How Marketing Department Lost It’s Gusto?

There’s little we hear today about Marketing Department (or Division) these days? Don’t we? What we hear about Marketing today is about launching events after events. The department role has become launching organizers. They are very good at dealing with event coordinators, medias and gifts companies. Is that what Marketing department supposed to do?

Well, at least that’s one of it, we called it marketing communication. Ideally, what is marketing? What is the main function of marketing department? How should we measure marketing success? Why marketing matters? Let me.

“What Is Marketing? “Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. (Approved July 2013 by American Marketing Association – AMA)”

Source: https://www.ama.org/the-definition-of-marketing/

According to Peter Drucker, “The two basic functions of a business enterprise are Marketing & Innovation. All the rest are costs. Marketing & Innovation produce results. Marketing is the distinguishing, unique function of the business.”

Source: Peter Drucker, What Is A Business?

If the purpose of business is to create customer through innovation (Drucker), the purpose of marketing is to help the organization sees the satisfaction desired by the customers in terms of values and needs. This is where, in my opinion, the beginning of marketing department downfall, lately.

The marketing department as we know it, no longer help the organization sees the customers values and needs, neither, make effort to understand the customers values and needs. Yes, the customers are changing, fickleminded and indecisive. We know these customers behaviours for very long already, nothing new.

Marketing Activities

There are at least four main marketing activities. The 4Ps (Product, Price, Place and Promotion) . The marketing department through its marketing activities, need to drive the decisions in these areas.

In Product – marketing department through its customers research, it will generate new products (or services) ideas and solutions. They will also look at the existing products, are they making profit? Or they are just product line up that is making losses year after year? The marketing team should have enough data on this. Do they have this data? The marketing department can only see what is in the pipeline but can they create new? Does the marketing team knows USP – unique selling proposition of the products (and services)?

In Price – marketing department will help set the pricing policies looking at the varying customer segments in their midst. They will know how much margin or mark up or profit or volume they need to generate for the business to grow. Are they making the decisions today? Or is it done by the finance group? How does marketing team influence this decision?

In Place – marketing department look at the distribution channel of the products. In today’s business, there are online and offline distribution channels. Does the marketing department has the people to do online marketing? Do they know the customers experiences in these two areas are different? How does the marketing team use the data collected? How does the marketing team work with the offline retailers, distributors and wholesellers? Do they have these strategies? Or is currently these being done by customer experience department? Or big data unit that is reporting to IT department?

In Promotion – marketing department set the promotional strategies including sales team deployment. Setting sales strategies, incentives and ammunitions. Is the marketing department still doing this? Or has this been delegated to sales department? Ohh yeah, this is also where marketing runs events to promote and advertise the “solutions” valued and needed by the customers. They do it through communication with the medias and PR companies. In promotion, marketing department also continually asssessing the brand value as seen by the customers.

After looking at all above, it turns out the marketing function as it was, has been broken down to myriad other units that are more specifics, more objective and relatable to the customers worldview as needed by the organization. Because of that, the marketing department is it was, without breaking it into many other units, will become too big, too slow and bureaucratic. That’s how marketing lost it’s gusto.

Wither Marketing Budget?

As a result, marketing department budget now filled with events budget and it become less strategic. In my humble opinon, marketing department too, has to be blamed. The people inside marketing team already out of touch with the customers realities. They department relies too too too heavily from the agencies, vendors and suppliers to give them reams of reports about the customers.

Marketing department rarely goes down to the “market” to talk to the customers. They refused to listen to the customers feedbacks and listen to their stories. Marketing department people prefer to man events at big and posh hotels while drinking coffee and smoke cigars – to them, the hotel is the prestige defined as “great branding” and “credibility” by the customers.

Marketing department create products in their office. They look at the quantitative data without an iota believe that they need qualitative data too – customers insights and pain points stories. Marketing department people do not go down to meet the engineers at the manufacturing plant to see the product development themselves. All they ask for are photos to make brochures and marketing kits. That too, the marketing department ask the agencies to go and get them.

