Rethinking Business
By
Ron Zimmer
Senior Consultant
We all do a lot of strategic planning, market development, and product
design. But in the past few years, the strategies have seemed to lack
depth. Some of this can be the disappointment of plans abandoned because
of unforeseen circumstances, such as the financial crisis, but I’m
wondering if our problems are more fundamental. Three business jargon
terms are beginning to bother me: brand, consumer, and
tactics.
Brand vs. Reputation. Although closely related, they are
different concepts. Brand is what the company tells us about itself or
its product. Reputation is what people think about the company.
Consumer vs. Customer. A customer is a person who purchases our
goods or services—a patron. Customers are important to our business, and
we value them. Typically, a consumer is a person, but it's a
dehumanizing term used to describe an aggregate market.
Tactics vs. Philosophy. This is the difference between what we do
as opposed to why we do it. Tactics tell our staff what to do to execute
a plan, but they don’t explain why.
Business philosophy can be a way of doing business or a business
outlook. It might answer questions such as: "Why are we in this
business?" "What do we most want for our clients?" "Which parts of our
work are the most satisfying or motivating?"
Philosophy tends to include integrity, responsibility, quality, and
respect. Philosophy can be found in the intent of your contracts. I’m
not saying it’s a case of either/or because all of the above concepts
are relevant and needed; but when the emphasis is out of balance, the
effect can poison our attitudes, make our customers suspicious, and
eliminate loyalty.
Why is this important? If you really want to stand out (differentiate),
think of your customers as friends and sponsors—not simply consumers—and
then build a reputation with them that creates deep respect for your
company. Demonstrate your philosophy in ways that are important to you,
your staff, and your partners.
