing your employees into the decision-making process. This way, all team members can determine the most pressing areas for improvement and make meaningful contributions as they work together to co-create the next change.

4. Practice Reflective Improvement

In shaping a change management strategy to grow with your organization, practicing reflective improvement guarantees consistent long-term change. Regularly evaluate your organization’s performance and initiatives as you continue to shape your change management strategy into a better, leaner plan.

Getting Curious About Change

In designing the most innovative change management strategy, don’t forget to consider a sense of curiosity. Thrive through change and drive innovation by cultivating a curious desire to be better than ever.

Research shows that curiosity allows us to welcome new experiences with less defensiveness and aggressiveness. By responding to the unknown in uniquely positive and inquisitive ways, your teams can dream up the most imaginative solutions on their path to lasting change.

In addition to helping teams accept change, facilitating a sense of curiosity is an essential component in designing an innovative workplace. In creating a culture of curiosity, you’ll encourage team members to become change agents themselves. With a desire to learn more, be more, and do more, you’ll be able to reframe the potential pitfalls of change and the fears that come with it as an opportunity to get better and better.

Innovation and change are infinitely interconnected. Harness the power of both by designing a change management strategy that continues to transform your organization in the best ways possible. Explore our offerings to learn more about taking change management to the next level.

Image credit: Pixabay

Article first seen at VoltageControl.com

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3 Things for the New Year

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3 Things for the New Year

GUEST POST from Mike Shipulski

Next year will be different, but we don’t know how it will be different. All we know is that it will be different.

Some things will be the same and some will be different. The trouble is that we won’t know which is which until we do. We can speculate on how it will be different, but the Universe doesn’t care about our speculation.

Sure, it can be helpful to think about how things may go, but as long as we hold on to the may-ness of our speculations. And we don’t know when we’ll know.

We’ll know when we know, but no sooner. Even when the Operating Plan declares the hardest of hard dates, the Universe sets the learning schedule on its own terms, and it doesn’t care about our arbitrary timelines.

What to do?

Step 1: Try Three New Things

Choose things that are interesting and try them. Try to try them in parallel as they may interact and inform each other. Before you start, define what success looks like and what you’ll do if they’re successful and if they’re not.

Defining the follow-on actions will help you keep the scope small. For things that work out, you’ll struggle to allocate resources for the next stages, so start small. And if things don’t work out, you’ll want to say that the projects consumed little resources and learned a lot.

Keep things small. And if that doesn’t work, keep them smaller.

Step 2: Rinse and Repeat

I wish you a happy and safe New Year.

And thanks for reading.

Image credit: Pexels

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Five Questions All Leaders Should Always Be Asking

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Five Questions All Leaders Should Always Be Asking

GUEST POST from David Burkus

Leaders don’t need to have all the answers.

That sounds counterintuitive. There is a lot of pressure on leaders to have the right answers and to solve problems that team members can’t solve on their own. In fact, most leaders were promoted into a leadership role because they had many more of the right answers than others in the organization. And the further up the hierarchy you go, the bigger the problems and bigger the expectations for answers.

But the more complex work gets, and the more complex problems get, the harder it is to know all the answers. So, it’s okay if you don’t know all the answers. But leaders should always be seeking out answers. To lead well, there’s a few answers leaders should always be working to find.

Which means there’s a few questions leaders should always be asking. In this article, we’ll outline the top five of those questions.

1. What are our real priorities?

The first question leaders should always be asking is “what are our real priorities?” Teams are tasked with all sorts of projects and objectives. And the reward for getting those projects done well is often…more projects. Doing new tasks well results in people asking you to do more work. And when new tasks come up, many teams succumb to the tyranny of the urgent and focus their attention on the newest tasks assigned. But that can often mean diverting focus from what are actually the most important tasks. In addition, when circumstances change or when new problems arise, it can change what tasks matter most. So, leaders need to be asking—and re-asking—what the real priorities are often and then making that answer clear to their team. That way the team stays committed to what matters—and not just what’s new.

