By Warren A. Sidosky, CMA | December 15, 2015 | warrensidosky@gmail.com
In today’s business climate, achieving high performance starts with a strategic vision and superb execution. These factors remain critical, but Rich Karlgaard, publisher of Forbes magazine and author of its “Innovation Rules” column, argues that there is now a third element that’s required for competitive advantage. It fosters innovation, accelerates strategy and execution, and it cannot be copied or bought. It is found in perhaps a surprising place—your company’s values.
In The Soft Edge: Where Great Companies Find Lasting Success, Karlgaard looks at how companies have thrived in business by creating innovative cultures and balancing what he calls the “Triangle of Long-Term Company Success”, composed of three elements:
- The Strategic Base - Market, Customers, Competitors, Substitutes, Disrupters
- The Hard Edge - Operations, Speed, Cost, Supply Chain, Logistics, Capital Efficiency
- The Soft Edge - Trust, Smarts, Teamwork, Taste, Story
It is this last element that sheds light on a business area often ignored and undervalued. Karlgaard examines a variety of enduring companies and finds that they have one thing in common; all have leveraged their deepest values alongside strategy and execution. “To create healthy companies, we must focus on nurturing our cultures” says Karlgaard. “Healthy cultures overcome hardships. Healthy cultures innovate. Healthy cultures will survive”.
© Copyright 2015 Warren A. Sidosky, CMA. All rights reserved. Any duplication or unauthorized use is prohibited by copyright law.