Are you on track?

Yes with Univ of MAryland BAH proving $17! "onth # will $e towards %A&&
#'% with ("power 'etwork
)o"pare your level of sales with last year*
Much $etter*
+hat are the trends?
#ncrease
Are they up or down?
Up
#s this trend te"porary or per"anent?
,er"anent
+hat do the trends suggest for the future of your $usiness?
Unli"ited -pportunity
+hat could you do to respond "ore e.ectively to the"?
&earn /orean faster0 'etworking with )-1#) "e"$ers0 ,roduce2sell &earn
/orean 'ow product3
Cash Flow Is Everything
&ook at your cash 4ow and levels of pro5ta$ility fro" each product0 service
and
area of activity*
Are your pro5ts going up or down?
Up
Are they on $udget or going sideways?
&ook at the percentages* Analy6e your return7on7e8uity0 return7on7
invest"ent0
and return7on7sales*
Are they increasing or decreasing?
#f your goal is to $uild a great co"pany0 why isn9t your co"pany already
great?
More capital re8uired for ("power network
+hich of your products or services is selling well today?
My sales skills and ("power 'etwork
+hich of your products and services are the "ost pro5ta$le?
My sales skills and ("power 'etwork
+hich ones are doing poorly?
+hich ones do you lose "oney on?
:rinking too "uch alchohol
#s your current $usiness situation0 positive or negative0 in any area?
More capital re8uired
;e"porary or part of a long7ter" trend?
&ongter"
How can you know for sure?
Action
How can you 5nd out?
<e=oin ("power 'etwork with B#M2>ick ?tri6heus@&ike Ho$$s@,ro=ect A+-&
+hat should you then do?
Make $1!0!!! 5rst A! days
Clarity Is the Key
+hy has your $usiness $een successful in the past?
My study of $usiness
+hat have you done well in the past that has $een responsi$le for your
success to date?
My study of $usiness0 "arketing and sales*
+hat are the "ost i"portant skills and co"petencies that your co"pany
possesses today?
My study of $usiness0 "arketing and sales*
+hat are the very $est products and services that you o.er right now?
My study of $usiness0 "arketing and sales*
&ook at the people around you* +ho are your "ost valua$le people?
ABH ?hoppette and University of Maryland BAH "oney
+ho are no longer as valua$le as $efore?
+ho represents a net loss or detri"ent to your $usiness?
Be prepared to ask and answer the $rutal 8uestions*
The Customer Is the King
+ho are your $est custo"ers today?
/oreans0 single "ales0 and $usiness opportunity seekers
+hat and where are your $est "arkets?
Asia and the internet
+hat do your custo"ers like the "ost a$out what you do for the"?
Make the" happy
+hat do they co"pli"ent the "ost of what you o.er or do for the"?
Make the" happy0 talk alot and very s"art in $usiness and life
+hat is your nu"$er one area of custo"er satisfaction?
?ales and presentation
+hat do your custo"ers like the least a$out what you do?
+hen #%" angry or tired
+hat do they co"plain a$out the "ost?
'ot having what they want availa$le for purchase
+hat is it that you sell that your custo"ers and potential custo"ers prefer to
$uy so"ewhere else0 rather than fro" you?
Identify Your Personal Strengths
&ook at yourself honestly* +hat are your own personal $est skills0 8ualities
and a$ilities?
(nglish0 ?tudying0 strategic planning0 "arketing and sales
+hat are the "ost i"portant things that you do at work0 and for your
co"pany?
:aily facility i"prove"ent0 strategic planning0 "arketing and sales
+hat are the "ost valua$le contri$utions you "ake personally to your
$usiness?
#ncrease sales0 custo"er service0 and custo"er retention
Start Where You Are:
1* +hat is working the very $est in your $usiness today?
?ales and "arketing
+hat parts of your $usiness "ake you the happiest?
Marketing
C* +hat9s not working in your $usiness?
+aiting on capital
+hat causes you the "ost aggravation and frustration?
+aiting on capital
A* +hat are your "ost i"portant products and "arkets?
Me Dsales2"arketing2english skillsE0 ("power 'etwork in th U?2?outh
/orean "arkets
+hat accounts for the largest portion of your revenues?
ABH and ("power 'etwork
F* +ho are your "ost i"portant people?
ABH and ("power 'etwork
+ho are the people who account for "ost of your results?
ABH and ("power 'etwork
G* +hat are your special talents and skills?
+hat is it you do that accounts for "ost of your success?
H* +hat are the "a=or changes taking place in your "arket?
+hat changes should you "ake to co"pensate for the"?
7* +hat are your "ost treasured assu"ptions a$out your people0 custo"ers0
"arkets0
products0 services and yourself?
+hat if one of the" wasn9t true?
+hat would you do then?
Imagine Starting ver
Iero7$ased thinking re8uires that you apply this JscraperK "entality to every
part
of your $usiness* You do this $y asking this key 8uestionL
Is there anything that you are doing in your business that,
knowing what you now know, you wouldnt start up again today, if you
had it to do over?
#nstead of struggling to deter"ine how you "ight "odify0 change0 5M0 revise0
i"prove or alter so"e $usiness function0 you instead ask0
J#f # was not doing this today0 would # start it up again today0 knowing what I
now know?
;o start with0 is there any product or service that you would not $ring to the
"arket0 o.er or sell0 if you had to do it over again0 starting today?
?ince N!O of your products and services are pro$a$ly going to $e o$solete
within the neMt G years0 there
"ay $e products and services you are o.ering today that0 $ecause of
changed "arket
conditions0 you would not introduce again today0 if you had to do it over
again0 knowing
what you now know* ;hese products or services are pri"e candidates for
discontinuation
or divestiture*
#s there any person in your $usiness that you would not hire0 assign0 appoint0
go
to work for0 or $eco"e associated with if you had to do it over again today?
Most of your pro$le"s in $usiness will co"e fro" atte"pting to work with or
around a diPcult person0
who knowing what you now know0 you wouldn9t get involved with again
today*
+ho does this $ring to "ind?
#s there any supplier0 $anker or vendor that you are dealing with today that0
knowing what you now know0 you wouldn9t get involved with again today0 if
you had to
do it over?
Sin!e many of your "usiness relationshi#s will not wor$ out over
time% you
must "e #re#ared to !ontinually reevaluate them% es#e!ially if they
are !ausing you any
#ro"lems or frustrations&
Analy'e Your Customers
#s there any customer that you are selling to or servicing today that0 knowing
what you now know0 you wouldn9t take on again as a custo"er?
Many co"panies are asking this 8uestion a$out their diPcult custo"ers and
deciding to let the" go*
?o"eti"es0 one of the s"artest things you can do is to J5re your custo"ers*K
(ncourage
the" to go and deal with so"eone else who would $e "ore appropriate for
the"*
Assess Your (usiness #erations
#s there any expenditure in your $usiness that you would not authori6e again
if
you had it to do over?
#s there any process0 procedure or activity that0 knowing what you
now know0 you wouldn9t start up again0 or get into0 if you were "aking the
decision
today0 knowing what you now know?
#s there any advertising0 "arketing or selling "ethodology or eMpense that
knowing what you now know0 you wouldn9t start up again today0 if you had to
do it
over?
/eep asking0 J+hat9s working?K
and J+hat9s not working?K
Pay Attention To The Indi!ators
You can always tell when you are in a 6ero7$ased
thinking situation $ecause it
causes you continuous stress0 aggravation0
frustration0 negativity and unhappiness* You
think a$out it continually* -ften you $ring it ho"e at
night and discuss it at the fa"ily
dinner ta$le* ?o"eti"es it will even keep you awake
at night*
+henever so"ething is not working0 or not working
out the way you eMpected0
or causing you stress0 5nancial losses0 aggravation0
or irritation0 ask0
Knowing what I now know, would I get into this
again today if I had to do it over?
#f the answer is J'o3K then your neMt 8uestion is
How do I get out and how fast?
The )e!ision Is Inevita"le
Here9s an i"portant point* #f so"ething is not working0 eventually you will
have to
get out of it* You will have to let the person go0 discontinue the product or
service0
eli"inate the activity or eMpense0 or change the "ethod of operation* #t is
only a "atter of
ti"e* #t is not going to get $etter all $y itself* And every single eMecutive who
5nally
decides to get out of an unhappy situation says afterwards0 J# should have
done this a
long ti"e ago3K
A##ly This A##roa!h Continually
Pra!ti!e 'ero*"ased thin$ing as a +go forward, method for the rest
of your
"usiness !areer& A##ly it to everything you do% to every #art of your
"usiness% every single
day& A##ly it to every #rodu!t% servi!e% #ro!ess% #ro!edure and
#erson and "e sure that%
$nowing what you now $now% you would get into it again
today if you had to do it over &
If not% get out% and as fast as you !an&
)raw A -ine .nder the Past:
1* #"agine starting over again in every part of your $usinessQ is there
anything you
are doing that0 knowing what you now know0 you wouldn9t start up again
today?
C* #s there any person in your $usiness life who0 knowing what you now know0
you
wouldn9t hire0 assign0 pro"ote or otherwise get involved with again today0
knowing what
you now know?
A* #s there any product or service that0 knowing what you now know0 you
wouldn9t
$ring to the "arket again today?
F* #s there any invest"ent that you have "ade that0 knowing what you now
know0
you wouldn9t "ake again today?
G* #s there any $usiness activity or process that you are using that0 knowing
what you
now know0 you wouldn9t start up again today?
H* #s there any custo"er or "arket that0 knowing what you now know0 you
wouldn9t
take on or get into again today0 if you had it to do over?
7* #s there any career decision that you have "ade that0 knowing what you
now
know0 you wouldn9t "ake the sa"e way if you had it to do over again today?
Start With The (asi!s
;he starting point of $usiness analysis is for you to askL
J+hat $usiness a" # in?K
+hat $usiness are you really in?
