Leader as Teacher


Leader as teacher does not mean leader as authoritarian expert whose job it is to teach people the ‘correct’ view of reality. Rather, it is about helping everyone in the organization, oneself included, to gain more insightful views of current reality. This is in line with a popular emerging view of leaders as coaches, guides, or facilitators. In learning organizations, this teaching role is developed further by virtue of explicit attention to people’s mental models and by the influence of the systems perspective.

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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Beyond Customer Satisfaction


Satisfying the customer is no longer the ultimate business virtue. Companies need to look for ways to create and increase customer loyalty. The key to this new loyalty-centered approach to customer relationships is creating and managing the customer value package – the combination of factors (price, product quality, innovation, and company image) that creates what the customer perceives as superior value. Five steps are recommended:

  1. Clearly define and communicate your objectives. The company needs to make sure that every stakeholder clearly understands the importance of  creating and delivering customer loyalty and knows how to make it possible.
  2. Let customers define, in their own words, their criteria for quality, price, image, and value. The company needs to distinguish between basic requirements and loyalty builders. Meeting the basic requirements will get the company on the approved vendor list, but generating loyalty will encourage a customer to stick with the company during difficult times.
  3. Conduct a critical need and value assessment. The company must set priorities among important customer requirements and determine the relative importance of these aspects of the customer value package.
  4. Develop an action plan and move to implementation. This turns management of customer loyalty into a way of doing business. The company must make sure that the voice of the customer becomes the principle around which the business processes are organized.
  5. Monitor the marketplace and organization results. Managing customer value is not a one-time effort, so all the loyalty-building components of customer value have to be monitored regularly with a focus on the relationship between customer value, customer loyalty, and financial performance.

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.

 

An Integral Element of Management


Communication is regarded as an integral element of management. In many companies it is almost impossible to find a manager who has not been on a communication skills course. Corporate speeches extol the importance and virtues of communication, and statements of corporate values highlight the need for openness, integrity and trust.

Never before has so much been invested in the technology of communications. Companies are spending large amounts on intranets and other channels of internal communications. They are advised by some of the brightest minds of the younger generation, who have flocked to join corporate communications consultancies.

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.

 

Outstanding Credit Culture


Just as individuals need a set of values (virtues) to guide their actions, systems should be designed to have a set of attributes which optimize their performance towards the goals. In this regard, the credit culture should have seven fundamental virtues:

  1. Provide fundamental insight to help clients achieve their economic goals and solve their financial problems.
  2. Responsive: the client deserves an answer as quickly as possible, even when the answer is no.
  3. Flexible (creative): commit to finding better ways to meet the client’s financial needs.
  4. Reliable: select clients as long-term partners and treat accordingly.
  5. Manage risk with agreed upon limits. Clients do not want to fail financially, and you should want a bad loan.
  6. Ensure an appropriate economic return to the firm for risk taken. The higher the risk, the higher the return the lower the risk, the lower the return. This is the expression of justice.
  7. Create a “premium” for service delivery. The concept is to provide superior value to the client through outstanding service quality.

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.

 

Problems of Conduct


In Japan’s early history, a serious disregard for manners could be punishable by death, and any samurai could kill any common person who failed to show him proper respect. The Japanese were required to behave in precisely prescribed ways—wearing permitted clothing, walking only a certain way, sleeping with their heads pointing in a certain direction and legs arranged a particular way. Eating, greeting, gesturing with hands, opening doors and many work tasks had to be done in assigned ways without deviation. Conduct became a measure of morality, and virtue in manners was visible for all to see. Even today, the code of conduct plays a significant role in the lives of the Japanese. Many societies, not Japan alone, have a prescribed form and manner for every familiar situation that might arise. Unforeseen situations can cause intense embarrassment or discomfort. Throughout East Asia, actions are judged by the manner in which they are performed. More important than the accomplishment of a task is the question of how someone went about trying to complete the task: Did he act sincerely? More important than winning the race is the grace of the runner. More important than expertise is the way one gets along with others. More important than profits is harmony. In contrast, Westerners and particularly Americans are more concerned with the principles of things, hard “measures” and objective facts. Although rules of ethics are extremely important, we are more goal oriented than method-conscious, we say “a good loser is a loser.”

One aspect of form is the concept of “face.” Much has been written about “face-saving” in Japan and China, but face-saving is important absolutely everywhere. The difference is only a matter of degree and nuance. Where an American might feel a little guilty or inadequate, an Asian, Arab or South American may feel deep shame and humiliation. What an American might see as a little honest and constructive criticism, the foreigner may take as a devastating blow to pride and dignity. A foreigner is likely to be sensitive to feelings of others in transactions that an American would consider strictly impersonal, such as returning a defective product or switching hairdressers. The traveler simply must be more conscious of saying things or behaving in ways that cannot be taken as disrespect, criticism or humiliation. In some countries it seems just about anything can be taken personally, even such indirect affronts as not taking your shoes off in a mosque or complaining about the heat.

Harmony with the environment can be as important as sensitivity to people in some cultures. In Japan a woman wears a soft pastel dress to a flower show so as not to take away from the beauty of the flowers. In countries where people believe in reincarnation they are careful about all forms of life. In India, for example, people are careful not to swallow gnats or step on ants—one might be a relative.

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.

Low-cost Differentiated Products


A product is differentiated if customers perceive it as having something valuable to them that other products do not have. A firm can differentiate its products by offering features that competitors’ do not have. A firm can also differentiate its products by being the first to introduce the products. Since such products are the only ones in the market, they are, by default, differentiated since no other product has their features.

Two products with identical features can still be differentiated by virtue of their locations. One differentiating factor may be the ease of access to the products.

A firm’s products may also be differentiated by the service the customer would get if such service were ever needed

The mix of products that a firm sells can also be a source of product differentiation. Customers who prefer one-stop shopping would find such product mixes valuable.

A firm’s reputation can go a long way toward making customers perceive its products as being different.

In order to deliver low-cost or differentiated products,  a firm must perform a series of activities. The different function s that perform each of these activities are called the firm’s value-chain.

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 contact Asif J. Mir.