Tuesday, February 1, 2011

Book Review - Rework

Rework
by Jason Fried & David Heinemeier Hansson

Rework is a business book that every manager and entrepreneur should read.  It written merely as a collection of thoughts on a variety of topics such as productivity to branding and the result is a book that shows you how to build, run and grow a business.

The wealth of knowledge this book contains should cost a fortune to learn.  I have never read a single business book in all my years that had more take away value than this particular book.  It is that valuable and there is undoubtedly something for everyone.

Trying to summarize the book in a few paragraphs but give you some take away value at the same time is almost impossible so because of that I have assembled a quick summary (these are notes and highlights that I took while reading various chapters that struck me as valuable).

Key points highlighted and summarized:


Learning from mistakes is overrated - when something fails, yes you learn what not to do again but what do you really learn to do?  Instead, success shows you what actually does work, something repeatable that you can do again.


Be careful of longterm plans as they are merely guesses - it is okay to wing it and decide what you are going to do now as opposed to getting stuck making choices just because that is the plan you set for yourself.  Long term plans stifle improvisation.  They are important but when making choices, you usually have the best info at the time you are doing something, not when you are planning to do something.


Be mindful of workaholism - working for work's sake.  Working more hours doesn't mean you care more or get more done, it just means you work more. Workaholics cause problems because they like working hours as a badge of honor but they also tend to not get work done efficiently as a result. They claim to be perfectionists but this is a result of focusing on inconsequential details.  They make others feel bad for working less hours even if those other people just find ways to get their work done faster. 


Scratch your own itch - the easier way to make a great product or service is to create something you need. When you solve your own problems you know exactly what the right answer is as opposed to the uncertainty associated with fixating on someone else's problem and trying to fill a need that may not even exist.


If you have a big idea make it and act on it. Try to sell it and don't sit around on it.  The faster you move through ideas the closer you are to finding the one that really is great. 


Draw a line in the sand - stand for something. Have a point of view and know what you're willing to fight for. When you know exactly what you believe in, the choice is clear for customers. They will love or hate you but there will be no in-between.


You need less than you think - there is nothing wrong with being frugal and committing less people, money or resources to work.  If you stop to think about each decision like this you can probably get by with a lot less.


Embrace constraints - working with less forces you to be creative and get by with what you've got. Constraints force creativity and problem solving.


Start at the epicenter - the key thing that drives your business. To find the epicenter ask yourself, "If I took this away would the product still exist?" All the other stuff you do depends on the foundation.


Commit to making decisions. Decide and move forward.  Don't wait for the perfect solution.


Be a curator - decide what stays and what goes and eliminate until you are down to the bare essentials. Constantly look for things to remove, simplify and streamline.


Throw less at the problem - cutback and trim the fat. Improve upon what is left.


Focus on what won't change - the core of your business should be this and not the next new sexy thing. Permanent stays while fashion fades. Invest in that.


Meetings can be toxic - if you must meet have a clear agenda, set a timer and begin with a specific problem. Meet at site of problem instead of conference room and point to real things with real examples End with a solution and appoint a person responsible for implementation.


Long to do lists don't get done. Prioritize visually and break things down into small and motivationally manageable tasks.


Learn to say no first. Get your priorities straight and say yes and no accordingly.  There is more regret at saying yes than no.  Keep things right for you and your product.


Let your customers outgrow you. Just because some of your customers have to change doesn't mean you have to compromise your business. Changing your business just to satisfy one or two customers can make you too tailored to them and not a good fit for anyone else. Then when that big customer leaves you, your stuck.


Don't act on great new ideas on impulse. Let them cool and come back to them in a few days and evaluate their importance with a calm mind.


Make great products not ones that just seem great. Buyer remorse occurs when something seems better at the store than it actually is once you get it home.  That doesn't create longterm relationships. Great at home products get talked about.


Build an audience. Audiences give you a platform to share value driven information.  They listen when you need them too. Quit trying to reach everyone.


Out teach your competition. Tips, case studies and tools that educate them are key.


Be like chefs. All great chefs have cookbooks that show all their trade secrets, recipes and tips. Show people how you do things. No one is going to steal your recipes and beat you at your own game.


Go behind the scenes of your business. People love seeing how things work. They want to see how things are built. They will grow a deeper level of appreciation for what you do.


Be genuine.  Imperfections show the soul and art of your work.


Press releases are like spam. Instead of shooting out generic messages to everyone, make it personal to the person you want to reach.  Call, write a note, make it real.


Overnight success is a myth. It takes years of grinding through the work to get noticed. Slowly build an audience instead and get people interested in what you have to say.


Company culture is a byproduct of consistent behavior. You can't force it, you just create it overtime by encouraging particular types of behavior.


Great environments show respect for the people who work and how they work.  Give people the tools, trust and responsibility and they'll wow you.


When you treat people like children you get children's work. When people have to ask permission for everything you create a culture of non thinkers and a no trust environment. Policing costs time and money and kills trust.


Make people work smarter not for longer.  If you want something done, ask the busiest person. Send people home at five. Your goal shouldn't be more hours but better hours.


Don't scar the first cut. Policies born to correct rare mistakes just create complex and inefficient bureaucracies. Only create new procedures, rules and policies to attack common situations that often reoccur.


Write conversationally in business. Read it out loud and ask yourself if you were saying this verbally would it sound normal?


Inspiration is perishable. If you are inspired to do something today or ready tackle a new idea then do it because the drive, inspiration and motivation might not come again. 