2. Where are our potential roadblocks?

The second question leaders should always be asking is “where are our potential roadblocks?” Once you know what the real priorities are, ask what could derail your team from achieving those roadblocks. The concept of leader as roadblock remover is a simple one rooted in trust. Great leaders trust that, once their people know what they need to do, those same people will also know best how to do it. That means a leader’s job isn’t telling them how to work better, it’s finding the barriers that are keeping people from doing their best work and removing them. If you’ve built trust and rapport with your team, they’ll likely just tell you. But the nature of your role as a leader also means you can anticipate some barriers based on what else you see happening in the organization or your environment. But roadblocks can pop up unexpectedly, so don’t just ask once. Keep asking.

3. What am I not hearing?

The third question leaders should always be asking is “what am I not hearing.” There’s a reason the warning “don’t shoot the messenger” became a cliché. It’s because many leaders shoot the messenger. And even if they don’t, many team members fear of being shot keeps them from sharing openly. (I hope it’s clear we’re using “shoot” as a metaphor here…we do not endorse firearms as a management tactic.) That means there’s likely certain bits of information that team members know that you’re completely unaware of. That can undermine your decision-making and your leadership. And reversing that trends starts by asking regularly what you may not be hearing or by extension who you’re not hearing from. Then take the time to amplify those unheard voices and signal your consideration for what they shared. That not only keeps you more informed in the short term but also makes it less likely you’re not hearing important information in the long term.

4. Who isn’t being challenged?

The fourth question leaders should always be asking is “who isn’t being challenged?” People tend to be most motivated and engaged in a task when the demands of the job match their skills and capacity. Too much of a challenge can lead to stress and burnout. But too little of a challenge can lead to boredom and…burnout. And while members of your team may have entered their role in the sweet spot between demands and ability, many of them have likely grown and improved their skills…which means they might be falling out of the sweet spot and being less challenged. Great leaders are proactive not only in creating new growth opportunities for their people, but also new challenges or new projects to keep them in the sweet spot of engagement.

5. How is our motivation?

The fifth question leaders should always be asking is “how is our motivation?” The attitudes and emotions of a team and its members can change quickly, and so can their collective level of motivation. So, leaders need to be monitoring motivation levels constantly and finding ways to keep motivation inside the ideal range. Especially for teams on the front-lines and in the middle of the organization, the flowery speeches and mission statements that come from senior leadership are not enough to keep motivation high all the time. When the day-to-day tasks get demanding, it’s hard to even remember how one person’s work makes a difference. But this is where team leaders are most important. It’s up to the team leader to make that connection and be constantly reminding the team why their work matters.

In the end, people want to do work that matters and that challenges them to grow. And that’s what makes these five questions so important. Because the answers to these questions, even though they change over time, provide leaders with the knowledge they need to help their team know their work matters and help their team find new challenges. And that helps their team do their best work ever.

Image credit: Pexels

Originally published at https://davidburkus.com on January 9, 2023.

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Getting Through Grief Consciously

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Getting Through Grief Consciously

GUEST POST from Tullio Siragusa

Life brings opportunities, happiness, and skyrocketing success when we decide to live it fully and without fear. Along with that, we will face challenging times that will cause us to grieve.

Globally, we are all facing a form of grief right now. Be it the loss of a loved one to Covid-19, or the loss of our free way of life — grief is all around us. Before this pandemic that we are experiencing collectively, you may have suffered the loss of loved ones for other reasons, or you may have gone through a divorce, a breakup, the loss of a friendship, or the loss of a pet.

There are many forms of loss. You can experience loss of money, your job, reputation, your faith, health, and even loss of hope.

“Loss is a normal part of life and grief is part of the healing process if we learn to face it with grace.”

To get through grief with grace it’s ideal to face it with the help of others, but for the most part you have to get through it alone. We are privileged to have family, friends, spiritual direction, therapists, life coaches and other support groups around us, but healing grief is essentially between you and yourself.

“In time of grief you need to embrace yourself, love yourself and cure yourself.”

It is easier said than done, but there is truly no other way around grief than to face it fully on your own, courageously, vulnerability and with grace.

Importance of Grace

We all, at some point in our lives, have felt as if we reached our breaking point, but eventually we wake up to the desire to not be broken for rest of our lives. For instance, while going through hard times we are not always acting our best selves. Harsh words are often exchanged with others out of the need to “dump the pain” on someone else to feel some sense of relief. After doing that, we often feel guilty about it and apologize.

It is not bad to apologize, but losing your temper and saying things you normally would not say can not only tarnish your image, but can scar someone badly enough that you lose their trust for a long time, and sometimes forever.

