• Goodbye CMO, Hello CCO

    Dominique Turpin writes that the Chief Marketing Officer (CMO) position should be replaced by the Chief Customer Officer (CCO). The definition of marketing approved by the American Marketing Association (AMA) is: "Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large." Thus, the customer is at the center of all management decisions.  Turpin explains, "Back in the 1950s, the management guru Peter Drucker wrote that a company has only two key functions – marketing and innovation – and that all other functions should support these. Sadly, paying attention to the customer is less and less common these days. The CCO can be the first step toward reversing this trend."
    How important do you think the customer is to management?
    Does management have a clear idea of marketing?
    Should the CMO be replaced by the CCO? Explain.
  • DOJ Blocks AA and US Airways Merger

    The US Department of Justice (DOJ) and  attorneys general of Arizona, Florida, Pennsylvania, Tennessee, Texas, Virginia and the district of Columbia filed suit August 13, 2013 to stop American Airlines and US Airways from merging. The proposed  $12 billion merger would combine the two airlines into the world's largest carrier. The lawsuit alleges that the merger would reduce competition. It would "raise prices, impose new or higher baggage and other ancillary fees, and reduce capacity and service."

    Managers see the merger as necessary in an increasingly competitive market. The airline industry's business model is challenging. Since the 1980s, more than 40 U.S. airlines have declared bankruptcy. But, unlike airlines in earlier mergers, both American and US Airways are profitable.

    Cheryl Hall of the Dallas Morning News interviewed Robert Crandall the retired chairman, president, and CEO of AMR, parent company of American Airlines (August 14, 2013, D1, 10D). Crandall told Hall the following.

    "This is another indication that the U.S. government does not know the first thing about the aviation industry. The government made a mistake when they allowed US airlines to send their airplanes overseas for maintenance, thus sacrificing tens of thousands of middle-class maintenance jobs in the U.S. And they made a mistake when they permitted Delta to absorb Northwest and permitted United to merge with Continental because they created monolithic carriers that require monolithic competitors. Without a merger, neither (American or US Airways) in the very long run can make it -- be sure to emphasize in the very long run. Ten years down the road, if American and US Air don't succeed in creating greater mass and more ubiquity, they can't compete effectively against United and Delta."

    The merger would have left just four large companies serving the U.S. airline market. Does the merger hurt consumers?

    All managers study the business environment, with political being one of the most important elements. Did the managers under estimate the government issue?

    How could the relationship with the Justice Department have been managed more carefully?

  • Workplace Perceptions of Millennials

    Millennials are seen as lazy and entitled by human resources (HR) managers, according to a survey by Beyond.com. Ouch! Millennials need jobs. So, in order to get jobs, millennials need to be seen by HR managers as loyal and hardworking.

    Were you aware that HR managers see millennials as lazy and entitled?

    Which of the tips above will help you the most to overcome the stereotypes?

  • Generation Y versus Baby Boomer Entrepreneurs

    American Express OPEN surveyed Generation Y entrepreneurs (those ages ages 24 to 35) and Baby Boomer entrepreneurs (ages 48 to 70). (See attached PDF copy of the report) 

    The survey found that the younger generation’s first economic downturn has made them more risk averse (just 56 percent say they like taking risks, down from 72 percent in 2007) while Boomer entrepreneurs’ appetite for risk remains unchanged (54 percent vs. 53 percent in 2007). “Our research shows that while the impact of the recession on both generations has been deep, these entrepreneurs have the resilience to carry on and strive for success,” says Susan Sobbott, president of American Express OPEN. “Even as the recession has come as a reality check for younger business owners, their passion, priorities and lessons learned have them reaping rewards.”

    The report states, "Since 2007, the impact of technology on running a business has meant more entrepreneurs have created a company presence on a social networking site (51 percent of Gen Y, up from 19 percent; 30 percent of Boomers, up from 11 percent) and established a relationship to sell products online (33 percent of Gen Y, up from 19 percent; 23 percent of Boomers, up from 17 percent)."

    Why is there a technological divide between older and younger generations?

    Read the report. Why do young people become entrepreneurs?

    Do you want to own a business? If so, what type of business would you own?

  • How to Spot Liars at Work

    In this video, Carol Kinsey Goman, Ph.D, speaks to MBA students at Stanford Business School on “How to Spot Liars at Work.” She offers an overview of why people in the workplace lie, the kinds of lies they tell, and the high cost of deception for the individual and the organization. She gives very specific verbal and nonverbal cues for spotting liars, and a set of questions to ask when developing a strategy to deal with liars.

