Thursday, April 3, 2014

LEADERSHIP SPECIAL .......................Developing leaders in a business…. The Will to Lead(1)



LEADERSHIP SPECIAL Developing leaders in a business…. The Will to Lead(1)

In his book The Will to Lead, Marvin Bower, McKinsey’s managing partner from 1950 to 1967, urges senior managers to abandon command-and-control structures and adopt a program to develop leaders, starting with themselves. In this excerpt, he explores the attributes of leadership.

The shortcomings of command-and-control management are becoming ever more apparent. The hierarchy of bosses organized into ranks, with each superior exercising authority over subordinates who do exactly what their boss wants, has long been the dominant form of corporate organization. But recognizing that they are handicapped by their current systems, many companies are now questioning the way they manage themselves. They are striving for greater effectiveness and flexibility to cope with and capitalize on the fast-moving, ever-changing competitive conditions they see just ahead.
I believe that the old command system must be replaced. Fixing it is not good enough. My view is that authority should be replaced by leadership. By that, I don’t mean that a business should be run by a single leader, but that it should be run by a network of leaders positioned right through the organization. Leaders and leadership teams working together will, I suggest, run a business more effectively than a hierarchical, command-and-control structure.
What makes a leader?
Leadership scholars define a leader as a person who sets attractive goals and has the ability to attract followers, or constituents, who share those goals. Above all, a leader must be trusted and respected. Trust between a leader and constituents opens up two-way communication, making it possible for them to realize their common goals.
Anyone who aspires to lead must develop certain qualities and attributes. By “qualities,” I mean elements of character or personal makeup that are typically difficult (but not impossible) to learn. People usually bring their qualities with them when they join a company. “Attributes,” on the other hand, are more like skills and hence easier to learn. Fortunately, the attributes needed for leadership far outnumber the qualities.
Trustworthiness
Leadership scholars are virtually unanimous in putting trustworthiness at the top of the list of qualities required by any leader. Trustworthiness is integrity in action. Pearl S. Buck, winner of the 1938 Nobel Prize for Literature, put it thus: “Integrity is honesty carried through the fibers of the being and the whole mind, into thought as well as into action so that the person is complete in honesty. That kind of integrity I put above all else as an essential of leadership.”
Anyone seeking to be a leader should always tell the truth, if for no other reason than it is simpler. Richard Heckert, retired chairman of DuPont, put it this way: “If you always tell the truth, you won’t have to remember what you said.”
I have observed that the executives I trusted most were truthful about unimportant as well as important things. They went into detail to be accurate about small things, even correcting statements about things that did not matter. High-precision truthfulness is a good way to gain trust, the ticket of admission to leadership.
Ralph Hart, former chairman of Heublein and president of Colgate-Palmolive, spoke of an incident early in his career when he was hired to sell adding machines to small stores. He was given no training, just provided with samples and sent straight into the field. When he began his route, he was too nervous to enter the first store. As it was late in the day, he decided to wait until morning and begin fresh. But the next day he was still nervous. Finally, near closing time, he approached a store owner, who wasn’t interested:
“I asked, ‘Would you at least look at them?’ So the store owner started asking me questions, and I kept on saying, ‘I don’t know, but I‘ll find out.’ Finally the owner agreed to purchase an adding machine. I was mystified, and asked him why he finally relented. He replied, ‘Anyone who has a salesman as honest as you are must have a good product.’ That was one of the greatest things that ever happened to me. It’s something that I never forgot—be honest and tell the truth.”
Fairness
In my years as a consultant, the most frequent complaint I heard (in confidence) about bosses has been about some form of unfairness. To get something done, the boss had used authority carelessly. In the eyes of subordinates, what the boss wanted done was unnecessary, too difficult, or impossible in the time given.
In America, to be called an unfair boss is damning, and even implies a flawed character. Conversely, a boss who is tough but fair is to be admired. In dictionaries, “fair” is variously defined as equitable, unprejudiced, impartial, dispassionate, and objective.
However it is defined, Americans—possibly because of their intense involvement in sports—are quick to recognize what’s fair and what’s unfair. They will forgive much, but seldom unfairness. Unfairness in a chief executive is particularly serious, because he or she sets the example for everyone else in the company.
Fairness and trust, of course, go hand in hand. Both are essential not only in the chief executive, but in all leaders throughout the company. Moreover, if fairness and trust become an integral part of a company’s culture, then these qualities will flourish, to that company’s great benefit.
