I think most organizations have the opinion that if we improve they will make more money. They think through operational improvements or becoming better, faster, cheaper in itself is a winning formula. There are a few basic problems with that premise:
- You have to improve at a faster rate than your competition.
- You have to improve on things that matter to your customers to retain them.
- You have to improve on things that matter to the market place to acquire them.
- You have to be able to support both the new and old items of improvement.
I am sure there are more but my point is better, faster and cheaper is not a game changer anymore. So, what do we do, innovate? Even with innovation we go through the same scenario as above, just with a little more risk involved.
The fact is most companies try to do too much. They want to match the competition with every feature and do it better, faster and of course, cheaper. I see this...