Direction-less Heads

The marketing department also busy attending high flying and international conferences in the name of “benchmarking”, “new strategies” and “power networking”. Funnily, the one that usually get to go to these kind of pampered and full board events are the bosses of marketing department and above.

They go and come back – then nothing happened. The bosses snap loads of pictures of the slides and whatsapp them to the team. Instructing the team to do this and that – ASAP. The next year, the same bosses go again and again and again. It became the viscisous cycle that everybody knew – except the bosses. That’s how marketing department lost it’s gusto. With all the happenings in the marketing deparment, the top management should follow the advise of David Packard (Hewlett Packard), “Marketing is too important to be left to the Marketing Department.”

The marketing department also detest any other department that take away their budget in the next financial year. Now the next upcoming department that, if not careful, will fall just like the marketing department, it is the IT department.

Brickbats please send to donkhairul@gmail.com

The Go Green Dilemma

In Malaysia, there’s so much talk about going green and use of renewable energy (RE) more to meet our electricity and power needs – be it for households, business offices and factories. The most common RE is solar. Other popular RE are wind, biogas, biomass and thermal, hydro – mostly used in large scale operations like plantation and factories.

Source: http://www.seda.gov.my/about-seda/re-programmes/

Here I’d like to discuss some about solar as it covers residential – the people. Further search on Google, there are actually a lot of solar companies available in Malaysia – more than 20! I listed some down here:

  • ERS
  • Pekat Teknologi
  • Plus Solar
  • Solar Vest
  • Ditrolic Solar
  • Sols Energy
  • Ray Go Solar
  • Solar System Malaysia
  • MAQO Group
  • Simpli Solar

Some of these companies listed above provide only for business buildings and factories, some cover residential as well. There has been slow take up rate from the residential customers, although many claims that the solar photovoltaic (PV) panel is getting cheaper.

“Solar technology has matured and costs have become more competitive. Solar PV panel prices has fell 80% since 2009,” she said, adding that this is also one reason quota for solar is no longer offered under the fit-in-tariff (FiT) mechanism.

– YB Yeo Bee Yin, Minister MESTECC, Malaysia

Upon checking, on average the price of outright purchase of the PV panel is around RM 25,000 (USD 1 = RM 4.3) for residential houses. For factories it is more because the Kw (kilowatt) will be higher.

There’s also some incentives under the RE incentives provided by the government. However the incentives will be claimed by the solar providers because they will help the customers with FREE roof suitability and installation if suitable (roof angle and access issues).

There are companies offer solar leasing package, therefore customers do not need ot pay any single cent throughout period (depend on the providers). This package is a standard leased agreement called SARE (Supply Agreement for Renewable Energy). Typically the lease will be for 10-20 years. The best part in this period, customers do not need to pay any money, downpayment or installment to enjoy the benefits. This include maintenance and warranty of the system altogether.

Source: http://clipart-library.com/download-solar-panel-gif.html

Will this reduce your electricity bill? According to most solar providers, your electricity will go lower by 5-25% on your consumption before solar. In other words, this lower bill isn’t on monthly basis once you used solar. You get to save the planet along the way! Some providers claim you can save RM 200/month for 21 years (that will add up to RM 48,000). Again, I think this kind of sales-pitch needs clear evidence or stated in the contract; because once you signed, ehem it will be very difficult to get out; perhaps? 😉

Additionally, let say, you have great roof for sun radiation and you generated more solar than you need or use, you can trade (sell) this extra power back to the provider and earn some income. This package is called Net Energy Metering (NEM) scheme. In NEM scheme as explained by the Minister of MESTECC, YB Yeo, there’ll be no price difference in buy and purchase of solar tariffs.