Unassuming behavior
Arrogance, haughtiness, and egotism are poisonous to leadership. But leaders can never be hypocritically humble. They are simply unassuming in their behavior. Unpretentiousness can be learned, and it is well suited to the examples the chief executive should set.
Robert K. Greenleaf, former director of management research for AT&T, coined a useful term for the unassuming leader: “servant leadership.” In a pamphlet, and later in his book Servant Leadership, he alludes to a German tale about a group of important men who went on a long journey into the wilderness, accompanied by a servant. They got lost and fell into deep trouble. The servant was particularly helpful and became accepted as the leader of the group. His masters came to trust him because he demonstrated attributes that helped them get out of trouble. So he, a servant, became their leader, and they became his constituents.
Having a servant leadership viewpoint helps any chief executive focus on company performance and on the needs of constituents rather than on his or her own performance or image. The chief executive knows that he or she will get credit for good corporate performance as well as blame for poor performance. So the chief who is a leader can plunge wholeheartedly into leading other company leaders in improving overall company performance, knowing that chief executive performance is always being carefully watched by everyone in the company.
Successful leaders are as unassuming in the surroundings they create—or tolerate—as they are in their behavior. Casualness and informality contribute to a leadership culture. In some successful high-tech companies, everyone dresses and behaves informally; it’s integral to the company culture.
Let me add a few more examples:
  • Unassuming leaders surprise visitors and company people with their offices: pleasant, inviting, and functional, but completely unostentatious in size and decor. And they leave their desks to sit with visitors.
  • General Norman Schwarzkopf, commander of Operation Desert Storm, was offered a villa by the Saudis, but he chose instead a small room tucked away behind his office.
  • I know several executives who have “chairman” on their business cards and letterhead but not “chief executive officer,” even though they hold both titles.
  • I know two chief executives who often stand in line at headquarters cafeterias and then join a group at one of the general tables.
  • The McKinsey research on excellent companies, which ultimately became In Search of Excellence, found that unassuming executives walk around rather than holding meetings in their own offices.
If all company leaders have an unassuming manner—with the casualness and informality that it produces—the resulting behaviors of people will fit naturally into a leadership culture.
Leaders listen
Listening may seem like an unimportant activity, but my experience convinces me that the reverse is true. In a survey, one of the participants said: “Frankly, I had never thought of listening as an important subject by itself. But now that I am aware of it, I think that perhaps 80 percent of my work depends on my listening to someone, or on someone else listening to me.”
I have observed that a high proportion of CEOs in command companies don’t listen very well. They may even turn off people who have valuable information to provide; and one turn-off may discourage the person from coming forward the next time with even more valuable information. In fact, chief executives of command companies are generally such poor listeners that they can signal their change to leading simply by beginning to listen. The shift from telling to listening can be startling to subordinates—and I guarantee they will receive it well. Indeed, at first, they will be flattered. And emerging leaders will be surprised by how much of importance they will learn.
In meetings, chief executives often close off opportunities to learn by expressing their own views too early in the discussion. I know one chief executive of a world-class overseas company who does this constantly. His colleagues have concluded that he is subconsciously showing off his brilliance. That habit, together with the awe in which he is held, cuts him off from important facts and useful opinions.
Active listening helps assure the other person that he or she is being heard and understood. That involves not only paying close attention, but also asking brief, nonleading questions. These convey interest and understanding without necessarily implying agreement.
But a word of caution: listening customs vary around the world. One American executive I know went to England to negotiate an alliance. He was successful, but the affiliation proved worthless. His rueful afterthought: “I wish I had known then that when most Britons nod their heads, it means ‘I understand you,’ not ‘I agree with you.’”
Listening was cited as playing an important role in the election by Fortune in 1994 of six new members of the National Business Hall of Fame, each of whom was “blessed as much with forehearing as foresight”:
“Of all the skills of leadership, listening is one of the most valuable—and one of the least understood. Most captains of industry listen only sometimes, and they remain ordinary leaders. But a few, the great ones, never stop listening. They are hear-aholics, ever alert, bending their ears while they work and while they play, while they eat and while they sleep. They listen to advisers, to customers, to inner voices, to enemies, to the wind. That’s how they get word before anyone else of unseen problems and opportunities.”
