15 May 2012

To begin the innovation process in your company, consider these common barriers to innovation:

  1. Lock-in. “Lock-in” describes an organization’s dogged commitment to business models, products, behaviors, processes and perceived benefits. Lock-in is beneficial because its standard operating procedures create efficiency within a company and drives growth as long as the success formula is working. However, when the market changes, rigid adherence to lock-in will stifle innovation and sink a company.
  2. Defend and extend management. This is a practice of defending core values, procedures, services, products and customers, and seeking incremental opportunities to grow by extending those cores.  Practitioners of defend and extend management view innovations as threats and are often late to adapt to market changes.

Successful innovation requires that your company promote and adapt to those things the marketplace rewards. Here’s a four-step strategy to drive innovation within your company and industry:

  1. Stop defend and extend strategies. Instead of focusing on core products, core services, core markets, core business practices and core technologies, which seems the natural thing to do, focus on future scenarios. Scenario planning can identify innovations and their future value.
  2. Attack competitors’ lock-in. Focusing on competitors’ lock-in shows how to put them at risk, and it also surfaces your own lock-in situation and how to manage it. You can find new innovations and the incentive to develop them by attacking your competitors’ lock-in.  Nothing helps to motivate your team like attacking an arch-nemesis with a new plan.
  3. Create Disruptions. When launching an innovation, it’s critical to create internal disruptions which overturn old lock-ins. Disruptions are not problems caused by market changes. Disruptions are internally generated decisions to attack lock-in and reassess the status quo.
  4. Create and maintain “white space.” Innovators must have their own place/space and mandate to develop new success formulas, aligned with new market requirements.  They must have permission to operate outside of and even violate corporate lock-ins.  And they need sufficient resources of manpower and money, even if this means taking some of the budget from the traditional business.

All companies can adapt to today’s changing markets.  Although in tough times the gut reaction may be to “protect the core,” it is innovation which leads to long-term sales growth and higher profits.  Those who move quickly to adopt innovation, becoming part of the market shift, will come out stronger and more successful.

11 May 2012

Innovation is the key to growth in the new economy.  Thing is, our dollars are tight, so that means we have to really focused on where we invest for the future. So here’s a question for you.
How often do you invest in a feature, product packaging, advertisement or whatever -  so that you can keep up with a competitor?

Perhaps its because the sales force tells us we have to have that ‘thing’ to win, or because we marketing folks been taught that we have to match the competition tit for tat if we ever expect to be successful.Whatever the reason, here’s a simple truth.
Nothing you do that follows the competition will make you a market leader.

Nor will following the competition provide the innovation fuel you need for profitable growth. Yet – we’re all programmed to follow others – to watch what they do, pay attention to what they have and do the same, to need the same stuff.  That’s part of human gravity. Think about it. As kids, we ask for things because our friends have them.  I just had to have that new really cool whizzything like the one my friend got for her birthday. The one I NEVER played after the first day – having whined and wheedled until my grandpa bought it for me.

Want to bet how many customers feel the same way about that cool new whatchamafloppy?  How many won’t really care about that competitive thingie you think is the key to winning – when you deliver real value? ALL of them.

Yes, there are some competitive product or service enhancements that are essential to your business growth.  You should find the most effective way to incorporate them into your solutions.  But competitive me-too’s are not what differentiate your value or create innovative power. They surely won’t make you a leader.  Not when someone else already has that same power feature, only in a different flavor.

Market leadership and innovation comes from being unique in our positions and value.
Pointing to a competitive loss and proclaiming that you have to match some brand new competitive whatchamafloppy to win is not a strategy for success.
So how do we find those innovations that will power our growth?

Focus on serving your customers instead of keeping up with your competitors. That’s the path to leadership and innovation.

  • Go to your prospects for the truth.  If your sales force or product managers see a cool competitive option or move – get out there and chat with your buyers and prospects about how they see  that competitor providing value to their business.  Find out what problems they need to solve, what new things they want to be able to accomplish in their business…then go create the solutions with better value and an independent approach -based on customers, not competition.
  • Never settle for me too. Too often we define innovation as  the same feature only with a tiny bit of whizbang difference. Maybe we change the color or add something simple that’s cool That is incremental innovation and while it’s not a bad thing – it is not the fuel for power positioning your business.  Instead, commit that you will only invest in unique and powerful distinction for your buyers. Spend those precious dollars on your power, not me too.
  • Step up and be the leader.  Many businesses are founded on innovation. That’s how they all begin. Back when you began your business, you started with a unique value and market focus.  So stick with it.  The new economy has everyone feeling like the deer in the headlights.  That makes it easy to slip into follower mode. It’s safer. But safe doesn’t drive profitable growth.  So take a step back and ask yourself – What was the unique value when this business was founded? What’s the best way to deliver that value in even more unique and compelling ways?  You can be an innovative leader – when you stop letting the gravity of the comfortable and safe power your thinking.

