IS YOUR ORGANIZATION READY FOR THE NEW CHALLENGES?
Economists and management experts define business as the process, system, skills, and abilities, which convert a resource, distinct knowledge, and experience into a contribution of economic value in the marketplace. They concluded that the most important resource of doing business and what makes it distinct is its knowledge and the knowledge only.
Therefore; Malaysia's government is spending a lot of money and effort in creating, focusing, fostering and implementing continuous training programs and campaigns to increase and improve the knowledge workers. The government supports organizations and individuals continuously with fund, ideas, trainers and much other free service. Still, many people and organizations are hesitant or they even refuse to take this unique and great opportunity.
The government is also doing its best in encouraging the well-established and strong foreign organizations to bring their business into the country. This – with no doubt – will improve the economy and bring benefits for organizations and for almost every individual in the country, except for those who are not ready for competition.
Those will face frustration, stress, closed doors, low sales, and every other symptom associated with anyone who is uncertain about his survival. They will be in a position of struggle, trouble and unmanageable crisis.
Regardless of its operational effectiveness and regardless of how long the organization succeeded in the past, its yesterday’s knowledge is today’s ignorance and it will face difficulties if it is not ready when the competition appears.
Huge, strong and well-established organizations, even though they enjoyed a long-term success, were faced with the same challenges and difficulties. When Harvard Business Review Editors interviewed Samuel J. Palmisano, the CEO of the International Business Machine (IBM), he said, “We were so successful for so long that we could never see another point of view. And when the market shifted, we almost went out of business”.
In today’s fast-changing environment, and in this competitive economy, any business must be leading in something in order to survive; its products or/and its customers’ service system. However, no business is ever secure in its leadership position. Any business leadership position is short-lived, for; rivals can copy any leading position quickly - except people. In addition, the market and the knowledge are generally accessible almost by all rivals.
In order to be ready for competition, while having operational effectiveness and efficiency, the organization must develop an overall strategy that translates this desire into a day-to-day reality. To be able to outperform rivals the organization need to implement a process that requires continuous improved knowledge, learning, (which is change) focus, commitment, effort, action, excellent internal and external customer service, and developing consistency in every area in the organization. Developing a strategy and taking action in only one area will not work.
Most importantly, the organization must identify its real competitors and the core competence in order to have business leadership that would enable the company to improve its service continuously.
In this regard, Don Listwin, the CEO of Openwave Systems, said, “How do dominant companies lose their position? Two-thirds of the time, they pick the wrong competitor to worry about”. However, identifying the right competitor and becoming another one will not lead to the organization’s long-term success. Organizations must either perform different activities from those of rivals’ or perform the same activities in different ways; to be leading in something.
Tom Peters, the prominent American writer on business management practices and best known for his celebrated work (In Search of Excellence) said “Instead of obsessing on competitive position and other abstractions, as the business schools and consultants would always have us do, I instead wondered about some ’practical stuff’ which I believe is more important to the short- and long-term health of the enterprise”.