I asked Ken to write about this topic this week mostly because it is so relevant to my business currently but also because while at dinner the other night with a few of my industry friends we were talking about companies that were able to maintain their business through the tough economy. The companies that did this were ones that noticed the change early on and quickly made adjustments. I believe we all sometimes have the tendency to focus on the big picture so much that we can be stubborn when what once worked suddenly doesn’t. The best thing we can do is truly evaluate the situation, step back, make a game plan and then continue to make little changes…just like Ken says below. There is no quick fix for anything these days so evolving is the only way to guarentee growth…that’s what I have to say about it! -Julia

Evolve or Become Irrelevant

Julia asked me to write about the importance of evolving in business. I speak from experience when I tell you that in business, if you want to stay relevant you must evolve.

Shortly after I began my tenure as President at my last company, I found myself in quite a predicament. When I started, I spent the first week gathering information. 9 out of our top 10 accounts had given us a decrease for the year. We had been tossed out of all but one of the “majors”, and we had close to 300,000 pairs of obsolete inventory; some product celebrating their 6th birthday. I did not realize how bad things were when I was interviewing for the position but was painfully aware the week after I started. About a month later, I was attending a shoe show in the NJ area when a customer came up and asked to speak to me. I will never forget what he said; ” __________ has become increasingly un-important to the customer to the point of irrelevance”. Talk about taking one right between the eyes! I let what this customer said sink in for a moment, and honestly did not have an intelligent response. All I could do was to agree with him.

The company I had worked for rested on it’s laurels and refused to evolve. The unfortunate consequence of this was a profit and loss statement that made Chrysler look enviable.

I do want to caution against evolving due to a passing trend. A few years ago, people asked me “is your company green”? Last year, I was asked “Is Twig going to lower it’s prices due to the recession”? The # 1 question I get of late is “do you accept credit cards”? The answer to these questions are: No. Hell no! Hell yes! Evolution is about adapting, not compromising. 

The airlines have done a great job in evolving. Their business model over the last few years is a money loser. So, they replaced humans with kiosks, charged for baggage, eliminated meals, and invented fee’s. I would be willing to bet anyone a coffee and a donut that these fees are permanent. This is what the airlines have had to evolve into to stem the tide of financial loss.

Evolution in business is a lot like flying a plane. You know where you want to go but being the pilot, you are forced to make a series of small adjustments. Every good business constantly evaluates and then evolves. If I owned a shoe store, I would force myself to evolve each season. Lets say I start a season with 15 brands. At the end of the season, I would take the brands who had the weakest performance and replace them with new vendors. It really toasts my bread when a retailer says “I’m not adding any new brands”. How does a retailer evolve then? How do they improve?

Test fast, fail fast, correct fast, evolve fast. This is how you survive. 

Ken Proctor
Front Man
Twig Footwear, LLC
Ken@twigfootwear.com
www.twigfootwear.com
832-748-1865