Source: https://www.simplisolar.com/site/resources/what-is-net-energy-metering-nem/

However, as a customer I still have concerns with the design of the contract. Especially it is about getting into contract for 10-20 years, it is actually very long. As it is, car hire purchase is long enough (7-9 years). My challenge is I couldn’t find the exact figure of the fine details to these questions:

  1. What if the solar installed didn’t bring much value in savings for me? Can I change back to normal power supply?
  2. How much supply coming from solar do I need as residential customer? Is it 100% or 80%? How much do I need to pay for the additional cost difference for normal power supply?
  3. What if the solar provider close down? What is my risk?
  4. What if I wanted to sell the house? Will my solar agreement stuck there to new tenant? Or I can take it with me to my new house?
  5. Since the leasing is with Third Part Operator (TPO), what is the cost of change of tenancy (COT)?
  6. How much do I need to pay to get out of the contract?
  7. Does this package have insurance covering the system?
  8. Is there any fee to become NEM provider? Because supply and sell back the power is two different component, am I right to think this way?
  9. What if the person who sign the contract passed away? And I have to sell the property and get out of the solar contract, how do I do this?
  10. Over 10-20 years in the contract, the PV panel price is going down lower and becoming more efficient, would the customer get upgrade included in the package or stuck with the old technology?

“Consumers want to go green, but above all we want to save money.”

– Consumers

“It is common for all of us to seek our own path to success as we defined it. Time waits for no one.”

“While allowing room for failures is encouraged, employees should also be trained to be courageous to admit mistakes and pick up slacks.”

“Eventually, the core business will mature and stops growing. The owner should invest in parallel several years earlier in the next growth business so they are ready when the core stalled and profit would already be taking over as the next engine of growth.”

When Costs Kiss Goodbye!

Image credit: Kraft Heinz loses a lot of cheese as earnings send stock plunging to …

Interesting article about an investment company (private equity firm) that acquire food businesses (Heinz & Kraft Foods) back in 2013 and 2015 respectively. The firm believed these two companies could unlock more values by using ruthless focus on efficiency. They quickly employed radical cost cutting programs.

They fired thousands of workers, shutdown factories, used zero-based budgeting model (justify cost without regard of previous year spending), remove refrigerators (pantry) in the HQ known for stocking cheese sticks, set default settings of office printers (double sided with black toner) and limit meals spending during travel to $50 a day. Guess what happened next?

These initiatives and cost program led to industry-leading profit margins in less than 2 years! The stock price went up to more than $90 in 2017! See below.

Screenshot 2019-05-18 at 12.55.51 AM

Screenshot 2019-05-18 at 12.55.21 AM

But, unfortunately, it went to nose dive after all the radical cost programs deployed. From my research, Kraft Heinz overlooked the marketing bit, product innovations for their changing customers segments and valuable employees feedback that know how to run your operations especially in different market segments and countries.

Sometimes, big brands and companies make tactical mistakes like this. No doubt long history companies tend to have opportunities to go leaner that it was; things usually get complacent after awhile.

One of the videos, check it out.

Source: https://www.cnbc.com/2019/02/22/kraft-heinz-backers-face-reality-brutal-cost-cutting-isnt-enough.html

Lessons that we could take from here are:

  1. Look at at products and services innovations as growth strategy: There are probably a host of products that could be making money or probably there’d discover that most of the products are obsolete to modern customers. For the record, Kraft Heinz launched new products such as organic version of Capri Sun and expanded its condiment businesses. They tried, probably not enough time to see it through, perhaps these new lineups will grow later.
  1. People are not measured by their salary or price tag, rather by their value brings to the business: I tried looking for some human capital development strategies when the equity firm bought Kraft & Heinz, but I couldn’t find any. Although I may not a fan of “total spoon-feed your talent because you care”, I do believe the management should consider taking longer time to lay offs to ensure the tacit knowledge is transferred to the business. You should pay high for someone that could do more and pay less for someone who can only do routine work.
  1. There’s only so much you can do with cost efficiencies: Key for growth is innovation. I’d expect big brands and companies, should invest in ruthless innovation focus in three areas. First, new products and services that reflect current and future customers needs and wants. Second, leaner processes and automation to bringdown redundancies in capital & assets deployed and reduce wastages. Third, to find market creations opportunities that will need to be invested and R&D. You can read more about this from Clayton Christensen book titled, “The Prosperity Paradox”.