As for your competitors, they belong in your rearview mirror.  Yes, you need to keep a wary eye on them. That doesn’t mean competitors get to guide your business strategy.
Stop focusing so much time and energy on them as your source of inspiration and spend more time with your customers. They do buy your products after all – not those pesky competitors.

7 May 2012

Vistage published the well received article 15 Interview Questions that Uncover Talent. Many readers asked for more information on how to interpret the answers that a candidate might give to these questions. The authors have expanded the original article to include answer interpretations.


What question do you have for me right away? Look for preparation, substantial questions, focus, poise, and the ability to think on ones feet. This question allows you to show you’re wanting to have a dialogue.


What would really surprise me about you? What else? This question allows candidates to reveal a different side of themselves. Look for confidence, willingness and candor. The second question (“What else?”) gives the candidate another chance to reveal more if they gave a conservative first response.


What’s your real motivation to change jobs? No, the real reason? Look for motives other than money–money is rarely the real reason. See if the candidate places blame; is seeking asylum elsewhere; can’t handle the pressure, the boss or the pace. These are signs of immaturity, poor-decision making skills or lack of true selling ability. Ask the question to check to see if you’re hearing the whole story.


What’s your philosophy on goal setting? The more detailed answer you get, the more you’ll see if the candidate values setting and achieving goals. Ask for examples of goals they have set and how they measured them. A blend of intrinsic and extrinsic goals will show emotional balance and another sign of maturity in prioritizing ability.


What reading material would I find on your coffee table, nightstand or kitchen table? The answer to this question will show intellect, curiosity, variety of interests, breath of life experience, dedication to learning, or lack of these traits. The candidate’s response will give insights as to how well he or she follows your industry and field of work.


Tell me a story about when you were placed in an ethical dilemma and what happened? This question reveals morals, ethics, integrity and problem-solving skills. If the candidate places blame on others, it may indicate tendencies towards poor judgment, unrealistic attitudes, non-genuine or secretive personality.


How did you earn money while in college? This question offers a good indicator of the candidate’s entrepreneurial skills. If they ran a formal or informal business in college, they are most likely resourceful, driven, have strong social skills and street smarts. These candidates tend to be good at sales, marketing, customer service or other roles that require proactive behaviors.

How far away from home have you traveled? (Have a map on your desk.) Allows for storytelling with better visuals and allows person to share travels and gives you insights into drive, personal interests and how well they communicate outside of business issues. Can show more about risk-taking, social and cultural differences and ability to travel safely and effectively for work.

Draw me a pie chart showing how you spend an eight-hour day. Watch for organization, clear communications and accurate calculations. Their response shows you their presentation and communication skills. Are those skills in line with what you need?

Are you a curious person, and if so, show me an example? The example they give shows you how well they can communicate, persuade, sell, entertain or motivate others. Also, is their curiosity connected to their drive and need to win or to something else?

What’s your favorite success story and failure story? A person willing to share failures tends to be self-confident, mature and has a sense of true self and place in the world. In success stories, look for credit given to team effort and personal drive in relation to goal setting. Bragging of solo efforts may suggest arrogance, inflated sense of self, lack of self-confidence or lack of interest in being a team player.

What should I have asked you that I haven’t? This question allows the candidate to respond by closing and asking for the job or to address hidden concerns of their ability to do the job.

Do you want to be a millionaire? Why? What are you doing to prepare for it? Look for an overall balanced approach to wealth and lifestyle choice and for consistency relative to other questions around goal setting. Does the candidate have a valid, compelling motive for a yes or no to wealth accumulation?

Are you ready to resign from your job in five days? What will your firm do when you quit? What will they say about you after you have left the company? The answers here show the seriousness and commitment of the candidate. A person committed to changing jobs will not hesitate when asked if they’re ready to resign. If the candidate presents a counteroffer, tell him/her that you do not believe in the success of counteroffers and that you will not negotiate against a counteroffer.

