As more and more companies declare profit warnings and significantly worse results, cost containment is all the rage again. You will hear a lot more in 2017 about ‘reorganizations’ and ‘rightsizing’; ‘efficiency’ and ‘leanness’ will become the prevailing buzzwords in boardrooms. I always wonder: if you want to become the ‘right’ size now, which size […]
Read MoreI was asked to speak at a conference for insurers recently, and I decide to rattle their cage. Their old business model, I told them, is already over. It’s just that they may not know it yet, because the many changes that will upend their business are invisible right now. To understand why insurance must […]
Read MoreTwo years ago I wrote on this page about Uber, the taxi-hailing app that has taken the world by storm. At the time, Uber had not entered these shores. It did so shortly after, and as predicted, overran the local taxi industry. One year ago I wrote that it was time to start thinking about […]
Read MoreA few weeks ago I warned on this page that Kenya’s banks faced a ‘new normal’ – an era in which they would have to respond to tighter regulation, as well as innovate furiously just to survive. Well, that was before rate-capping knee-capped the industry. The recent Banking Amendment Act has ensured that banks in […]
Read MoreWe are constantly peering over fences and into windows. The lives of others fascinate us. We have a lifelong obsession with knowing what they are doing; how they do it; what we need to copy from them. What are they wearing? Where do they get that stuff? How do they look so effortlessly stylish? I […]
Read More(Photo credit: Abdulla Al Muhairi / Flickr) When I was a boy, my mother always kept her sewing materials in a particular tin container. That colourful round container was from Quality Street, the producers of a famous chocolate/toffee assortment. I’m pretty sure many of you are nodding your heads at that memory – our mothers […]
Read MoreWhat was the early experience of television like? For those who can remember, we all sat in front of one small box, and received limited programming. In most countries television started with a single channel or broadcaster, usually run by the state. The programmes ran for fixed hours, and were chosen for us. They were […]
Read MoreI looked out of the window, and there they were. A bunch of noisemakers riding around in a taxi waving poorly written placards and shouting “Uber must go!” Uber protests hit Nairobi last week. It was inevitable. Uber has disrupted the traditional taxi industry in 400 cities across the globe now, and the traditionalists often […]
Read MoreLast week I wrote about the phenomenon of autonomous vehicles that is on the horizon. Some futurists think that this technology will rival the smartphone in its potential to disrupt our world. This week, let’s trace out where the effects may fall. As indicated last week, car ownership will change dramatically. Consumer purchasing of cars […]
Read MoreIs it time to discuss self-driving cars? Five years ago, I started telling my clients to start thinking about autonomous vehicles. At the time, I admit that I thought I was engaging in a bit of science fiction. Whilst it was important to imagine the consequences of a world in which vehicles drove themselves, in […]
Read MoreA friend who knows me well sent me a link that he was sure would regale me. His confidence was well-founded. The link took me to www.better-management.org, where I was introduced to the “dead-horse” strategy. To wit: “The tribal wisdom of the Dakota Indians, passed on from generation to generation, says that when you discover […]
Read MoreFor years now, I have been warning of many a corporate collapse to come, on this page and elsewhere. We have been seeing unprecedented speed of change in technology; the far-reaching impact of demographics; and gradual handover of power from producers to consumers. Globally, many a dominant company has been laid low. Japan’s giant Sony […]
Read MoreWalmart, with a strategy predicated on low prices, is the company with the highest revenue in the world. But Apple, with a strategy predicated on high prices, is the world’s most valuable company. Volkswagen fights for volume leadership in vehicles with Toyota globally. But recently, an interesting thing happened: Porsche, a part of the VW […]
Read MoreNairobi is a madhouse. Getting around is a real pain these days. A simple trip can take a couple of hours out of your day. And if you look at the willingness and competence of the people in charge to solve the awful traffic problem, you have to conclude that it will be jam today, […]
