How much do you focus on existing product performance vs future big bets?
And what folks like your or I can do differently within our organisations?
In a classic, Geoffrey Moore’s Stanford video talks about how companies build the escape velocity to move beyond the successes and pull from the past?
We all have read of companies that failed to do so in time.
Think Blackberry – from a 20% market share in 2009 to less than 0.05% in 2016.
Why does it happen and how can organisations avoid it?
Here are the key take-aways
#1What happens when we focus on performance alone : When companies focus too much on performance, they miss out on building the power to become the industry leaders that other companies envy.
Example : If you pollute the air, it’s free. And as long as it’s free people will continue with the behavior.
But unless we think about replenishing the failing system – that’s exactly what will happen.
#2Evaluate how you compensate – Are your teams compensated only for performance or also for creating/driving new opportunities/strategy.
#3How long can you get away with it
“Now, the interesting thing is, in a mature industry you can do that for a long, long time. General Motors consumed its own power for 40 years. Eventually, it ran out of power.”
#4You Manage what you measure
Do your metrics track only performance?
#5What happens in a world in which we don’t consciously manage power, is we continue to put anxiety and pressure to perform, perform, perform, but every quarter it’s a little harder to do than the last quarter”
Do give it a listen! Highly recommend
Talk : https://ecorner.stanford.edu/videos/reach-your-escape-velocity-entire-talk/
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