“When you manage your emotions while grieving, you hold on to grace, and grace is the energy of mercy for yourself and others.”

Our personality gets groomed with every pain we overcome. If we walk through life’s journey with a mindset that everything happens for a reason, and everything happens to teach us something new, then every challenging time becomes an opportunity to add strong positive and graceful traits to our personality.

The people who learn to manage their emotions during the toughest times without falling apart, add an unprecedented trait of composure, grace and an emotionally intelligent personality.

How to Get Through Grief with Grace

First, you need to fully acknowledge that grief is normal. It is not a disease. It is not a sign of weakness, or lack of emotional intelligence.

Our human body and mind is built to respond to situations. When we lose something, or someone precious, grief comes knocking. Trying to avoid that grief is not the right way to get over it. The best way to deal with grief is to embrace it and get through it.

One of my spiritual teachers used to say: “The only way to get to the other side of hell, is one more step deeper into it, that is where the exit door is waiting for you.”

“In order to grieve with grace, we need the courage to face loss as normal as anything else we experience in life.”

I know people who have avoided facing the loss of their loved ones for years, but ultimately, they had to go through it and face it. Grief will come for you no matter what, so why postpone it?

The foremost thing to handle any tough situation is to develop gratitude for all those blessed situations in your life that make it beautiful. No doubt, feeling gratitude while grieving is almost impossible, but if you develop a habit of being grateful on a daily basis, it becomes possible to feel it even during tough times.

If you are going through grief, find a peaceful place away from all those people reminding you of the loss, and try to connect to any happy moment you can recall. Feel that moment in your heart. Hold on to that feeling as long as possible and write it down later.

Whenever you feel broken, be mindful of such moments. You will soon be able to tap to a comparatively happy person inside you, anytime you need to.

“The way to develop your grace muscle is to live daily with gratitude and make a mental library of the happy moments in your life that you can borrow against, during difficult times.”

We have been living in a time in history void of pain. We are constantly seeking happiness and running from pain and suffering. Now we are being forced to face pain, suffering, uncertainty, and loss.

There are blessings inherent within loss and suffering. The blessings are always revealed on the other side of grief, and it is always hard to believe that the blessing is happening amidst grief and pain. However, if you look back in your life at the moments that defined you, the moments when you experienced the most Light, the most blessings — it was soon after your darkest hours.

“When we move through the process of grief believing in our ability to grow from the experience, we become more aware of the blessings in disguise that will come out of it.”

A sense of serenity can be achieved through releasing the pressure of the expectations of a set pattern for your life. There comes a moment when it is better to embrace what you can’t change, and develop the courage to strive for what you can.

“Acknowledging your capacities and the difference between what you can and what you can’t control, will make it easier to go through grief.”

What I am talking about is the power of surrendering to what is, instead of holding on to what could have been. For most people, grace is among the most precious trait of their personality and behavior.

If you have lost something or someone precious that is an irreparable loss, it is important to take care of yourself during those testing times. Remember that all chaos comes with an expiration date, and to surrender to the change you need to make to keep moving forward.

Remember the blessings in your life, be grateful for what is, has been, and will be, and be patient with yourself.

NOTE: For all those who have lost loved ones during the Covid-19 pandemic and have not been able to properly say goodbye, I wish that their memory be a blessing in your life.

Image credit: Pexels

Originally published at tulliosiragusa.com on April 27, 2020

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99.7% of Innovation Processes Miss These 3 Essential Steps

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99.7% of Innovation Processes Miss These 3 Essential Steps

GUEST POST from Robyn Bolton

Congratulations! You developed and are using a best-in-class Innovation Process.

You start by talking to consumers, studying mega-trends, and scanning the globe for emerging technologies and disruptive offerings.

Once you find a problem and fall in love with it, you start dreaming and designing possible solutions. You imagine what could be, focused on creating as many ideas as possible. Then you shift to quality, prioritizing ideas that fit the company’s strategy and are potentially desirable, viable, and feasible.

With prioritized ideas in hand, you start iterating, an ongoing cycle of prototyping and testing until you confidently home in on a solution that consumers desire, is technically feasible, and financially viable.

But you don’t stop there! You know that ideas are easily copied by innovative business models are the source of lasting competitive advantage, so you think broadly and identify financial, operational, and strategic assumptions before testing each one like the innovation scientist you are.

