Do you know of, or has your company, become a business that has entered into a cost-cutting culture to survive and impress shareholders? This cost-cutting culture manifestation is an alarming trend. Its beyond the health of cost-awareness – that’s something that every business needs in its skills base and is important. However, cost-cutting, is the quintessential graveyard for companies. This is where the following vitals come to die: innovation that drives new market positioning, additional market penetration, company sustainability, workforce engagement, lateral leadership thinking, and profitability.
The modern economic playing fields are being successfully inhabited by companies driving a razor- sharp edge in technology, innovation, engagement and ground-breaking product and service delivery. They possess predator vision, lethal strategy and ignited execution of that strategy with highly engaged staff. Their honed processes which deliver their strategies cease to amaze.
Yet there are other companies insistent on sticking to their status-quo (being so archaic that they even lose the status part). Sure, cost-cutting drives a sense of profitability in the short-term, there is no denying that. However, companies stuck in observing the “now”, and who aren’t aware of what is happening across the horizon, head down the road of cost-cutting as a means of survival.
The reality is that visionary businesses are instead looking way beyond the next income statement and lists of costs to cut. They behave like our wildlife migrations here in Africa. They know that long-term survival is about heading to where the rains are, not drinking less water where the rains are not.
So how do leaders head their companies to where the rains are? They embrace innovation and alignment. This is the discipline of creating a profit-focussed culture in your company that meets the demands of a great strategy.
Companies who need more bottom-line profit, need more sales. Sales with higher margin. Not just the same-old-same-old sales….but driving new sales, new ways of getting to market, new products, and new service levels. Sales people who have any value to your organisation are the ones that drive this process relentlessly, backed up by a marketing effort that makes your company and its offerings like honey to bees. Marketing, in turn, is backed up by the operations units who systematically drive exceptional quality and delivery turnaround that sets a standard for competitors to chase. They literally impose the brand value.
Behind all this, it is fundamental to nurture, and acknowledge the value of those staff who are relentlessly dedicated to the company; those staff who have hungered to be with you, even when times were tough and organisational happiness may have been in short supply.
In a nutshell, an aligned profit-focussed culture business looks like this:
- Leaders with an organisational vision that is articulated, common-to-the-group, and achievable.
- An embedded, communicated, and aligned strategy that supports the vision.
- A trained, skilled and tooled workforce backed up by seamless processes and “success-no-matter-what” dynamics
- Leaders who hold their dedicated staff close, but hold their slackers to account. Without exception.
- Leaders who provide dedicated staff a freedom. Freedom that stimulates innovative ideas to drive sales, efficiencies and mind-blowing great service. And the slackers get freedom as well. For them it is called “The Exit”.
Creating an aligned culture with a predatory eye on profit is actually really good fun to be immersed in. It frees leadership and management of the pain of nay-sayers and slackers; provides the company with the healthy focussed nucleus of a self-motivated, self-believing, achieving team who by their nature will take the company to where the rains are. Where the grazing is good, and where the culture looks out for the organisation and its people’s wellbeing.
The amazing end result is that this alignment in your culture drives the capability to sell your products or services at higher margins. Now, isn’t that a good way off from the alternative of crocodiles lurking in the danger waters of cost-cutting?
How clear is your company’s vision? Has it been properly adjusted, focussed and backed up with impressive strategy?
Invite us to an open discussion with your executive and management team.
In under one hour we’ll provide insights that your company will find extremely valuable.
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