Strategy Revolution

Forbes has published a review of Roger Martin's "Fixing the Game". I consider this a seminal work in the area of leadership and management strategy. I also thought it was an appropriate focus for a return to the blogging sphere.

The review points out fundamental weaknesses in our current financial incentive world. For public companies it's all about managing earnings and expectations.

The best companies have avoided the traps, but they are few. I think mostly of Apple, who's leadership (not just the departed) focuses on the customer, and not on what the customer thinks it needs (no market research here) but rather on what they really want (but just don't know it yet).

Translating this to the private market, the focus needs to be on serving the customer best, and only then will profits follow. Maximizing shareholder value (a term called the "dumbest in the world" by no less a titan than Jack Welch) should not be the driving force. Incentives are OK, but they must be tied to customer related goals as well as profitability.

You small guys trying to do things better, keep the focus on your customer and you will succeed. Just bring in a good financial mind to incentivize the workforce and count the beans.