Dec 17

Fellow business blogger Dave Jung at B2Blog alerted me to this tell-tale tempest at American Airlines.

To summarize, blogger Dustin Curtis took American Airlines to task for a terrible website (cluttered front page, poor user interface, etc.). Remember, customer experiences take place at points of contact. Every interface, every encounter, online, in-store or in person, is critical. Curtis received a detailed, if anonymous, e-mail from an AA designer explaining why it is understandably difficult to get good design at large companies. The big issue, he explained, is the sheer number of interventions by competing interests within the company.

My own experience in a large company says this is not necessarily true. Successful design is predicated on a consistent brand message being presented with clarity and creativity. The size of the company and the need to accommodate a range of interests are not predictors of design excellence. But let’s put that aside for the moment.

Mr. X, as he dubbed himself, did say that there were updates on the way that would address some of the problems. So far, so good, though I question the need for anonymity.

In telling the story, Techdirt shows an unfortunate bias. Our intrepid reporter very much appreciated the response given by Mr. X. “It’s human. It explains the situation without PR/marketing speak that a recipient would know was bogus. It is the type of response that makes someone feel good about American Airlines (mostly). So, how did AA respond? It fired the guy.”

Let us begin by looking at the actual response given by the supposedly well-intentioned Mr. X:

“I like to think I’m decent at what I do, and I know the others I work with here are all pretty good. The problem with the design of AA.com, however, lies less in our competency (or lack thereof, as you pointed out in your post) and more with the culture and processes employed here at American Airlines.

“AA.com is a huge corporate undertaking with a lot of tentacles that reach into a lot of interests. It’s not small, by any means.

“Oh how I wish we were, though! Imagine the cool stuff we could do if we could operate more like 37signals and their Getting Real philosophy (http://gettingreal.37signals.com/)! We could turn on a dime. We could just say “no” to new feature requests. We could eliminate “stovepiped” positions. We could cut out a lot of the friction created when so many organizations interact with each other. We could even redesign the AA.com home page without having to slog through endless review and approval cycles with their requisite revisions and re-reviews.

“…doing the design isn’t the hard part, and I think that’s what a lot of outsiders don’t really get, probably because many of them actually do belong to small, just-get-it-done organizations. But those of us who work in enterprise-level situations realize the momentum even a simple redesign must overcome…. They know what it’s like.”

So, this is how I interpret what Mr. X said:

- I am a good designer. Any problems with the AA.com design are not my fault, nor the fault of my colleagues. The fault lies with my company which is large and unwieldy (“the group running AA.com consists of at least 200 people spread out amongst many different groups”) and the cumbersome process we are required to work with. Let’s face it: AA is not a “get-it-done” organization.

- Left to my own devices, I could make a really cool site. I could make changes I deem appropriate on a dime. I would not bother with review and approvals with all the revisions such reviews would likely engender. I would say no to new feature requests if they prove difficult to accommodate.

Am I being unfairly selective? Am I being a corporate apologist? Just read Mr. X’s e-mail and judge for yourself.

So, I see things differently from Techdirt:

- Mr. X is certainly human with a number of very human foibles…one of which is an inability to take responsibility. He and his colleagues are clearly unable to neatly marry up the different needs of a complex organization.

- His response does not show loyalty to his employer. He dissed his company publicly. And, in cowardly fashion, did it behind the cloak of anonymity. I wonder if he ever bothered to show Mr. Curtis’ e-mail to his superiors so as to allow the company to come up with an appropriate response. Forget for a moment the highly prejudicial comment about PR/Marketing Speak. The fact is that any company with its head screwed on straight, given a well-intentioned criticism, could easily respond without being bogus. (Whether or not American Airlines is a company with its head screwed on straight is another question and probably a very good one.)

- The response would NOT make someone feel good about American Airlines. On the contrary, it says: if you think the website sucks, you should see what it’s like working here!

Would I have fired Mr. X? No. At least not unless this was one of a series of offenses. But I certainly would have had a chat with him about the appropriate way to approach outside criticism of the company.

This is a case of dumb and dumber. It is not completely obvious which is which.

Aug 18

Early in my career, I was sent on a problem-solving course offered by Kepner-Tregoe. Best I can tell, Kepner-Tregoe has been around for near ever, and deservedly so. Through consulting and training, it helps clients implement strategies by improving their problem-solving, decision-making, project execution and issue-resolution skills and processes.

My take-aways from the two-day course included a good understanding of root causes and a terrific mug that graced my desk for the next thirty odd years. Over the three decades, I sipped at least 20,000 cups of coffee from my KT mug, protected it zealously from grasping hands, and washed it at least… oh… a dozen times.

The KT approach to problem-solving involves five logical steps that sound just like the Scientific Method you learned in high school; despite this – or because of this – it has been incorporated into Six Sigma, Lean Manufacturing and ITIL (the Information Technology Infrastructure Library). It is, in my opinion, both too simplistic and too complex a methodology. So, despite the whole build-up, the truth is I seldom, in fact, used KT for my own problem-solving. I’ve always found that nothing is that simple and, when you get down to it, seldom is any problem so complex.

So, what was my approach to solving seemingly intractable problems?

Step 1:

When faced with the most confounding problems, I have learned that you’ve got to go deep – yes, to the root – to find the cause. In that, KT and I are aligned. The first step - before you start digging - is to clear away all of the rubble. You’ve got to be honest with yourself and with your colleagues. You’ve got to put aside not only paradigms and prejudices, but also personal pets (people, products and projects). Otherwise, you will reject the obvious. Believe me, when you look back on a tough problem that has been solved, the cause will inevitably, in retrospect, have turned out to be obvious. (Note: In retrospect, everything is inevitable.)

