Managing a business reminds me of skiing. In skiing, as in business, you are going
as fast as you can, avoiding obstacles and drop-offs, there is risk, the
terrain and conditions are always changing, and the more timely the application
of the right actions and reactions, the smoother the ride.
Years ago I skied with two fabulous skiers. They were both members of the elite PSIA
National Demo Team. I would watch them ski a tricky section of a slope to get insights
on just how I could more efficiently and elegantly get past that rough
patch. Often they did not make the same
movements, nor employ the same strategy, yet they both made those trick
sections look so easy and effortless. Mike
was tall and thin and Bruce was shorter and powerfully built, so for each of
them to control their descent down the mountain balancing such different cargo
on top of their skis required different movements.
The classic approach to teaching and learning to ski was to
observe a new movement by a better skier and then go try it yourself, and
VOILA! Tragically that movement or
action only works at a given speed, inclination, turn radius and snow
condition. In other situations the same
action might lead to a disaster. An
important change to this flawed approach to ski teaching and learning came
along when a big-thinking Austrian named Horst Abraham (who is now a renowned
business consultant and business school faculty) realized that all of the skier
actions could be grouped into a few easily identifiable and trainable skills. If the skill tool box was sufficiently
developed the body would apply the action with the right force and timing for
the situation creating the perfect turn for the conditions. Separating the complex skier movement into
its component skill sets allowed skiing professionals to analyze and understand
the endless variations of actions more clearly, and helped them to develop
those skills in their students.
Just as aping the movements of other skiers can lead one astray,
the mere replication of the actions of successful companies may not lead to the
same success for another company. It is similar to watching Bruce versus Mike
go down the hill. Is your business the
same size, does it serve the same customer, do you have the same market position
and brand equity as the one you are observing?
Probably not. It is even harder
when trying to choose the best action for early stage companies developing new
technologies, because there are few comparable precedents.
While one individual can have all the strength, skill and
experience to pilot a pair of skis through the toughest terrain, no individual
can do it alone in business. The demands
are just too great; technology is contantly changing, customer needs evolve and
the details of budgeting for and running operations are too much for one person
to handle. Therefore, create a management
team with at least one senior member from each one of the following three
business functions: 1) R&D and manufacturing; 2) sales and marketing; and,
3) operations and finance in order to harness three major skill sets of
business.
Skiers who have a deficiency of one or more skills have to
compensate by expending excess effort in an uncoordinated overuse of their
other competences. If they make it
safely down the hill, they burn up lots of energy getting there, and it
certainly is not a vision of pure grace.
Watching companies lurch from one avoidable crisis to another is the
best indication that there is an imbalance of business skills.
Examples of companies that do not have a balance of critical
skills and a culture of cooperation are all too common. Consider the example of a company started by
a core of technologists or scientists.
The team may be brilliant, hard-working, demanding, and capable of
solving the toughest technical development problems. But, the technology still needs a plan and
financing to be translated into a sellable product, brought to buyers and sold
for a profit. The technology team will need the help of competent
marketing and management professionals to complete the project.
If the team has a sufficiently developed reservoir of business
skills and they are allowed the freedom to analyze, plan and react, will the right
action be chosen at the right time to achieve the desired outcome? It is no guarantee of success. Having the
best and the brightest team, possessing all of the required business skills is
not sufficient if there is not mutual respect for their skills and willingness to
collaborate. If your company is a start-up, and does not have senior person in
these roles, you should seek mentors or board advisors to fill the void for the
short-term.
Create a culture of multifunctional teamwork from the
beginning, and you will be better able to negotiate the tough terrain and
changing conditions of business. Make
sure you have a team with the necessary skills - R&D and manufacturing,
sales and marketing, operations and finance – that are empowered to question and
challenge each other to arrive at realistic goals and a workable plan. Finally, give the team adequate resources and
the freedom to achieve the business objectives.
It is much easier to create a well balanced and highly functional team
culture from the beginning, as a start up.
The reward for building a strong multifunctional management team can be
the difference between a success and a crash.