Have you ever created a 30, 60, 90-day strategic plan? If the candidate has created strategic plans, how many months were they required to plan out into the future? Is this commensurate with the requirements of position you’re offering? Ask about a specific plan and watch for ability to articulate and define time frames and goals. Many people can speak about planning, so ask candidate to illustrate the plan using visual aids, graphs, charts, etc.

30 Apr 2012

This article is the first in a series of two related articles.

Traditional interview questions oriented around performance, duties and responsibility are important, but the answers often obscure a person’s commitment or emotional intelligence required for the job. By asking new questions, you’ll be amazed at what you can find out. The findings can help you make better hiring decisions, lower turnover and significantly reduce hiring costs significantly.Here are behavioral-based, legal, gender-friendly questions designed to flush out the deeper and more complex behaviors and thinking patterns of a candidate for hire.

  1. What question do you have for me right away?
  2. What would really surprise me about you? What else?
  3. What’s your real motivation to change jobs? No, the real reason (test, re-test).
  4. What’s your philosophy on goal setting?
  5. What reading material would I find on your coffee table?
  6. Tell me a story about when you found yourself in an ethical dilemma and what happened?
  7. How did you earn money while in college?
  8. How far away from home have you traveled? (Have a map on your desk.)
  9. Draw me a pie chart showing how you spend an eight-hour day.
  10. Are you a curious person? If so, show me an example.
  11. What’s your favorite success story? What’s your favorite failure story?
  12. What should I have asked you that I haven’t?
  13. Do you want to be a millionaire? Why? What are you doing to prepare for it?
  14. Are you ready to resign from your job in 5 days? What will your employer do when you quit? What do you think they will say about you after you’ve left?
  15. Have you ever created a 30, 60, 90-day strategic plan for your job or a future job? (Well, today’s their lucky day.)

Research shows that more than 75% of executives today lack any formal interviewing training. The consequences of weak interview skills are lasting and sometimes unrecognizable until it’s too late. The wrong people get hired, or great talent is overlooked. Utilize these 15 questions to your company’s advantage and hire candidates who are truly right for the job.

23 Apr 2012
Daniel H. Pink is one of the featured keynote speakers at “Think BIG: the Vistage 2013 International Member and Chair Conference” and is the author of several provocative, best-selling books about the changing world of work.

Here are six things CEOs and other business leaders can take away about human motivation and creating an effective path to high performance from his most recent book, “Drive: The Surprising Truth About What Motivates Us.”

  1. Create Environments for Needs to Flourish Humans have three innate psychological needs – competence, autonomy and relatedness. By targeting your motivational tactics to activities that yield more “inherent satisfaction with the activity itself” – intrinsic motivation, creativity, self-direction, and genuine motivation – your employees will not only be more satisfied, but will contribute more to your company.
  2. Creativity The strongest driver of a person being excited and motivated to participate in a project is how creative a person feels when working on that project – “enjoyment-based intrinsic motivation.” The best example of this is the new dynamic of open-source projects. To capitalize on creativity, businesses should think about optimizing their model to allow for more creative work flow.
  3. “Renaissance of Self-Direction” Traditional management is not working as well as it used to. People’s basic nature is to be autonomous, curious and self-directed – new management styles should focus on a “renaissance of self-direction.” By giving your people autonomy over their time and how they accomplish things, it encourages them to contribute rather than to just show up, and often gets better results than a “traditional” model.
  4. Genuine Motivation The single greatest motivator is making progress in one’s work. By creating conditions for people to make progress – and by recognizing and celebrating progress – organizations will encourage their employees to be more creative, more driven, and to achieve a state of “flow” that results in better work product.
  5. Rewards Can De-Motivate Counter-intuitively, rewards (and punishments) often give rise to negative behavior. Rewards narrow a person’s focus – which can be useful for solutions to which there is a clear path, but harmful for projects that require creativity and broad thinking – that “intrinsic motivation” that really drives behavior.
  6. Infuse the Mundane with Deeper Purpose Words are important. Do your employees identify with the goals of the company? Do they know WHY they are doing what they are doing? By giving your employees a deeper sense of purpose, you make it more likely that they will work efficiently towards them. Identify those goals in terms of words like “honor” and “truth” rather than “efficiency” and “value.” By humanizing the work, you humanize what your employees do.

Mark Twain may have said it best: “that Work consists of whatever a body is obliged to do, and that Play consists of whatever a body is not obliged to do.” By recognizing how your employees think, you can structure your company so that your employees not only work towards its ultimate goal – but work smarter, more creatively and are motivated to achieve on a daily basis.