Read MoreThere’s a problem in business, and it’s a serious one. No, it’s not about the difficult customers, or the disillusioned employees. It’s about the shareholders. Shareholders, we know, are the supreme entity in business. They put their money at risk, and stand to lose it all if things go wrong. They are therefore entitled to […]
Read MoreA year ago, India seemed to be looking upon itself in horror. A horrific gang-rape had occurred on a Delhi that seemed to shock the nation. Moral outrage filled the airwaves; punitive sentences were promised. This could never be allowed to happen again… And then…what? Nothing much. In fact, the reverse seems to have occurred: […]
Read MoreQuail eggs were hailed as the answer to all ailments; prices began rising fast; enterprising Kenyans rushed in to make money; supply surged and prices fell back sharply; many were left nursing wounds and cursing their luck. In that sequence of events lies many a lesson for peculiar Kenyans. Let’s unpick a few this Sunday. […]
Read MoreI hate spam. I always have. If you send me spam, it will have the reverse effect to what you intended: after receiving your unsolicited communication, I will never even consider buying whatever you’re selling. I tweeted this sentiment recently, and got an odd reply: “But Mr B, what’s really wrong with this practice? Isn’t […]
Read MoreI’ve always liked taking photographs, so I’ve always had a camera. My wife prefers moving images, so she’s always in the market for a video camera. We both hate talking on the phone, so we carried mobile phones more out of necessity than choice. Here’s the thing. Those three consumer items – camera, videocam, phone […]
Read More“There are no surer signs of the inadequacy and delinquency of corporate leadership than that cost efficiency should feature as the dominant issue facing the company, and that the tactics of outsourcing, shared services, reorganization and other short-term palliatives are being paraded as the main drivers of future profitability.” JULES GODDARD & TONY ECCLES ‘Uncommon […]
Read More“When asked what the learnings from Kingfisher Airlines experience were, Tony Fernandes said: “Focus. I have said it to Vijay many times. This is damn bloody tough business. People saw me running around in a T-shirt and a cap and said well if that Indian guy can do it then I can. Vijay was one […]
Read More“Companies are rarely brought low by external forces. The majority of corporate crises, sometimes called “stall points”, when revenue growth slackens dramatically or even reverses, are self-inflicted. The two root causes of stall points are myopia and complacency. Myopia is the failure to recognize market discontinuities until it is too late to respond effectively. Complacency […]
Read MoreWhen I arrived as a fresh-faced student in London many years ago, I discovered a strange phenomenon. There were two types of newspaper in Britain: very large, very serious ones like the Times, Telegraph and Guardian; and much smaller, utterly vapid, even idiotic ones like the Sun and Mirror. Reading the two types was like […]
Read More“Traditional marketing — including advertising, public relations, branding and corporate communications — is dead. Many people in traditional marketing roles and organizations may not realize they’re operating within a dead paradigm. But they are. The evidence is clear.” BILL LEE HBR Blog Network (9 August, 2012) Is marketing, as we’ve known it, dead? Bill Lee, […]
Read More“The tablet market should top all laptop shipments this year and the entire PC market by 2015, according to a report released Tuesday. Market researcher IDC estimated that tablet shipments will grow 59 percent this year to 229.3 million units. That’s higher than IDC’s estimate for notebook shipments this year. Topping that, IDC predicts tablet […]
Read More“Frustrated by the lack of rigorous research, we undertook a statistical study of thousands of companies, and eventually identified several hundred among them that have done well enough for a long enough period of time to qualify as truly exceptional. Then we discovered something startling: The many and diverse choices that made certain companies great […]
Read More“Tonight, I will be meeting friends in a restaurant (tavernas have existed for at least 25 centuries). I will be walking there wearing shoes hardly different from those worn fifty-three hundred years ago by the mummified man discovered in a glacier in the Austrian Alps. At the restaurant I will be using silverware, a Mesopotamian […]
Read More“I worry that something has gone seriously wrong with the way we run companies. If you read the media coverage of our company, or of the technology industry in general, it’s always about the competition. The stories are written as if they are covering a sporting event. But it’s hard to find actual examples of […]
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