Creative Thinking, 2011-style

Here's a great comment by Michigan Govenor Rick Snyder, a former Gateway Computer executive and venture capitalist, made during his visit to the Detroit Auto Show.

“It is companies, it is innovators, it is entrepreneurs that are going to create a better future for Michigan,” Snyder said. “We are committed …to creating the very best environment in the world to create that environment for success.”

During the opening for the new Dali Museum, I had the good fortune to speak with an artist who rips apart old guitars to make new, better sounding and better crafted electric guitars. His goal: "I want to make guitars that kick ass."

Keep in mind, the former American icon, Fender guitar, is now made in China. That's as bad as saying Harley Davidson is now made in Taiwan. Good grief.

The only way to bring business–and jobs–back is to place your bets on young, brash artistic entrepreneurs like the one I met last night. And by the way, the very cool museum kicks ass, too.

Buy from a local artist. Visit the new Dali. Both decisions are a good bet on our economy and a great experience as well.

Reconnecting the Disconnected

I recently visited San Diego to speak at a conference.

San Diego is a charming and dynamic city. Perched by the Pacific Ocean, it is a delightful patchwork of old neighborhoods, with homes and offices surrounded by parks, ocean waters, clear skies and consistently perfect weather. From most locations, it’s a quick ride west to the seashore where you can enjoy some of the best views in America.

With all this beauty surrounding us I was struck by how many people stayed inside the convention center, typing on keypads, mostly oblivious to their surroundings. During one of my sessions I asked, via show of hands, how many attendees had ventured beyond the hotels to explore the neighborhoods, restaurants or public parks.

About a dozen people, out of a crowd of 80, raised their hands.

Later, I scanned some of the conference materials. “The outsourcing revolution is here!” one piece proclaimed. Other sessions would “explore new options for alternate service delivery options” and one promised to show attendees how to “educate remote vendors to deliver high-touch customer service to customers back home.”

These people aren’t just outsourcing labor, they are outsourcing their childrens' futures.

Attendees unwilling to connect with a host city, even for a few days, while learning how to help organizations move services further from the communities they aim to serve, strikes me as both absurd and ironic.

Just wondering…

Is this way of life in our best long-term interests as a society?

How connected are you to your customer’s experience? Have you outsourced it?

How connected is your leadership? Have you outsourced that too?

More Like a Guild, Less Like a Factory

I had an interesting conversation with a good friend yesterday. Jim’s organization has a well-deserved reputation as one of the leading design firms in the Southeast.

Businesses that rely on construction were especially hard hit during the recession. His firm was no exception, yet they managed to maintain most of their clients as a result of superior quality work. During our chat he remarked on a disturbing trend I had heard from other business leaders.

Some prospective clients informed him they should be able to purchase his services at rock-bottom prices (below cost). His firm provides a custom service, not a product or commodity. His prospects’ reasoning went something like this: “Since you need this work, and probably don’t have enough business right now, you should be happy with what I am willing to pay.”

He conceded that, barring any other work his firm might consider that kind of offer before declining it outright. But he and his team know from experience that as the economy picks up, those low-bid clients will require just as much attention (or more), absorb their workers in work that affords little or no profit margin, distract them from better-paying clients and create “low-quality service experiences”.

Like Jim, I would place my confidence in his ability to stabilize and grow his business by creating better ‘experience’ opportunities, rather than better pricing strategies. Why?

Psychological research suggests that, in the long run, “experiences” make people happier than possessions. Think of “possession” as the end product, service or deliverable, in Jim’s case, an architectural design. Even more significantly, these customer experiences have the ability to make other people (future clients) happy, as well.

A client will remember his team and the experience, long after they have moved in, lived in and/or sold the property Jim’s team designed. Jim’s team will remember working with a great client and take pride in their work.

Likewise, you will remember how the manager treated you with respect long after the fresh plastic smell has faded inside your new car. You will remember the exceptional flight attendant and the way he or she treated you long after that (hopefully) unremarkable flight.

Our lives have the potential to change when we deliver or receive one of these great experiences… Wow! That’s an amazing concept and scientific fact. Given the choice, I’d prefer to work for an organization that strives to create those experiences. Wouldn’t you?

Jim was smart. He and his team sat down and clearly defined their challenge – ways to express their passion for design and how to deliver it affordably– with customer feedback and input driving most agreement.

Based on his client feedback, Jim began a program to connect clients with suppliers in real-time virtual meetings, with team members acting as facilitators. They also began to explore innovative ways to collaborate with clients, such as design contests that include local students and virtual tours of buildings around the globe. Finally, they are making sure that each one of their employees submits ideas for regional competitions, with opportunities to champion their ideas.

Essentially, everyone serves a customer. The trick lies with understanding your customers and their needs, respecting their values, and delivering memorable experiences as part of every transaction.