Innovations are for growth. Companies need to spend and invest together with their workforce to improve capability and capacity to innovate. I do hope to see Kraft Heinz able to come out from this plunge and see this only temporarily.

Brickbats please send to donkhairul@gmail.com 

What If You Can Trap CO2?

I was waiting  for my laptop to boot, somehow it takes longer today than any other day. I then turn and flip some magazines  – found a company called Climeworks. They were listed as one of the innovators in climate action business. Pretty cool! Actually their climate solution is focusing on decarbon the air. They call it “Active Air Capture”.

Basically the solution works by blowing air through reusable filters that chemically trap CO2 (Carbon Dioxide). Then heating the saturated filters to release the gas then inject it underground to bind with basaltic rock, which can hold it indefinitely. Wohauu!!

I headed on to their website and found this. Climeworks work with three main sectors namely Food & Beverage, Greenhouses and Energy, Fuels & Materials. What I found interesting was in Food & Beverage – where CO2 is needed to make carbonated drinks, here they want CO2! See below – from Climeworks website

Screenshot 2019-05-18 at 12.17.50 AM

Source: http://www.climeworks.com/our-customers/food-beverage/

Apparently in F&B business, they need CO2 to do this activities such as packing fresh meat & vegetables, gas for draft beers and softdrinks and dry ice for freezing & chilling food.

It is interesting because of the cyclical model of CO2. As it explains in the picture above. The CO2 release will be captured back and used back in carbonating the drinks! Violaa!

As for farmers in greenhouses, raising CO2 level could increase yield as much as 20%! The best part this CO2 is renewable. Check out their table below:

Screenshot 2019-05-18 at 12.22.21 AM

Source: http://www.climeworks.com/our-customers/greenhouses/

Personally I feel this technology works best in certain environment, as Climeworks based  in Iceland. I am not sure whether this method works in other place. The model looks convincing, nonetheless.

Some other considerations is the capacity of capturing the CO2 and release it back as renewable energy into sectors that use CO2. Wondering whether there’s such a thing called CO2 trading online using blockchain technology.

You can get more information here www.climeworks.com

Brickbats please send to donkhairul@gmail.com

Why Corporates Need Corporate Innovation?

I will go straight to the point this time, no BS here. 😉

Here are the FIVE Observations that make corporates need Corporate Innovation, within this year:

  1. The corporation no longer effective in capital allocation. It only spend on what it has been doing over the years since its founding days. The growth is stagnant? Right? There have been talks about why the auto market is stagnant, utilities market is stagnant, banking market is stagnant and education market is stagnant? Is it really? Think again. The corporate hiring is all time low, even if they do it is only incremental. How big can you hire anyway? How much capex do you want every year?

  2. The employees in that corporations have been out of touch from the customers worldview and realities – things they go through in every day life. The employees think that if you are an executive or business people, you will need a bank account so you will go to the bank freely without the bank having to promote to you any service. So they hesitantly “provide service” with the hope you will get out the branch quickly. The employees only know their job (think they know?) and only worry (pay attention) to their yearly increment. The employee has never thought how important you are because he is not in the marketing department!
  3. The people in the corporations no longer recognize each others strengths and passion anymore. They know each other by searching the names in the company database by their work title and department. They only care about numbers, bottomlines, KPIs, processes, SOPs and their own bosses. They forget the empathy in their colleagues and the motivation they come to work for.
  4. The corporations are a lot less helping the nation progress and becoming productive. Profiting RM100 million a year isn’t the same as elevating 1,000 people out of electrical poverty or lack internet access. The corporations care-less about the environment they operate and the shared prosperity – they only care about batches of production they need to make, the stuffs they have to deliver. They polluted the areas and take away the prosperous-ness in the areas.
  5. The suppliers and vendors of the corporations are non other than the same big boys instead of local business and startups with creative and innovative products and services with energetic and entreprneurial founders. The corporations with all their busy-ness tending to the bottom line didn’t get out of the building to look for what’s new, what’s better and what’s ahead. They are confined confidently in the comfort of large, air conditioned and well equipped office.