This seemingly simple attribute—along with open-mindedness—can have enormous importance and contribute to competitive advantage for any company.
A leader is open-minded
Over the years, I have encountered many chief executives whose minds were closed or only slightly ajar. As a consultant, I admit to being sensitive to this failing. What’s the use of hiring consultants if your mind is too closed to consider their findings?
I’ve thought a lot about why chief executives are not more open-minded, and I lay much of the blame on the command-and-control system. The all-powerful chief executive sits at the top, managing mostly from there. People don’t question chief executives much, and they seldom disagree with them. So CEOs become self-believers and commanders of others. That’s pretty heady stuff, and it feeds on itself.
Self-assurance can be a plus, but excessive self-assurance leads to egotism and even arrogance; it certainly closes minds. I’ve seen it happen.
If a leader gets an idea—say, an acquisition—he or she keeps an open mind about its good and bad features. People in the organization then feel free to come forward with both positive and negative information. By contrast, a CEO in a command company who gets an idea about an acquisition might not want to hear any negative information about it, and if that CEO doesn’t have a reputation for being open-minded, people are not likely to come forward with such information. When in doubt, people in a command company tend to keep quiet.
Any leader with an open mind makes better judgments, learns more of what he or she needs to know, and establishes more positive relations with subordinates and constituents. In a leadership company where there is no hierarchy and where people are free to speak their minds about company performance and how to improve it, people can be more productive. Consider the great competitive advantage of having an open-minded chief executive and other open-minded leaders throughout a company, all ready to receive and consider ideas and put them to work if their judgments stamp them as useful.
As constituents come to learn that their leader does indeed listen with an open mind, they’ll gain confidence in offering their opinions and in engaging in those full, free exchanges of thought that can turn into useful brainstorming sessions. Even the small ideas that emerge can be valuable, and sometimes they can be developed into ideas of real importance. The leader can easily control the time devoted to such sessions: constituents will sense when he or she wants to end the discussion and get on with other business.
It isn’t hard to keep an open mind once you accept its value. However, for anyone who is learning to be open-minded, the following guidelines may help. Never say no immediately. Of course, you have to give a response of some sort, and it should be “I’ll get back to you.” After you have taken time for thought, at least overnight, your decision in all likelihood will be better for not having been made on the spot. Whatever you decide, don’t fail to get back to those to whom you’ve promised to respond. Particularly, be meticulous in responding to anything submitted in writing.
Sensitivity to people
Most leadership scholars call this attribute “skill in dealing with people.” To me that smacks of managing or even manipulating people, as though the leader should develop mechanical approaches or a studied synthetic style. Moreover, treating this attribute as a skill focuses the mind of the leader inwardly in a self-centered way, instead of outwardly on helping or persuading constituents.
The reality is that a leader can’t motivate or persuade constituents or others effectively without having some sense of what’s on their minds. So unless they are always forthcoming about what is on their minds (which is unrealistic to expect), the leader must try to discern what they’re thinking and feeling. That’s why I prefer to call this important attribute “sensitivity to people.”
I believe a leader can develop competence in guessing what’s on people’s minds. Once my late partner Zip Reilly had convinced me to give up commanding and try persuading, I knew that I could persuade people better if I could tell what was going on inside them. It seemed to me, however, that I had to start paying attention to everyone I dealt with every day. I had to stop taking them for granted and exercise insights, intuition, perception, empathy, or some combination of these in the guesswork of trying to find out what was on their minds. Eventually I got the hang of it; I suggest that nearly anyone with the will to lead can do the same.
There is a stereotype that women have more intuition than men; my own experience backs this up. At McKinsey, we work extensively with teams. I have observed that when I have worked for some time with an all-male team and then add a woman, the team becomes more imaginative, has more and better ideas, and is more sensitive to what’s on the minds of client people. It is well to keep this in mind in making up leadership teams.
Sensitivity to people also means that leaders are sensitive to their feelings. Leaders are polite, considerate, understanding, and careful that what they say to someone is not dispiriting unless criticism is intended. Leaders, especially chief executives, must also be careful not to be overheard discussing someone’s job performance with another person. There’s nothing new in that but it’s frequently overlooked.


