"Know-How" distinguishes effective leaders who achieve outcomes from those who fall short. It encompasses eight distinct yet interconnected skills that significantly enhance the capacity to produce tangible results. "Know-how" pertains to the essential actions and qualities required for steering a business through what is emerging as an exceptionally tough business climate. In an era where change is a constant, with unprecedented scale, pace, and intensity, it's crucial to have leaders who are adept in their roles. This insight is emphasized by Ram Charan, highlighting the necessity for competent leadership in times of extraordinary change.
Positioning is essential for business leaders to ensure their companies remain profitable. It involves aligning the business with profitable market segments and requires constant reevaluation and adjustment. Correct positioning is indicated by customer appreciation and profitable sales. If customers are confused or hesitant, the positioning may need revision. The newspaper industry exemplifies the need for adaptive positioning. Traditionally, newspapers relied on advertisements and paid content for revenue. The rise of the internet and search engines shifted advertising to digital platforms, necessitating newspapers to reposition by finding new revenue streams, anticipating cost structures, and innovating to stay profitable. They now face the challenge of catering to segmented markets and delivering news through modern devices like iPods. Positioning is an ongoing process, not a one-time event. Competitors may adopt different positions, and any change by one can affect the others. To identify when to adjust positioning, leaders should watch for new market niches, unconventional competitors, significant changes by major competitors, emerging technologies altering consumption, customer shifts away from current offerings, new market entrants, loss of market share, new business models, profit margin pressures, decreased operational cash flows, and drops in customer satisfaction. Leaders must analyze the market to identify profitable areas and have the willingness to face reality and act promptly. Recognizing the need for change can be challenging, but staying informed and responsive is crucial for successful positioning.
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