Why should you Think Simple?

It might surprise you to learn that the best businesses frequently employ nontraditional hiring practices. This is due to the fact that the tried-and-true CV-sifting procedure isn’t always effective. Consider the American ticket exchange and resale business StubHub. It had a fairly standard hiring procedure at first. After a screening round, recruiters would recommend the top three individuals to Jeff Fluhr, co-founder of StubHub. He would then pick his favorite from there.

Fluhr now holds that position to be entirely incorrect. He isn’t just looking for the ideal CV with all the appropriate experience. Instead, he seeks a candidate that exhibits innovation, curiosity, and a strong work ethic in addition to being a good “cultural fit.” These are traits that cannot be discovered just by searching through CVs. Because of this, businesspeople like Jeff Fluhr evaluate each new applicant as a full person using a more comprehensive strategy.

Kip Tindell favors an alternative approach to hiring. He doesn’t put all the focus on a strong CV, like Jeff Fluhr. In fact, he thinks that two essential qualities might not even be present in a CV. He appreciates these qualities more than more conventional ones like intelligence and technological prowess. They are judgment and integrity. The Container Store conducts numerous interviews with applicants in order to ensure that it hires the best people for the job. Candidates frequently have to go through seven or eight interviews!

The Container Store has a different approach to hiring by asking current employees for assistance. Instead of using a standard HR department, the business asks employees to keep an eye out for potential hiring. So, staff employees are encouraged to recommend The Container Store to any intelligent, motivated friends, fascinating people they encounter while out, or even distant relatives.

Getting the proper individuals involved is more important than how the process is carried out. We automatically grasp what a company’s “brand” entails. It represents our overall opinion of the business. This is influenced by the goods or services the business offers, its marketing initiatives, and the opinions of reliable sources about the business.

The most valuable asset a company can have is a great brand. It attracts new clients and turns them into brand aficionados. Everybody has their preferred brands, whether they are Apple, Nike, or Cartier. And what ties all of these top businesses together is how easily we “get” their brands. We are aware of their principles. The secret to successful simplicity is a strong, cohesive brand.

So, focusing on a clear, recognizable brand identity is crucial for success. No one understood this better than Steve Jobs. He firmly opposed tampering with or diluting Apple’s brand identity. For instance, Jobs laughed at the notion that Apple’s high-tech phone industry would stagnate in the absence of a low-cost alternative. He considered Apple to be a luxury brand that catered to consumers who valued beautiful, cutting-edge items over lower prices. He was unwilling to sell a cheap phone in order to compromise the brand.

The Czech company that makes carbonated drinks, Kofola, is another example of a strong, straightforward brand. Kofola, a former Communist rival to Coca-Cola and Pepsi, found it difficult to compete with major Western brands after the nation’s government was overthrown in 1989.

Kostas Samaras, the company’s new owner, however, made the decision to completely rebrand the Kofola beverage around the theme of nostalgia, specifically, nostalgia for the good old days, when Kofola was consumed with family behind the Iron Curtain. This straightforward, elegant rebranding brought the soft drink unexpected success.

Making ensuring that the brand is consistent everywhere the business is present is another aspect of keeping it identifiable. A good brand should therefore appear consistent throughout the world rather than adjusting to appeal to local tastes and inclinations.

Take the world-renowned automakers, for instance. No matter where you are, whether in Tokyo, Paris, or London, a Ferrari is the same high-end vehicle. This reasoning can be applied to a wide range of goods and services.

There is a common theme that unites all truly outstanding businesses. Each has an own brand that is straightforward, engaging, and as brilliant as a diamond. And from this simplicity comes universal acclaim, which in turn leads to rapid expansion.

Steve Jobs once referred to developing technology that people “can fall in love with.” He aimed to create a sentimental connection with Apple users. He was aware that he would have to prioritize simplicity in order to do this.