GADGET GIZMO TABLET REVIEW ......................XOLO PLAY TEGRA NOTE



GADGET GIZMO TABLET REVIEW
 XOLO PLAY TEGRA NOTE

BEST FOR 3D GAMING AND HIGH-DEF MOVIES
The Tegra Note sports an all-plastic build, but its back panel has a rubberised finish that makes for decent grip. Powered by Nvidia’s chip, this tab shows no signs of lag while playing heavy 3D games like Real Racing 3 and Frontline Commando. Its front-facing stereo speakers, however, are placed on the side of its touchscreen, and holding the tablet horizontally blocks these and muffles its sound. This tab comes with a micro-HDMI port, which works well for when you want to watch a movie on a large display. The Tegra Note’s display looks bright, but its colours are rather subdued. Its marker-type stylus is responsive and even pressuresensitive. Unlike the well-supported S Pen in the Samsung Galaxy Note 10.1 (see previous issue), this tab comes with just two apps for drawing and writing.
    The camera works well in bright settings and come preinstalled with the Camera Awesome app that lets you choose from various shooting modes and creative effects. Its low-res VGA front cam doesn’t make for clear and crisp video chats.
    The slate gave us a decent six hours of non-stop movie time.
Specs: 7-inch, IPS (1280x800px) touchscreen | 1.8GHz quad-core processor | 1GB RAM | 16GB (internal), microSD up to 32GB | 5MP rear cam, VGA front cam | Wi-Fi, Bluetooth, A-GPS, micro-HDMI | 4100mAh | Android 4.2 (Jelly Bean)


Wednesday, April 2, 2014

MARKETING SPECIAL................... A Step-by-Step Guide to Winning the Customer


A Step-by-Step Guide to Winning the Customer
 
Companies that understand the stages of consumer purchasing decisions have an outsized influence in their outcome.

Let’s begin with a question: Who are your competitors? Take a minute to list two, three, or four companies. Then ask yourself how you know that these are your closest rivals. Are they the companies that most often pitch for business alongside your company? Do their brands sit beside yours on the shelf? Are they coming up close to your brand in search-page rank? Do they compete with you for resources and employees? Do they vie with you for the consumer’s dollar?
If a company or brand is truly your competitor, you should have answered yes to at least some of these questions. But ultimately, only one condition really determines a rival: whether your target customers include it among the brands they consider in relation to yours.
So let’s ask the question differently. Instead of considering which brands are your competitors, ask which brands the customer considers before making a choice. To determine this, you have to find a way to get into the customer’s mind. This is not easy, but it is worth doing, because your list of competitors and the customer’s list may not be the same. Invariably, the latter is more relevant and indicative of your true competition than the one you prepare in the comfort of your office.
Of all the products available to fulfill a given need, the customer will generally consider fewer than a handful before choosing one to buy, even in the most elaborate of purchasing scenarios. This group of products is the consideration set—your closest competitors. These brands are evaluated on a limited number of criteria before one is ultimately chosen for purchase. From a marketer’s perspective, then, how you analyze and address the competition boils down to three critical issues:
  1. How do you make sure your brand is among those considered for purchase by the customer?
  2. How do you ensure that, for as many people as possible, there are as few competing brands as possible in that consideration set?
  3. Which other brands are in the consideration set, and how do you make sure your brand is the one chosen for purchase from among those?
Now let’s delve a little deeper into the consumer’s thought process to understand how you can systematically increase your chances of success in addressing each of these strategic concerns.

