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Saturday, 19 July 2008
 
 

Specialization is the Key to Profit Maximization

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Specialization is the Key to Profit Maximization

CEO's I speak with are constantly telling me how good their organization is at so many different things. I ask them directly: What is the one thing on which you completely smoke the competition to the point there is no competition? Sometimes I hear silence. Sometimes I hear bravado and hogwash. Most of the times I get nervous responses with multiple answers and none of the answers indicate a dominant market share, let alone eliminating the competition. In other words, most CEO's don't know what their strategic competence really is; therefore, they are not maximizing their specialist abilities, or their profits.
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