One Sprint

For most of the company’s history, United Telecom was primarily a local telephone company. In the 1980s, the company expanded into long distance, even renaming the entire company Sprint, around that long distance brand. The final piece came into place in the 1990s with Sprint’s big bet on PCS wireless. On October 13, 1998, before Sprint had even taken full control of PCS, Sprint president Ron LeMay announced the formation of a new “One-Sprint” organization to pull the pieces together into value-creating offers for customers.

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Book Glance: Value Proposition Design

Startups should constantly reference this book for its various tools invaluable throughout the Customer Development process. Established organizations should pull out Value Proposition Design anytime they are entering a new market or launching a new product or when they simply want to be reminded of why they are doing what they do. The Value Proposition Canvas can also be very helpful for any organization wrestling with nailing down a clear and compelling purpose statement.

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Sprint for the (Long) Distance

United Telecom had a well established business strategy. They were constantly monitoring the external environment (regulatory, competitive, technology, economy, customer needs, etc.) As the environment started to shift, the company first sought to influence the external environment to maintain a status quo that served them well. When it became apparent that change was inevitable, they began to seriously evaluate external opportunities and threats and internal strengths and weaknesses to determine a new strategy. They pursued a portfolio approach managing investments in various businesses. Some failed quickly and were eliminated. One rose to the top as the future of the company. Company resources were managed to maximize the benefits to all stakeholders. Existing businesses helped fund investment in new ventures and provided the operational and customer base foundation for the success of these startups.

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Planning Through the Pandemic – Part 5

anastasia-petrova-xu2WYJek5AI-unsplashOn Monday we began a week-long series on how to plan through this current pandemic. We identified four steps that every organization should be taking within the context of three planning horizons. Today we finish up the series by looking at the final step: Strategy Development.

Undoubtedly you’ve been asked “what’s your strategy” for getting through this crisis. You’ve probably had an answer, but maybe one that you weren’t even sure of yourself. Hopefully this week’s articles have provided a stronger foundation. But to answer that question, we first need to identify what a strategy even looks like. My definition is a bit unorthodox, but I like to think of a strategy as a framework that makes hard decisions easier.

Over the years, I’ve adapted some existing tools into what I call the Purpose Pyramid:
Planning Through the Pandemic (1)
The Situation Assessment that we talked about on Wednesday provides the Panorama within which we develop our strategy. That strategy starts with our Purpose – what we are trying to accomplish. Below the Purpose are three Pillars – what are the three things that absolutely need to be true for us to accomplish our Purpose. Under each Pillar are three Proofs – the three most important things we need to do for that Pillar to become true.

Normally I think of a strategy as a long term framework, but these aren’t normal times. Many organizations will experience more change between February and December of 2020 than they’ve experienced over the past five years. This is also a period of unprecedented uncertainty, so it is completely appropriate and worthwhile to develop a strategic framework for each of the four scenarios in each of the three planning periods.

For example, your Purpose for the “right now” may be “Survive this crisis, retaining the ability to serve our customers and love our employees.” The Pillars under that Purpose may be “Cut Operational Costs”, “Launch New Delivery Models”, and “Retain Key Employees”. The specific Proof actions taken under each Pillar may differ significantly under the different scenarios for the “right now.”

The Purpose Pyramid for the “new reality” would look more like a traditional long-term strategy. For example, for my business, the Purpose might be “Honor God by helping businesses develop sound strategies.” My three Pillars might be “Deliver Customized Advisory Services”, “Develop Tools To Accelerate Strategic Decision Making”, and “Tell Tales and Share Tools”. Again, the specific Proof points will likely differ significantly under different scenarios.

Proverbs 24:3-4 tell us that “By wisdom a house is built, and by understanding it is established; by knowledge the rooms are filled with all precious and pleasant riches.” Of course, the fear of the Lord is the beginning of true wisdom, but I hope that I’ve been able to provide a framework and some tools to help you as you seek the Lord’s guidance in building a business that will withstand this current storm and those storms that will undoubtedly come in the future. Let me know if there’s anything I can do to help you through this process.

Top Photo credit: unsplash-logoAnastasia Petrova

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