Gaining Entry into the Consideration Set
Customers simplify the large set of available alternatives to the much smaller consideration set by applying rules of thumb that use certain criteria as cutoffs or must-haves. Any of the following, for example, could be a cutoff criterion for consumers forming consideration sets before choosing an automobile: It must have six seats and room for the dog, be a hybrid, be priced below US$25,000, be made domestically, be from a German brand, get at least 30 highway miles per gallon, and be easy to parallel park. These cutoff criteria are so pervasive among consumers that car companies often define the target segments by their customers’ cutoff criteria: the large-vehicle segment, the environmentally friendly segment, the price-conscious segment, the domestic segment, the German-car-enthusiast segment, the fuel-efficient segment, and the urban-car segment. Under this definition, a segment is a set of consumers who are sufficiently convinced by a given criterion to use it as a cutoff in forming their consideration set.
Your first strategic goal, then, is to convince as large a segment of the market as possible to use cutoff criteria that favor your brand. Sure, German car brands compete with each other, but they also have a collective interest in ensuring that a significantly large segment of consumers continue to be sufficiently fascinated by the mythology of German engineering to use that as a cutoff criterion in forming their consideration set. The simplifying heuristic of “German” makes the consumer’s decision much easier because it eliminates a large swath of available brands that are irrelevant to this segment’s choice. A look at the chat boards of German-car enthusiasts shows that to this customer segment, a Lexus, an Infiniti, an Acura—and all other luxury Japanese car brands—simply do not compare with the solidity and drivability of a German-made Mercedes, BMW, Porsche, or Audi. So convinced is this segment of the superiority of German engineering that year after year, members of the group willingly ignore the Consumer Reports testing results that place several Japanese brands higher on tests of both drivability and reliability, even as they accept the higher annual cost of owning a German vehicle. The marketer of German brands could not hope for a better cutoff criterion or a more convinced set of customers. After all, BMW’s marketing managers would much rather limit their consideration set to Mercedes, Audi, and Porsche than compete with a more extensive set of global brands. One benefit of comparisons with these brands is that it improves BMW’s relative value per dollar, more than would a comparison with a broader set of less expensive brands.
BMW would rather limit its consideration set to Mercedes, Audi, and Porsche than compete with a more extensive set of brands.

Close the Door behind You
As a member of a consideration set, you have a second strategic imperative: to ensure that the membership of the set remains as exclusive as possible. A smaller consideration set means fewer competitors and, thus, less intense competition. In a study of computer purchasers, I found that consumers who bought an iMac considered 2.11 brands prior to the purchase, whereas consumers who bought a Windows-based PC considered 3.35 brands. The cutoff criteria that led consumers to consider an iMac were based on its differentiated positioning (its use of a different operating system, its emphasis on design and usability, and even its higher price), which automatically eliminates numerous competitors and leaves the iMac playing in a much smaller consideration set than Windows-based PCs.
One way to make the cutoff more exclusive is to convince consumers to raise the bar on the cutoff criteria they use, stranding competitors that do not match the new standard. Consider the arms race on the cutoff criteria of smartphone “generations.” Many consumers are aware of a correlation between the generation of the network (the G) and network data transfer speeds, but the real meaning of the Gs plays out in the competitive battle. Smartphone manufacturers must match the latest cutoff criteria or risk being left out of the game. Few consumers today would consider buying a 2G or even a 3G phone, which was the standard a couple of years ago. And given the pace of development in network technology, the cutoff continues to rise, as criteria such as LTE (long-term evolution, a network technology that speeds up data transfers) set new standards. And although it is true that these technological advancements are resulting in superior performance, carriers and manufacturers aggressively market their latest breakthrough standard as a way of trying to redefine the rules of competition.
Indeed, a technological lead becomes a downstream competitive advantage only if customers use the distinctive technological feature as a criterion of purchase. Otherwise, your investments in its development are merely a means of staying in the game, and they are unlikely to have the returns you expected. The goal is to develop technological features that competitors cannot easily replicate and that customers will use as criteria to eliminate numerous alternatives from their consideration set.
You may have noticed that the two strategic imperatives discussed so far are likely to be at odds with each other. On the one hand, you want to convince the largest possible segment of consumers to use your cutoff criteria. On the other hand, you want to limit the number of brands entering the consideration set. The more “exclusive” the cutoff you use, the fewer the people who are likely to use it. Given this trade-off, the marketer’s strategic options are often framed as a choice between a niche-player approach (such as for the iMac), so that you contend with fewer competitors inside the consideration set, and a wider-market approach (such as for a Dell computer), which gives you the concomitant burden of more competitors. Most brands can be successful only by choosing one approach.

