Think in 3D! The 7 Characteristics of 3D Businesses An Intimate Breakfast Sheffield 10th January 2016

Who The Hell Are Andy Hanselman Consulting?

We Help Businesses And Their People Create Competitive Advantage By... Thinking in 3D!

Dramatically and Demonstrably Different! That means being... Dramatically and Demonstrably Different!

Why... 3D?

(and have been for over 24 years!) I research, write about, talk about and work with high performance businesses (and have been for over 24 years!)

Dramatically and Demonstrably Different 7 Characteristics of Dramatically and Demonstrably Different Businesses

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Awareness Assessment Action

Get my slides and other resources at: andyhanselmanconsulting andy@andyhanselman.com

Who are you?

What Does ‘Success’ Look Like?

That’s what this session is all about!

What do ‘Successful’ Businesses Have And Do?

Satisfied Customers

Sufficient ‘Delighted’ Customers

High Expectations ‘Disappointed’ ‘Devoted’ A ‘Poor’ Experience A ‘Great’ Experience ‘Delighted’ ‘Disaffected’ Low Expectations

L Sufficient ‘Devoted’ Customers Committed Maximised Motivated Effective People Maximised Financial Returns

L Sufficient ‘Devoted’ Customers Committed Maximised Motivated Effective People Maximised Financial Returns

How Do You Measure Up?

S W O T

Sheffield Wednesday On Their way down

Strengths Weaknesses Opportunities Threats

So What!

Dramatically and Demonstrably Different 7 Characteristics of Dramatically and Demonstrably Different Businesses

3D Characteristic #1:

Get That Vision Thing!

“Creating a clear picture of the future that ‘stimulates, excites and inspires”

Think ‘Strategically’

ON Strategic Operational IN Tactical 36

It’s hard to create time to focus on seeing the Working both tactically and It’s hard to create time strategically is difficult to focus on seeing the because you get bogged down bigger picture in all the day to day stuff!

It’s hard to create time to focus on seeing the bigger picture

“Contrary to some forecasts in recent years, the internet has settled down to become a worthwhile but minority channel to market. For example, internet book sales have plateaued at just over 5% of the market, and it seems unlikely that there will be sufficient demand to enable multiple operators to develop profitably” HMV Annual Report 2002

‘Go For Walks!’

“If you make your little decisions based on the big picture, at the very least you’re always heading in the right direction” Richard Branson

Leadership in... ‘3D’ Businesses...

Is Not A Job Title!

Is At Every Level!

Is Proactively Developed!

Get Engaged!

People tell us they want to know...

“How are we doing?” “What specifically do you want me to do?” “How is it relevant to me?” “Why are we doing this?” “What tools and support are available?” “How will I be measured?” “How are we doing?” “What’s in it for me?”

The Leaders’ Role?

22 % Left their last job due to lack of faith in the leadership team 19% Quit because they felt “unappreciated” 19% Left because they felt “disengaged and unmotivated”  Source: Benchmark Recruit’s survey of over 3,000 employees November 2013

“To The Management: Today is my 31st birthday, and having recently become a father I now realise how precious life is and how important it is to spend my time doing something that makes me, and other people, happy. For that reason I hereby give notice of my resignation, in order that I may devote my time and energy to my family, and to my cake business which has grown steadily over the past few years. I wish the organisation and my colleagues the best for the future and I remind you that if you enjoy this cake, you can order more at www.mrcake.co.uk.” Chris Holmes

1 Billion ‘Tiny Tummy Touch Points’!

Senior Executive Incentive Scheme!

“Fixed on the vision, flexible on the journey” Jeff Bezos, CEO, Amazon

3D Characteristic #2:

‘Think in 3D’!

Why should I buy from YOU?

Sit down if you heard anything like this... Our ‘expertise and experience’ Our people Our location Our reputation Our quality Our pricing Our personal service Our customer care Our flexibility to customer needs Our ability to solve problems Our ‘uniqueness’

USP’s?

= ‘Usual Stuff People say’!

Dramatic Difference: “An unmatchable ‘bundle’ of products, services, skills, methods and practices that differentiate a business from its competitors”

What is your... Dramatic Difference ? How do you... Demonstrate it ?

3D Characteristic #3:

Create ‘Delighted’ and ‘Devoted’ Customers!

‘Foster devotion’ through consistency! 3D Businesses... ‘Foster devotion’ through consistency!

Approach customers with a personalized warm welcome Probe politely to understand all the customer’s needs Present a solution for the customer to take home today Listen for and resolve any issues or concerns End with a fond farewell and an invitation to return

Rub up your customers the wrong way Yes, go on, all the way Apathy is encouraged Never bother to try and make them smile Approach them with indifference Infer it’s them who are the problem Remember, we’re right behind you to help you do this

“In order to enhance the appearance of your flight crew, we will be dimming the cabin lights” “Your bags will be available on carrousel x. If you do not find them, they will be available in 2-3 weeks on eBay” “There may be 50 ways to leave your lover, but there are only 4 ways out of this airplane” “I never had control, and I never wanted it. If you create an environment where the people truly participate, you don’t need control” Herb Kelleher, founder, Southwest Airlines

3D Characteristic #4:

Forget CRM, think MCR – Maximise your Customer Relationships!