If (and when) a solution survives all the phases and stage gates and emerges triumphant from the narrow end of the innovation process, there is a grand celebration. Because now, finally, it is ready to go to market and delight customers.

Right?

Wrong.

The solution’s journey has only just begun.

What lies ahead can be far more threatening and destructive than what lies behind.

Unless you planned for it by including these three steps in your innovation process.

1. Partnership with Sales

During testing, you ask consumers to give feedback on solutions. But do you ask Sales?

Salespeople spend most of their time outside the office and in stores, talking to customers (e.g., retailers, procurement), consumers, and users. They see and hear what competitors are doing, what is working, and what isn’t. And they will share all of this with you if you ask.

When I ask why innovation processes don’t include Sales, I hear two things (1) “it’s too early to talk to Sales” and (2) “they always tell us the same thing – it’s too expensive.”

First, if you have a concept (or two or three) with a 50/50 shot of going to market, call a few Salespeople and ask for their reactions. Nothing formal, no meeting required—just a gut reaction. And once you get that, ask when they’d like to talk again because their perspective is essential.

Second, “too expensive” should never be the end of the conversation. It’s one piece of feedback, ask follow-up questions to understand why it’s too expensive, then ask, “What else?” There’s always more, and some of it is useful. Plus, better to hear it now than months or years from now at the launch announcement.

2. Relay with Operations

Most companies have a process between the end of the innovation process and shipping the new offering. It’s where sourcing, manufacturing, shipping, inventory management, contracting, and many other crucial and practical decisions and plans are made.

Also, at most companies, the “transition” from the innovation process to the operational process is akin to chucking something over a wall. “Here you go,” Innovation seems to say, “we proved this will be a big business. Now go make it happen!”

Unfortunately, Supply Chain, Manufacturing, and everyone else affected usually stand on the other side of the wall, solution in hand, mouth agape, eyes wide, thinking, “Huh?”

Instead of an abrupt hand-off, the Innovation Process needs to identify when the relay-style hand-off starts, and Innovation and Operations run side-by-side, developing, adjusting, and honing the solution.

3. Hand-off to the Core Business

The hand-off to the Core Business is the most precarious of all moments for an innovation. The moment it leaves the Innovation team’s warm, nurturing, and forgiving nest and moves into the performance-driven reality of the Core Business.

The Core Business knows why it was added to the P&L, but they don’t understand how it came to be or why it is the way it is. And they definitely don’t love it as much as you do. All they see is a tiny, odd thing that requires lots of their already scarce resources to become something worthwhile.

Instead of depositing beloved solutions on the Core Business’ doorstep like an unwanted orphan, Innovation Process should ensure that the following three questions are answered and aligned to well before the hand-off occurs.

How material (revenue, profit) does a solution need to be to be welcomed into the Core Business?
Who runs the new business, and what else is on their plate?
What mechanisms are in place to ensure the Core Business supports the new solution during its tenuous first 1-3 years?

Create a process that creates innovation

Invention is something new.

Innovation is something new that creates value.

Innovation processes that focus solely on defining, designing, developing, and de-risking a solution run the risk of being Invention process because they result in something new but stop short of outlining how the innovation will be produced at scale, launched, scaled, and supported for years to come. You know, all those things required to create value.

BTW:

99.7% isn’t an exact number. In my experience, it’s 100%. But I wanted to leave some wiggle room.
I am 100% guilty of forgetting these three things.
If you’re trying to innovate for the first time in a loooooooong time, it’s ok to focus on the front end of innovation (define, design, develop, de-risk) and tackle these three things later. But trust me, you will need to tackle them later.

Image credit: Pexels

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Startups Must Be Where Their Customers Are

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Startups Must Be Where Their Customers Are

GUEST POST from Steve Blank

“A CEO running a B-to-B startup needs to live in the city where their business is – or else they’ll never scale.”

I was having breakfast with Erin, an ex-student, just off a red-eye flight from New York. She’s built a 65-person startup selling enterprise software to the financial services industry. Erin had previously worked in New York for one of those companies and had a stellar reputation in the industry. As one would expect, with banks and hedge funds as customers, the majority were based in the New York metropolitan area.

Where Are Your Biggest Business Deals?