+hat $usiness are you really0 really in?K
# soon reali6ed # was in the Jgoal
a!hievement "usinessK DMe ;--3
R(<1E*
My $usiness was helping people to
achieve their personal and $usiness
goals faster $y providing the" with
practical ideas
that they could use i""ediately to get
$etter results*
;his insight led "e fro" talks and
se"inars into audio and video
recording0
$ooks0 training progra"s and #nternet
$ased e7 learning on a variety of
su$=ects0 including the develop"ent
and presentation of the ;ur$ostrategy
,rocess*
The Customer As Center#ie!e
J+ho is "y custo"er?K
+ho is the person who $uys fro" you today? :escri$e your custo"er in
detail*
+hat is the age0 inco"e0 education0 position0 attitude0 location and interest of
your ideal custo"er?
Many co"panies are not eMactly sure of the answer to this 8uestion* ;hey
have at $est an
unclear picture of the psychological and de"ographic characteristics of their
custo"ers*
+ho will your custo"er $e to"orrow0 if current trends continue?
+ho should your custo"er $e0 if you want to $e successful in the "arkets of
to"orrow?
+ho could your custo"er $e if you were to change0 i"prove or upgrade your
product or service
o.erings?
)etermine What You Sell
Your neMt 8uestion isL J+hy does "y custo"er $uy?K
+hat value0 $ene5t0 result or di.erence does your custo"er seek or eMpect
to en=oy as a result of doing $usiness
with you?
-f all the various $ene5ts that your products or services o.er your
custo"ers0
what do your custo"ers consider to $e "ore i"portant than anything else?
:o you know?
Your a$ility to de5ne and pro"ote this uni8ue $ene5t is the real key to
co"petitive
advantage and "arket success* You neMt 8uestion isL
J+hat do we do especially well?K
+hat do you do $etter than any of your co"petitors?
+here are you superior?
)usto"ers only $uy fro" a particular co"pany $ecause they feel that0 in
so"e way0 that co"pany o.ers so"ething
that is superior to that of any other o.ering*
+hat is your area of eMcellence?
Sack +elch of 1eneral (lectric was fa"ous for saying0 J#f you don9t have
co"petitive advantage0 don9t co"pete*K His philosophy was that 1eneral
(lectric would
$e nu"$er one or nu"$er two in every "arket seg"ent in which they
co"peted0 or they
would get out of that "arket*
Are you nu"$er one or nu"$er two in your "arket?
)an you $e?
+hat is your plan to achieve this "arket position?
)e/ne Your Com#etitor
;he neMt 8uestion0 which we will deal with eMtensively in )hapter 1!0 isL
J+ho is your co"petition?K
-nce you have identi5ed your co"petition0 you "ust ask0
J+hy does your potential custo"er $uy fro" your co"petition0 rather than
fro" you?K
+hat value or $ene5t does he perceive that he receives fro" so"eone else
that he does not feel he
receives fro" you?
How could you o.set this perception?
Set Clear 0oals
#n perfor"ing an eMa"ination of your $usiness0 you "ust ask continually0
J+hat are "y goals?K
+hat are you trying to acco"plish?
#f you are clear a$out your goals0 what is holding you $ack fro" achieving
the"?
You need clear0 written0 "easura$le0 ti"e7$ounded goals for every part of
your
$usiness and personal life* You need short7ter"0 "ediu"7ter" and long7ter"
goals* (ach
goal "ust $e in writing0 with plans for its acco"plish"ent* You can9t hit a
target that you
can9t see* Analy6e everything you do in the course of a day or a week*
+hat are the C!O of your activities that could account for N!O or "ore of
your results?
?o"eti"es0 =ust 1!O of your activities0 if you were to pursue the"
aggressively0 could account for !O of your
results*
+hat "ight they $e?
(e!ome A!tion*riented
+hat actions should you take i""ediately in response to the answers to
these
8uestions?
+hat is the very 5rst thing you should do right now to increase your sales
and
i"prove your "arket position?
Another good 8uestion you should ask yourself isL
J+hy a" # in $usiness at all?K
+hy do you eMist?
+hat social purpose does your co"pany serve?
+hat loss would occur to society if you ceased to do $usiness altogether?
#"agine that you had to go in front of a govern"ent tri$unal each year to
=ustify
your continued eMistence*
+hat would you say to the tri$unal in ter"s of how you serve0 help0 or "ake
a
di.erence in the lives or work of your custo"ers to =ustify staying in
$usiness?
;hese are key 8uestions that you need to ask and answer for your $usiness
on a
regular $asis* You should ask and answer these 8uestions for yourself0 as
well* #f you are
unclear or inaccurate in your answers to any of the"0 the health of your
enterprise could
$e in =eopardy*
Condu!t A (asi! (usiness Analysis:
1* +hat are your goals for your $usiness?
+hat are you trying to acco"plish?
C* +ho is your ideal custo"er?
:escri$e hi" or her accurately*
A* +hy does your custo"er $uy fro" you?
+hat special $ene5ts or advantages do you o.er that your co"petitors
don9t have?
F* +hat $usiness are you really in?
:escri$e your $usiness in ter"s of what you do for your custo"er0 what
results you get*
G* +hat are the C!O of your activities that could account for N!O of your
results?
H* +hat is your co"petitive advantage0 your Jarea of eMcellence?K
#n what ways are you superior to !O or "ore of your co"petitors?
7* +hat speci5c0 "easura$le actions should you take i""ediately in answer
to the a$ove 8uestions?
Cha#ter Four 1 )e!ide E2a!tly What You Want
he world has the habit of making way for the man whose words and actions
show that
he knows where he is going! D'apoleon HillE
;ur$ostrategy $egins with your deciding eMactly what you want to acco"plish
in
the key areas of your $usiness life* -nce you know your goals in each area0
you can then
decide upon the $est steps you can take to get there*
The 0SPA 3odel
You can use the 1-?,A Model as a guide for strategic planning* ;hese 5ve
key
thinking tools for" the $asis for successful $usiness operations*
(egin With The End In 3ind
;he 5rst letter0 J1K stands for 0oals* ;hese are the ulti"ate results that you
want
to achieve* Your goals are the end targets that you ai" at throughout your
$usiness year
or planning period* Your goals are your sales0 pro5ts0 growth rate0 "arket
share0 or
percentage of return on assets0 e8uity0 invest"ent or sales* 1oals are always
"easura$le*
+hat are yours?
Ste#s on the Stair!ase
;he second letter0 J-K stands for "4e!tives* ;hese are the steps you will
have to
take to achieve your goals* ;hey are like the rungs on the ladder to get to the
top*
Your $usiness o$=ectives can $e speci5c rates of return fro" advertising0
levels of sales of
certain products and services0 nu"$er of ite"s shipped and $illed0 "onies
collected and
cost levels for certain activities* A lower defect rate or a higher sale a"ount
per custo"er
can $e o$=ectives on the path to achieving the "ain corporate goals* +hat
are your
interi" o$=ectives?
5ow to 0et There
;he letter J?K stands for Strategies* ;hese are the di.erent approaches that
you
can take to achieve your o$=ectives and reach your goals* Bor eMa"ple0
achieving a
speci5c level of pro5ta$ility will re8uire producing and selling speci5c
8uantities of
products or services to a speci5c "arket in a speci5c way* ;here are "any
di.erent ways
to go a$out acco"plishing these o$=ectives* ;he way you choose is your
strategy0 and
"ay deter"ine the success or failure of your enterprise*
:o you produce0 "arket0 sell0 deliver yourself0 or do you outsource so"e part
of
the process? :o you sell direct0 via retail0 direct "ail0 catalog or #nternet? :o
you charge
"ore0 charge less0 up7sell0 cross7sell or discount? :o you enter certain
"arkets and
a$andon others? +hat is your strategy? #s it working?
Planning For Su!!ess
;he letter J,K stands for Plans* ;hese are your $lueprints for achieving your
goals* Your plans are co"posed of step7$y7step lists of eMactly what you will
do0 day $y
day0 to get fro" wherever you are to wherever you want to go* ,lans are
always $roken
down $y se8uence and priority*
?o"e things have to $e done before others can $e done* ?o"e things are
more important
than others in achieving the goal or o$=ective* +hen your plan is organi6ed $y
se8uence
and priority0 you can acco"plish "uch "ore in less ti"e*
Business life consists al"ost entirely of pro=ects0 one after the other* A pro=ect
can
$e de5ned as a multi"task #ob0 a =o$ "ade up of "any s"all =o$s0 each of
which has to $e
done properly to co"plete the larger task* Your a$ility to plan0 organi6e and
co"plete
"ulti7task =o$s0 ever larger and "ore co"pleM0 is the "ost i"portant single
ele"ent of
your success0 in any 5eld*
)evelo# a (ias for A!tion
;he last letter in the 1-?,A process0 JAK0 stands for A!tions* ;hese are the
speci5c tasks
that you are going to co"plete to carry out the plans to i"ple"ent the
strategies to
acco"plish the ob#ectives to achieve your goals*
(very i"portant task "ust $e clear0 "easura$le and ti"e $ounded* #t "ust
$e assigned to
a speci5c person who is 8uali5ed to perfor" the task correctly0 on ti"e and
on $udget*
$hat gets measured gets done!
Fo!us on Pro/ta"ility
;he central purpose of ;ur$ostrategy is to $oost your cash 4ow and pro5ts0
and
to increase your return on the "oney invested in your $usiness* ;he ai" of
strategy is to
generate a higher level of cash 4ow and pro5ta$ility than you would reali6e
without the
strategy0 or with your previous strategy* #n short0 it is to make more money
than you are
"aking right now fro" the way that you are doing $usiness today*
;he essential resources of people0 "oney and talent that you need to
succeed in
your $usiness are always li"ited* ;hey "ust $e focused and concentrated for
"aMi"u"
results* ;his is what a good strategy ena$les you to do*
Four Ways to Im#rove Your (usiness
?etting strategy re8uires "aking hard decisions in four areasL Birst0 you "ust
decide what you are going to do more of*
+hat9s working?
+hat is selling well?
+hat products0 services and activities are the "ost pro5ta$le?
?econd0 you "ust decide what you are going to do less of*
+hat9s not working?
+hat contri$utes very little to growth and pro5ta$ility?
+hat should you discontinue or eli"inate $ased on the realities of today9s
"arket and today9s custo"ers?
+hat can you do to reduce costs in areas where they contri$ute very little to
results?
