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 The Croatian economy is not doing well, that is a fact. Managers are complaining about everything and many indeed have solutions to solve the problems. However… I notice that most of the presented solutions are focused and depending on others!!

They expect e.g. measures from EU-subventions or interventions from the Government. But managers are also blaming e.g. competitors (because they are smarter?), and yes, even customers are blamed because they don’t buy my products or services. On the other hand there is also a large number of companies that performed well last year, and their leaders are confident to achieve good results this year.

Why is there such a difference in reactions? Why is it that one manager is looking for (external) excuses and blaming others, while the other leader is looking (internal) at him/herself and at his/her own organisation? And asking questions like ‘What can I do to improve?’, ‘What actions can I take to improve my results?’ and ‘How can I involve my staff to help me improving?’.

Do your homework

I notice this type of different reactions not only when talking with managers. In PV-International (issue 0135) twenty-six CEO’s/managers were interviewed about their company results in 2010 and their expectations for 2011 and only five of them looked at themselves! They are positive and rely on their strategic and/or marketing plan. For me that means they have done their homework. They looked at the international market developments, made their analysis and defined their strategy and marketing policy. But, most striking, they did not do it alone! They used the know-how and experience of their staff, not just to create a thorough plan for action; they involved their employees, and by doing so committed them to the way they – together – think is the best route to success and to good results.

Warren Bennis once wrote: Managers do the right things but Leaders do the things right. What Bennis specifically meant is you need to involve all stakeholders in your organisation’s policy. You talk with and involve your Board members and Management Team, your Staff, Suppliers and yes, even your Customers. These days we are living in an experience economy, we are in the phase from Customer Relation Management (CRM) now going to Customer Experience Management (CEM). And social media increase the speed in which this transformation of markets (segmentation, targeting, keeping customers) takes place. (Tip: just take a look at e.g. Facebook, You Tube to see the growing importance of social media in companies marketing strategy; Heineken, Old Spice, Adidas, Nike etc. etc.). This is a fundamental change in (global) market practice and marketing policy.

In spite of the negativism about the economy, this is where the entrepreneurial manager could create a competitive advantage, now! Do you see the opportunities? Since the global business world these days is ‘an open book’, it definitely requires leadership that is open and flexible to pro-actively play along in these rapid developments. Managers need to learn to communicate open, honest, consistent and effective, both internal and external, in order to become a Leader who is capable to commit the whole organisation to the one and only purpose every organisation has: serving the customer!
Why? Because the customer is the most important person (in B2C as well as in B2B) for every organisation; because actually it is the customer who pays your and my salary. It is as simple as that!

Mind your own organisation

So, look internally how your organisation is doing and manage it well, that’s all right. But, crucial is to start looking externally first, because that’s where your (potential) customers are. They are the people who are really important for you. And then make your plan, organise your internal organisation focused on that potential customer. With your entire staff. And then get into action. Don’t lose a single day.

I was impressed by, unfortunately, only a few companies that developed a strategic and marketing plan based on external developments which they ‘translated’ to their internal organisation. This meant a change for their staff; and of course, no staff member is celebrating when they ‘have to’ change. However, by involving employees in their strategic planning process, these companies succeeded in a relative fast and effective transformation, because the staff was trusted by their management.
Or was it leadership?

Actually I am curious what do you think about some statements like:
- Is your customer the most important person for your company?
- Is your company playing a (marketing based) active and structured role in social media?
- Is it important to discuss with your staff about strategic planning and/or marketing?
- Do you think that your staff has the expertise, experience, the guts to discuss these plans with you?

Please let me know what you think, hvala lijepo, John.

In May 2011 we organise a seminar in Zagreb based on a strength based approach where everybody is welcome to find his/her strength and to work on the opportunity to co-create his/her own future.
www.balance-consultancy.com