Step 2:

For this, I refer to Murphy’s Law. Actually, two laws from Murphy’s Law, Book Three. Here they are:

Hoare’s Law of Large Problems: Inside every large problem is a small problem struggling to get out.

The Schainker Converse to Hoare’s Law of Large Problems: Inside every small problem is a larger problem struggling to get out.

To illustrate these seemingly paradoxical laws, I will, with apologies, use General Motors. Certainly enough ink has been and will continue to be spilled on this colossal corporate quagmire and commentary has and will continue to come from many closer to the scene than I. But I am a ‘car guy’ and can hardly help myself.

GM presents a very large problem indeed. The problem (if it makes sense to consider it a single problem) seems to be insurmountable. But, if you dig a little, you would find that the crux of GM’s problem has been, fundamentally and for some time, poor design. This is a very specific issue buried under an avalanche of crises. (Hoare’s Law) The poor design reflects a misunderstanding of the market caused by management arrogance as much as anything else. Management arrogance is a very large problem that is easily glossed over because arrogance, by its nature, is amorphous, subtle and self-propagating. The problem of design in this case (and, frankly, in many others) is really a symptom of the disease of arrogance. (Schainker Converse)

It all started back in the Alfred Sloan era. Sloan led GM from 1923 to 1946. He was a management and marketing genius. Credit Sloan for inventing brand families, annual model changes, planned obsolescence, and the market for used cars.

Sloan gave each car division its own price and style categories. Decades later, demographics changed, as did market dynamics. But the old divisions remained, along with too many old ideas. As Buick’s prime customer aged, however, so did the brand message. And so did the car’s technology. Pontiac’s demographic didn’t age; it simply disappeared. Badge engineering not only removed Saab from its demographic, but made it impossible to figure out what that demographic was. Also impossible to figure out was Saturn’s value proposition, which changed as the Division tried to go mainstream. Meanwhile, in a market becoming increasingly compact, GM could never figure out how to make a small car. Or, more precisely, couldn’t really see the point of putting a lot of value into such a small margin vehicle. Think Xerox and Canon.

The fact is that better design would go a long way to saving GM. The Enclave SUV saved Buick from extinction and the new La Crosse (Allure in Canada) will safeguard its survival. The CTS brought Cadillac back from the brink, but the STS and DTS are so long in the tooth that even the ancients won’t bite. Chevrolet has a little bit of everything, though not enough of anything really special. Malibu, like all the GM cars built on the Epsilon platform, is pretty good. The Camaro is competitive, though no major threat to Mustang in the pony car wars. The Volt, however, could be a game changer.

Bringing Bob Lutz out of retirement was a terrific move – even if Lutz is a Neanderthal. It was a great move because Lutz is very good at what he does. He saw that the various divisions had a lot of similarity but little synergy. He fixed the product development process. His appointment also showed that senior management recognized a very specific issue midst the clutter and was willing to sacrifice the comfort and challenge the slow pace that was the status quo.

Which brings us to Step 3.

Step 3:

Fix the problem fast and, if possible, fix it once and for all.

Epilogue: On April 1, 2009, Lutz stepped down on from his position as Vice-Chairman of Global Product Development and will retire from GM at the end of 2009. Lutz said that one reason for his decision was the regulatory climate in Washington that would force him to design what the feds want rather than what customers want.

Postscript: Lutz is back, this time in a marketing role. This makes no sense. Lutz is a design guy. His way of being and his way of talking make him far from an ideal marketing guy. Oh well.

Note: The 1960 Corvette pictured above is a classic example of good design.

Mar 20

A former boss of mine once opined that a point of view is worth 50 points of IQ. If you have a vision, stick to it. Build your enterprise around it. History shows that consistency and good execution of an imperfect strategy will usually win out over an excellent strategy badly executed. Of course, this was the same boss who, in referring to one of his less favorite colleagues famously said, “He has one opinion, and it is wrong”.

Saturn, a different kind of car company that never quite figured out how to make a go of being different and, as a result, made little difference to the fortunes of its parent GM, is now on the verge of extinction. It is ironic that the more Saturn made cars people actually wanted, i.e., the more mainstream it became, the less relevant and more redundant it became. In other words, it is good to have a point of view, but make sure the view has a point in the first place.

Starbucks had a strongly-held point of view about coffee and people and how the two could come together. And that was enough – along, of course, with impeccable execution – to make the company an institution and an icon. Over-expansion which led to under-execution, along with competition from the lower brow and lesser brews of McDonald’s brought Starbucks profits to a coffee grinding halt. Vivanno smoothies, breakfast foods and other unimaginative fixes proved to be little more than froth. So now, two years later, Starbucks comes out with its newest game changer: VIA Ready Brew instant coffee.

According to the company’s spinners and weavers, Ready Brew is a breakthrough in “soluble” coffee:

Ready Brew is different – it’s full-bodied and flavorful, just like the Starbucks coffee you know and love…The magic is in a proprietary, all-natural process that we spent years perfecting. We microgrind the coffee in a way that preserves all of their essential oils and flavor. No other coffee company takes this step, and it makes all the difference.”

The wording is reminiscent of an old ad for Tab, a vile diet drink introduced in 1963. “How could just one calorie taste so good?” the jingle asked teasingly. “Because the Coca Cola Company kept the flavor in Tab.”

Ready Brew takes direct aim at the $17 billion instant coffee market. Starbucks hopes to satisfy analysts without resorting to franchising and other brand-sensitive restructuring initiatives. But you’ve got to wonder: will the Nescafe crowd spend more for a Starbucks brew and could a frapuccino freak fall for an instant coffee? Will the brand be damaged by its implausible dip in the soluble pond? My guesses are no, no and yes. Time will tell.

So what about those 50 points of IQ? Starbucks shows what happens when your view gets fuzzy and Saturn when there is no substantive and sustainable view in the first place.

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