Looking a bit bleary-eyed, Erin explained, “Customers love our product, and I think we’ve found product/market fit. I personally sold the first big deals and hired the VP of sales who’s building the sales team in our New York office. They’re growing the number of accounts and the deal size, but it feels like we’re incrementally growing a small business, not heading for exponential growth. I know the opportunity is much bigger, but I can’t put my finger on what’s wrong.”

Erin continued, “My investors are starting to get impatient. They’re comparing us to another startup in our space that’s growing much faster. My VP of Sales and I are running as fast as we can, but I’ve been around long enough to know I might be the ex-CEO if we can’t scale.”

While Erin’s main sales office is in New York, next to her major prospects and customers, Erin’s company was headquartered in Silicon Valley, down the street from where we were having breakfast. During the Covid pandemic, most of her engineering team worked remotely. Her inside sales team (Sales Development and Business Development reps) used email, phone, social media and Zoom for prospecting and generating leads. At the same time, her account executives were able to use Zoom for sales calls and close and grow business virtually.

There’s a Pattern Here

Over breakfast, I listened to Erin describe what at first seemed like a series of disconnected events.

First, a new competitor started up. Initially, she wasn’t concerned as the competitor’s product had only a subset of the features that Erin’s company did. However, the competitor’s headquarters was based in New York, and their VP of Sales and CEO were now meeting face-to-face with customers, most of whom had returned to their offices. While Erin’s New York-based account execs were selling to the middle tier management of organizations, the CEO of her competitor had developed relationships with the exec staff of potential customers. She lamented, “We’ve lost a couple of deals because we were selling at the wrong level.”

Second, Erin’s VP of sales had just bought a condo in Miami to be next to her aging parents, so she was commuting to NY four days a week and managing the sales force from Miami when she wasn’t in New York. Erin sighed, “She’s as exhausted as I am flying up and down the East Coast.”

Third, Erin’s account execs were running into the typical organizational speedbumps and roadblocks that closing big deals often encounter. However, solving them via email, Zoom and once-a-month fly-in meetings wasn’t the same as the NY account execs being able to say, “Hey, our VP of Sales and CEO are just down the street. Can we all grab a quick coffee and talk this over?” Issues that could have been solved casually and quickly ballooned into ones that took more work and sometimes a plane trip for her VP of Sales or Erin to solve.

By the time we had finished breakfast it was clear to me that Erin was the one putting obstacles in front of her path to scale. Here’s what I observed and suggested.

Keep Your Eye on The Prize

While Erin had sold the first deals herself, she needed to consider whether each deal happened because as CEO, she could call on the company’s engineers to pivot the product. Were the account execs in New York trying to execute a sales model that wasn’t yet repeatable and scalable without the founder’s intervention? Had a repeatable and scalable sales process truly been validated? Or did each sale require a heroic effort?

Next, setting up their New York office without Erin or her VP of Sales physically living in New York might have worked during Covid but was now holding her company back. At this phase of her company the goal of the office shouldn’t be to add new accounts incrementally – but should be how to scale – repeatably. Hiring account execs in an office in New York let Erin believe that she had a tested, validated, and repeatable sales playbook that could rapidly scale the business. The reality was that without her and the VP of Sales living and breathing the business in New York, they were trying to scale a startup remotely.

Her early customers told Erin that her company had built a series of truly disruptive financial service products. But now, the company was in a different phase – it needed to build and grow the business exponentially. And in this phase, her focus as a CEO needed to change – from searching for product/market fit to driving exponential growth.

Exponential Growth Requires Relentless Execution

Because most of her company’s customers were concentrated in a single city, Erin and her VP of Sales needed to be there – not visiting in a hotel room. I suggested that:

Erin had to quickly decide if she wanted to be the one to scale the business. If not, her investors were going to find someone who could.

If so, she needed to realize that she had missed an important transition in her company. In a high-dollar B-to-B business, building and scaling sales can’t be done remotely. And she was losing ground every day. Her New York office needed a footprint larger than she was. It needed business development and marketing people rapidly creating demand.

Her VP of Sales might be wonderful, but with the all the travel the company is only getting her half-time. Erin needs a full-time head of sales in New York. Time to have a difficult conversation.

Because she was behind, Erin needed to rent an apartment in New York for a year, and spend the next six months there and at least two weeks a month after that. Her goal was to:
1. Validate that there was a repeatable sales process. It not, build one
2. Build a New York office that could create a sales and marketing footprint without her presence. Only then could she cut back her time in the City.