;hird0 what are you going to start doing that you9re not doing today?
+hat new products0 services or activities should you introduce if you want to
increase your sales and
pro5ta$ility0 or i"prove and strea"line your activities?
Binally0 what are you going to stop doing altogether?
<e"e"$er0 the critical resources of ti"e and "oney are always scarce* ;he
only way you can i"prove results is
$y discontinuing certain activities altogether* You can then channel those
resources into
areas where they yield higher levels of $usiness results*
Clarity is the key to strategic success* ;he "ore ti"e you take to $e
a$solutely
clear a$out who you are0 and what you want to acco"plish0 the "ore
successful and
pro5ta$le you will $e*
)e!ide E2a!tly What You Want:
1* +hat are your speci5c0 "easura$le long7ter" goals for sales and
pro5ta$ility in
your $usiness?
C* +hat are the speci5c ob#ectives of sales0 staPng0 production0 delivery and
custo"er develop"ent that you will have to achieve to acco"plish your
goals?
A* +hat are the various ways that you can "eet your o$=ectives and achieve
your
goals?
+hat is the $est strategy for you in today9s "arket?
F* +hat should you do more of and really focus on to increase your sales and
pro5ta$ility?
G* +hat should you do less of0 $ased on your current eMperience?
+hat9s not working?
H* +hat should you start doing that you are not doing today?
+hat opportunities are availa$le to you?
7* +hat should you discontinue0 and stop doing altogether0 so that you can
free up
resources for "ore pro5ta$le activities?
Cha#ter Five 1 )esign Your Ideal Future
$e have been endowed with the capacity and the power to create desirable
pictures within
and to %nd them automatically printed in the outer world of our
environment! DSohn
Mc:onaldE
?o"e ti"e ago0 # conducted a strategic planning session for the senior
eMecutives
of a $17C $illion dollar co"pany* ;he organi6ation was going through a period
of
considera$le tur$ulence0 change0 co"petition and new govern"ent
regulation* ;here had
$een lay7o.s0 5rings0 downsi6ing and divest"ents* My clients were the top
eMecutives
who had survived the recent tur"oil0 and the $lood letting was not yet over*
#n these
circu"stances0 they were $oth worried a$out the future and distracted in the
present*
Create A Five Year Fantasy
;o get the" centered and focused0 # $egan the strategy session with a
process that
# call +Ideali'ation&, #n this process0 which you can use yourself0 # had the
"e"$ers of
the top tea" create a J5ve year fantasy*K
J&et us put aside the current situation for the "o"ent0K # suggested*
J#nstead0 tell
"e what this co"pany would look like 5ve years fro" now if it was perfect in
every
respect?K
;his eMercise forced the" to take their attention away fro" the pro$le"s of
the
present and focus their thinking on the possi$ilities of the future*
As we went around the roo"0 each person contri$uted an idea a$out what
the
co"pany would look like if it were perfect* # wrote each idea on a 4ip chart
and taped
the pages onto the walls where everyone could see the"* #n less than half an
hour0 we
generated C7 ideal descriptions*
+e then voted on these ideali6ed goals and organi6ed the" $y priority* +e
ended up
with a series of clear o$=ectives, including Jhighly pro5ta$le0 tre"endous
"arket
reputation0 high stock price0 top leadership0 fa$ulous custo"er service0 great
place to
work0 $est "anage"ent0 rapid growth rate and top reputation in the
industry0K a"ong
others*
Thin$ In Terms f Possi"ilities
# then asked the"0 JAre these goals possi$le?K -ne $y one0 they agreed that
all of
these goals were possi$le in 5ve years* ;hey "ight not $e achieva$le in one
or two years0
$ut in 5ve years0 every one of the" could $e acco"plished with will and
deter"ination*
+e ca"e out of that session with everyone revitali6ed and co""itted to
working
on achieving one or "ore of those 5ve7year fantasies* -ver the neMt two
years0 the
co"pany co"pletely reorgani6ed* ;hey did "ore of so"e things and less of
others* ;hey
started doing things that they had not done in the past0 and they stopped
certain activities
altogether* ;hey took co"plete control of their corporate destiny and
changed it*
,eter :rucker once wrote0 J+e greatly overesti"ate what we can acco"plish
in one
yearQ $ut we greatly underesti"ate what is possi$le for us in 5ve years*K
Thin$ A"out The Future
Future*orientation is a key ele"ent of strategic planning and strategic
thinking*
#t is a "a=or responsi$ility of leadership and top people in every area* -nly
the leader can
think a$out the future* -nly the leader can plan for the future* ;here is no
one else in the
organi6ation who can do it0 and if the leader does not think a$out and plan for
the future
as an ongoing part of his =o$0 it will not $e done* As they say in Alaska0 J-nly
the lead
sled dog ever gets a di.erent view*K
How often and how well the top people in the co"pany think a$out the future
largely
deter"ines the success or failure of the $usiness* J#f you don9t know where
you9re going0
any road will take you there*K
;he develop"ent of the 8uality of future7orientation re8uires that you
continually
create an ideal i"age of your co"pany so"e ti"e in the future* You #ro4e!t
forward in
your mind 6*7 years and imagine that your !om#any is #erfe!t in
every res#e!t& You
de!ide e2a!tly how mu!h you would "e selling and earning at that
time& You imagine
your ideal sto!$ #ri!e% your ideal re#utation in the mar$et% your ideal
wor$ situation and
your ideal human environment&
(a!$ From The Future Thin$ing
-nce you have a clear picture of your
ideal future0 you then return "entally
to
your current situation and think a$out
what you would have to do0 starting
today0 to turn your future vision into a
current reality* ;his is called0 J$ack
fro" the future thinking*K
Make a list of all the things that would
have to happen for you to reali6e your
fantasy so"eti"e in the future* #t is
a"a6ing how your perspective
changes when you
look $ack fro" the future0 eMactly as if
you were looking $ack fro" the top of
the
"ountain to yourself down in the
valley0 and seeing the eMact route you
will have to
follow to get to the top*
-eaders 5ave 8ision
#n AA!! studies of leaders reviewed $y Sa"es Mac,herson0 searching for the
co""on deno"inators of leadership throughout the ages0 the one 8uality
that all the
studies had in co""on was the 8uality of vision* &eaders have visionQ non7
leaders do
not*
;o $eco"e a visionary re8uires that you develop the a$ility to i"agine0
de5ne0
articulate0 share and inspire other people with an eMciting picture of the
future* You get
everyone in your $usiness co""itted to ful5lling this vision0 and to working
toward it
every day* ;his is the key to leadership0 and to $uilding a great co"pany*
Aristotle wrote0 +We "e!ome what we re#eatedly
do&, You $eco"e a leader $y thinking
the way leaders think0 $oth in your $usiness and in your personal life* You
$eco"e a
leader $y thinking a$out the future0 and how you can "ake it a present
reality*
9ow% 3ore Than Ever
But it is in ti"es of rapid change0 and tur$ulence in the "arket0 that an
eMciting
vision of the future $eco"es "ore i"portant that ever $efore* A vision can
$eco"e the
force that $inds people together into a solid tea"* #t can give "eaning and
purpose to
work0 even when ti"es are tough and pay increases are not possi$le*
;here are "any ways you can approach the develop"ent of a vision for your
organi6ation* Perha#s the very "est vision for your !om#any in!ludes
two $ey
!om#onents& First% it is fo!used on your !ustomers and on doing
something for them that
!hanges and im#roves their lives or wor$ in some way& Se!ond% it
!ontains a !ommitment
to excellence % to "e the very "est at doing what you do for your
!ustomers& These are the
$eys to vision&
Your vision is to J$e the $est3K at the "ost i"portant thing that you do for
your
custo"ers* Your vision is to serve your custo"ers in such a way that you are
seen as
superior in a particular product0 service or activity* #"agine that you could $e
known as
outstanding in any one thing that you do for your custo"ers* +hat would it
$e? Your
answer can $e the starting point of a vision for your $usiness that changes
your future
co"pletely*
Your Personal 8ision
You need a vision for yourself as well* ,ro=ect forward G years in your
i"agination* #f your future were perfect in every way0 what would it look like?
#f your
inco"e0 your position in your co"pany or 5eld0 your fa"ily life0 your health0
your =o$
and every part of your life were ideal in every way0 how would it $e di.erent
fro" today?
-nce you are clear a$out your vision0 for yourself and for your $usiness0 the
only 8uestion you ask is0
&ow do I make it a reality?
;op people think continually in ter"s of how? ;hey think in ter"s of taking
action0 of what can $e done*
-nce you have clari5ed your vision0 and deter"ined what you will have to do
to "ake it a reality0 you then do so"ething every day to "ove you toward
the creation of
your ideal future* You take co"plete control of your destiny* As :rucker wrote0
J;he very
$est way to predict the future is to create it*K And the starting point is vision*
)esign Your Ideal Future:
1* +hat is your vision for your co"pany? ,ro=ect forward and i"agine that
your
$usiness was ideal in every way* +hat would it look like?
C* +hat is your vision for yourself? #f your life and career were ideal in every
way0
what would it look like?
A* #deali6e in each area of your $usiness* #f your products0 services0 sale and
pro5ta$ility were perfect0 what would they look like?
F* #deali6e with regard to your people* #f your sta. were ideal in ter"s of
skills0
a$ilities0 personalities and results0 how would they $e di.erent fro" today?
G* #"agine that a "a=or "aga6ine was going to write a story a$out your
co"pany*
+hat would you want the" to say?
H* ,ro=ect forward 5ve years and then look $ack to today fro" that vantage
point*
+hat would you have to change today to create your ideal future?
7* #n what one area would it $e "ost helpful to sales and pro5ta$ility if your
co"pany were widely known as Jthe $est?K +hat steps could you take
i""ediately to
$egin earning that reputation?
Create A 3ission Statement:
1* :eter"ine your personal reasons for doing what you do* +hat gives you a
sense
of meaning and purpose in life?