Who Else Is in the Consideration Set?
The third strategic move for marketers is to influence not just the size of the consideration set, but also its composition. Yes, you have a say about who else gets into the consideration set with you. The Honda automobile website, like those of many other manufacturers, helpfully provides visitors with a comparison tool that allows them to benchmark the Civic against competitor brands such as the Toyota Corolla, the Chevrolet Cruze, and the Ford Focus—but, crucially, not the Hyundai Elantra, the Nissan Sentra or Versa, or the Mazda 3. The absence of the Nissan and Mazda brands may be attributed to their small market share, but the Elantra’s absence is conspicuous because it is the most serious challenger to the Civic’s position as a market leader. Honda excludes the Elantra in its suggested comparison set presumably to reduce the likelihood of the competitor car’s inclusion in consumers’ consideration sets. Of course, consumers today can find comparisons of any combination of products online if they make the effort. But sellers, by presenting their product judiciously, can influence which products consumers will make the effort to compare, and which criteria they use to do so.
The second, third, or fourth players in a market sometimes use comparative advertising that pits them in a contest against the leading brand. This technique serves three purposes. First, it attempts to limit the consideration set to the two brands compared. Second, it raises consumer awareness of the criterion on which the comparison takes place (which presumably favors the challenger). Finally, it allows the challenger to piggyback on the awareness of the leading brand to introduce a lesser-known name into the consideration set. The market leader rarely engages in comparative advertising. Because its brand is well known and belongs in the consideration set, its focus is on reinforcing the criteria that customers are already using. Coke does not compare itself to Pepsi, but Pepsi compares itself to Coke, and presumably leaves smaller brands and private-label colas out of the fray.
Efforts to influence the composition of the consideration set are not limited to communication tools. Automobile manufacturers and dealers have made significant efforts to maintain a brand-based dealership structure, in which dealers sell only noncompeting vehicles, and have resisted moves toward independent car superstores that carry multiple competing brands. As a result, the car buyer rarely gets to do a side-by-side comparison and may be deterred from considering too many cars, because of the time and cost involved in visiting multiple dealerships. The same logic is evident in many other industries. Take Häagen-Dazs, the superpremium ice cream, which offers retailers special display freezers in which, by agreement, only Häagen-Dazs ice cream is displayed. These units limit comparison: Once consumers have opened the freezer door, they have redefined the comparison set to the banana split, vanilla bean espresso, and dulce de leche flavors of the Häagen-Dazs brand.

Trade-Offs and Exchange Rates
Once your brand is inside the consideration set, the competitive game changes. Customers use their criteria not as hard cutoffs, but to make trade-offs. Their information-processing goal is no longer to eliminate brands that do not fit their needs, but to pick the one that fits best. With just a few brands to consider, customers engage in the more complex task of evaluating multiple criteria simultaneously, trading off price for reliability, roominess for style, sportiness for comfort, and so on. The use of trade-offs means that the brand the customer eventually chooses is not necessarily one that dominates on all criteria (there are very few brands or products that do), but rather one that offers the best compromise.
The use of trade-offs means that the brand the customer chooses is not necessarily one that dominates on all criteria.
Your first goal is to ensure that once inside the consideration set, you understand which criteria are important to customers and comprehend the exchange rate the customers use in their trade-offs: How much fuel efficiency will customers trade off for greater roominess in a vehicle? Understanding customers’ trade-offs allows you to tailor your products and messages. Knowing that roominess is more important than fuel efficiency to the family segment allows you to give that feature appropriate emphasis in product design, in brochures, and in sales pitches.
The second goal of marketing inside the consideration set is to influence the trade-offs that consumers make. The competitive task here is essentially to increase the relative importance of attributes associated with your brand as well as the perceived value of your brand on these attributes. Brand managers for erectile dysfunction drug Cialis challenged Viagra for market leadership by first emphasizing the importance of duration as a criterion of purchase for patients and physicians and then demonstrating their brand’s unequivocal superiority on this dimension.
Let’s consider another example. If you’re Volvo, you may have convinced a segment of consumers to use a very high safety standard as a cutoff criterion—a standard that leaves only Volvo in the consideration set. This is Volvo’s core segment of consumers. But for many other consumers, the cutoff criterion for safety is somewhat lower and is thus met by several brands, all of which enter the consideration set. Inside this set, other criteria come into play. Volvo brand managers would like to ensure that these consumers still use a relatively high exchange rate for the safety dimension when considering the other criteria. The managers want consumers to be reluctant to trade safety for any other criteria, such that the buyers are even willing to accept less-than-optimal styling or fuel efficiency in exchange for an enhanced feeling of safety. This, of course, is why Volvo’s ads stress both the importance of safety and the dire consequences of the lack of it.
If you’re BMW, on the other hand, you want to turn safety into a basic cutoff criterion in the consideration set. Indeed, brand managers would aim to make safety no longer relevant in the consideration set, because all cars inside this set meet the requisite safety norms. BMW would prefer that inside the consideration set, consumers evaluate cars on criteria such as driving dynamics, styling, and pleasure. At BMW’s popular daylong driver training courses, where customers (and soon-to-be customers) learn about driving from professional race-car and rally drivers, for example, the trainers begin by underscoring both safety principles and the safety of the BMW vehicle. They then spend much of the day in hands-on demonstrations of the handling prowess and driving dynamics of BMW vehicles. The higher the value consumers attach to these latter criteria, the less willing they will be to trade them off against other criteria and the more likely they will be to choose the BMW brand from among the brands in the consideration set.
The rules of the competitive playing field spell out how brands compete for consumers’ consideration, choice, and loyalty. You can’t play if you’re not considered, and you can’t win if you don’t exert strong influence on the elements of consideration.
by Niraj Dawar  http://www.strategy-business.com/article/00238?pg=all

