Movement in the wrong direction is better than no movement at all. Times may be tough but you must have a plan, any plan, just keep moving or you’ll ride the downward spiral into oblivion.
At times forces beyond your control will send your business plummeting and there may seem like no way out. Sitting idle and hoping to find that magic bullet is the worst thing you can do. If you were a sail manufacturing company when the industrial revolution hit and steam ships took over you had a choice, find a new model for making money or hope this fad of steam power goes away. We all know how that one turned out.
A perfect example of this was the recent digital camera revolution. Two American companies Polaroid and Eastman Kodak faced complete annihilation as consumers quickly moved from traditional photography to digital.
[bad plan] In response Kodak did the unthinkable, they began producing digital cameras. This positioned them head-to-head against Japanese consumer electronics companies like Sony and Canon. Years behind technically and sporting an antiquated overhead structure they were doomed to failure. That’s exactly what happened; they hemorrhaged cash and watched earnings plummet year after year.
[no plan] Polaroid on the other hand knowing how dangerous this market was decided to ride it out and look for greener pastures.
As the years flew by Kodak gained new technologies, new experience in the digital market, attracted new talent, and developed a culture of change. They may have been losing money however they were at least able to keep the lights on. Polaroid filled chapter 11 in 2001.
Kodak finally became semi-competitive in the digital camera business and due to the freshly acquired knowledge of this new market found other areas in which they could make money. Printers, digital imaging software, media players and photo paper were just a few of the new developments that they added to their product line.
Without this “bad plan” they were surely doomed to failure but the movement created by heading in wrong direction enabled them to morph into what is today a viable company.
The irony here is this, ask yourself who was better suited to enter the photo printing business? Who was better suited to taking a photograph and instantly converting it into some other form of media? The answer was right in front of Polaroid’s face but they were paralyzed by indecision and never entered this new market.
So what direction are you heading this year? Read more about my methodical approach to goal setting at:
http://www.billparker.org/2009/01/11/how-to-set-annual-goals/
Tags: Motivation, planning and goals
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