Sunday, September 2, 2012

Are You Running?

Challenging the assumptions

Always be happy, never be satisfied - Mark Mc Keon

Tata Indicom came out with a new idea – Pay Rs 999/= and receive calls for two full years. Within two weeks Reliance India Mobile came out – Why only two years? Pay Rs 999/= and receive calls for three years. Another week passed, Airtel came out ‐ quickly followed by Hutch and BSNL – Why only three years? Pay Rs 999/= and receive calls lifelong. That seems to be the end of the war – two years, three years, lifelong and what is more than lifelong? When left brain ends, right brain starts ‐ if you are in the race. When one gate is closed, the next gate opens up. The next operator entered the race – Why Rs 999/=? Just pay Rs 949/= and start receiving calls lifelong. Aircell entered the race – Rs 888/= is more than enough to receive calls lifelong. And the next battle has started, and will, of course end, but there is no end for the war.

 “Creativity is the ultimate skill of mankind ‐ However, there is nothing called ultimate in creativity.” The door that seemed to have been closed in one direction is now open in the other direction.

We go on digging a well deeper and deeper and only when we get stuck, leisurely we think of digging at another place. (Very few people are clever enough to go to another place when they get no water, while others continue with the digging till they get the rock.)

In a small village there were two shops in a street. The first shopkeeper put a notice: “Cheapest shop in this street.” The second shopkeeper came out, “Cheapest shop in this village.” First one: “Cheapest shop in this district.” Second: “Cheapest shop in this state.” First: “Cheapest shop in this country.” “Cheapest shop in this continent.” “Cheapest shop in the world.” “Cheapest shop in the solar system.” “Cheapest shop in the milky way galaxy.” “Cheapest shop in the universe.” The second shopkeeper was happy as though he has won the race – there is nothing more than the universe. His happiness was short lived. The first shop keeper came back to his first notice: “Cheapest shop in this street.” The other shop in this street may be the cheapest in this universe, but there are only two shops in this street and among them mine is cheaper than the other. When you are in the race you have to be running, because your competitors are all running. Without running, your being in the track does not qualify you to be called you are in the race. You are simply a spectator.

If you can find a way to change the rules of the game so that it suits you rather than your competitors, that change can give you a unique advantage.

 “Creativity is the ultimate skill of mankind ‐ However, there is nothing called ultimate in creativity.” The door that seemed to have been closed in one direction is now open in the other direction.

We go on digging a well deeper and deeper and only when we get stuck, leisurely we think of digging at another place. (Very few people are clever enough to go to another place when they get no water, while others continue with the digging till they get the rock.)

In a small village there were two shops in a street. The first shopkeeper put a notice: “Cheapest shop in this street.” The second shopkeeper came out, “Cheapest shop in this village.” First one: “Cheapest shop in this district.” Second: “Cheapest shop in this state.” First: “Cheapest shop in this country.” “Cheapest shop in this continent.” “Cheapest shop in the world.” “Cheapest shop in the solar system.” “Cheapest shop in the milky way galaxy.” “Cheapest shop in the universe.” The second shopkeeper was happy as though he has won the race – there is nothing more than the universe. His happiness was short lived. The first shop keeper came back to his first notice: “Cheapest shop in this street.” The other shop in this street may be the cheapest in this universe, but there are only two shops in this street and among them mine is cheaper than the other. When you are in the race you have to be running, because your competitors are all running. Without running, your being in the track does not qualify you to be called you are in the race. You are simply a spectator.
If you can find a way to change the rules of the game so that it suits you rather than your competitors, that change can give you a unique advantage.

Jeff Bezos of Amazon.com broke the rules of the book business by using the Internet rather than conventional distribution channels.

 ‘Taking a different view’ is another strategy that will help us win the race.

Henry Ford took a different view to assembling motor cars. Traditionally the car would be assembled in one place, with different workers coming along to fit the engine, the gear box, the dashboard, the brakes and so on. He asked, ‘What would happen if instead of the workers moving to the car, the car moved to the workers?’ His radical idea was the car assembly line. It enabled the standardised mass production of cars at a much lower overall cost.

 Michael Dell was 18 when he founded his company in 1984. His goal was to take on the mighty IBM and Compaq, who dominated the PC business. They had well‐established channels through resellers who held stock and sold it to the customers. Because computers were still seen complicated, the unwritten rules were that PCs came in standard models supplied through resellers who provided the help and support that customers needed. Dell deliberately broke these rules. He bypassed the channels and sold direct to end‐users. He allowed users to specify their exact configuration, including for example disk size and memory. The quality of the product was good, so he did not need service engineers on site. Further more, by building to order Dell was able to reduce the inventories – just four days while competitors carried 75 to 100 days worth of sales in stock.

Captain G R Gopinath , the Managing Director of Air Deccan, challenged this and came out with the no – frills concept of “low cost aviation.”


All these are reflected in the saying of Edward de Bono, 

“You cannot look in a newdirection by looking harder in the same direction.”


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