C* :ecide upon the A7G key values upon which your co"pany is $ased*
#nvolve other
people in the discussion*
A* :e5ne the actions and $ehaviors that people will engage in0 $oth inside
and
outside the co"pany0 that are consistent with your values*
F* :esign a "ission state"ent0 an ideal description of what your co"pany
wants to
acco"plish for its custo"ers so"eti"e in the future*
7& +rite out a list of your values0 and what they "ean0 plus your "ission
state"ent0
and share the" with your sta. and custo"ers*
:& )reate a personal "ission state"ent for your career* +hat do you want to
acco"plish0 and how do you want to $e known?
;& )reate a "ission state"ent for yourself and your fa"ily* +hat is it that you
want
to acco"plish or achieve with your fa"ily in the years ahead?
Cha#ter Seven 1 <einvent Your rgani'ation
'very man of genius sees the world at a di(erent angle than his fellows!
DHavelock (llisE
Sack +elch of 1eneral (lectric once said0 J#f the rate of change outside your
organi6ation is greater than the rate of change inside your organi6ation0 then
the end is in
sight*K
#n ti"es of tur$ulence0 you should $e prepared to reinvent your $usiness as
often
as necessary as your eMternal world changes*
As an eMercise0 i"agine that you were starting your $usiness over again
today*
+hat would you get into0 or not get into?
(undle of <esour!es
Bor greater perspective0 stand $ack and view your $usiness as a bundle of
resources and
capa$ilities0 like a 5re hose of talent and a$ility that can $e ai"ed in "any
directions to
achieve di.erent results* #nstead of li"iting yourself to seeing your $usiness
as an
organi6ation that is designed to perfor" speci5c functions0 producing and
selling certain
products and services0 think of it as $eing capa$le of doing a variety of things
co"pletely
di.erent fro" what you are doing today*
The 0reat Fire
As you think a$out reinventing your $usiness0 i"agine that your co"pany
$urned
to the ground while you were away* +hen you arrived at the scene0 you found
that all
your sta. were safe and standing around in the parking lot*
As it happens0 there is unoccupied oPce space availa$le across the street*
You
can i""ediately "ove into the new space and start your $usiness anew*
Here is the
8uestionL +hich of your products and services would you $egin producing
and
distri$uting right away0 and which ones would you not start up again0
knowing what you
now know?
E2amine Every <elationshi#
#f you were starting your $usiness over again today0 co"pletely free fro" any
encu"$rances of the past0 which custo"ers would you call 5rst0 and which
ones not at
all? +hich vendors0 suppliers0 $ankers or other people would you i""ediately
get in
touch with0 and who would you call later0 if at all? +hat would you do 5rst?
+hat would
you do second? +hat would you not start up again0 knowing what you now
know?
<einvent Your Sta= <elationshi#s
'ow0 let9s go $ack to the parking lot* &et us assu"e that all of your people
are
safe and standing around waiting for instructions* +hich of the" would you
take across
the street with you to the new $usiness0 and which ones would you leave in
the parking
lot? +ho would $e the 5rst and "ost i"portant person whose services you
would want to
secure? +ho would $e the second "ost i"portant? +ho would $e third? And
so on*
E2amine Your rgani'ation
#f you could reinvent your $usiness0 what would you do more of? +hat would
you
do less of? +hat would you start doing that you are not doing today? +hat
would you
stop doing altogether?
#n reinventing your organi6ation0 ask yourself0 J+hat are "y "ost i"portant
talents0 skills0 a$ilities and core co"petencies0 and what else could # do with
the"? +ho
are "y $est people and what else could they do? /eep thinking a$out how
you would
reinvent your $usiness if you were starting over* ;his will keep you on the
cutting edge of
creativity and innovation*
Thin$ In Terms of E2!ellen!e
;he key 8uestions in reinvention are0 J+hat could you $e a$solutely eMcellent
at
doing in today9s "arket?K +here could you $e the $est? +here could you
achieve worldclass
8uality? +here could you $e $etter than !O of your co"petitors? J
;he "arket only pays eMtraordinary rewards for eMtraordinary products and
services* +here and how could you do what you do in an eMtraordinary
fashion?
<einvent Your Career
Binally0 think a$out reinventing yourself and your career on a regular $asis0 as
well* #f you were starting over again today0 what would you do more of, less
of, start or
stop? +hat would you get into or get out of?
#f you were starting your career over again0 what additional knowledge and
skills
would you want to have? +hat can you do0 starting today0 to ac8uire those
key skills?
#"agine that you could do a variety of =o$s* +hat would you really like to do
with your
life?
?ince you were going to have to reinvent yourself regularly throughout your
career0 it is
very i"portant that you think a$out how you would do it well in advance of
when it
$eco"es necessary*
<einvent Your rgani'ation:
1* #f you were starting your $usiness over again today0 what would you do
di.erently?
C* #f you were starting your career over again today0 what would you get
into0 or out of?
A* #f your $usiness $urned to the ground and you could only o.er one of
your products or services0 which one would it $e?
F* +ho are your "ost i"portant custo"ers0 the ones who you would
i""ediately "ove to take care of0 if you were starting over?
G* +ho are your "ost i"portant people0 $oth inside and outside of your
$usiness?
H* +hat are your "ost i"portant contacts and $usiness relationships0 the
ones you would want "ost to preserve if you were starting over?
7* #f "oney were no o$=ect0 what steps would you take today to reinvent
your $usiness?
Cha#ter Eight 1 Sele!t the <ight Peo#le
&ere lies a man who know how to enlist into his service people better than
himself!
DAndrew )arnegie 7epitaphE
;he people in your co"pany are the "ost i"portant parts of your $usiness*
All work0 all
perfor"ance0 all results co"e fro" the"0 $oth as individuals and when they
work
together in tea"s of so"e kind* ;he "anager9s output is the output of his or
her tea"0
and of the individual tea" "e"$ers*
#n $usiness0 people co"e 5rst* So$s0 activities and results are only achieved
after
the right people are in place* Si" )ollins says in his $ook0 )ood to )reat, that
the key to
$uilding a great $usiness is0 J5rst0 get the right people on the $us0 and
second0 get the
wrong people o. the $us*K Any other approach is $ound to fail*
Two Key >ualities to -oo$ For
;he $est people have two 8ualities* Birst0 they can $e counted on to get the
=o$
done0 to get it done well and to get it done in a ti"ely fashion* ?econd0 they
get along
well with others* ;hey are good tea" players*
You should apply *ero"based thinking to each person who reports to you on a
regular $asis* )ontinually ask0 J/nowing what # now know0 would # hire0 assign
or
pro"ote this person again0 if # had to do it over?K
#f the answer is J'o0K then your neMt 8uestion is0 JHow do # re"ove or replace
this
person0 and how fast can # do it?K
+hat do you want and need those results to $e?
-nce you are clear a$out the results you desire0 set speci5c "easures of
perfor"ance on each =o$0 and each task* How will you and the candidate
know whether
or not the =o$ has $een done properly? <e"e"$er0 J+hat gets "easured0
gets done*K
And0 J#f you can9t "easure it0 you can9t "anage it*K
Sele!t the <ight Peo#le:
1* <ank every one in your co"pany on a scale fro" 171!0 with 1! $eing the
highest0 on their co"petence at their =o$*
C* <esolve to $uild a tea" of highly "otivated0 co"petent and positive
e"ployees to
help you get the results you need*
A* ;hink through each new =o$ or hire carefully in advance* +rite out the
description
clearly*
F* #nterview at least A candidates for a new position* #nterview the candidate
you
like at least A ti"es0 in three places0 and have hi" or her interviewed $y at
least A
other people*
G* )heck references carefullyQ seek the fatal 4aw or weakness that would
"ake the
candidate unsuita$le*
H* Hire only positive0 lika$le peopleQ they "ake the $est tea" players*
7* <esults are everythingQ continually e"phasi6e and eMplain eMactly what
results are
eMpected fro" each person*
Cha#ter 9ine 1 3ar$et 3ore E=e!tively
+ecause its purpose is to create a customer, the business enterprise has two
, and only
these two" basic functions- marketing and innovation! .arketing and
innovation produce
results/ all the rest are costs! D,eter :ruckerE
All $usiness strategy is ulti"ately "arketing strategy* +henever you are
worried a$out the
health or future of your $usiness0 get $ack to thinking a$out "arketing and
selling* Bocus
single7"indedly on increasing sales and revenues* )utting eMpenses and
controlling costs
is an ongoing necessity0 $ut you can9t cost7cut your way to $usiness success*
You have to
increase cash 4ow0 and this only co"es fro" selling "ore of your products or
services*
9o matter how !hallenging or !om#etitive the e!onomy a##ears% as
mu!h as
?@A of your mar$et is still unta##ed& ;here are al"ost always hidden
opportunities
around you* Your a$ility to uncover and take advantage of those opportunities
is the true
test of co"petence as an eMecutive or as a $usiness*
)e!ide Who You Are and What You )o
0peciali*ation re8uires that you focus on speci5c products or services0
speci5c
"arkets or speci5c custo"er needs* You "ust 5ght the te"ptation to try to
o.er too "any
products and services to too "any custo"ers in too "any areas* You "ust
speciali6e0
$oth in your own "ind0 and in the "ind of your custo"er*
+hat is it exactly that your product or service is designed to achieve0 avoid or
preserve for your custo"er? +hat are the core co"petencies or proprietary
"ethods or
technologies that ena$le you to speciali6e in this area? +hat speci5c pro$le"
or need can
you solve or satisfy for your custo"er? And of all the di.erent results you can
get with
your $usiness0 where do you0 should you0 could you speciali6e?
See Yourself As A (usiness
#n your personal life0 you should ask the sa"e 8uestions of yourself as well*
+hat
is your personal area of speciali*ation? #n what way is your work superior to
your
co"petitors? +hat is the ideal position or area of responsi$ility for you to
apply your
talents? +here should you $e concentrating your energies to get the very
$est results and
greatest rewards possi$le?
(specially0 you should continually ask yourself0 $hat is it that I do very, very
well?
+hat is your personal area of eMcellence? +hat could it $e? +hat should it
$e?