“Proactively developing relationships that give the best to, and get the best from, the customers you want”

Maximise Opportunities ! 3D Businesses... Maximise Opportunities !

‘share of customer, not just ‘share of market’ Think... ‘share of customer, not just ‘share of market’

POR QUE? KEY KEEP OUT! KEEP IN TOUCH HIGH SPEND POR QUE? KEY LOW SHARE HIGH SHARE KEEP OUT! KEEP IN TOUCH LOW SPEND 14 86

Easy to buy from! Remember you! Make recommendations! Keep you informed!

they do it consistently! $34 Billion!!!

3D Characteristic #5:

Create An UBER Culture!

What exactly is ‘Culture’?

A Classic Definition of ‘Culture’: “A pattern of shared basic assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems” Edgar Schein, Organisational Culture And Leadership, 1993

“The way we do things around here” My Definition of ‘Culture’: “The way we do things around here”

“It’s what people do when no one’s looking” Another Definition of ‘Culture’: “It’s what people do when no one’s looking” Herb Kelleher, Founder, Southwest Airlines

3D Businesses Ensure: Everyone Understands what’s expected of them and behave accordingly and consistently Systems and processes are Built to reinforce and support the culture People are Engaged, Empowered and Encouraged to deliver them People are Rewarded and Recognised for doing it!

It’s All About ‘Behaviours’! Oh Behave!

‘Customer complaints’ procedure ‘Customer praise’ procedure?

“ We interview people for culture fit “ We interview people for culture fit. We want people who are passionate about what Zappos is about–service. I don’t care if they’re passionate about shoes.” Tony Hsieh, CEO, Zappos

Demonstrate preferred behaviours: ‘show your character’ Employees rewarded for ‘cheerfulness’! Mystery shopper highlights ‘outstanding’ customer experiences Reward for team and individual performances - £50 bonus for individuals to be spent with the team Interview is a 6 hour shift and staff vote ‘in’ or ‘out’

“We entrust every single Ritz-Carlton staff member, without approval from their general manager, to spend up to $2,000 on a guest. And that's not per year. It's per incident” Simon F Cooper, President Ritz Carlton

Champion Your Champions

Why not get your customers to do it?

“You’re going to have a culture anyway “You’re going to have a culture anyway. You can and should influence it – so why not build the one you love?” Darmesh Shah, founder of Hubspot @andyhanselman

3D Characteristic #6:

KeeP In Control!

Collect Analyse Communicate Maximise

Maximise Communicate Analyse Collect

What would you want to know?

Create A Profit Focus!

cannot accurately determine their “50% of businesses cannot accurately determine their profitable customers and products” source: KPMG

3D Characteristic #7:

InnovatiON!

“The successful exploitation of new ideas”

27% of UK employees are sitting on ideas that they think would be good for their business but they’re not putting those ideas forward. Source: L’Oreal Research

71% of UK businesses don’t have any such platform for contributions to be made! Source: L’Oreal Research

“My door is always open” is NOT a process!

Pizza Problem Solving!

1: Leadership 2: Systems and processes 3: Climate 4: Implementation

So.... in summary

3D Characteristic #1:

Get That Vision Thing!

3D Characteristic #2:

‘Think in 3D’!

3D Characteristic #3:

Create ‘Delighted’ and ‘Devoted’ Customers!

3D Characteristic #4:

Forget CRM, think MCR – Maximise your Customer Relationships!

3D Characteristic #5:

Create An UBER Culture!

3D Characteristic #6:

KeeP In Control!

3D Characteristic #7:

InnovatiON!

How Do You Measure Up?

Take action, not notes!

What can you do about it?

3D strategic away days!

3D Conferences!

In-house 3D sessions! You choose the topics and subjects!

Up and Coming Leaders Accelerate! UCLA! Helping ........ Up and Coming Leaders Accelerate! An innovative leadership and business development programme Starts in March 2016! For ‘existing’ managers, ‘potential’ managers and ‘rising stars’! 7 ‘half day’ workshops spread over 5 months improve leadership, commercial and personal skills Comprehensive workbooks, assessments and toolkits Working with other leaders and managers online and website support!

Up and Coming Leaders Accelerate! UCLA! Helping ........ Up and Coming Leaders Accelerate! An innovative leadership and business development programme

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Andy’s 3D Thoughts...... 3 iDeas in 3 minutes in your inbox every Monday morning to help you Think in 3D!

“Vision without action is hallucination” Thomas Edison

“Take the first step in faith “Take the first step in faith. You do not have to see the whole staircase. Just take the first step” Martin Luther King

“Scare yourself, otherwise you’re not doing anything new” Mary Murphy Hoye, Head Of R & D, Intel

“Don’t just stand there….. do something!” Dick Dastardly

So... what are you going to Do?

People can be divided into three groups

Those who make things happen Those who watch things happen Those who ask ‘what happened’?

MISSING YOU ALREADY!

get my slides and other resources at: andyhanselmanconsulting andy@andyhanselman.com