USX: Low-End Disruption (BSSE, Tuesday, Week 2)
building-and-sustaining-successful-enterprisesyear-two"Jobs to be done" model. Starbucks does two jobs:
(1) Caffeine, stat! (fast, good, consistent coffee)
(2) A place to sit down and talk with friends, think, or get work done. Starbucks was much cheaper for the customer than the previous alternatives (restaurants).
Organizational processes/structure makes decisions for the firm. Unilever rotates promising managers every 18-24 months to give them experience in many functional areas. How can they hold managers accountable for consequences over long time horizons?
Board meetings are convened "on the back deck of the ship." A firm's board only sees "the wake" --- lagging indicators of performance. Think about how to find and track leading indicators (lowest-marginal customers, for example).
"Data is heavy." Managers' natural tendency is to attempt to solve problems, not surface them. Thus, good data on performance/challenges does not tend to rise to the top of organizations.