Tuesday, January 25, 2011

Arrested Development: When Great Ideas Go Unnoticed

Arrested Development was a television sitcom created by Mitchell Hurwitz that aired on FOX between 2003 and 2006. In 2006, the FOX Broadcasting Company cancelled the show much the chagrin of their fan base. Despite the show's raving reviews (listed in 2007 as one of Time magazines "100 Best TV Shows of All-TIME") and multiple awards (six Emmy's & one Golden Globe), "the story about a wealthy family who lost everything, and the one son who had no choice but to keep them all together" never obtained the viewership and ratings it needed to be a hit.

There are a number of theories as to why the show never took off, some of which include blaming FOX for constantly shuffling their time slot and not marketing the show well enough. While there may be some truth to those claims, the simple fact is that FOX did a poor job of bringing Arrested Development to their true raving fans, the ones that would spread the message and genius of the show far and wide.

Arrested Development was an intelligent comedy that had themes well beyond just the dysfunctional family dynamic. To succeed the show needed to find intelligent people. But the people who actually connected with the intelligent humor of the show were watching less TV than the average American. This created a dilemma that the show wasn't able to overcome (at least not back in 2006). Great ideas fail everyday for this exact same reason. When you are trying to win over an audience that is in a completely different arena from the one your game is being played, you are doomed to fail.

What FOX should have done was bring the show to its true fans and not wait for people to start noticing. The fans the show needed did in fact consume media (TV and the Internet) they just weren't consuming FOX. Their potential fans were however taking in plenty of the The Daily Show, but unlike Arrested Development, they were able to watch The Daily Show reruns straight from their computers on comedycentral.com.

It's not fair to completely blame FOX though for the shows failings when much is due to just poor and unlucky timing. Take for instance the fact that the show is about a rich and corrupt family's fall from the prominence of corporate America. A story of corruption like this works much better with today's business climate of bank bailouts, lavish CEO compensation and billion dollar Ponzi schemes.

The show would also do better in today's world because of the increased use of the Internet. Hulu, Netflix, OnDemand services and network websites, make it much easier now for a show to be accessed by their true raving fans. On top of that, by adding social media sites such as Facebook and Twitter to the picture, you then give them a platform to communicate with you, spread the word and quite literally "become a fan" of Arrested Development. Simply stated, the Internet has become the ultimate platform for great ideas to spread.

The cancellation of Arrested Development teaches us that while timing is an important factor in the success or failure of an idea, you still have to find your true fans in order for your great idea to spread. However, if your fans are somewhere you are not, then stop and go to them.

Friday, January 21, 2011

Book Review - The 22 Immutable Laws of Branding: How to Build a Product or Service into a World-Class Brand

The 22 Immutable Laws of Branding: How to Build a Product or Service into a World-Class Brand
by Al Ries and Laura Ries

I recently stumbled upon this book written almost ten years ago and after finishing it, I was amazed at how well these "22 laws" still hold true for modern day business. The common sense approach that this book takes to branding speaks more to the overall strategy and mission of a company as to the just the marketing side of things. Where as many people might identify branding as just some element of business that marketing controls, no bigger per say than manufacturing is to operations, The 22 Immutable Laws of Branding shows us that the strength of your brand will ultimately be the single most important element in the success of your business. Whether you are starting a new business or looking to improve upon an existing one, these 22 laws are a guide and resource to successfully (or unsuccessfully) building a company.

The 22 laws are as follows (this list would make for a great print out and should be hanging on your wall):
1. The Law of Expansion - The power of a brand is inversely proportional to its scope.
2. The Law of Contraction - A brand becomes stronger when you narrow its focus.
3. The Law of Publicity - The birth of a brand is achieved with publicity, not advertising.
4. The Law of Advertising - Once born, a brand needs advertising to stay healthy.
5. The Law of the Word - A brand should strive to own a word in the mind of the customer.
6. The Law of Credentials - The crucial ingredient in the success of any brand is its claim to authenticity.
7. The Law of Quality - Quality is important, but brands are not built by quality alone.
8. The Law of the Category - A leading brand should promote the category, not the brand.
9. The Law of the Name - In the long run a brand is nothing more than a name.
10. The Law of Extensions - The easiest way to destroy a brand is to put its name on everything.
11. The Law of Fellowship - In order to build the category, a brand should welcome other brands.
12. The Law of the Generic - One of the fastest routes to failure is giving a brand a generic name.
13. The Law of the Company - Brands are brands. Companies are companies. There is a difference.
14. The Law of Subbrands - What branding builds, subbranding can destroy.
15. The Law of Siblings - There is a time and a place to launch a second brand.
16. The Law of Shape - A brand's logotype should be designed to fit the eyes.  Both eyes.
17. The Law of Color - A brand should use a color that is the opposite of its major competitor's.
18. The Law of Borders - There are no barriers to global branding. A brand should know no borders.
19. The Law of Consistency - A brand is not built overnight. Success is measured in decades, no years.
20. The Law of Change - Brands can be changed, but only infrequently and only very carefully.
21. The Law of Mortality - No brand will live forever. Euthanasia is often the best solutions.
22. The Law of Singularity - The most important aspect of a brand is its single-mindedness.

These 22 laws are the stuff that great companies are made of. Want to know how strong your own company's brand is? Get this book and go through each chapter one by one and point out how well your brand follows each law. It might even open your eyes to strategy faults in your own organization but it will also give you a clear understanding of the bigger picture of public perception.

A brand is everything. It is who you are. And knowing who you are, what you stand for and how you can make that extremely clear and known to the rest of the world is critical to building a powerful brand.