Advice for CEOs

When we ask ourselves who within an organization has authority in a certain area of the company’s operations, we tend to automatically want to check the organization chart. That’s not a bad thing. Organizations all rely to some extent on the concepts of hierarchy, authority, accountability and decision rights. Organization charts help to communicate responsibilities and accountabilities for business activities and functions.

In my last article, I explained how the issue of “channel conflict” has evolved into the goal of “channel integration” as retailers scramble to serve customers consistently across stores, online sites and mobile devices. I said that retailers must embrace fundamental changes in consumer behavior or risk obsolescence. I would like to conclude this series of articles by outlining a framework for “pure play” ecommerce companies to create defensible strategies for growth.

In my last article, I discussed several emerging online business models that are disrupting the traditional supply chain. These models point to a world in which the consumer is in charge and the entire supply chain must adapt to this new reality. In this article, I’ll tackle the topic of channel integration and the critical importance of providing a consistent customer experience across all touch points.

Most public companies engage in a formal strategic planning exercise at least every three years. Private companies often skip strategy development, considering it to be theoretical, even bureaucratic. Private companies tend to move quickly past formal strategy setting to take on “GOT” (Goals, Objectives and Tactics). They take this shortcut due to time constraints and because, in most companies, the CEO serves in effect as part-time chief strategy officer.