WOMAN IN CHARGE ..................DEEPALI GOENKA Welspun Global Brands MD


DEEPALI GOENKA Welspun Global Brands MD
 
 ‘Working empowers you, makes you confident’

Mumbai: Dipali Goenka is one of those who walked the rare path of getting married and raising children before making a career debut. She was 32 years old and a mother of two daughters, then aged 10 and 7, when she decided to step out from her cushioned living room and into the competitive board room.
    It wasn’t easy for Goenka, even though she was the wife of the $4-billion Welspun Group’s chairman. Her husband had told her, “This can’t be a hobby as business will be at stake. You will have to show what you can do and prove your worth.”
    A determined Goenka started from scratch, handling various roles in different departments from purchase to HR to design and worked her way up. Today, the 44-yearold heads the group’s home textile business.
    “Women should work. They should go beyond clothes, bags and jewellery,” says Goenka, adding, “Working empowers you, it makes you confident and in charge of yourself.”
    She says that work helps women understand their partners’ professional commitments and hence build an “evolved” relationship, keeping them on a par.
    Nothing in life, however, comes free. Even as she juggled with the new routine, trying to take time out for her girls, Goenka missed out on her social life and in the bargain lost a few friends. “The price I paid was nothing compared to what I have learnt and continue to learn. But there were times I was tugged in all directions.” She narrates an incident when she was away at Harvard for a course and her daughter got typhoid. The disturbed mother wanted to come back but her
husband comforted her and told her that she should stay put as she had gone all the way.
    When Goenka joined the group in 2002, women comprised just a minuscule 2% of the workforce, which today has risen to 40%. Ironically, though the home textile industry is largely male-dominated, the products are mostly bought by women. “While men are all about IQ, women bring with them EQ,” says Goenka, who has worked towards creating an environment conducive for women employees in the corporate office as well as in the plants. “Women also bring diversity, balance and a different thought process.”
    What took her so long to start her career innings? Goenka, who grew up in Jaipur, says it was important for her to be with her kids during their early years. “Despite the father — as also servants — being there for the children, it is only the mother who can inculcate culture in them,” says Goenka, who draws her inspiration from her mother, who was the chairperson of an urban co-operative bank and who broke the glass ceiling in a conservative Marwari community where women are usually known to keep to the backstage.
    The managing director of Welspun Global Brands advises women to be disciplined and committed if they want to be taken seriously. Since the time she hit work, there hasn’t been a single day that was boring, says the glamorous Goenka, who starts her day early and wraps up late.
    “If you don’t wake up with a spring in your feet, the work is not worth it,” says the fitness freak and trained kathak dancer.
    As she sums up, “Respect yourself woman. Period.”

Vipashana V K & Reeba Zachariah TNN
TOI140324