-oo$ing Ahead
&ooking into the future of your $usiness or industry0 what new co"petencies
do you need
to develop to lead your 5eld in the "onths and years ahead? +hat additional
knowledge
and skills do you need to ac8uire? +hat are those few tasks0 which0 if you did
the" in an
eMcellent fashion0 would have the greatest positive i"pact on your career? #n
what areas
could $e paid the very "ost for the application of your special talents and
a$ilities? ;his
8uestion is =ust as relevant for you as it is for your co"pany*
3ar$et 3ore E=e!tively:
1* :ecide today to dominate your 5eld0 to $e the $est at "arketing and
innovation in your product or service area* +hat is the 5rst step you should
take?
C* :eter"ine your area of speciali6ation0 $y product or service0 "arket or
type of custo"er* +hat should it $e? +hat could it $e?
A* How do you di.erentiate your product or service fro" those of your
co"petitors? #n what ways are you superior to anyone else? +hat could it $e?
+hat
should it $e?
F* +hat are you $est "arket seg"ents? +here are your highest pro$a$ility
custo"ers? +ho can $ene5t the "ost fro" using what you sell?
G* How can you organi6e your $usiness so that you concentrate your
"arketing and selling e.orts on those custo"ers who can $uy and pay faster
than any
others?
H* +hat additional products0 services0 knowledge or capa$ilities will you
need to do"inate your "arkets in the "onths and years ahead?
7* +hat should you i""ediately start doing "ore of0 less of0 start or stop
to ad=ust to the current "arket?
Cha#ter Ten 1 Analy'e Your Com#etition
1oncentrate your strengths against your competitors relative weakness!
DBruce
HendersonE
Know Your Enemy
Here then is a 8uestion for youL +ho is your co"petition? (Mactly? Your
choice of
co"petitor deter"ines al"ost everything you do in your "arket0 =ust as the
choice of an
adversary deter"ines everything a general does in the process of conducting
"ilitary
operations*
)etermine Their (uying 3otives
-nce you have deter"ined why it is that people $uy fro" you0 you "ust then
ask
and answer0 J+hy do people $uy fro" "y co"petitors?K +hat value or
$ene5ts are your
potential custo"ers convinced that they receive when $uying fro" your
co"petitor rather
than fro" you?
+hat are your co"petitor9s key strengths? +hat are his areas of
speciali6ation0
di.erentiation0 seg"entation and concentration? +hat does your co"petitor
have that
you don9t have? +hat does he o.er that you don9t o.er? +hat is he doing
"ore of or
$etter than you? +hat is his uni8ue selling proposition?
=set Their Advantages
As you study your co"petitors0 look for ways to o.set or neutrali6e the
advantages
their custo"ers perceive the" to have* +hat are your co"petitor9s
weaknesses? How can
you eMploit these weaknesses? +hat do you do $etter than they do? #n what
ways are
your products or services superior to their o.erings? #n what areas do you
have a distinct
advantage over your co"petitors? +hat can you do to o.set your
co"petitor9s strengths
and "aMi"i6e your advantages? How can you $etter position yourself against
your
co"petitors in a tough "arket?
;he "ore ti"e you take to study and understand why and how your
co"petitors
are successful in selling to your custo"ers0 the "ore likely it is that you will
5nd an
opportunity to take away their "arket share* As ?un ;6u says in he 2rt of
$ar0 J#f you
know $oth yourself and your ene"y0 you will prevail in a hundred $attles*K
Analy'e Your Com#etition:
1* +ho is your co"petition for what you sell0 with the eMact custo"ers you
are
trying to attract?
C* +hat would happen if you changed your o.erings in such a way that you
targeted
a di.erent group of custo"ers0 one that would $e easier to sell to?
A* +hy do your potential custo"ers $uy fro" your co"petitors? +hat
advantages do
they perceive?
F* +hat is your co"petitor9s uni8ue selling proposition? +hat special feature
or
$ene5t does his product or service have that yours does not?
G* #n what ways are you superior to your co"petitors? +hat can you o.er
that they
cannot? How can you e"phasi6e this advantage in your sales and "arketing
e.orts?
H* +here is your co"petitor vulnera$le? How could you eMploit this to your
advantage?
7* How could you alter your "arketing strategy in such a way that you could
achieve
do"inance in a particular area0 with a speci5c custo"er or "arket seg"ent?
Cha#ter Eleven 1 )o It (etter% Faster% Chea#er
he man who comes up with a means for doing or producing almost
anything better,
faster or more economically has his future and his fortune at his %ngertips!
DS* ,aul 1ettyE
;he "ost i"portant single deter"inant of your success is your area of
competitive
advantage* #t is "ore i"portant than all other factors* #t deter"ines the rise
or fall of your
$usiness0 your level of pro5ta$ility0 your position in the "arketplace and
everything else
you acco"plish*
Your co"petitive advantage "ust $e crystal clear to you and to everyone in
your
co"pany0 as well as to your prospective custo"ers0 &ack of clear co"petitive
advantage
leads 8uickly to di"inished sales0 loss of "arket share0 lower pro5ta$ility0
price cutting0
and ulti"ately to $usiness failure*
Your 5igh Con!e#t
Your $usiness was started $ecause you or your co"pany had an idea for a
product or service that was di.erent or $etter fro" other products and
services* #t o.ered
to satisfy the sa"e need or solve the sa"e pro$le" $etter0 faster or cheaper
than anyone
or anything else then availa$le*
Your a$ility to di.erentiate your product in the "inds and hearts of your
custo"ers is the key to winning the" in the 5rst place0 and then keeping
the" after the
initial sale* ;o $uy fro" you0 a custo"er "ust $e convinced that0 all things
considered0
your o.ering is di.erent and $etter than anything else that is currently
availa$le at the
sa"e price* Sack +elch was fa"ous for saying0 J#f you don9t have co"petitive
advantage0
don9t co"pete3K
Three Areas of )i=erentiation
;o succeed in a tough "arket0 what you sell "ust $e superior to your
co"petitor9s o.erings in at least three ways* It must "e "etter% faster%
!hea#er% and easier
to use in some way that ma$es it more attra!tive than rival #rodu!ts
or servi!es& #t "ust $e
sold "ore professionally or serviced with greater sensitivity0 speed or
ePciency* #t "ust
$e $etter in at least three areas*
-ne of your key =o$s in strategic thinking is to identify the three areas where
you are
$etter and then to e"phasi6e those areas of superiority in all your "arketing
and sales
How could you achieve operational eMcellence in your $usiness0 or so"e part
of your
$usiness0 in such a way that you could $e the low7cost provider in your
"arket? How
could you dra"atically reduce your costs of doing $usiness and use this low
cost
advantage to increase your sales and pro5ta$ility?
-ead the Field
;he second area where you could achieve co"petitive advantage is in the
use of
innovative te!hnology leading to the production of high 8uality products
and services*
)o"panies like Mercedes and <oleM fall into this category0 as does ?ony and
&eMus*
)usto"ers are willing to pay a pre"iu" for a $rand na"e that represents
high 8uality and
cutting7edge technology* +here are there opportunities for you to distinguish
your
products or services $y using your i"agination to $eco"e the 8uality leader
in your 5eld?
Close to the Customer
;he third area where you could develop co"petitive advantage is in $eing
Jclose to the
custo"er*K ;his re8uires that you invest the ti"e to develop high 8uality
relationships
$ased on Jcusto"er inti"acy*K )usto"ers will pay "ore and re"ain loyal
longer to
co"panies that see" to know and understand the" $etter than others*
,roviders of
speciali6ed services0 such as consulting 5r"s0 law 5r"s and accounting 5r"s
fall into this
category*
#n what ways could you develop higher levels of trust and credi$ility with your
custo"ers? +hat could you do to de"onstrate to your custo"ers that you
really care
a$out the" and their interests? ;his strategy can o.er a $reakthrough
opportunity0
especially in the sale of eMpensive products and services where resales and
referrals are
possi$le*
Pi!$ Your Targets
;o lead your 5eld and achieve higher levels of pro5ta$ility0 you have to $e
outstanding in one of these three areas and very good in the other two* -ne
of the "ost
i"portant decisions you "ake is to choose your area of co"petitive
advantage0 and then
to dedicate your co"pany to achieving it*
Strive For Su#eriority
Your area of eMcellence is the key to your success in a co"petitive
"arketplace*
;his is where your product or service stands out in co"parison to your
co"petitors* #t is a
value or $ene5t that you o.er that no one else o.ers* +ith regard to your
products or
services0 what is it? +hat could it $e? +hat should it $e?
Your area of superiority is de5ned as an area of perfor"ance where your
product
or service is superior to that of your co"petitors* ;his perfor"ance di.erence
is
signi5cant enough that your custo"er will $uy it0 and even pay you "ore for
it* #n what
way does your product perfor" $etter0 in ter"s of getting results that your
custo"er cares
a$out0 than your co"petitors? How could you i"prove the perfor"ance of
your products
or services in so"e "eaningful way?
Binally0 your uni3ue selling proposition is so"ething that you and only you
o.er
to your custo"ers0 and is so"ething that they really care a$out* 'o one else
does as well
as you do in this area* 'o one else achieves the sa"e $ene5t or result* +hat
is your
uni8ue selling proposition? +hat could it $e?
-oo$ Into Yourself
-n a personal level0 you "ust continually ask these 8uestions of yourself*
+hat is your
personal area of eMcellence? +here are you superior to your co"petitors?
+hat is your
uni8ue selling proposition? #n what ways do you do your =o$ $etter or faster
than others?
+hat is it that you and only you do in an outstanding fashion for your
co"pany? +hat
could it $e? +hat should it $e?
,erhaps the "ost i"portant area of superiority you can develop is your a$ility
to
do your =o$ 8uickly and well0 in an eMcellent fashion0 consistently and
dependa$ly every
ti"e* ;his is the key to success as an individual in a co"petitive "arketplace*
)o It (etter% Faster% Chea#er:
1* #n what ways are your "ost i"portant products or services superior to
those of
your co"petitors?
C* +hat is your recogni6ed Jarea of eMcellence?K #f you were to conduct a
survey0
what would people say that your co"pany does especially well?
A* #n what ways are your products or services faster to ac8uire0 use and en=oy
than
your co"petitor9s?
F* +hat is your uni8ue selling proposition? +hat is it that your products or
services
o.er that no other co"pany can "atch?