    Pay attention to the video section on “how not to look like a liar when you’re telling the truth.” It offers techniques that you can use immediately when interviewing for a job or pitching your ideas to colleagues, instructors, and professional investors.

    Have you ever known anyone whose ideas got dismissed or disbelieved, simply because they didn't appear to be forthright?

    What will you do to align your body language with your  verbal message?

     

  • Motivation is an inside job

    Managers create the work environment. But how do managers create a more productive workplace? Take this quiz. What is your score? What does it mean? How can you contribute to a motivating work environment?

    1.     Motivation derives from:

    A.   management's behavior.

    B.    meeting your needs.

    C.    a positive attitude.

    2.     Managers most effectively influence motivation by:

    A.   rewarding people who demonstrate positive work ethics.

    B.    linking activities to each person's wants and needs.

    C.    keeping people well-informed.

    3.     To motivate performance:

    A.   promote entrepreneurial thinking.

    B.    offer financial gain or recognition.

    C.    encourage employees at all levels to become leaders.

    4.     Well-defined job expectations include:

    A.   an organizational chart to show all departments.

    B.    employees knowing how their jobs relate to others.

    C.    detailed job descriptions of daily activities.

    5.     Enhance performance by:

    A.   giving employees short-term objectives.

    B.    doling out more psychological "paychecks."

    C.    removing barriers to achievement.

    6.     Trust is built on:

    A.   valuing employees.

    B.    allowing yourself to be vulnerable.

    C.    collaboration within your management team.

    7.     Effective managers know that:

    A.   high expectations lead to better performance.

    B.    mentoring takes time and patience.

    C.    organizations need role models.

    8.     Creating a trust-based culture requires:

    A.   no hidden agendas.

    B.    continuous communication.

    C.    mutual exchange of information.

    9.     Performance reviews can motivate when:

    A.   there is honest feedback.

    B.    they are given more than once a year.

    C.    they are accompanied by action plans for performing more effectively.

    10. Hiring people who are intrinsically motivated means they will be:

    A.   less likely to be affected by demotivating factors.

    B.    the better performers.

    C.    more trustworthy.

     

    Compare your answers with the "solution."

     Each correct answer is worth 10 points.  If you score 80-100 - What a great place to work!  Obviously, you help set the stage for motivation.  If you score 60-70 - Remember that motivation is an inside job.  Identify ways to keep yourself motivated and help others.  If you score below 60 - Attitude makes a difference.  Take an attitude check. 

    1.  -  B       Motivation is an inside job.  Although managers cannot motivate other people, they can influence them positively or negatively. 

    2.  -  B    Everyone has different needs and values.  Managers should know what drives each of their employees and link job roles with personal needs. 

    3.  -  A Employees need to feel ownership to think entrepreneurially.  Ensure they have an understanding of the work of the organizational unit - how it works, what impacts their roles have on meeting goals, and how to take intelligent risks. 

    4.  -  B     Clarify who is accountable for each job activity and how his/her role relates to others' roles.  Embrace performance by communicating how each employee is working toward a common goal. 

    5. - C   Employees need to believe that their work matters.  Identify obstacles that hinder performance and eliminate them or coach employees on how to work around them. 

    6.  -  A     Performance improves when employees believe managers have confidence that their expectations will be met. 

    7.  -  A     Employees want to be trusted, not micromanaged.  If the work environment supports risk taking and recognizes performance, people will be more likely to use their skills. 

    8. - C   As team members demonstrate their accountability, show your trust by giving them greater responsibilities.  Your behavior will indicate that you have their best interests at heart. 

    9. - A    Honest feedback should focus on problems rather than personal issues.  Coach employees on how to perform better by being sensitive to individual dignity and self-esteem. 

    10.  -  A   Some people are more prone to experience low morale than others.  In the hiring process, screen for those who seem likely to suffer from motivation problems.

     

     

     

  • Work is not a place

    This infographic illustrates how people are happier, less stressed, and more motivated when they have a mobile work style.

    What do you think about the quote below?

    “The nature of work has changed. It is no longer a place we go but a thing we do.”

  • Brand You

    An important part of product planning by managers is branding, the procedure a firm follows in researching, developing and implementing its brand(s). A brand is a name, term, design or symbol (or combination of these) that identifies a firm's product.  

    Read the presentation above, "Personal Branding." 

    Then, click on this link and read A Brand Called You. 

    Have you ever thought of yourself as a brand? What are you doing today to build your own brand equity?