This morning was a special one. Not only it is my wife’s birthday today. It is also the first day of not going to work anymore. This gives the opportunity to think about options. Just checked how to set up a Ltd. company in Malta. What are the pros and cons of doing that? Perhaps blogging a bit and reaching out to people I have neglected a bit during the last years would be a better idea?
Sure, the last days have been tough. But I can genuinely say that this is the beginning of something new.
The best is yet to come 🙂
PS: And doing this from Malta isn’t that bad if I take a look at the temperatures throughout Northern Europe…
Today is my last day @Betsson. I have been there for exactly one year. It is with regret that I am leaving. At the same time, I see this as an opportunity to move on and grow personally and professionally even further.
It has been exciting to get to know the gambling industry, Malta, and a Swedish company. A lot of energy and passion has been put into making a difference. And this will not go away: We should be there to make a difference.
Who is up for it?
Today on Twitter, I stumbled upon the following article: “Beyond Design Thinking” by @kevinmccull.
Interesting to read that the concept of “Design Thinking” might be starting to become out of date. But then I realized that it is increasingly being absorbed within a much more strategic approach “for designers”.
Main learning: don´t believe in buzz words, but find your own way to use frameworks.
My motto is: “Digital Strategy Implementation & Design Thinking”. How about yours?
As many of you have certainly experienced already, there are a lot of managers who expect to have a plan thought to the end – including a business plan. Especially when it is about presenting to a Board of Directors for budget approval. There is nothing wrong about this. I would just like to highlight some caveats that this approach might bear.
During my business strategy lectures @HEC we have worked on several cases like Dell, Patagonia or the Cola Wars case. Those cases sound “logic” and looking backwards all pieces come together in a meaningful way. We then talked about gaming theory, aka how to anticipate moves of competition and understand the impact of psychology on own decisions. We looked at the Ryainair case for that. In many examples we could literally compute the changes in willingness to pay (WTP) by looking at the numbers given in the cases. But if you go beyond airlines and apparel and enter the space of digital, this becomes more and more difficult. And still: the Professor was talking about such things as “intuition” when thinking about strategy. And finally there is the time factor, typically decision makers don´t have infinite time to come up with conclusions. The more uncertain predictions are the more blurry is the future. Many executives react with the task to try harder to come to a concrete case.
Everyone knows the Pareto rule with 80% of the effort needed to get to the last 20% of the result. This perfectly applies to our context. Instead of insisting on getting the last 20% right, there must be a clear decision on how much time and effort to invest to get more certainty. Given the dynamics of the markets and the role of technology there might be the moment to listen more to those who have a good intuition.
Right brainers are intuitive, left brainers aren´t. Left brainers even instinctively fear intuition because it makes them feel uncomfortable. Most companies are managed by left brainers. So you can imagine what role intuition is playing when deciding issues. This results in lengthy planning processes and a lot of discussions. This hurts the 80:20 rules and doesn´t always give an adequate answer to current challenges. But – what is much worse – intuitive people don´t feel appreciated in this kind of environments. Going 80:20 means listening to them. Are you really sure to want to invest 80 % of your time to get to an anyway blurry 100% before making your decision? Your stakeholders might have an opinion on this…
In today´s lecture this quote was made by the finance professor @HECParis. Again, there is this perception that there is a kind of “solid” world ruled by careful and risk averse people. On the other side stand the “dreamers” that don’t see the upcoming dark clouds.
We have gone through a case study of a very profitable company in a heavy growth situation running out of cash due to the increase of working capital. The founder and his wife were still owning >50% of their company but they had to look for either for new shareholders or to borrow more money. The conclusion was that for the founder it would be best to buy himself some time by borrowing money and to use the won time to sell his company.
Let´s imagine this founder was a product driven person (actually his company was in the software business). Let´s further imagine that all his fantasy doesn’t really help his company in the light of the upcoming cash bottleneck. A fantasy about great new products finding many users who are willing to pay. But the original product visionary is busy optimizing his cash cycle. He can´t build great products. Would this be the moment to hire a Product Manager?
In other words: does the CEO have to be careful by nature and the Product Manager is the optimist by definition? How do they come to conclusions? What is best for the company?
The only way to avoid this kind of situation is to plan very far ahead. Observe carefully early signs of issues and react appropriately. And don’t listen too much to the optimists (aka the Product Managers ) in your company…
By Jörg Malang
In a great presentation by Jean-Noel Kapferer yesterday @HECParis, I was really inspired to rethink my stereotypes about branding.
First of all it is important to note that “a brand is much more than just a name on a product“. Brands also go far beyond driving sales. I don´t know why all the Marketing people I have talked to during my career were not able to make this point to me yet.
If more people recommend a brand than those who are actually purchasing the product, this is a clear signal of a strong brand. The opposite is that some companies have to pay money to be present in films. Jean-Noel calls them “desperate”. There is some magic in putting a crocodile on a shirt despite the fact that this animal is commonly not very much liked.
Second, social media activity is a very good indicator of the value of a brand (“If your brand is not talked about on the web you are not a brand”). Until yesterday, I have thought that counting followers on Facebook is just a way for non-digital Marketers to measure their awareness success (without understanding anything). Now I see that active user participation around brand makes a big difference.
Third, brands can only be authentic if they are considered strategic. It is NOT about driving sales, but much more about building products / companies with a purpose. This purpose lives beyond sales and awareness . This purpose is something that makes our world a bit more worth living. Without leaving “a dent in the universe” there is no real purpose. Product Management is such an exciting place to be in as it helps to build brands. Brands that exist beyond the Marketing department
Thank you, Jean-Noel, for this great inspiration!
By Jörg Malang