The world's leading companies have come to realize that
only when their customers are successful, will they be successful. In
pursuit of their market leadership not only they need to spend time to
look inside their business to know how things are getting done but also
look outward to get deep understanding of their customers.
Process has indeed come a long way from it humble routes amidst the
early industrial revolution and Adam Smiths ‘Wealth of Nations’.
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Although many in Western
economies are (still) in a state of denial, we are undergoing
the greatest reorganization in the business world since the
Industrial Revolution.
No matter what industry you are in, no matter how successful you are, it's time to get ready for the
world as it will be --a world where your customers have new choices
from a sea of suppliers from
across the globe.
Peter Fingar Author of Extreme
Competition: Innovation and the Great 21st Century Business
Reformation
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One of the first people to
describe process was Smith who in 1776 describes a new way for process
in a Scottish pin factory. He outlines the production methods and
created one of the first objective and measureable enterprise process
designs. The consequence of 'labour division' in Smith’s example
resulted in the same number of workers making 240 times as many pins as
they had been before the introduction of his innovation.
Adam Smith participated in a revolution that transformed the
planet. He lived at a time when the confluence of factors, political
change, emergence of the New World, industrialization and a new
optimism that the world could move from the shackles of the past.
In heralding a movement that
developed into Scientific Management the foundation was laid that
established a way of working that has survived and thrived for 200
years.
And yet now, more than ever, is a
time to perhaps take a careful glance back to the past to guide the
way for not only surviving the current economic turmoil but to also
prepare us to thrive in the seismic shifts of the 21st century ‘new
world’ order where the customer has become central to everything we do.
Leading global corporations are
now evolving their tried and tested approaches into methods suited to
the changed challenges of customer promiscuity, globalisation, IT
innovation and the Prosumer. That is the essence of what we call
Outside-In.
"The Customer Experience is the Process"
Outside-In can really be
summarised in the statement that “the customer experience is the
process”. We can no longer just look within our organisation boundary
to create a sustainable competitive advantage. We have to extend our
scope and embrace a broader view of optimising process by
understanding, managing and developing customer expectations and the
associated experience. We need to articulate Successful Customer
Outcomes and let those guide our product and service development as we
move beyond the limiting scope of silo pyramidal based left to right
thinking.
In 2006 BP Group Research identified the ‘Evolution of Approaches’
and how steps can be taken to grow Lean Six Sigma’s influence and
success into a strategic Outside-In toolkit. In fact the last 4 years
are seeing the fruition of these advances with Best in Class
2009 & 2010 Award winners PolyOne,
a dyed in the wool Lean outfit, advancing their stock price six fold
in 18 months on the back of radical and innovative changes across its
customer experience.
Some see Outside-In as the death
knell for approaches such as for old style BPM, BPR, TQM and Lean Six Sigma. This is not so. This
narrow and simplistic view does not acknowledge the stepping stones
available to embrace the new customer centric order. In fact the
foundations of our futures are always laid on the learnings of the past
with those innovators who recognise the need to evolve leading that
charge.
Victory will go to the brave who
seize the moment and push forward their approaches into the brave new
world of Outside-In. The sector leaders have set a precedent - can you
embrace the challenge?
All the Best, Steve
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If you wish to read and listen more on this theme the following references are useful.
Join the community discussing these issues, challenges and opportunities.
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Community and social networking – Join the BP
Group
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LinkedIn
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Outside-In The Secret of the 21st Centuries
leading companies
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Book
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Interview Harvard Business Review with HBS
Professor Ranjay Gullati
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Video
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http://bit.ly/RanjayOutside-In
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Interview Wharton Business School with WBS
Professor George Day
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Video
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http://bit.ly/WhartonGeorgeDay
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Interview Affecto University with Steve Towers
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Video
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http://bit.ly/SteveTowersOutside-In
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Interview by Megan James (IQPC)
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Video
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http://bit.ly/MeganJamesOutside-In
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Downloadable keynotes and slide shows
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Presentations
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http://www.slideshare.net/stowers/
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Professional – Certified Process Professional
program
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Qualifications
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Don’t give customers what they think they want -
Steve Towers
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Article
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Evolution of Process Excellence Approaches - BP
Group
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Research
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Outside-In - Interview with Blog Radio’s Gienn
Weiss
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Podcast
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The Best Performing companies Millward Optimoor
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Research
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UPCOMING CONFERENCES ON THE THEME OF PROCESS
EXCELLENCE, ENTERPRISE BPM AND OUTSIDE-IN
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Resources
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