The person who submitted this month's question is a Senior Executive from a global specialty pharmaceutical company that develops, manufactures and markets products directed at patient care.

In a previous newsletter you had an article that I liked and circulated to others in my company. I copied it and have it saved – it's “Top 10 Ways to Create a Big Bold Fast Response.” A number of the points and suggestions were good and some very thought-provoking but # 12 (you actually listed 10 plus 5!) I'm not sure I agree with.

You suggested that the leader of the company should step down. The rationale you gave was in the form of a comment that you indicated was from one of your military clients. You wrote, “You can't fight a war with a peace-time General.” In many companies, the person sitting in the President, CEO or EVP's chair usually has volumes of experience in the business and industry. My question is why would we want to loose that?

I speak from recent experience: We recently fired one of our Regional EVP's who was not reacting fast enough to eliminate low-yield tactics, and was relying on the next extension of our lines to secure her current customer base and develop new customers. Even with the new person we have continued to lose business. And although he has done some cost-cutting, we don't think he is able to make the distinction between the necessary and the wasteful. That is, he may not know the business well enough to make finer distinctions on which products, services or marketing areas to scale back or abandon. We may have lost the experience required to do the job that needs to be done now.

I think you have a valid point and it is well supported by your example.

The title of the article was about, “big, bold and fast.” Based on the information you provided, it sounds as though the former Regional EVP was not bold or moving fast enough, but rather she was relying on an old mind-set of waiting for the next line extension – a good tactic in flush times perhaps, but a low-yield tactic in this economy.

I think you needed a person who would defy the previous mind-sets and creatively look for exceptional solutions to your customer's needs. When survival is at stake, it is easier to get buy-in for revising old strategies to try something new. Certainly as you point out, knowing the history and unique aspects of the industry, it's culture, key movers, major rivalries, customer segments, etc. can be valuable assets especially when initiating big bold moves.

However, you may find that the industry experience is present in others in the division. The new guy needs to reach out. If he is supplying the “bold” then someone needs to help him with the specific industry experience aspect to help make the distinctions between necessary vs. wasteful. Building and maintaining strong brands and customer trust remains the best way to reduce customer defection. Changes that are perceived as being arbitrary or indiscriminate erode trust. Tough times provide an imperative to make changes. But don't squander customer trust – it takes too long to regain!

So this may not be the time for a “suggestion” to the new guy to work with others in the company who may know more about the particular industry. He may need to be directed* to quickly pull together 4 or 5 people who possess the knowledge he does not currently have in a task team to help him think through the impacts his big and bold moves will have, as well as provide some insight on the industry.

The knowledge of the industry exists within your company. Find it and use it now. As we stated in the article, “….challenging as this time of turmoil certainly is, it does create an opportunity for change: an aggressive attitude, bold action and fast reflexes are required – which often means making a break with the past.”

Mine the knowledge of others in the organization and mix it with strong and bold action. Big and bold without knowing the nuances of the business and industry can easily become big and dumb!

*Directing or telling someone what to do has fallen out of favor in management writings over the past few years. However, there are times when being a “Directive Manager” vs. a “Democratic Manager” is most appropriate. This may be one of those times.

Next Month

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