In the Corporate Innovation program, corporations will unbox, rediscover the untapped opportunities within the layers they have and assets they kept are abound; right on their backyard, under their nose and in their neighbourhood.

Brickbats please send to donkhairul@gmail.com 

#corporateinnovation #innovation

Corporate Innovation Not A Department

Corporate innovation is an important feature in large organizations. I wouldn’t suggest it to be a corporate function or division or department as it will create another layer or compartment; bureaucratic and adds extra cost to the company.

I think corporate innovation should be an embedded strategic program cut across divisions. Who should lead? I’ve seen HR doing it, IT doing it and CEO office doing it. Easy way out is CEO office, but I’ve seen CEO has 25 direct reports, how could he adds another? My best bet, corporate innovation mandate should come from the Board as strategic program (with start end period) max 3 years and review every 3-6 months.

Each year is a different “focus” leading towards the objectives and outcomes. Why Board? Because Board changes is a lot less than top management. Besides, Board has greater cohesion between them that can drive management team zand its workforce.

Now, the problem with Board? They lack customers voice and seemingly out of touch of the business realities on the ground. The Board can use corporate innovation to get this mended instantly. Greater customers voices should be heard directly at the Board with wider attention. Let’s get on board. corporateinnovation business relationships #innovation

Brickbats? Please write to donkhairul@gmail.com

Corporate Innovation Champion Is….

In the most innovative and valuable companies in the world, the CIO is the CEO. For innovation to happen, top down & mandated approach has better chance of success. In the meantime, the executive management also marshall the bottom up innovation approach by getting people excited about giving ideas, tweak some process and embrace feedback culture.

When these two strategies in alignment (top down mandate + bottom up excitement), it will eventually creates its own equilibirium and a meeting point. Once a meeting point reached, good to have another round of “workout – GE way” and ask “Where should we go now?”. I can almost guarantee this question when asked sincerely and with gratitude will bring you and your team to next level performance.

Amidst all the BAUs priorities, if at all you want to do it, let’s do it well. innovation #business relationships improvement corporateinnovation success corporatemodel

Corporate Innovation Pain Points

*First appeard on LinkedIn in April 2019

Corporate Innovation Program is the buzz word these days for very good reason. The awareness and action of many companies responding to change is getting better because “innovation” a must have agenda for top management and high level discussion including nations alike. The focus of innovation is “awakened” in the last few years so much so the word leadership has become low-key. I for one advocate leaders with big title if they couldn’t innovate their days are numbered or they should be shown the door. Run!

Innovation for it’s best intention solving pain points of the organizations, also carry it’s own inherited pain points. Well, pain points may sound negative. However negative it may sound, it is almost impossible to resolve it indefinitely before any launch of corporate innovation projects. The pain points highlighted are meant to be aware of, taken into consideration and minimized its negativity impact when possible. Let the goals of the corporate innovation be our guiding light, not the pain points. After all, no pain no gain.

Here are the Five Pain Points:

1.Departmental / Divisional Fiefdom

Fiefdom is there not for a good reason, definitely to be tear down in corporate innovation. The fiefdom stems from who owns the corporate innovation project. It could be the IT, Sales, Human Resource or CEO’s office. This way the budget can be better spent and realized, it is just the project impact is risked. Fiefdom mindset drags collaboration on its feet so much so other department rather sees the project fail than doing well. Fiefdom limits the upside potentials of any corporate innovation project.

