In this article, Dan Markovitz identifies the problem with striving to be on the leading edge and why focusing on achieving lean operations is a better strategy.
Don’t be seduced by the siren song of the leading edge. While it’s a nice concept, it’s not nicknamed “the bleeding edge” for nothing. All too often, companies that strive for first mover advantage bleed their products—or their entire organization—to death.
Peter Golder and Gerard Tellis’s seminal study of 500 brands in 50 product categories reveals that almost half of market pioneers fail. In fact, the greatest long-term success belongs to companies that enter a market and become leaders about 13 years after these first movers. MITS introduced the first personal computer in 1975. Bell Labs brought out the first color TV in 1929. 3M had the first copy machine in 1950. Good luck finding any of those products today.
In follow-up work, Tellis shows that even now there’s little evidence to support the idea of first mover advantage: MySpace and Friendster were ahead of Facebook, Books.com was online before Amazon, AltaVista (among others) beat Google in search, and Sony, Blackberry, and others hit the shelves before Apple in mobile music, smartphones, and tablets. That’s quite a collection of corporate carcasses.
Forget about the leading edge. Instead, focus on becoming faster and more nimble, so that you can get to the head of the market quickly, when the timing is right. That means eliminating the bureaucratic barnacles that encrust so many organizations. Here are a few areas that are probably creating lethal operational drag on the corporate ship.
Key points in this article include:
- The hoshin kanri solution
- Assessing the skills and traits
- Misaligned decision rights
Read the full article, Want To Be On The Leading Edge? Forget About It., on Markovitzconsulting.com
Dan Markovitz provides an article that explores the ability of public US companies to operate as a wholly lean company.
Can public US companies really embrace lean? Well sure, they can deploy lean tools here and there, but the whole socio-technical system that comprises lean? I don’t think so.
Wall Street pressure for quarterly profits competes fiercely with lean principles, both inside and outside the company. Executives who take the long-term view and view employees as appreciating assets worthy of investment, rather than variable costs to be minimized, put their companies at risk of attack from outside “activist shareholders” who demand higher returns. And given how tightly senior executive compensation is tied to the company’s share prices, there’s internal pressure not to put their own wealth at risk by not pumping up the stock price. (Tom Johnson, Doc Hall, and Bob Emiliani have written extensively about this problem.)
Areas covered in this article include
- Stockholder expectations
- Toyota as an outlier
- Barriers to becoming lean
Read the full article, Can A Public Company Ever Be Lean?, on the Markovitz website.
From David Burnie’s company blog, an overview on how 5G will change everything, and a brief review on mobile technology to date.
5G is forecast to enable USD 12 trillion in new economic activity by 2035 and impact industries ranging from agriculture and forestry to finance and insurance. 5G has the potential to disrupt the way consumers, businesses and industries operate.Before we jump into the disruptive potential of 5G, let’s look at what 5G is and how it is different from previous generations of mobile technology.
This article includes:
-What is 5G technology?
-A brief history of mobile technology
-What is low latency?
-Why does low latency matter?
-Examples of how 5G will create new offerings and impact business models
-The final word
Read the full article, How 5G Changes Everything, on David Burnie’s company website.