G* #n what ways are your products or services cheaper to $uy and use0 or
achieve
superior 5nancial results for your custo"ers for the sa"e cost?
H* #f you were known for $eing outstanding in any one area of your product or
service o.erings0 what one distinction would have the greatest positive
i"pact on your
sale and pro5ta$ility?
7* &ist the three areas where your products are0 or can $e0 superior to any of
your
co"petitors* +hat is your plan to achieve this area of "arket superiority?
+hat should
you do 5rst?
What )o You SellB
;he 5rst part of the "arketing "iM is your 4roduct or service* Always de5ne
your
product or service in ter"s of what it JdoesK for your custo"ers0 versus what
it Jis*K Here9s
the 8uestion0 J#s your product or service0 as you are o.ering it today0 ideally
suited for
your current "arket and custo"ers?K
5ow 3u!h )o You ChargeB
;he second part of the "arketing "iM is your 4rice* #s your price the right
price for what
you are selling? ?hould you change your price in so"e way? ?hould you
increase it0
decrease it0 co"$ine your price with other ite"s0 or add ite"s to your price?
?hould you
change your ter"s or o.er so"ething di.erent for the sa"e price?
)ou"le Your Pri!eB
#s there any place in your $usiness that
you could increase your prices and still hold onto your "arket?
5ow )o You Sell ItB
How are you currently pro"oting and selling your product or service? +hat9s
working?
+hat9s not working? ?hould you change your "ethods of advertising0
"arketing0 selling
or ac8uiring custo"ers in any way?
Sell 3ore Stu=
(specially0 should you upgrade and i"prove your direct selling "ethods0
people0
presentation0 and capa$ilities?
Is Your Phone <ingingB
(ver after0 when # think a$out the e.ectiveness of advertising0 # always ask0
J#s
your phone ringing?K
Where )o You SellB
;he fourth ele"ent of the "arketing "iM is the 4lace* ;his is the speci5c
location where
the sale of your product takes place* +here eMactly do you sell your product
today? :o
you sell in ho"es0 oPces or in your own retail esta$lish"ent? :o you sell in a
particular
city0 state or nationwide? :o you sell in stores or $y direct selling or $y direct
"ail? Most
i"portantly0 should you change the place at which you o.er your products?
A change in the location where you o.er your product or
service could change the direction of your $usiness* +hat could it $e?
E2amine Your Assum#tions
+henever you have diPculties selling a suPcient 8uantity of your product or
service0 you should eMa"ine all of your assu"ptions in the areas of product0
price0
pro"otion and place* You should $e willing to consider the possi$ility that
your "ethod
is co"pletely wrong in one or "ore of these areas*
#t often happens that a single change in one of the J,9sK in the "arketing "iM
can
change the entire nature of your $usiness0 $oost your results0 increase your
pro5ta$ility
and "ove you toward "arket leadership* /eep an open "ind*
The Answers Are Changing
+hat is the correct "arketing "iM for you to sell the very "ost at the highest
cost0 and
earn the greatest pro5t? +hat assu"ptions are you going on that
"ay no longer $e true?
Change Your 3ar$eting 3i2:
C& Be prepared to challenge every aspect of your "arketing0 especially if it is
not
working as well as $efore* +hat areas cause you the greatest frustration and
dissatisfaction?
D& +hat eMactly do you sell0 de5ned as what it JdoesK for your custo"ers0
versus
what it Jis?K
6& +hat prices do you charge? How could you change the way you charge to
"ake
$uying fro" you "ore attractive?
E& How do you pro"ote your product? )ould there $e $etter ways of
advertising
your products or services that would give you $etter results?
7& How do you sell your product or service? #s every person who deals with
your
custo"ers fully trained in every key result area of selling?
:& +here do you sell your product or service? ?hould you $e eMploring other
locations or "ethods of sale?
;& ?hould you change "ore than one of the ele"ents of the "arketing "iM at
the
sa"e ti"e? )hallenging "arket conditions often call for $old departures fro"
the "ethods
of the past0 especially if they are no longer working*
What Words )o You wnB
:eli$erately or accidentally0 each product or service develops a reputation
that
positions it against its co"petitors* +hat is yours?
Create Your wn Cheat Sheet
Here is the 8uestion* +hat words do you own? +hat words should you own in
the
hearts and "inds of your prospective custo"ers? +hat words could you own
if you were
to reorgani6e and redirect your "arketing e.orts?
As an eMercise0 i"agine one of your prospects "eeting with one of your
custo"ers* #"agine that your custo"er called you and asked you what you
would like
hi" to say to your prospect to convince your prospect to $uy fro" you?
#f you could put together a Jcheat sheetK with the eMact words or phrases
that you
would like your custo"er to leave in the "ind of your prospect0 what words
would you
choose? +ould you choose words like excellent 3uality, high integrity, friendly
service,
nice people, 3uick responses to problems, easy to work with, great prices?
How do you want
to $e descri$ed $y your custo"ers and potential custo"ers? -f all the words
and phrases
that custo"ers could use to descri$e your products and services0 and your
co"pany0
which would $e the "ost helpful for you and your $usiness?
What Is Your (randB
How are you descri$ed and thought a$out $y others when you are not there?
+hat is
your personal brand? +hat is your reputation? How do other people think and
talk a$out
you0 $oth as a person and as a contri$utor to the organi6ation?
Position Your Com#any For Su!!ess
1* +hat is your co"pany9s reputation in your "arket? How do custo"ers and
co"petitors think and talk a$out you?
C* +hat words do people use when descri$ing your products or services to
others?
A* #f you could JownK certain words that apply to your co"pany0 your
products or
services0 which words would you choose?
F* +hat words0 if they were auto"atically associated with your co"pany0
would
have the greatest positive e.ect on your sales and pro5ta$ility?
G* +hat changes would you have to "ake to assure that every custo"er
contact
reinforced the "essage that you wanted to send to your custo"ers a$out
doing $usiness
with you?
H* +hat are the "ost i"portant pro"ises that you "ake to your prospects to
get
the" to $uy fro" you for the 5rst ti"e? :o you keep these pro"ises after the
sale?
7* +hat are the "ost positive things that your custo"ers say a$out dealing
with your
co"pany? How could create a syste" to assure that "ore custo"ers say
these things?
(Ma"ine your co"plete range of products and services0 especially the newer
ones0
and ask0 J+hich of these has the potential to $e a $ig seller?K +hat would
you have to do
or invest in o help "ake it a "a=or source of sales and revenues?
/eep asking yourself0 J#f # had not already co""itted ti"e and "oney to this
product0 knowing what # now know0 would # start investing in it again today?K
Apply the ?BU concept to yourself and your career* You have several areas of
talent and a$ility0 core co"petencies0 eMperience0 knowledge and education*
+hat are
your cash cows0 the skills that are central to your value to the organi6ation?
+hat are your Jstars0K the e"erging areas of activity0 or new skills and
knowledge
that can "ake you eMtre"ely valua$le in the future?
+hat are your potential areas of great success? +hat are the pro=ects0
responsi$ilities and areas of opportunity0 which0 if you eMploit the" fully0 can
ena$le you
to "ove ahead "ore rapidly in your career?
Binally0 what are the JdogK areas of your work life? ;hese are the tasks or
skills
that you "ay have "astered in the past0 $ut which distract you fro" your
future* ;hese
are the =o$s and activities that take up a lot of ti"e0 $ut which are nowhere
near as
valua$le as other things you could $e doing* +hat are they?
)evelo# Strategi! (usiness .nits
1* Begin today to view each product or service as a separate $usiness0
responsi$le
for generating a certain a"ount of pro5t every "onth*
C* 1roup your di.erent products or services $y si"ilar characteristics0 si"ilar
custo"ers0 or si"ilar "arkets*
A* +hat are the cash cows of your $usiness? +hat are the core products or
services
that are essential to your overall pro5ta$ility?
F* +hat can you do today to safeguard and nurture your cash cows to assure
that
they continue contri$uting sales and cash 4ow far into the future?
G* +hat are the JstarsK of your $usiness? +hat are the products that are
selling well0
increasing in "arket share0 and generating high pro5ts?
H* +hat could you do to increase the sales and pro5ta$ility of your stars?
7* +hat are the J8uestion "arksK of your $usiness? +hich of your current
products
or services should you discontinue0 knowing what you now know?
What Is To (e SoldB
;he 5rst 8uestion is0 +What is to "e soldB, ;o answer this correctly0 you
have to de5ne
your product or service in ter"s of what it does0 and how it $ene5ts your
custo"er* How
does it i"prove his or her life or work? -f all the $ene5ts that a custo"er
en=oys fro"
purchasing your product or service0 what is the pri"ary $ene5t0 the one thing
that you
o.er that "akes you superior to any other co"petitor in the "arketplace? :o
you know
the answer to this?
Who Is 0oing To Sell ItB
;he second 8uestion is +(y whomB, +ho is actually going to sell the
product or service
and get the check fro" the custo"er? How are you going to recruit0 train0
"anage0 5eld
and support the sales person? How is this salesperson going to uncover the
necessary
leads and get face to face with the prospective custo"er?
Who Is Your CustomerB
;he neMt part of the 8uestion is JTo whomB,
5ow 3u!h Are You 0oing To ChargeB
#s there any price you would raise0 lower or "odify in so"e
way?
Colle!ting Payment
;he neMt 8uestion is How is it going to be paid for? :o you re8uire
pay"ent
in full0 in advance? :o you re8uire a deposit when the sale is "ade and with
the $alance
to $e paid at a later ti"e on certain ter"s? :o you o.er credit or 5nancing?
(specially0
what do your co"petitors do?
-ften a change in the way you charge0 or in your pricing structure0 can
dra"atically increase your sales* +hat could you do di.erently in today9s
"arket that
would "ake it easier or "ore attractive to $uy your product or service?
)elivering The 0oods
;he 5nal part of the 8uestion is How is going to be delivered
satisfactorily?
+hat is the eMact process of getting the product or service to your custo"er
in such a
way0 and at such a level of 8uality0 that the custo"er $oth $uys fro" you
again and
reco""ends you to others?
