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5 Actions for Business Leaders to Help the Company AND the Economy

This Pesky World of Work Has Changed

The world of work has changed and it’s not coming back as we once knew it. Whether you are the chief people officer at the top, leading a department, or forging the way forward as an individual contributor, you’ve by now realized the new normal is not like the last normal.

Forces Beyond Your Control

Some forces acting on your organization are out of your control: industry consolidation, globalization, public policies of all sorts, advances in technology, a flight to values, demand for increased transparency, distrust of government and banks and cable monopolies, shifting workforce demographics, etc.

But, this doesn’t mean you are powerless, ineffective, and should sit on the sidelines. Of course, you could choose to do nothing. But, that usually isn’t a very good option for getting a desirable outcome. Your proverbial ship will eventually hit the reef ahead if you don’t veer port or starboard. You must take action. The annals of company histories are chock full of such victims that witnessed innovation from the sidelines. The marketplace is an unforgiving lover; your’e hot when your’e hot, and forgotten when you’re not. Size or tenure do not insulate you from marketplace realities.

Some Sobering Facts:

  • companies are running leaner than ever
  • employees feel insecure and overworked
  • work is increasingly specialized
  • leaders are forced to do more with less
  • employee engagement has declined and loyalty has evaporated in both directions

Pay No Attention to the Man Behind the Curtain

Don’t look to the media, politicians, and economist for answers. You won’t find relevant prescriptions there. What you will find is self serving rhetoric bordering on sensationalism and focused on getting somebody elected or re-elected. They each have an agenda that is unlike yours and certainly not like your customers, employees, vendors, partners, or communities you occupy. The correct prescription is to do what is right for the business and all of its stakeholders. So, what the hell is a business leader to do?

Here are 5 Actions Business Leaders Can Initiate Now

If you are a leader by committing to these 5 actions, you will help your company and the economy at the same time. If you are not the business leader you don’t have to sit on the sidelines while your organization unravels. Consider today the “elbow nudge the leader at work day.” For additional clarity on any of the following 5 actions see the slideshare.net presentation below or my book, The Experience Design BLUEPRINT: Recipes for Creating Happier Customers and Healther Organizations. Pay particular attention to Chapter 14: The World of Work Has Changed.

  1. Create an innovation neighborhood. Stock it, in part, with outside entrepreneurs. Add fractional talent that you cannot attract for a job, but would still like to work with your organization. Shake things up by adding “entrepreneur seasoning.”
  2. Recognize and abolish your internal innovation hurdle (IIH). It’s really ok that your next business opportunity may only be a $ 20 million business as opposed to a $ 1 billion business. Small is the new big – get used to it and get good at it or you’ll be a Berlin Wall remnant.
  3. Treat people with dignity and respect . Add people to give current employees more capacity. Stop fear mongering tactics, period. Reduce executive pay before shedding employees upon bad news. The raving fans you build start inside your own organization. You are at a disadvantage if you don’t start there.
  4. Adapt your non-discriminatory policy to include the unemployed and especially the long term unemployed and veterans. Reprimand or fire those that break the policy. Go for diversity in everything. If everybody inside your organization looks and acts the same – your organization’s unwinding has already begun.
  5. Be more collaborative by sponsoring, using the talent within, and becoming a resident of co-working spaces.

Need help with any of these or want to discuss? Please get in touch.

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Does it Matter Where Ideas Come From? Sourcing Innovation at McDonald’s, Starbucks, and Your Organization

When I first began to write this article I thought I’d start with a little history and facts to compare McDonald’s and Starbucks. I even thought that it would be nice if I created an infographic that showed the comparison. But, I’m not going to do that. If you hop over to Nasdaq or your favorite stock peering site you’ll find that both stocks are doing well. At the bottom of this article I’ve included links to fun facts about each of the companies.

Both companies have provided great returns to shareholders over the last 10 years. Both of these companies have a large and growing worldwide presence, a huge number of employees and partners. No, I’m not talking about those things because they are not a predictor of future performance. Heck, even each of the companies will remind you of that in their safe harbor statements.  And remember, there are plenty of darling stocks that perform, at least until they don’t.