Steve Ballmer, formerly CEO of Microsoft once said, “After all the things we want to do is aligned, the final piece of the puzzle is how we work together.” The differences of views and opinions are critical to growth, yet, there are also the stumbling block of productivity when not handled well or fully understood.

2. “Seen All Done All Nothing New” Top Management

It is common these days to include diverse at the top management line up. Diversity is key and we all know that diversity has to be worked on and build. It wouldn’t come by itself. There’s a lot of trust building, empathic engagement and sheer intolerance of incompetent senior management. Their backgrounds while may be helpful on their CV, when put to work they find themselves unable to take differentiated point of views and lack of willingness to change. They like the glory days of their past from other workplaces and using force (and bootlicks) to have it their way. New ideas shunned, opposing views silenced and change is too big to address because they have “seen all done all nothing new” mindset. They block any attempt to change by hoarding resources, veto decisions and play the upper hand with the Board or shareholders.

Top management that deter collaboration shouldn’t be in the line up at the first place. As we grow into leadership role at higher level, it is very much less about us, it is about them; our customers and our team members.

3. Only Pedigree Can Give Ideas

In this kind of organization, ideas are treated sacred. Only certain people deemed can give “great” ideas and only selected alumnus from certain universities can voice their opinions. The pedigree culture blocks other people from participating in what matters to the organizations. To make matters worst, pedigrees get rewarded handsomely that further reinforced unhealthy behaviours among peers and employees alike.

Developmental talent programs such as top talent sometimes create this unwanted differences in the day to day operations. The waiting culture seep in where without the pedigree there’ll be no decision of moving forward. No one is willing to make mistake because of huge career setbacks might affected their standing in the company and future development. The behaviours also could be manifested in negative ways such as bullying, narcissism and abuse of authortity.

4. Customer Voices Not Heard

With all the good business strategies and goals for the customers, there’s huge hesitation to talk to the customers to get feedbacks, opinions and suggestions. By the way who supposed to do it? Some say marketing, some say IT or procurement, maybe human resource? Everyone should do it. Sometimes the organization pressuring those “little” staffs at the counters with huge responsibilities to get feedbacks from the customers. Challenge is those little staffs are receptionists or call centre agents that have little means to understand the complexities of interactions happening with the products and services from across the organizations.

Besides, they also have limited authority to do customers recovery or beyond to directly attend to customers needs and wants. The survey provided with checklist won’t be able to extract feelings and emotions of difficulties of getting the services done.

Additionally, there is tendency to lead the customers to tick surveys quickly with long winded survey because customers are always in a hurry. Not knowing their pain points, struggles or hear their stories could lead to organization that is myopic of the challenges faced by their customers. This also applies to internal customers that are using our processes to get things done.

In some organizations, the quality policy used is different to meet certain standards, such as an independent Procurement department, whereby only the Procurement is certified with ISO 14001 and the rest do not. It is a mess!

5. Tools Before Strategy

It used to be Porter’s Five Diamonds, then Organizational Development, then Agile, then Lean, the Six Sigma, then Blue Ocean Strategies, then Design Thinking, then Heart Thinking and so on. These are tools. Someone said, “A tool and a fool seldom differ.”

Organization should put their business strategies above anything else. What do we want to achieve? How do we get there? What is our value? Who should be our target customers? What capabilities that differentiate us to deliver our value proposition? These are strategic questions called Strategic Five by strategy+business knowledge portal – let’s get down to basics.

Our answers (or no answer!) to these questions will help determine the “mix” of tools you might need. No one tool fits all strategic needs of any organization in today’s environment. One thing for sure, our people and workforce needs to learn more than one tool to make them nimble, agile and empowered in decision making when interfacing with the customers. Always remember, “structure follows strategy”.

Brickbats? Please email to donkhairul@gmail.com Thanks!

The One Word That Make People Hate Innovation

I stumbled on my current research by accident. By observing people’s reaction. Let me explain.