Sell 3ore E=e!tively:
1* +hat is the eMact sales process necessary to sell your product or service0
fro" the
5rst custo"er contact through to the close of the sale? :o you know? How
could it $e
i"proved?
C* +hat "ust your prospective custo"er $e convinced of $efore he chooses
your
product over that of your co"petitor?
A* #f "oney were no o$=ect0 what special results or $ene5ts do you o.er in
your
sales e.orts that "ake your product "ore desira$le than any other availa$le?
F* +hat is your process for recruiting salespeople? +hat "edia do you use?
+hat
levels of education and eMperience do you re8uire?
G* +hat kind of a co"pensation syste" do you have for salespeople? +hat is
it
$ased on? How could it $e i"proved so that it "otivates $etter sales
perfor"ance?
H* How "uch of your $usiness co"es fro" referrals fro" happy custo"ers?
How
could you increase the nu"$er of referrals you get as a percentage of your
$usiness?
7* +hy aren9t your sales twice as high already? +hat sales e.orts could you
"ake to
tap into that N!O of the "arket that has never heard of you?
Follow the Formula
J+hy a" # not at that goal already?K +hat is holding you
$ack? +hat is the constraint0 chokepoint or $ottleneck that sets the speed on
how fast you
achieve your speci5c goals of sales0 cash 4ow or pro5ta$ility in your
$usiness?
&et us return to "y earlier 8uestion0 J+ould you like to dou$le your sales and
dou$le your inco"e?K #f your answer is JyesK0 then why haven9t you done it
already? +hy
aren9t your sales twice as high? +hy aren9t your pro5ts twice as high? +hat is
holding you
$ack? +hat is constraining you? +hat is the li"iting factor?
Identify Your Personal Constraints
;hink a$out your personal life and goals as will* Ask yourself0 J+hat are "y
"ost
i"portant goals? +hy a" # not there already? +hat is it within me that is
holding "e
$ack?K
#s it the lack of a particular 8uality0 attri$ute or skill that sets the speed at
which #
achieve "y goals? #s it a particular attitude or $elief that is holding "e $ack?
And "ost
i"portant0 what could you do i""ediately to alleviate your key constraints0
starting today?
Eliminate the <oad"lo!$s:
1* ?et clear0 "easura$le goals for sales and pro5ta$ility* 'ow ask0 J+hat
deter"ines
the speed at which # achieve these goals?K
C* Use sentence co"pletion eMercises* ?ay0 J+e could dou$le our sales if it
=ust
wasn9t for**K and 5ll in the $lank*
A* #dentify the "a=or $lock to your achieving your "ost i"portant goal? How
could
you re"ove it?
F* &ook within your co"pany for the li"iting factors that hold you $ack* +hat
are
the chokepoints in your $usiness?
G* Assess each person in each key position* Are they co"petent and capa$le
of
doing what needs to $e done for you to $e successful?
H* -nce you have identi5ed your key constraint to $usiness success0 ask0
J$hat else
is holding us $ack?K /eep asking0 J+hat else?K until you get to the real
pro$le"*
7* #n your own career and personal life0 what sets the speed at which you
achieve
your goals? &ook within yourself for the answers*
3a$e Faster% (etter )e!isions
+henever they $ring you a pro$le"
or a 8uestion0 always ask0 J+hat do you think we should do?K
<eengineer Your Com#any:
1* ,ractice si"pli5cation as a way of life* #n what areas of work has your life
$eco"e
too co"plicated0 and what can you do to get it $ack under control?
C* ,ractice 6ero7$ased thinking with every step and every activity* #f you were
not
now doing it this way0 would you start doing it this way again today?
A* ;ake a single co"pleM process or =o$ and "ake a list of every step fro"
$eginning
to end* How could you reduce the nu"$er of steps $y A!O the 5rst ti"e
through?
F* +hat tasks or activities could you delegate to so"eone who can do the"
7!O as
well as you?
G* +hat parts of your $usiness could you outsource to co"panies or
individuals who
speciali6e in that area?
H* +hat parts of your work could you eli"inate altogether with little or no
i"pact on
your $otto" line?
7* +hat parts of your personal life do you need to strea"line and si"plify?
+hen are
you going to do it?
Pum# .# Your Pro/ts:
1* :o a co"plete pro5t analysis on every product and service you o.er* <ank
the"
fro" highest to lowest*
C* #dentify the C!O of your products that account for N!O of your sales*
+hich are
they?
A* #dentify the C!O of your products and services that account for N!O of
your
pro5ts* Are they the sa"e as your answer to TC?
F* After deducting all direct and indirect costs0 which are your "ost pro5ta$le
products or services $ased on cost and return on invest"ent?
G* How "uch is your ti"e worth on an hourly $asis? Build this cost into
everything
you do to get an accurate "easure of costs and pro5ta$ility*
H* Attri$ute a percentage of all general and ad"inistrative costs to each
product or
service you sell* ;his eMercise often turns pro5ts into losses*
7* #f your co"pany was facing serious 5nancial shortages0 which products or
services
would you focus your energies on0 and which would you discontinue? ;hink
a$out doing
it now*
It Starts From The To#
(ncourage each person to 5nd ways to do their =o$s $etter0 faster0 and easier*
Allow the" the freedo" to eMperi"ent with i"prove"ents0 with no fear of
criticis" if
they don9t work* ?o"eti"es the greatest i"prove"ents occur as the result of
a series of
s"all eMperi"ents that were not successful*
You should stand $ack regularly and eMa"ine every product0 service and
process*
How could you i"prove it in so"e way? How could you "ake it $etter0 faster
or cheaper?
How could you get the sa"e or $etter results faster0 or at a lower cost? 'ever
$e satis5ed
or content with eMisting 8uality levels* Always look for ways to i"prove upon
the"*
Brainstor" with your tea" regularly to generate ideas to cut costs0 i"prove
8uality0
increase sales and $oost pro5ts* (ncourage everyone to think0 all day long0
a$out how
they can do their =o$s $etter* Make this co""it"ent to continuous
i"prove"ent a part of
your corporate culture*
Commit to E2!ellen!e
#f everyone in your "arketplace referred to you and your o.erings as the
best in the business0 what kind of a di.erence would that "ake in your sales
and
pro5ta$ility?
+ith that as your goal0 what would you have to do0 starting today0 to assure
that
everyone refers to you as Jthe $estK so"eti"e in the future? +hat could you
do0 starting
today0 to $egin this process? +hat is the 5rst step you should take?
>uality and Pro/ta"ility
J+hich of these co"panies do you feel is the $est in this particular industry?K
Here9s the 8uestionL #f such a survey were done a"ong potential custo"ers
for what you
sell0 where do you feel your co"pany would rank in such a co"parison?
+ould you $e
ranked as Jthe $est0K or so"ewhere lower? +hat could you do to "ove
higher in the
rankings? +hat one step could you take i""ediately?
5ow )o Customers )e/ne >ualityB
What )o Customers WantB
Commit to Continuous Im#rovement:
1* How do your custo"ers de5ne 8uality? +hat is "ost i"portant to the" in
choosing your product or service?
C* How do you rank against your co"petitors on a scale fro" one to ten? How
could
you i"prove your ranking i""ediately?
A* ?et up a reward syste" in your co"pany for suggestions and ideas to
i"prove
8uality and achieve greater custo"er satisfaction?
F* :o you have 8uality and perfor"ance standards for people0 products and
activities
in your co"pany? :oes everyone know what they are?
G* +hat co"pany do you think is the $est in your $usiness0 the "ost
respected and
pro5ta$le? How could you $ench"ark yourself against the"?
H* +hat one step could you take i""ediately to i"prove custo"er
satisfaction with
your co"pany?
7* +hat could you do personally to upgrade and i"prove the 8uality of your
perfor"ance in the "ost i"portant things you do in your =o$?
)e/ne Your Core (usiness
+hat is your core $usiness? #f everything else was stripped away0 what would
$e left at
your core?
#dentify the C!O of opportunities availa$le to you today that can $e
responsi$le for
N!O of your sales and revenues in the years ahead* ;hese will al"ost always
$e
eMtensions of your current $usiness0 your core co"petencies0 and your areas
of
eMcellence* Your choice of the opportunities availa$le to you largely
deter"ines the
future of your $usiness* +hat are they?
Fo!us n 8alue
+hat are the C!O of your work activities that account for N!O of your
personal
value and your contri$ution to your co"pany? #f you =ust dou$led the a"ount
of ti"e you
spend on the C!O of your high value tasks0 and discontinued the N!O of low
value2no
value tasks that you do0 you could $eco"e "ost of the "ost productive
people in your
co"pany* ;hese are your core tasks*
+hat are the C!O of pro$le"s0 aggravations0 and irritations that account for
N!O of
your headaches in your work? +ho are the "ost diPcult people0 custo"ers
or situations
that you have to deal with each day? +hat can you do today to "ini"i6e or
eli"inate
the"?
Based on this N!2C! analysis0 what steps can you take i""ediately to
i"prove0
increase0 and strengthen your core products0 services0 custo"ers and
activities? +hat
should you do 5rst?
Where )o You E2!elB
#n what areas of your products and services are you0 or could you $e better
than
GO of your co"petition?
Advan!e Planning
;his 1itadel is your core $usiness* +hat is yours? +hatever it is0 practice
J?cenario
,lanningK on a regular $asis* Ask yourself0 J+hat is the worst thing that could
possi$ly
happen in "y "arket today?K
+hatever your answer is to that 8uestion0 $egin "aking provisions today to
assure
that you will $e a$le to survive0 should it occur*
Your Personal Citadel Strategy
As an individual0 you "ust $e clear a$out your personal core co"petencies0
as
well* How could you i"prove in each one of the"? +hat core co"petencies
will you
need to lead your 5eld in the years ahead? +hat is your plan to ac8uire the
core
co"petencies of to"orrow?
Con!entrate n the Core:
1* +hat is your core $usiness? +hat products and services are "ost
responsi$le for
your success today?
C* +hat are your core co"petencies? +hat is it that your co"pany does
eMtre"ely
well?
A* +hat are the worst possi$le things that could happen to your $usiness in
the neMt
year? +hat are your plans to deal with the"0 should they occur?