Finally, she needed to consider that if her customers were primarily in New York and the engineers were working remotely, why weren’t the company headquarters in New York?

I Hate New York

As we dug into these issues, I was pretty surprised to hear her say, “I spent a big part of my career in New York. I thought coming out to Stanford and the West Coast meant I could leave the bureaucracy of large companies and that culture behind. Covid let me do that for a few years. I guess now I’m just avoiding jumping back into an environment I thought I had left.”

We lingered over coffee as I suggested it was time for her to take stock of what’s next. She had something rare – a services company that provided real value with products that early customers loved. Her staff didn’t think they were joining a small business, neither did her investors. If she wasn’t prepared to build something to its potential, what was her next move?

Lessons Learned

For a startup, the next step after finding product/market fit is finding a repeatable and scalable sales process

This requires a transition to the relentless execution of creating demand and exponentially growing sales

If your customers are concentrated in a city or region, you need to be where your customers are

The CEO needs to lead this growth focus

And then hand it off to a team equally capable and committed

The full article originally appeared on Steve Blank’s blog

Image credits: Pixabay, Steve Blank

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What Business Are You In?

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(Hint: It’s Probably Not What You Think)

What Business Are You In?

GUEST POST from Robyn Bolton

“What business are you in?”

How do you answer this all-too-common question?

Do you name the company you work for?

The industry you’re in?

The function you perform?

Bad news, your business isn’t defined by the company, the industry, and even your function.

Good news, the business you’re in is defined by your customers.

And their definition unlocks incredible potential for innovation and growth.

The 2:00 am Answer

In my first few months as an Assistant Brand Manager at P&G, I had a truly terrifying experience. Sitting in a training session, a senior executive locked eyes with me and asked, “What is Brand Equity?”

My first thought was, “you tell me, buddy. I’m the newbie here.” My second thought, and the one that came out of my mouth, was probably something straight out of a marketing textbook.

“Wrong!” he exclaimed. “Brand equity is what a consumer says if you wake them up from a dead sleep at 2:00 am and scream ‘What is [brand]?’ in their face.”

I don’t know what scared me more, being yelled at for being wrong or the idea that breaking and entering and screaming brand names at unsuspecting sleepers was suddenly part of my job description.

The 2:00 am Answer is the business you’re in

The 2:00 am answer applies to more than just brand equity.

It reveals the business you’re in.

Because it’s the Job-to-be-Done your customers hire you to do

As the training went on, we learned how this mantra manifests in everything a brand (or company) does – its products, pricing, packaging, distribution, and marketing.

For example, if the most important thing to you about laundry is that clothes come out of the washing machine clean, you have dozens of options and probably buy the cheapest one.

But, if you want to be sure that clothes will be immaculate after the first wash because you know your kids will wear anything, even if it has stains, which will lead the other parents to judge you, you have one option – Tide.

Why the 2:00 am Answer matters

The 2:00 am Answer also defines where you have a right to play and to win.

Sometimes this space is bigger than you expect, revealing incredible opportunities for innovation and growth.

Sometimes it’s smaller than you want, exposing a strategic misalignment between what you offer and what your customers want. This happened to LEGO and took the company to the brink of bankruptcy.

In 1998, LEGO posted its first loss in company history. To reinvigorate growth, it shifted from being in the business of Toys to being in the business of Play. This led to two decisions that, while strategically aligned with Play, almost bankrupted the company. First was the introduction of new toys specifically designed to be built in less than 10 minutes so kids could start playing quickly. The second decision took LEGO into other aspects of play – video games, amusement parks, and a TV show supported by a line of action figures.

In 2003, LEGO reported a $238M loss, and with only one profitable product line, the future was bleak. So, LEGO started talking to customers (though probably not at 2:00 am). Through the conversations, LEGO learned that its expansion into all forms of play and the prioritization of Play over creation (building) wasn’t LEGO-y in the minds of consumers. So they rejected the new offerings. Instead, people loved LEGO because it offered “creative play” – the freedom and ability to turn ideas into tangible and interactive 3D models.

LEGO listened and went “back to the brick.” The results speak for themselves. In 2015, LEGO overtook Ferrari to become the world’s most powerful brand. In 2021, LEGO earned $8.06B in revenue, a 27% increase from the prior year.