Every time in my design thinking workshop I asked my audience, whether they love innovation in products and services they used, of course they loved it to bits!

They spoke about how the food delivery service such as #FoodPanda, #Ubereats and #GoFresh (among others) helped them deal with life when they need food.

Some Muslim ladies also spoke about their hijab, tudung and scarf that make them look gorgeous , beautiful and of course more confident when they work and socialize professionally and personally.

Many men also expressed their love for e-commerce sites such as Lazada where a number electrical hobbyists and car enthusiast including aspiring botanist found their haven for things they love doing.

Most of the people I met during my workshop claimed their live getting much easier these days because of all these innovative products and services integrated into their lifestyle. Of course, smartphones and apps are the most popularly quoted as innovative products and services.

When we discuss deeper, what constitutes successful innovation, there is one word that put the world a stop for a moment. This word makes everyone reconsider what they said earlier about innovation and their love of great products and services.

The word is CHANGE. Everybody hates change – especially when the change go against your will. This include my 4 months old baby when I wanted to change his diaper, come on! I am helping you getting clean lols

When we run design thinking innovation workshop for senior management (or any innovation workshop for that matter), the discussion on change is very crucial. How tolerant is the management towards CHANGE? How committed they are? What are they willing to give up? Why do they want change? Who needs change first? When do we should give up those baggages?

I found discussion on change in very key in successfully getting the buy in prior any innovation or transformation work. The senior leadership themselves must be in unison when it comes to commitment to change. Be the change you want to see, as Gandhi famously said.

In some scenario, the current situation is already bad (or it could be too comfortable perhaps?) therefore change is “easier” to instill. Oh booy, change is difficult and change is hard. Change takes effort, effort and effort. We usually got stuck in either one of these change levers, our capacity to change, our capability to change or our ability to change. Which one do you stuck the most? Which does your organization stuck the most?

Source: Who-Wants-Change-Crowd-Change-Management-Blue | Free to use … | Flickr

For those who are leading innovation in their organization, let me share good points from this book from Noel Tichy, “The Cycle of Leadership”. I love this book so much, get a copy if you will.

He said this interesting view of leadership, they are autocrats (who forcefully lead change without taking any feedbacks) and they are abdicrats (who take all the feedback without taking any decision or stand to move out). These two extremes create leadership vacuum and ultimately power failures. This need change.

Better your best!

Wait for my follow up article on this topic soon!

Brickbats please send to donkhairul@gmail.com

Top Five Great Ideas in 2017 From “The Field”

In 2017, my team and I met more than 1,000 people from multiple workshops throughout the year when we ran our flagship training,  Design Thinking Innovation workshop. The significance of design thinking workshop is in the fieldwork, which I’d like to call as ‘The Field”. During the fieldwork, the trainees last year interviewed between 2,000-3,000 people last year.

From those multiple workshops we had, they generated lots and lots of ideas. The following were the Top Five Great Ideas in 2017:

 

1.Student loan (PTPTN) becomes the employer’s benefits for employees. 

Most employees, young executives particularly carry substantial student loan – around RM 30,000 – RM 45,000 (locally known as PTPTN). Screen Shot 2018-01-01 at 8.58.49 PM.png

*Source: iMoney

These loans were part of their commitment when they study in local universities. Part of the deal with PTPTN, once the students graduated they need to repay back to PTPTN. Somehow this didn’t happen as effective as both parties wished, PTPTN overall repayment rate is very poor, only 3% .

What if the PTPTN loan is taken over by the employers as part of employees benefits? It could be carve out from the insurance provision or medical benefits. Someone from Compensation & Benefits (ComBen) in HR department could advise this better. Or maybe if you have thousands of staffs with PTPTN loan, it certainly could amount to few millions RM, how about having a company to manage this loans? Well, something to think through.