Remaining culturally relevant and connected to consumers share of mind and wallet
No, I’m going a different direction. I want to talk about things that aren’t so closely tied to stock performance or revered in annual reports and press releases. I want to begin a discussion of how each of these companies source innovative ideas and ask readers if you think that this topic has any bearing on a company’s ability to be sustainable, viable, cultural relevant, and able to gain a share of your mind and wallet.

starbucks infographics on mystarbucksidea
MyStarbucksIdea has launched 277 ideas from customers, and celebrated its five-year anniversary March 2013. (Graphic: Business Wire)

Starbucks practices on sourcing innovative ideas
Starbucks encourages idea submission from anybody, inside or outside the organization and even encourages you to vote, share, discuss, and see other peoples ideas as they are made visible on the My Starbucks Idea website. Experience it for yourself at
http://www.mystarbucksidea.com

One of the reasons for the My Starbucks Idea website is that CEO Howard Schultz wanted to improve the customer experience. He felt that the 60 million customers visiting its stores on a weekly basis might have something to say about what the future Starbucks experience should look like. In that sense Starbucks customers are encouraged to co-create the future. In the first five years of the My Starbucks Idea website, from 2008-2013, 150,000 ideas have been submitted from customers with 277 of those being implemented.

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McDonald’s official policy on unsolicited ideas
McDonald’s, on the other hand, doesn’t have an equivalent My McDonald’s idea website. If fact, they make it very clear in an FAQ that resides on their website exactly what their policy is concerning ideas, “It is our company’s policy not to consider unsolicited ideas from outside the McDonald’s system. Because we are always working on new ideas and strategies within the Company, we do not review ideas from outside McDonald’s to avoid confusion over the origin of an idea. We realize that we may be missing out on a few good ideas, but we had to adopt this policy for legal and business reasons.” When companies cite policy they appear less human as in the sign I saw at a McDonald’s in the Seattle area.

Did you know that McDonald’s delivers to its customers in 18 countries? But, if you want delivery in your country don’t bother asking or trying to vote on it. Remember, your ideas are unwelcome and irrelevant. I find that a little offensive. I also find it a little off-putting that the McDonald’s system, as they put it, does not include the customer. Any organization’s business system, or promise delivery system as I call it, should have the customer at the core.  Imagine the burden this places on Hamburger University and Franchise owners. They must innovate and own all of the good ideas in isolation, a tall order for them compared to the 60 million customers that visit a McDonald’s each day that may actually have some insights to share and ideas how to improve the McDonald’s experience. For my mental model on a promise delivery system, check out Chapter 8: Promise Delivery System of my book.

If we are voting on which company and brand will be more culturally relevant across populations and feel more human and alive, I’ll vote for the Starbucks brand. If, on the other hand, we are voting on which brand will attract me for the late night drive through or clean restrooms available during a road trip, I’ll tip my hat to McDonald’s. But, I’m only one customer. I’d like to understand how each of their practices around ideas makes you feel as a consumer? Which brand speaks more to you? 

Try This!  What about in your own organization – does it matter where an idea comes from? Could it come from customers? Does it matter at what level of the organization the idea comes from – Senior Vice President versus the most recent hire in accounts payable? What about a supplier? Do you know the answer and if you do, would others in your organization see it the same as you do? Start this discussion inside your organization.

My book is the Experience Design BLUEPRINT: Recipes for Creating Happier Customers and Healthier Organizations.  Read it and you’ll be better equipped to design more remarkable customer experiences and then make those experiences come to life in your organization and the business landscape. You’ll also build a more relevant and enduring organization.

Here are those fun facts on Starbucks and McDonalds.

About the Author

image of Greg Olson Managing Director of Delightability and author of Experience Design BLUEPRINT

Gregory Olson is a consultant, speaker, and author of The Experience Design BLUEPRINT: Recipes for Creating Happier Customers and Healthier Organizations.

Connect with Greg on Linkedin, Facebook, or Twitter.

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Exercises and mental models in the book will build your confidence and competence in envisioning better possibilities and then making them come true, whether you are working alone or alongside a team. Chapters in the book that especially pertain to this post include:

  • Chapter 1: What Makes and Experience?
  • Chapter 5: The Rental Car Experience?
  • Chapter 6: Aiming for Remarkable, Unbroken, and Generous Design
  • Chapter 7: Improving the Journey
  • Chapter 8: The Promise Delivery System
  • Chapter 9: The Neighborhood
  • Chapter 14: The World of Work Has Changed
  • Chapter 14: From Argh to Aha!

See a book summary. Read the book reviews on Amazon. Read The Experience Design Blueprint on Kindle or any device using the free Kindle Reader application or read the full color print edition.  Already read it? Please connect and let me know.