21st Century Competition


The fundamental nature of competition in many of the world’s industries is changing. The pace of this change is relentless and increasing. Even determining the boundaries of an industry has become challenging. The companies compete not only among themselves, but also with companies in other sectors. The pace of change among once-stable phone companies is as relentless as it is in the “traditional” grocery industry.

Still other characteristics of the 21st century competition are noteworthy. Conventional sources of competitive advantage such as economies of scale and huge advertising budgets, are not as effective in the 21st century competition.

The traditional managerial mindset cannot lead a firm to strategic competitiveness in the competitive landscape. In its place, managers must adopt a new mindset—one that values flexibility, speed, innovation, integration, and the challenges that evolve from constantly changing conditions. The conditions of the competition result in a perilous business world, one where investments required to compete on a global scale are enormous and the consequences of failure are severe.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Company Self-Concept


A major determinant of a firm’s success is the extent to which the firm can relate functionally to its external environment. To achieve its proper place in a competitive situation, the firm realistically must evaluate its competitive strengths and weaknesses. This idea—that the firm must know itself—is the essence of the company self-concept. The idea is not commonly integrated into theories of strategic management; its importance for individuals has been recognized since ancient times.

Both individuals and firms have a crucial need to know themselves. The ability of either to survive in a dynamic and highly competitive environment would be severely limited if they did not understand their impact on others on them.

In some senses, then, firms take on personalities of their own. Much behavior in firms is organizationally based; that is, a firm acts on its members in other ways than their individual interactions. Thus, firms are entities whose personality transcends the personalities of their members. As such, they can set decision making parameters based on aims different and distinct from the aims of their members. These organizational considerations have pervasive effects.

Ordinarily, descriptions of the company self-concept per se do not appear in mission statements. Yet such statements often provide strong impressions of the company self-concept. The following excerpts from the Intel Corporation mission statement describe the corporate persona that its top management seeks to foster:

The management is self-critical. The leaders must be capable of recognizing and accepting their mistakes and learning from them.

Open (constructive) confrontation is encouraged at all levels of the corporation and is viewed as a method of problem solving and conflict resolution.

Decision by consensus is the rule. Decisions once made are supported. Position in the organization is not the basis for quality of ideas.

A highly communicative, open management is part of the style.

Management must be ethical. Managing by telling the truth and treating all employees equitably has established credibility that is ethical.

We strive to provide an opportunity for rapid development.

Intel is a results-oriented company. The focus is on substance versus form, quality versus quantity.

We believe in the principle that hard work, high productivity is something to be proud of.

The concept of assumed responsibility is accepted. (if a task needs to be done, assume you have the responsibility to get it done).

Commitments are long term. If career problems occur at some point, reassignment is a better alternative than termination.

We desire to have all employees involved and participative in their relationship with Intel.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

Let People Fail


Throughout history people who have achieved the greatest success in life have been those who were not afraid to fail. In fact, most of them failed time and again and often in a very big way.

Thomas Edison tried 2,500 times to invent the light bulb before he finally succeeded. Abraham Lincoln ran unsuccessfully for public office 6 times before he was elected president. History is replete with stories of famous people who were well acquainted with failure; people who set goals higher than what they at first could achieve and who then preserved until they became conquerors.

If a certain amount of failure is intrinsic to great success, why is it such an evil word? Why do most of us place severe limitations on ourselves in order to avoid failure, even to the point of sacrificing our dreams?

A person trained in the behavioral sciences could have a field day with this question. For our purposes here, in very simple terms, we can say that people are afraid of failure because they never learned to see it as friend. Instead of seeing it as a stepping-stone to success, they view it as a blockade.

In order for people to realize their full potentials they must be given permission to fail. When this permission is granted the element of fear is removed. Fear is the great enemy of power. As long as people are consumed by the fear of being rejected, the fear of losing face with their peers, or the fear of losing their job, they can never reach their full potentials.

When people are denied permission to fail, they play it safe. Their reach never exceeds their grasp. They set goals lower than what they are capable of achieving. The result is that the company loses valuable productivity. Mediocrity instead of excellence is the norm. business opportunities are missed. And the people are deprived of the exhilarating experience that comes from taking risks, beating the odds, and accomplishing the near impossible.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Role of Control in Management Process


Control is the task of ensuring that activities are providing the desired results. In its most general sense, controlling means setting a target, measuring performance, and taking corrective action as required. The goal of control system is to have no unpleasant surprises in the future.

Sometimes being out of control doesn’t have especially serious consequences, as when your dry cleaner is “only” an hour late in finding your freshly cleaned blouse. Often, though, the consequences are more severe. Upon assuming responsibility for a unit, managers decide “where are we going” (Planning), who will do what (Organizing), and how to motivate their troops (Leading).

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Decisions: Considering Alternatives


An ideal alternative perfectly fulfills every condition set for it without adding new difficulties. Unfortunately, ideal alternatives are rare. We must, therefore, evaluate each available alternative by measuring it against all of our objectives. It is the relative quality of that fit that concerns us.

If we must choose among several alternatives, we will have to decide which one will best fulfill our objectives with the smallest acceptable risk. In other words, we try to make a balanced choice. An alternative that best accomplishes the objectives but carries severe risks is not, after all, the best choice. Another alternative, perhaps less exciting but safer, may be the best balanced choice.

If there is only one alternative, we must decide whether it is good enough to accept. In this case our evaluation will focus on its relative worth compared with a perfect but unobtainable alternative.

If we must choose between a current and a proposed course of action, then we consider both to be alternatives. We evaluate their performance against our objectives just as we would if both had been proposed. Whatever is currently being done is, after all, an alternative; the choice is whether to continue that way or find another, better way.

If, in the absence of any alternative, we must create something new, we can usually build an alternative from available components. We then choose the best and most feasable combinations, treat each as a separate alternative, and evaluate all of them against an ideal model of an alternative.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Lectures, Line of Sight

Concentrated Marketing


Rather than trying to market its products separately to several segments, a firm may opt for a concentrated marketing strategy. With concentrated marketing (also known as niche marketing), a firm focuses its efforts on profitably satisfying only one market segment. This approach can appeal to a small firm that lacks the financial resources of its competitors and to a company that offers highly specialized goods and services.

Along with its benefits, concentrated marketing has its dangers. Since the strategy ties a firm’s growth to a specific segment, sales can suffer if new competitors appeal successfully to the same segment. Furthermore, errors in forecasting market potential or customer buying habits lead to severe problems.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight