Learning from other organizations how to survive and prosper
"Change is a part of our business, to keep up with customer demands, and there have been a lot of changes.” This could be a quote from any number of LaserShip people, but it is not. It is a quote from a McDonald’s franchise owner in Georgia.
From LaserShip to McDonald’s, and to Best Buy and the federal government, the one common theme today is for organizations—and the people who inhabit them—must be flexible and able to adapt quickly to their changing environment.
McDonald’s
Though the name McDonald's is synonymous with burgers, the chain's ability to adapt to changing customer needs has helped make it the nation's best-performing restaurant company even through the recent economic downturn.
Even though the company has had to make many changes menu-wise to stay relevant, McDonald’s—which is operated largely through franchises—has had to stay true to its core ingredients. "Our business is driven by keeping things simple and being able to deliver in a fast and efficient manner," said one McDonald's franchisee. “The more complexity you bring into the system, the more challenges you'll have," he says.
Change with stability seems to be the appropriate term to describe McDonald’s. Franchisees want to keep things simple in order to keep labor costs down and profits up, yet the company needs to be constantly changing to stay in tune with their customers. "I don't want it to feel burdensome to add new menu items, but we have to stay relevant,” said the President of McDonald’s USA.
"It's a delicate balance between being simple and not responding to what consumers want,” said a restaurant industry analyst. If McDonald's sticks to just dong or offering one thing, consumers will go somewhere else.”
Best Buy
Going somewhere else is exactly the lesson Best Buy learned. The largest name in electronic sales heard from customers and had to change. For years the retailer charged a 15% restocking fee on returns—annoying customers to the point that blog and Twitter comments about Best Buy impacted sales negatively. Chastened by complaints Best Buy rescinded most restocking fees.
“What it really boiled down to is this: Our customers were telling us they wanted Best Buy to make it easier," said a Best Buy spokesperson. "If we want to be the best technology destination we have to listen to our customers and that is what we did."
The National Transportation Safety Board While government agencies are not usually an example of forward-looking, customer-conscious, change-oriented organizations, is seeking a role in identifying aviation hazards before they can cause crashes.
“We need to change to remain relevant,” said the new head of the board. “As the industry evolves, the safety board has to evolve, too," she said. "We can't be static." Government agencies, in general, are not very good at being dynamic and nimble," she said last week.
LaserShip
The lessons for LaserShip from other organizations are that change is part of our business; to remain relevant we must listen to our customers and adapt to the needs of the marketplace. If not, customers will go someplace else. Being a dynamic and nimble company is not always easy—it requires a committed and connected family of people who listen to the customers and provide feedback throughout the organization on what our customers are thinking and needing.
It also requires a group of people who are willing to learn, to be flexible, to adapt to the changing business environment: To take on the new challenges while remaining true to who we are as a company—change with stability. Taking care of customers, improving our performance, demonstrating integrity to all and providing opportunities to those who are willing are some of the core values that we must carry forward at we and the business environment evolve.
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