Here’s this week’s 200 word idea thanks to How will you measure your life? By Clayton Christensen
Kevin Goodwin, the CEO of SonoSite, knew that Sonosite needed to sell their portable, but less sophisticated ‘iLook’ product over the more powerful and profitable ‘Titan’ before a competitor came in and disrupted them. But, SonoSite’s salesmen completely ignored promoting the iLook, even though it was a strategic priority for SonoSite.
Goodwin couldn’t understand what was happening and went along with a sales team member to understand if this was because of negative customer reactions. He realized immediately that the problem was that the sales team were not even showing iLook to the customer. Their commissions based on the total value of their sales and gross margin dollars. And, Titan was a more lucrative product.
Clay Christensen draws an analogy for life – “You can talk all you want about having a strategy for your life, understanding motivation, and balancing aspirations with unanticipated opportunities. But ultimately, this means nothing if you do not align those with where you actually expend your time, money, and energy. In other words, how you allocate your resources is where the rubber meets the road.”
Source and thanks to: www.EBSketchin.com
Watch where your resources flow. If they’re not supporting the strategy you’ve decided upon, then you’re not implementing that strategy at all. – Clayton Christensen
A Learning a Day 