Lack of Consensus Results in Stagnation
November 11th, 2009by Robert Middlestetter
Last week I attended a meeting of the Greater Dayton Advertising Association where I enjoyed an insightful address by Steve McKee, President of McKee Wallwork Cleveland. His topic was “Why Companies Stall.”
At a time when most companies find their growth plans stalled and revenues dropping it’s almost a comfort to know that you’re not alone. McKee reported that 18% of the Fortune 500 companies have stalled and his research suggested that 50% of all companies stall within the first decade of business. McKee also suggested there are three basic reasons why these companies stall and experience revenue decline.
First is of course the overall economy—something out of our direct control.
Second is market tectonics—major changes in an industry.
Third is lack of consensus—a failure to align with senior management’s vision and focus.
Of these three general reasons for stagnation the failure to achieve consensus is by far the leading reason why companies stall. Consensus does not mean committee management. Consensus means that management has a defined focus and the organization is in alignment and working within that focus.
I happen to agree with Steve McKee, that’s why we begin nearly every engagement with a senior management alignment before we address their marketing issues. A cluttered focus leads to inconclusive results which are basically a big waste of time and money. I would like to hear your thoughts and experiences on the topic of management consensus.
Tags: Greater Dayton Ad Association, management alignment, Marketing Strategy, Steve McKee