In the service sector, it can be difficult to bring about change when so many players are involved. How do you know if your habits are costing you if you’re getting on just fine with your current processes?
Disruption
In social psychology, the fundamental attribution error is a logical fallacy where we tend to attribute the behaviour of a person to their internal characteristics, rather than the situation or context that may have influenced the behaviour.
In business, it’s easy to think that if your organization is producing healthy profits that it is disruption-proof. But failing to consider favourable economic conditions or high market demand for your services leaves you wide open to risk. Those exact conditions are the ones that have made companies like Uber so successful .
When we get too comfortable, we fail to recognize opportunities and threats based on true user needs.
Missed Opportunities
Don't allow opportunities to pass you by just because times are good.
In 2000, Blockbuster refused to buy Netflix for $50 million dollars. Netflix is now worth $33 billion. Blockbuster is now a distant memory.
It’s critical for every organization to have the infrastructure in place to constantly be on the lookout for new opportunities, and being purposeful with your innovation agenda - even during the good times. When the bad times come, you’ll wish you had started a year ago – the results are not immediate.
Stagnation
Our old habits can blind us to new possibilities. When we’re looking at problems with an old or familiar perspective, we fail to recognize where opportunities lie, and we stagnate. This stagnation doesn’t just impact public perception of you – it also affects employee morale.
When a more innovative, or interesting offering comes along, talent will usually go to where they feel there is greater opportunity for them. As the pendulum swings from recruiter-centric to candidate-centric, it will become increasingly important for organizations to prove that they are desirable places to work, and that they offer unique opportunities to their employees.
How to avoid this?
Foster a culture of creativity and innovation. Allow your employees to make suggestions to front-end or back-end processes based on their unique perspectives and insights.
Have systems in place that allow you to store, sort, and make meaning of those insights. Form an innovation team, where enthusiasts can meet to tackle problems regularly and mentor peers.
Most importantly, know your 'why' and how it aligns with your strategic direction. Your higher purpose should be reflected in all of your service propositions and ensuing business models. The best brands are built on a platform.
These activities will not only make you unique, but it will also position you for future success in an uncertain world. Your staff will appreciate having input, meaning that implementation of any innovations will be owned by everyone, and success will become important to them.
Never stop thinking about how things could be done better – there is always room for improvement. By challenging yourself, you’re keeping fit in a highly competitive world, and positioning yourself and your team for future satisfaction and prosperity.