MARIOTTI ON INNOVATION: Hybrids -- A New Form of Innovation
John Mariotti continues to describe important new innovation ideas on American Express OPEN FORUM. His latest article describes a productive form of innovation that can be used by almost any company, in any industry. There is great power to combining the benefits of two or more good ideas into a better idea. To find more insights on innovation, what works and what gets in the way, search under Mariotti on OPEN FORUM and Innovation.
Listen To John's Thoughts On Leadership
The Sound Business Network has created an audio forum for a leader to leader "talkshow" that encourages discussion around issues of interest in business. The Sound Business team records and delivers audio segments that deal with the subject matter important to business leaders in today's marketplace. Its newest program is about Leadership, and includes the views of industry leaders like John Mariotti. Week after week Sound Business produces "sound bites" from thought leaders and industry insiders. Listen to today's message from John Mariotti or if you'd prefer you can listen to the entire program. (There is no charge.)
SHORT TAKES
One-Stop Shopping For John's Latest Articles
John Mariotti has been contributing to SmallBizTrends and American Express Open Forum every few weeks. Many people have asked "where can I read those articles?" Here is a link that should get readers to the listing on Open Forum, which is a rich resource for a wide range of topics.
Find The Key To Innovation In John's Latest Article
John's latest article is posted on American Expess OPEN FORUM. It spells out the most important aspects of success in new product innovation. In these days of continuing need for "top line growth," innovation is the key to that growth. But, what kind of innovation? Read and decide!
Mariotti Weighs In On Creativity vs. Innovation
Ideas are the easy part, says John Mariotti's latest article on American Express OPEN FORUM, "Creativity is Different From Innovation. " Process innovation and understanding how to ask questions about innovation in a positive vs. a negative way are two very important success areas for innovation.
Mariotti Cited in New York Times' business blog
John Mariotti cited on the New York Times' business blog on dealing with supplier pressure for unreasonable pricing.
Mariotti Joins Global Expert Authors In "QFINANCE--The Ultimate Resource"
Almost 8 years ago, John Mariotti contributed one of the 150 essays by global business leaders to the original "encyclopedic" work, BUSINESS--THE ULTIMATE RESOURCE published jointly by Perseus (USA) and Bloomsbury (UK). Now a new compendium QFINANCE--THE ULTIMATE RESOURCE is out and Mariotti has TWO articles in it.
One article deals with "allocating financial resources fairly," and the other with the "missing metrics" that fail to expose or address wasteful complexity. This comprehensive 2200 page book covers every aspect of Finance and Corporate financial affairs--and more--with works by leading thinkers and experts from around the world. It is a wonderful Christmas gift for the aspiring--or established--business person, or for the new graduate. It is like a complete business/finance library in one volume.
This superb desk reference answers almost every question that comes up in day-to-day business, and provides definitions, explanations, and more. It far surpasses what a Google search will yield. Tim Kevan of The Barrister Blog provides a strong recommendation.
My recent articles: "Allocating Corporate Capital Fairly" and "The Missing Metrics: Managing the Cost of Complexity" can be seen at www.qfinance.com.
The Complexity Crisis
Why Too Many Products, Markets & Customers Are Crippling Your Company—And What To Do About it
By John L. Mariotti
The Problem: Where have all the profits gone?
Businesses must compete in more complex markets than ever before. Companies are seeking growth at double-digit rates in markets that are growing at single-digit rates, or not at all. This quest for growth has led to runaway complexity and proliferation in products, customers, markets, suppliers, services, locations and more. All of these add costs, which go untracked by the best of modern cost systems. All of these fragment management focus, waste time and money and reduce shareholder value. And all of this goes on under the radar of management or board attention. The Complexity Crisis is arguably the most insidious profit drain in modern business.
The Challenge: What can we do about it?
First, recognize that rampant proliferation adds to costs in a manner that goes untracked. Then track it down. Where it adds value, alter processes to accommodate it. Where it doesn't, which is most places, stop it. Reduce or eliminate it. And institute safeguards—systems and metrics—to prevent its unnoticed return. Most of all, find quick and easy ways to describe The Complexity Crisis so it is recognized as a potential profit drain, and managed like the critical business consideration it has become.
The Premise: What Gets Measured, Gets Managed.
To understand the success factors in business is critical. To understand the obstacles that get in the way is equally important. This is the purpose, indeed, the job of management. The tools used that allow management to do this job are metrics and then the actions that result when the metrics expose an area for management attention. The good news—many of the necessary tools already exist, and may be in use. The bad news—complexity is, by its very nature—"complex" and thus it defies many existing measurement techniques.
The Approach: Find it; Fix it; "Use It or Lose It" (and Keep It Simple)
First, recognize what constitutes complexity and the hidden costs it creates; the places it siphons off profit into blind alleys and hidden corners of the business. Next, find it in your business and decide if it creates or destroys value for customers. Then, decide to either " Use It"—change structure and processes to accommodate value-added complexity for competitive advantage, or "Lose It" and reduce or eliminate non-value added complexity wherever it has crept into your business. Finally, institute new metrics and modifications to existing cost and management control systems to choose when to keep it out, and when to capitalize on complexity. Last, and most important: Keep the management of The Complexity Crisis as SIMPLE as possible, so whether you "use it or lose it" you solve the problem and keep it solved.
The Author:
Experienced executive—15 years—President, Huffy Bicycles & Rubbermaid Office Product Group
Accomplished author—8 books and hundreds of columns/articles in leading publications, web sites
Director on six corporate boards, and an advisor to several others
Consultant & keynote speaker: Titleist, Colgate Scotts, Southern Co., Emerson, Deere, etc.
Guest lecturer for several major universities business schools
Contributor, Business—the Ultimate Resource, Encyclopedia of Health Care Management
M. S., M. E. University of Wisconsin, B. S. M. E. Bradley University
John Mariotti's newest book The Complexity Crisis-Why Too Many Products, Markets & Customers Are Crippling Your Company-And What To Do About It IS NOW AVAILABLE FOR ORDERING from (click on your choice) Amazon.com, Barnes & Noble, Books A Million and other leading booksellers or in larger quantities from 
. You can also request the book at leading bookstores nationally, which should be getting it shortly.
The Complexity Crisis, TABLE OF CONTENTS
