Sustained initiative, a victorious situation

A thesis on Best Management approach towards a sustaining a victorious situation

“It is according to shape that I lay the plans for victory. But the multitude cannot comprehend this. Although everyone can see the outward aspect, none understands the way in which I have created victory. Therefore, when I have won a victory, I do not repeat my tactics nut respond to circumstances in an infinite variety of ways.” The Art of War, Sun Tzu

Before there was TQM, Discipline of Market Leaders, The Fifth Discipline, Blue Ocean and 7 Habits, there was the punic war. Before there was Steve Jobs, Peter Drucker, Warren Buffet, John Gokongwei and Richard Branson, there was Barca and Scipio families locked in bitter rivalry over their nation’s destiny. Before we could have been taught about competitive advantage and value proposition, we have read about the war elephants of Carthage and the splendid field tactics of Gen. Hannibal. Before we could be trained in the value of strategy, we have learned the lessons of history how Gen. Hannibal failed to conquer Rome due to the flaws in his strategy. It seem that his strategy did not connect with the sentiments of the Italian peninsula. As expressed simply by Sun Tzu, the human element will remain decisive in battle and in operation. Gen. Hannibal psychological warfare could not match the morale ground of Rome. Despite his tactical prowess in the battle field where thousands of Roman Legions failed, Hannibal’s strategy to divide the Italian alliance could not match the value offering of Rome – the idea of honor and justice, the concept of civilization over barbarians. Before we could have been taught about TQM continuous improvement, we have read how successfully Scipio Africanos improved Roman tactics to defeat Gen. Hannibal in his own game

Sustained initiative by responding to circumstances in an infinite variety of ways. A flair for leadership and management competence. A leadership with a profound strategy and the tactical competence for manoeuvre and effective decision making. If I may borrow an ancient text from the Art of War,  sustained victory in battle and in operation may be achieved as follows:

Five Essentials for Victory:

1. He will win who knows when to fight and when not to fight. Decision making.
2. He will win who knows how to handle both superior and inferior forces. Technical Expertise.
3. He will win whose army is animated by the same spirit throughout all its ranks. Morale.
4. He will win who, prepared himself, waits to take the enemy unprepared. Prudence.
5. He will win who has military capacity and is not interfered with by the sovereign. Leadership.

A strategy sustained by a fluid and sustained tactical operation which innovates continuously and relentlessly. The market place is evolving everyday. Better is no longer better, what is cheaper is no longer cheaper, faster is fastest and fastest has to be faster – cheaper, faster and better is re defined everyday. Thus, a need for a disruptive and transforming concept to challenge the status quo and redefine value as it is.  Changing customer perception needs to be studied and anticipated. No amount of Best Value offering on product leadership, customer intimacy and operational excellence can ensure a company of market domination. As value offerings are innovated, the perception of the market is evolving and innovation needs to be tuned according to consumer behaviour trends. Trends as:

      Is there truly a shift in retail from malls to on-line shopping?

      are the standards for employment shifting towards a performance based workplace over biometric?

      Are consumers  preferring on line transactions over traditional over the counter?

      Is laptop and internet becoming a household commodity?

      Will the growth of health and wellness industry sustain for the next 30 yrs?

      Is convenience the new dictum of retail?

      How are the millennial generation affecting the corporate work force?

      How is the impulse triangle affecting retail in the 21^st century?

      How will increasing cost of doing business with modern trade influence other distribution format as direct selling and networking?

      Will on shelf logistics thrive in the Philippine market? How about on shelf retail?

      With prices being bargained down across the transport industry, what is the new value offering which customers are willing to pay premium for?

      Is the 24hrs operation a solution to cheaper, faster and better?

      Between national and local distributors, who will win the market place?

      How is the ASEAN integration affecting the Philippine market?

      What is the impact of ASEAN integration to the manufacturing landscape in the Philippines?

      What is the impact on berth congestion on the supply chain industry in the Philippines?

      How will port development affect the Philippine economy in the next 30 yrs?

      Is the Philippine work force competitive to its ASEAN neighbours?

      How is the Mindanao business schools  fair with its Luzon and Visayas counterparts?

      How would SMEs, retail, distribution, transport, hospitality, and logistics react to ASEAN integration?

      Can 7eleven and MDC sustain its double digit growth in Mindanao?

      Is the learning organization system in place among local companies?

The process of identifying key customer touch point is a standard marketing process. It is part of target market identification and demographic profiling. Identifying a specific customer behaviour and matching it with a specific product and marketing campaign is the first step in the marketing process. In FMCG setting, identifying niche opportunities and market segment growth areas is a Brand Management accountability. How safeguard is so fortified in its “germ killing” segment is the Brand Managers deliverable. How safeguard is extending its appeal to beauty segment with its papaya soap variant is a niche market Brand initiative.

So disruptive was the design and technology of itune, it defined the music retail landscape forever. So transforming the concept of mobile phone, it even defined the lifestyle of a whole generation. So revolutionary was the efficiency of Singapore Ports, it defined the supply chain designs of a whole region. So effective was langhap sarap campaign of Jollibee, it is the no.1 Filipino food chain in the world. So enticing was the peeling effect of Maxipeel, it created its own niche market over brand giants as Ponds and Olay.

“swift as the wind. Quiet as the forest. Conquer like a fire.” Each identified opportunity must be a secret kept as quite as the forest. Waiting for the right moment to strike.  strike as swift as the wind. conquer like the fire.

With strategy identified, calculated and duly formulated, it all goes back to execution. Accurate, decisive and swift like the wind. As prudent as the Gokongwei when Cebu Pacific was in its inception – quiet as the forest the Gokongwei waited for the right moment to strike and prepared, swift as the wind, they conquered like a fire such that no action of Philippine Airline can stop the raging force of their concept – their strategy. Leadership, Technical Expertise, Prudence and right decision making in responding to market situation in an infinite variety of ways is ensuring the viability and sustainability of Cebu Pacific.