F* +hat are your non7core products0 services or activities? +hat would
happen if you
discontinued the" entirely?
G* +ho are your core custo"ers0 and what are you doing to assure that they
never
leave you?
H* +ho are your core people0 the ones who are "ost i"portant for the
survival and
growth of your $usiness? +hat is your strategy to keep the"?
7* +hat are your core functions? +hat are the things you do that are central
to your
=o$? +hat activities are peripheral?
Four Key >uestions
+hen considering $uying a product or service0 custo"ers have four 8uestions
that
"ust $e answered $efore going aheadL
1* +hat does it cost?
C* +hat do # get for the "oney?
A* How fast do # get the $ene5ts you pro"ise?
F* How sure can # $e that # will get those $ene5ts?
+hichever co"pany or salesperson answers these 8uestions "ost
convincingly
wins the sale*
)eliver n Your Promises
J+hat results or $ene5ts do "y custo"ers eMpect of "y
product or service?K and JHow consistently do "y custo"ers get those
results and $ene5ts
when they $uy "y products or services?K ;his is the true de5nition of
J8uality*K
Uuality can $e de5ned as0 Jthe percentage of ti"es that your product or
service
does what you say it will do0 and continues to do it*K
A 8uality rating of 1!!O0 or perfect 8uality0 "eans that what you sell always
delivers on your pro"ises* A 8uality rating of !O "eans that your product
gets the
desired or pro"ised results nine out of ten ti"es*
-ittle Things 3ean A -ot
Bederal (Mpress has deter"ined that if its 8uality rating was *!O0 they
would
"ake "istakes in the delivery of FF0!!! envelopes a day* At *!O 8uality0
Bederal
(Mpress would collapse under its own weight of confusion* ;hat is how
i"portant 8uality
is in a $usiness*
Your personal success is also deter"ined $y how consistently and dependa$ly
you
perfor" and deliver on your responsi$ilities and pro"ises* You should
continually ask
yourself0 J+hat results are eMpected of "e?K
Your level of e.ectiveness is always de5ned $y others0 $y what they need
fro"
you* &eaders are always asking0 J+hat does this situation need of "e?K -nce
they are
clear0 they concentrate their energies in those areas*
Ask yourself0 J-f all the results # can acco"plish0 what are the "ost valua$le
and
i"portant in ter"s of "y rewards and "y future?K
Im#roving Your A"ility to 0et <esults
Here are seven of the $est 8uestions you can ask and answer to i"prove your
a$ility to get resultsL
1* J+hy a" # on the payroll?K +hat eMactly have you $een hired to
acco"plish?
Make sure that what you are doing every day is the answer to this 8uestion*
C* J+hat are "y highest value tasks and activities?K -f all the things that you
could $e doing during the day0 what are the activities that you engage in that
contri$ute
the greatest value to yourself and your co"pany?
A* J+hat are "y key result areas?K +hat are the core co"petencies and key
tasks
that you "ust a$solutely0 positively do in an eMcellent fashion to produce the
"ost
i"portant and valued results eMpected of you? <esolve today to $eco"e a
Jdo7it7toyourself7
pro=ect*K Bor the rest of your career0 dedicate yourself to continually learning
and
i"proving in those areas where top perfor"ance is "ost vital to your
success* 1etting
better at your key tasks is one of the $est ti"e saving techni8ues of all*
F* J+hat can # and only # do that0 if done well0 will "ake a real di.erence?K
;here is always so"ething that only you can do that can "ake a signi5cant
di.erence to
your life and your work* #f you don9t do it0 it won9t get done* 'o one else will
do it for
you* But if you do it0 and you do it well0 it can "ake a signi5cant di.erence*
+hat is it?
G* J+hat one skill0 if # developed and did it in an excellent fashion0 would
have
the greatest positive i"pact on "y career?K ;here is always one skill that if
you developed
it and did it well0 would have a greater and "ore positive i"pact on your
career than any
other single skill* Your =o$ is to identify that skill and then put your whole
heart into
$eco"ing a$solutely eMcellent in that area0 whatever it is*
H* J+hat one result0 if # achieved it consistently for "y custo"ers0 would
"ost
satisfy those custo"ers and $ring "e the greatest nu"$er of additional
custo"ers?K +hat
"ust your custo"er $e a$solutely convinced that he or she will receive fro"
you in order
to $uy your product or service and to reco""end it to his or her friends? How
could you
i"prove your 8uality and service in that area?
7* ;he 5nal 8uestion for personal success0 nu"$er seven0 is thisL J+hat is the
"ost valua$le use of "y ti"e right now?K Use this 8uestion as your guiding
star
throughout the day* /eep asking0 What is the most valuable use of my
time, right
now?
All )ay -ong
#f you could only perfor" one task all day long0 what one thing could you do
that
would contri$ute "ore value to your life and work than any other single task
or activity?
FFFFI9TE<9ET 3A<KETI90 WIT5
E3PWE< 9ETW<K (I3GP<SPE<ITY
TEA3GP<HECT AW-FFFF
Whatever your answer% #ut mastery of that tas$ at the to# of your
list of #riorities&
)edi!ate yourself to getting "etter and "etter doing the one thing
that !an ma$e more of a
di=eren!e than anything else& This is the $ey to getting su#er"
results at every stage of
your life and !areer&
n!e more% here then are the DC $ey ideas in the Tur"ostrategy
#ro!ess:
1* Start Where You AreL :o a co"plete and honest analysis of your
$usiness as it is
today0 including the current status of your sales0 revenues0 pro5ta$ility and
the "arket
situation around you*
D& )raw A -ine .nder the Past: Apply 6ero $ased thinking to every part of
your
$usiness* #f you were not doing it today0 knowing what you now know0 would
you get
into it again today?
6& Condu!t A (asi! (usiness Analysis: (Ma"ine your products0 services0
processes0
and activities as if you were looking at the" for the 5rst ti"e* Be prepared to
ask yourself
the J$rutal 8uestionsK a$out each one of the"*
E& )e!ide E2a!tly What You Want: ?et clear0 written0 "easura$le goals
and
o$=ectives for yourself in each part of your $usiness*
7& )esign Your Ideal Future: ,ro=ect forward A7G years and i"agine that
your
$usiness was ideal in every respect* +hat would it look like? +hat could you
do0 starting
today0 to "ake that future vision into a current reality?
:& Create A 3ission Statement: :ecide eMactly what it is you want to
acco"plish
for others with your $usiness* Make it "easura$le* Make it eMciting* ?hare it
with
everyone*
;& <einvent Your rgani'ation: #"agine starting your $usiness or career
over again
today0 with your present knowledge and eMperience* +hat would you do
di.erently?
?& Sele!t the <ight Peo#le: Bully GO of your success in $usiness will $e
deter"ined $y the people you choose to work with and for* ;ake the ti"e to
"ake good
personnel decisions*
I& 3ar$et 3ore E=e!tively: ;hink through every part of your "arketing
strategy $y
applying the four principles of speciali6ation0 di.erentiation0 seg"entation
and
concentration to every product and service*
C@& Analy'e Your Com#etition: :ecide eMactly who you are co"peting
against0 and
why it is that your prospective custo"ers prefer to $uy fro" the"* How could
you o.set
this perceived advantage?
CC& )o It (etter% Chea#er% FasterL )ontinually seek ways to serve and
satisfy your
custo"er in a superior fashion to any one else in your "arket* 'ever stop
raising the $ar
on yourself*
CD& Change Your 3ar$eting 3i2: #"agine $eing your own "anage"ent
consultant
and asking yourself hard 8uestions a$out the appropriateness of your
product0 price0
place and pro"otion in today9s "arket*
C6& Position Your Com#any For Su!!essL :eter"ine how you want to $e
thought
a$out and talked a$out $y your custo"ers and prospective custo"ers* +hat
are the very
$est words they could use to descri$e you?
CE& )evelo# Strategi! (usiness .nits: :ivide your products and services
into one
of four categoriesL cash cows, stars, 3uestion marks and dogs* Make one
person
responsi$le for sales and pro5ta$ility for each product or group of products*
C7& Sell 3ore E=e!tively: Bocus single7"indedly on upgrading the 8uality
of your
sales e.ort* Hire "ore selectively0 train "ore thoroughly0 and "anage "ore
professionally* ?ales are the life$lood of the $usiness*
C:& Eliminate the (ottlene!$s: #dentify the factors that deter"ine how
fast you
achieve your goals of sales and pro5ta$ility* )oncentrate on alleviating these
$ottlenecks
in every part of your $usiness*
C;& <eengineer Your Com#any: )ontinually seek ways to strea"line and
si"plify
the process of producing and selling your products and services* &earn to
delegate0
outsource0 downsi6e and eli"inate the co"pleMity of everything you do*
C?& Pum# .# Your Pro/ts: (valuate every product and service to
deter"ine eMactly
how "uch net pro5t you are actually earning fro" each ite" you sell* <esolve
to
discontinue products and services that are not as pro5ta$le as others0 and
channel "ore
resources into those products that are the "ainstays of your $usiness*
CI& Commit To Continuous Im#rovement: #nstall the /ai6en process of
Jcontinuous $etter"entK into your co"pany* Bind out how your custo"er
de5nes
J8ualityK and then continually strive to eMceed eMpectations*
D@& Con!entrate n The Core: #dentify the "ost i"portant products and
services
you o.er0 and then focus on getting $etter and $etter selling "ore and "ore
of the"*
,ro$a$ly N!O of the "arket potential for your core products has not yet $een
tapped*
C1* Fo!us n <esults: )oncentrate your $est energies and resources on
getting the
"ost i"portant results possi$le for your co"pany* ?et priorities in every area
and then
work single7"indedly to co"plete the few tasks that are "ore valua$le than
everything
else put together*
;he "ost i"portant part of the ;ur$ostrategy is not what you learn0 $ut the
actions you
take0 and how 8uickly you take those actions* ;here is a direct relationship
$etween how
fast you "ove on a new idea and how likely it is that you will ever "ove on a
new idea*
<esolve today to $eco"e intensely action7oriented for the rest of your career*
Sust do it3
The Tur"ostrategy Pro!ess