30.8.04

Leadership Part 1

http://www.earlbakken.com/Earl-Leadership.pdf

There were a few highlights that really captured my attention.

1. The customer first. We often work behind a series of screens. The sales guy, distributor, the sales rep, the sales manager.... etc etc etc. As such, no wonder the probability of new product success is so low. We never get out an interact with the customer. In Earl's case, he was in the operating room. Even my tech from years ago, spent time in the operating room. Its a key, one has to experience things from the customers standpoint as close to their shoes as possible. The internet has the potential to put us closer, or to create even more screens. Earl thinis the candor of the technical symposia and conferences are a great way to find the real story as well. Years ago, I think he was correct. Today, we can go one further. We can search out candid and negative opinions on the net, that way, we can work on them prior to symposia.

2. The importance of the sale. Earl say's its a company wide effort. I have to agree. The engineer so gung ho on his new product often times does not listen to the customer. The sales manager likes to see facts and figures. The production folks have a serious disconnect. But its key.He makes mention of the small company and how they know every sale. Back in 89, as a small startup of 12 people, we knew everything. Every order, every customer, all the details. As we grew, the magnitude of information became overwhelming. At that point, we only knew the problems, or customers with squeky wheels. Earl has a lot to say to make the importance of the sale visible to the whole team, whether big or small.

3. The case of the brilliant maverick. Hey, I'm one of those.... so what did I do, I hired brilliant people with a maverick personality much greater than I. It does make for a challenge in management. As a scientist, I had zero business training. Today, my experience is a function of books and experiecing taking my head and banging it on the wall. Would I hire the same guys today, absolutely. It creates dissention, upset, and many issues. It also fosters an intensely creative and productive environment. What Earl says is to set boundaries. I wish I would have known that years ago. It took years of working, reading, and managing to pull an effective team out of the mix. The other thing it does from my standpoint, is drive home the fact that a team is required. The operations issues will pass the maverick by as unimportant. I used to force them, I wish I didn't have too... so I have a partner who sees things differently keep us on track operations wise. He too was a maverick of sorts. One of Earls competitors took the opposite standpoint, they fired all their mavericks. They are cash cowing on the maverick visions for now, but insiders are telling me the company is seriously lacking in innovation. Hmmm, I wonder why.

4. Breaking free of the policy bins. This is a good one..... I liked Earls example of bringing in the corporate procedures manuals on a chain attached to his leg, and then burning them in the meeting. Its an area where the small company can really fly, as the procedures manuals are small, or even non-existant. Its common practice to let procedures dictate over sound and common sense business judgement. Its a wimps way out. Consistency of approach and method can be a good thing, as long as it doesn't stand in the way of efficiency, customer response, or innovation. Procedure manuals may be needed in the litigious world we live in. However such manuals should be subject to intense P&L and 360 degree feedback review. No, not the people, the policies....

5. Communication vital to success This is always a tough one. How much to share vs the risk of key data loss to competitors through social engineering. Earl's standpoint is the loss of productivity is much more costly than the loss of key information. I think he may be right.





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