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Attributes Price Quality Time Selection √ √ Smart Shopper Relationship Image Operational Excellence: Quality and selection in key categories with unbeatable prices What does the Customer want? * Treacy amp。 Wiersema, The Discipline of Market Leaders, 1995 Product/Service Attributes √ Brand Time Function √ √ Best Product Relationship Image Product Leadership: Unique products and services that push the standards What does the Customer want? * Treacy amp。 Wiersema, The Discipline of Market Leaders, 1995 Product/Service Attributes √ √ √ √ Service Trusted Brand Relationship Image Customer Intimacy: Personal service tailored to produce results for customer and build longterm relationships Relations Business Situation vs. Ramp。D Upturn Flat Downturn Fight Complacency Sharpen Edge Keep Momentum Conquer NPD Cycle Time Improve Edge Extensions Counter Competitor Innovation Acquire Profits Build momentum Sales Cash Flow Focused on ?Breakthrough? JV, Insource, Outsource Eliminate bottom 20% Improve Top 15% revenuegenerating products ↓ Ramp。D, ↑Sales A2. Research Lies. Deception. Statistics. Problem… “In business after business, 60% to 80% of lost customers reported on a survey just prior to defecting that they were satisfied or very satisfied.” HBR March/April 1996 Dangers of Best Practice and Benchmarking… Company Performance high low ?Best Practice? theories low high zero Performance Trend line “Selection Bias and the Perils of Benchmarking”, Jerker Denrell, Harvard Business Review 2022 Dangers of Best Practice and Benchmarking… Company Performance high low ?Best Practice? theories low high zero Performance Trend line “Selection Bias and the Perils of Benchmarking”, Jerker Denrell, Harvard Business Review 2022 Dangers of Best Practice and Benchmarking… Selection Bias: 1. Success Traits = Failure Traits 2. Successful Cases + Failure Cases 3. Worst effects in ?Old? industries 4. Overvalue ?best practice? theories 5. Current acplishments unfairly magnified by past achievements 6. Reverse Causal Dangers of Best Practice and Benchmarking… Also known as ?Beware of Consultants?: 1. Selection Bias 2. Big vs. Small pany 3. Select