The Best versus The Rest

February 27, 2024

How is your company doing?

It is hard to believe but we are almost through the first quarter of 2024. Why are some businesses thriving and others not doing as well?

You can blame the usual suspects: the economy, the politicians, and your competition offering rock bottom pricing. Or you can take a look in the mirror and decide to get real. ?

I believe that the gap between thriving and struggling can be explained comparing and contrasting The Best versus the Rest.

Strategy

The Best have strong business models. These organizations have clients and allies, not transactional relationships. They have ongoing, varied revenue streams and strong relationships in the supply chain.

The rest think, say and act that, “We hope customers will do business with us.”

The Best create and work from written plans. This is a long term document, strategic in nature, and includes an annual action plan that all departments are held responsible for executing, together.

The rest have a semi-thought through or a gap filled, poorly conceived plan somewhere in the CEO’s or Owner's head; this plan is not openly shared.

The Best outperform their competition because they know what matters externally and internally and they have a laser beam focus on being and staying, an industry leader. ?

The rest know they have issues but can’t seem to get the strategy, focus and energy organized to address their underperformance.

The Best understand that every company is a technology company and make appropriate investments to have a better business.

The rest reluctantly spend on technology, believing that it is an expense, not an investment.

The Best are always trying to find a better way. These companies are never satisfied because they understand that improving means distinguishing themselves for clients and from their competition.

The rest are satisfied with what they have; they don’t understand that fair, okay and good are the enemies of great.

Management

The Best have a management team that will freely hire people who are capable and interested in taking their jobs.?

The rest are afraid to hire people who represent a threat to their positions, pay and stature; they usually hire sycophants.

The Best delegate appropriate responsibility and corresponding accountability to get things done. Management is trusted and empowered to take care of business within established guidelines.

The rest suffer from ongoing under performance because people lack the authority, responsibility and tools, these individuals are simply not trusted.

The Best evaluate their people continuously. Performance reviews are scheduled and held; the people in these organizations know what is expected of them.

The rest don’t believe in evaluating people because they take too much time, aren’t done well and don’t work. No one considers that these excuses have any bearing why evaluations don’t work.

The Best know that high performing employees resent the presence of those who do not keep up. Underperformance is addressed and results in people leaving for other opportunities.

The rest tolerate poor performers.

Performance

The Best have clear priorities. Everyday people focus on the vital few that matter. These organizations understand key performance metrics and continually monitor them.

At the rest, most of each day is filled with working on the trivial many and nothing much gets measured. The clock is watched all day long.

The Best believe in “sharpening the saw.” The better companies are learning organizations, understanding that continuing education is a sustainable competitive advantage.

At the rest, learning is optional and most people opt out.?

The Best don’t make or accept excuses. When something goes wrong, responsibility is accepted, learned from, and all move on.

The rest spend time being caught up in the “blame game” resulting in punishment but not always of those responsible.

People

The Best realize that great people get superior results, and so, strive to retain these individuals.

?The rest hire those that aren’t hired by The Best.

The Best know that with superior employees, not as many people are needed on the payroll to achieve the company’s goals.

The rest have a tendency to throw people at problems, over hiring and increasing payroll costs.

Results

The Best focus on results. The best understand intentions, action and activity do not equal results. Trying doesn’t count, either.

The rest spend their time on everything but results; busy work without goals.

The Best have bonus compensation plans tied to company performance, team performance and individual performance.

The rest usually believe that being on the payroll is enough compensation and the results prove that this thinking is correct.

Hope is a word rarely spoken at The Best organizations.

You hear it all too often at the rest.

Copyright Ken Keller, 2024. A;; rights reserved.