As I write this, I am just returning from the optometrist. Each year I get my eyes checked during the first week of January — you know, start the New Year by making sure I am seeing clearly. And I have found that you often don’t realize how much your eyes have changed until you have the chance to look through a new lens. If you are a leader, the start of a new year is also a great time to check your vision . . . related to your organization. Are you seeing things clearly, or would a different lens give you an entirely different view? Consider the next few weeks of this blog your leadership “vision test” to help determine how clearly you are seeing the potential for your organization to increase its impact.
The first assessment in your vision test is for you to answer the question of “What business are we in?” That might seem like a silly question, but how you answer it can create a filter that either lets new ideas pass through, or screens them out like UV rays bouncing off a pair of sunglasses. For example, if you are in the train business, there is a tendency to screen out (often without consciously recognizing it) information that does not relate to trains. You will see opportunities and threats to the way you do business coming from other train companies, and those variables that impact rail transit. If, on the other hand, you see yourself as being in the transportation business . . . well, let’s just say the view is a little different.
According to Constantinos Markides, there are three different approaches to answering the question of “What business are we in.” You can define your business according to 1) the product or service you are selling; 2) the customer function you are trying to fulfill, or 3) your portfolio of core competencies. No one approach is right or wrong, but each is likely to impact what you see as opportunities going forward.
A “movie company” is going to work to perfect the craft of making movies. An entertainment and information company (as Disney defines itself) is going to consider a wider range of business opportunities . . . for example theme parks. One may go deep, the other wide. Think of it as near-sighted or far-sighted — you need a different lens depending on which is the best fit for your organization.
What business are you in? Would all the members of your leadership team come up with the same answer? If you are not sure, perhaps you need to test out several lenses — or as my optometrist would say, “Which is clearer . . . 1 or 2 . . . 3 or 4? The answer to that question is the first step in viewing the New Year with new eyes.