How to get and use the 2:00 am Answer (without committing a felony)

First, get clear on the business you WANT to be in. Ask yourself and your colleagues, what do we want our customers to hire us to do? Push beyond the easy and obvious answers (usually functional Jobs to be Done). How do you want customers to feel after hiring your company (emotional Jobs to be Done)? How do you want them to be perceived (social Jobs to be Done)? What Job to be Done do you want to do uniquely well?

Second, talk to your customers one-on-one at a time and place of their choosing. Ask them why they hire your business. Again, push beyond the easy and obvious answers to understand what they want to feel and be perceived after choosing you. Ask what other options they considered and why they hired your business.

Find and close the gap. What’s the difference between what you wanted to hear and what you actually heard? If the gap is bigger than expected, how can you expand and innovate your business to grow into all the Jobs people want to hire you to do? If the gap is smaller, how can you shift or redirect efforts to grow in ways where you have permission to operate?

The 2:00 am Answer can be the key to defining, growing, and transforming your business.

Who says nothing good happens after midnight?

Image credit: Unsplash

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True Leaders Inspire Freedom

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True Leaders Inspire Freedom

GUEST POST from Tullio Siragusa

A baby elephant was tied to a pole at the zoo. For years she tried to break free tugging at the pole by the rope tied around her neck.

She tried and tried and could never break free.

Many years later, she grew to be a very big and powerful elephant. She was still tied to the same pole. She could break free of her bondage so easily now that she had become a big elephant, but her mind conditioning will not allow her. She doesn’t even try.

Much like the elephant in this story, we have been conditioned for a very long time in a work culture that is based on commands and controls. A work culture supported by an education system that was developed for the assembly line, industrial revolution. An educational system that subtly teaches subservience.

From a society’s viewpoint, we have also been part of a narrative for thousands of years that encourages self-sacrifice, for the greater good, which is contrary to our nature as human beings.

Do we have a lot stacked up against us, or do we just have the baby elephant syndrome, and think we can’t break free?

I was in Russia three years ago. Specifically, in Siberia Russia where I met with Tomsk State University students to talk about freedom-based cultures. We talked about shared authority, self-managed teams, equivalence, and leaders versus bosses.

These young men and women were curious, and open, and had many questions. I had just finished talking about the sense of duplicity that is predominant in many people’s lives today.

Having to be one way at the office, and another at home. We talked about how duplicity causes stress, and worse how it does not foster trust among people because it does not encourage authenticity.

Are you the same person at the office, as you are at home? Does your work environment dictate what you should wear at the office? Do you have to show up and leave at a certain time? Do you have to do things you don’t care to do, just to please your boss? Do you compete with your peers, or work as a team? Are you free to speak your mind and offer up suggestions for company improvements?

Today’s work environment based on command and controls, does not foster innovation, or creativity. Today’s work environment demands conformity.

“Today’s work environment wants you to stay a baby elephant for the rest of your life.”

Freedom Cultures

I went on to explain how leaders earn followers because they are willing to serve, and they are willing to be of service.

What’s the difference between serving and being of service?

You can get paid to serve but being of service is a state of being that cannot be purchased. You enjoy being of service because it is part of who you are at your core.

“True authentic leaders are of service, because they desire to serve — it is a calling.”

The difference between a boss and a leader is that of control vs. freedom. One requires you conform to how things are done, the other encourages you to find better ways to do things, to create, to innovate, and to do things on your terms.

Why would companies not embrace freedom?

Fear is the main reason. The other reason is that much like the elephant they just accept things for how they have been, instead of how things could be.

Some of the questions and comments these young men and women asked me were:

How do you make the change from a command and control to freedom-based company?
How can companies adopt this in countries that don’t encourage free societies?
This is one of those big, change the world ideas, how can it be implemented?

The questions left me feeling a sense of hope and excitement that these university students saw the value of what was being presented and started to wonder about how to implement it.

I answered every question truthfully and made myself available for follow up with any of the students. The comment made about “changing the world” stood out for me.

I looked at the young man in the eyes and said to him: “It is someone like you, who will start a company, become the leader of one, and remember this presentation, that will make the change.

Then one of your people will do the same, and the trickled down effect of that will change a society, a country, and the world.”

Some of us are on a mission to start this change, to spark it, to inspire it, with a Radical Purpose Movement to help organizations embrace freedom and equivalence.

