leadership: innovation and continuous improvement

“Avoiding to be shaped by his opponent, when a victory is won the skillful commander does not repeat his tactics but respond to circumstances in an infinite number of ways” The Art of War.  

These maxim of Sun Tzu is the core essence of Kai Zen and Innovation.  In modern marketing operation as it has been in ancient times, continuous improvement is a process to be mastered by every General.  Avoiding to be shaped by competition thereby raising the bar every day using a combination of tactics and new found technology and consumer insight,  modern marketing organizations will be able to escape the fate of Hannibal, Napoleon, and Chang Kai Check.  After being studied by his erstwhile roman opponent Scipio Africanus, Hannibal lost in the Battle of Zama. Napoleon having relied on artillery and “doubling marching rates” have failed to recognize that circumstances the Duke of Wellington was capitalizing on to neutralize his advantage. Chang Kai Check supposed numerical advantage after failing to recognize his threats of demoralization became the cause of his defeat to the forces of Mao Tse Tung.  As much as there is importance in strategy, tactical maneuver as commanded by an effective Generalship with“ a clear perception, the harmony of his host, a profound strategy coupled with far reaching plans, an understanding of the seasons, an ability to examine human factors” and changing circumstances  is needed to ascertain victory.  Principles of old which presents timeless wisdom assimilated by modern corporate aggression which have replaced conquest by armed struggle. Raising the bar of product efficacy ( a.e. Apple and Nike ), level of customer service ( a.e. Avon and Microsoft) and Operational Excellence ( a.e.  China Products and Korean Surplus ) – in the 21^st century, there is a grave need to raise the bar of value proposition or specialize on some Niche or new discovered market segment -  one must never lose the initiative. 

Failing to manage “far reaching plans “ the little players will be eaten up by the competitors with existing industrial muscle to produce flanker brands or substitute products as demonstrated by Silka Papaya substituting Splash Papaya products,  Pinakurat of Iligan being flanked other substitute products of Datu Puti,  and Durabloom of Novatech literally overthrown by Wellgrow of Wellisa Farms,  Oishi Pillow’s railroading market leader Jack and Jill, Hapee toothpaste penetrating the Philippine toothpaste market.

“ A clear perception and understanding human factors” would guarantee the organization of the General’s capability to spot opportunities in the market and thereby make tactical decision in line with the organization’s strategy. As demonstrated by Philip Morris in their moral victory with their declaration of principle as a Pro Choice company,  Coca Cola’s drive for visibility and availability with their Cooler Strategic Location program placing its products at the impulse triangle of Philippine Retail, Nature Spring Availability and Visibility drive with placement supported by a low cost Retail Table Gondola, and Selecta motorcycle booking operation managed by its excellent distributorship program.

Thus, many progressive companies create Ad Hoc Teams assigned in specific potential opportunity areas to develop creative programs.  Programs that would facilitate new growth areas for the company. In competition with Ad Hoc Teams of multinational companies are Entrepreneurs,  a new breed of business people with the competence for creative thinking and business skills.  As much as the AD Hoc Teams and Entrepreneurs have the same objectives,  Entrepreneurs, being the owner of their companies,   have the advantage for quick decisions where Ad Hoc Teams are required by big companies to follow some control parameters and respect the bureaucracy. 

As followed by Unilever in their Distributorship program, tactical advantage rests on the local business executives.  The excellent reach and superb distribution performance of Unilever is an evidence of the power of Strategy and Tactic. Product Strategy provided by Unilever and Tactical advantage provided by local distributors with familiarity and competence of their respective territories. By the same fact, multinational companies might have advantage for strategy as supported by technology, local companies and entrepreneurs, for that matter,  can compete by making use of tactical maneuver. Making use of speed in decision, execution and innovations based on consumer insights and changing market forces.  The very same operational advantage exploited by C2, Maxipeel, Silka and RC Cola – consumer insights, speed of execution, innovation which RC Cola has executed in the Metro of the Philippines, Maxipeel in its grand consumer insight of “the peeling” behavior, Silka’s consumer insight for the Filipina behavior for whitening and papaya and C2’s ingenious  product format which overwhelmed multinational big brands Lipton and Nestea. 

The grave need for innovation and continuous improvement stands today as it stood two thousand years ago.  A process that can only be delivered by leadership. For to extract the 300% in a soldier would require the best leadership quality in a General. Creative concepts and leverages are products of ingenuity whose inspiration lies at the middle of attitude, competence and passion.  Though “far reaching plans” can be conceptualized, the translation of this “far reaching plans” into workable programs “continuously” would need the competence of leadership – be able to select the right people, the art of motivation, the skill of developing people, communication, handling people and decision making.  

As Napoleon computed the power of leadership when he said “ moral is to the physical three to one”.  With the right leadership, a soldier can perform with extraordinary feat.  With the right motivation, creative teams and officers can produce better innovative and timely results – better packaging, better sizes, better channels, better promotions, better sales people, better prices, better customer service, better point of sale collaterals, better merchandising materials, better advertising,  better convenience and many more.  A level of excellence only achieved and sustained with the right type of leadership as demonstrated by Gen. Hannibal Barca of Carthage, Napoleon, Gen. George Patton, Mao Tse Tung, Lee Kwan Yu, Bill Gates, Steve Jobs, John Gokongwei,  Henry Sy,  Manny Villar and Lucio Tan. 

Thus, the selection process is crucial function in every 21^st century organization as it was significant two thousand years ago in the times of the Warring States of China and Sun Tzu.  It is the serious business of the sovereign to select the right Officer’s Corpse and General to ascertain victory. A leadership “with a clear perception, the harmony of his host, a profound strategy coupled with far reaching plans, an understanding of the seasons, an ability to examine human factors” who can conceal his thoughts so as to avoid to be shaped by his opponent, with technical skill to respond to circumstances in an infinite variety if ways; and in the absence of which, operational control must be established. When a “selection” process have failed the responsibility for performance remains with the leadership. Thus, the right formula and administration of controlling performance must be managed on a day to day discipline.

Rene Bitara, Prometheus Consultants