 

2. Children bank account package just like we used to have 30 years ago.

Wither children bank accounts in our local bank? You probably noticed that many banks these days do not really have an attractive children bank account like we used to have aeons ago such as Yippee, Bank Bumiputra and Tabung Haji (where you get a replica of Tabung Haji building as your coin box). I opened bank account for my kids recently and few years ago, then I received a link via SMS from the bank – excited then I clicked the link – the I was upset – because it was a bad link (automated from their system but poorly maintained either by the marketing department or webmaster – yes let’s start the blame game!)

From “The Field”, we found a lot of respondents wondering why the bank no longer offer beautifully designed children bank account. Actually later I found the answer from some senior bank managers who said, “deposits are outdated, banks prefer offering financing these days.” I was rather upset because the answers we “soooo like bankers”. LOLS. Haven’t they heard Fintech? LOLS

What if the local bank could revive and rejuvenate children bank accounts once again? Make investment and saving as part of everyday lingo in the family. These days, saving and investment is missing in children’s vocab, all they know is buying this and that. I know some local banks offer children bank acccount, most of it dull. Make it fun and exciting please!

 

3. Investment account that’s accessible by “normal and average Joe”

Normal and average Joe has only saving account. Many roll up their eyes when we talk about investment products from banks. They either just haven’t heard about it from the bank or they just said the bankers tell them these investment products are only for the HNWI (high net worth individuals).

Again, I was rather upset because the answers we “soooo like bankers”. LOLS. Haven’t they heard Fintech in Wealth Management? LOLS

What if the bank could give access to their simple product that usually require RM 100k deposits from one HNWI to “100 normal people and average Joe that have RM 1k for investment and wealth creation?”

product-discoverability4

Source: Centric Digital

 

4. Make Top Management (Senior Vice Presidents and C-suites) teaching in the company

The knowledge gap in the company (especially tacit and implicit) is growing wider. The gap is widely seen between the Top Management and Middle Management to Entry level Executives could only be fixed not with hiring external consultants or run training programs after training programs or coordinate leadership development programs after programs, ratther companies have to start to look for the solution internally.

The challenge is often, the management is asking the wrong question and always in a hurry to look for the right answer. The question they usually asked is “why our knowledge gap is getting wider?” which is looking for the right answer. Instead the appropriate question should be, “how to accelerate the spread of knowledge between the management faster?” which is to explore possibilities. One of the popular ideas generated in our workshop is to “teach the top management how to teach their managers”.

What if we could teach leaders how to teach their strengths and transfer their skills? Further research would validate this idea that General Electric (GE) have done this many years ago via Crotonville University.

Things+Leaders+Do+GE_s+Jeff+Immelt+on+the+10+keys+to+great+leadership.

Source: Slideplayer

5. “Dress down” day to Productivity

In Malaysia, the proliferation of new generations as the workforce is already between 50-70% at the executives and junior managers level. Some companies that have thousands of employees, could save money from providing uniforms for white collar executives and junior managers. In some companies, the top management still frowned upon the concept of “Dress down” day. The concept allows the employees to dress with anything they like within the formality guidelines, although some companies have little guidelines, having something to rely on will do more good than harm.

The new generation prefer freedom of expression and they do have nice collection of wardrobe simply because fashion these days are cheaper and with so many options. Therefore allowing them to “dress down” in most of the days, it will give them the “extra benefits” to stay in the company and would boost their morale and consequently productivity while working in the organization. In other words, when you allow them to wear jeans, slip on shoes, hoodies etc, they will work harder.

In our interviews with the millenials respondents, that was the feedback and the great idea was “Dress down day”. Check out this analysis from NY Post on “Dress down and productivity”.

What if “Dress down day” could boost productivity and increased morale of the employees, would that save the company in medical bills and unproductive work habits? Of course, save of the uniform tailoring too!

dress-down-day-or-no

Well, those are the Top Five Great Ideas in 2017. I will be sharing more stuffs and great ideas from “The Field” from my LinkedIn-Khairul Anwar. See you there!

Brickbats? Email me at donkhairul@gmail.com