My personal mission and responsibility, as the author of the upcoming book “Emotionally Aware Leadership” is to stop the spread of a worldwide epidemic that fosters co-dependency and keeps us in a mind-set prison of not being able to break free of controls.

“The most pervasive disease that plagues all of humanity is low self-worth.”

True leaders operate from a high level of self-worth that is inner directed, not based on external outcomes, or input. Those leaders encourage others to believe in themselves and to grow.

Want to change the world?

You must break free of the limiting mindset conditioning. You can’t be a giant elephant and act like you are still a baby tied to a pole. More importantly as a leader you want to inspire freedom in your organization, at home, and in the world.

Freedom is synonyms with happiness.

Tomsk State University presentation about freedom-centered cultures:

Image credit: Pexels

Originally published at tulliosiragusa.com on April 29, 2019

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Agility is the 2023 Success Factor

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Agility is the 2023 Success Factor

GUEST POST from Soren Kaplan

Agility, the ability to think fast and move quickly, is an imperative for every team this year.

That’s because there’s never been more uncertainty – around technology, the economy, global-political turmoil, and just about everything else.

I’ve led teams in both big companies and startups. I’ve built new teams. And I’ve helped fix dysfunctional ones.

There’s no shortage of research on the success factors for creating high-performing teams. In a landmark study, for example, Google identified “psychological safety” as the top characteristic of its most successful teams. Teams with people who feel safe to take risks and be vulnerable with one another showed better results.

Psychological safety is indeed important. Yet we can’t lose sight of another critical success factor for navigating today’s highly uncertain world, especially in 2023: agility.

Three Steps to Strategic Agility

The concept of “agility” in business originated from the field of agile software development. Agile software development involves “sprints” in which teams define short-term goals (typically two weeks), work diligently to achieve them, and then apply what they learned from the sprint to their next sprint’s goals.

Any team can apply the principles of agile software development to create greater overall agility. Whatever your team’s cadence of work, consider using the following approach to structure your work:

Define short-term goals: What do you need to accomplish by the end of your sprint?
Do the work: What work must be done and how will you do it?
Evaluate progress: Based on what you achieved, what did you learn, and what’s the next logical set of short-term goals?

Approach these steps as a repetitive cycle. For example, you might have a project you expect to take three months to complete. Most traditional teams might go through a single cycle — they define their end goal, create a three-month plan, do their work, and then after the three months are up, they reflect on their progress.

If you were to work in two-week sprints during the three-month project, however, you would have five cycles of defining goals, achieving them, and then applying your learning to make your project even more effective along the way. The agile approach accelerates and leverages continuous learning, which reduces the overall risk of your project.

Instill Agile Mindsets, Abilities, and Know-How Into Your Team

The definition of agility isn’t just about being adaptable. Agility is the ability to think and understand quickly, so you can move faster and easier. It’s a mindset. That’s why it’s important to instill specific attitudes and beliefs in your team around the importance of being flexible and accepting that goals and work can, and should, change on a regular basis.

In my latest book, Experiential Intelligence, I highlight the importance of understanding and developing your team’s mindsets, abilities, and know-how.

From the book Experiential Intelligence

For example, consider reinforcing the following mindsets, delivering training to build certain agile abilities, and providing certain tools to help your team apply specific skills as you implement your projects:

Mindsets (attitudes and beliefs)

Flexibility is a key success factor
Assumptions always exist but can be tested
Iteration drives learning and success

Abilities (high-level competencies)

Strategic thinking
Pattern recognition
Learning by doing

Know-how (knowledge and skills)

Project and task prioritization
Assumption testing
“Five whys” analysis

Agile teams possess mindsets focused on moving quickly and modifying plans on a regular basis. It’s the exact opposite of how many big companies set annual plans and stick to them no matter what. Agile teams go from sprint to sprint, challenging their mindsets and identifying the abilities and know-how necessary to achieve the goals of the following sprint. That is, before they complete a sprint, they’ve already started planning for the next one. Agility becomes a core competency of the team, supported by know-how in agile methodologies and tools.

As we’ve seen over and over, every product, service, and business model eventually gets disrupted. Agility may ultimately be your only source of sustainable competitive advantage.

BONUS: Get a free sample chapter from my latest book Experiential Intelligence – here.

Image credit: Pixabay

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