Since we prefer simplicity to complication, it stands to reason that simplicity can influence consumer brand loyalty. The business that provides simplicity and convenience will win supporters. Then, these fans will develop a strong loyalty to the brand. Just consider how devoted Apple consumers are, they’ll keep buying Apple laptops and find it very difficult to break the habit. Real love and affection for a firm can result from simplicity.

A company that has successfully garnered intense client attachment is Uber. It has immediately attracted a large following worldwide by offering a straightforward, practical substitute for taxis in more than three hundred locations. Naturally, successful businesses are followed by rivals claiming to provide less expensive, more effective options. But because Uber is so simple to use and because its drivers have generally had good experiences, most users continue to utilize it. Uber has fostered consumer loyalty.

Even companies that are unlikely to elicit “love” from their clients might strengthen their relationships with them. This includes businesses that offer rather unattractive services, such as banks and television providers.

Think about those TV providers. As implied by the name, DirecTV Latin America offers television programming in the region. CEO Bruce Churchill admits that his business isn’t likely to make people fall in love. Since many people don’t actually adore their cable company, Instead, he wants to increase the proportion of customers who “net promote” the business by doing so. “Net haters” are the reverse of them; they criticize the business. This CEO is staking more money on more likes than dislikes by offering straightforward, efficient service.

It’s challenging to “love” a bank, which is the situation that the Bank of Melbourne is in. However, according to chief executive Scott Turner, there are methods to develop close relationships with clients, such as by offering assistance to those just starting out in business because this fosters a certain level of emotional attachment. After all, a bank might direct you toward retirement happiness or saving for a home. Why then can’t a bank aspire to something more akin to, well, love?

You can sometimes just know. Whatever other people may say, you already know whether something will succeed or fail miserably. That is the intuition’s power. In the business world, where everything seems to be based on mathematics, you might assume it’s a poor idea to follow your sixth sense. But you’d be mistaken. From Steve Jobs to Rupert Murdoch, successful businessmen have frequently followed their instincts. Great business leaders frequently rely on intuition.

It’s crucial in business to follow your heart. For instance, Rupert Murdoch would not have obtained the NFL broadcasting rights for Fox Sports if he had heeded the advice of financial analysts. Fox had never before shown live sports at the time. For the rights, they had agreed to pay what was seen as a colossal sum of money: $1.6 billion for a four-year deal. Many in the financial and media sectors referred to Murdoch as crazy and warned him that he would never recover his investment. Murdoch, though, disregarded them and went with his instincts. Fox Sports’ NFL coverage has been a success, of course, and the rest is history. Today, the $1.6 billion seems like a bargain.

However, as a business leader, following your gut doesn’t entail dismissing objective data and facts. It simply implies having the ability to bridge the gaps in that data. Consider Jeff Fluhr, a co-founder of StubHub, who we’ve already met. Since starting his own business, he has worked on websites.

He can thoroughly analyze data and evaluate how users react to various marketing methods thanks to his website visitor statistics. But he consults his gut occasionally rather than depending solely on the stats. In fact, he uses his marketing methods to test out his theories before analyzing the data to determine how customers have reacted to his changes.

Solid financial research and metrics can be excellent tools for enhancing your comprehension if you don’t have a business sense like Steve Jobs. But in order to create business ideas that will change the world, you must rely on your gut instinct, or the deepest feeling you have about the viability of a new concept or item.

Your initial reaction to a radical new product idea may be more valuable than reams of financial study, and this is a crucial aspect of simplification. As Apple’s Ron Johnson puts it, “You have to rely on your instincts if you want to differentiate, or advance to the future.”

Simplicity is inherently preferred to complication by people. However, true simplicity necessitates effort. The management of a corporation can promote simplicity by using a practical, instinctive approach. No matter how disjointed its components may seem, a good brand aids in unifying and streamlining a firm. And last, simplicity can make customers adore and stick with a brand.

When you’re working on anything, simplify your life by avoiding the 24-hour news. Do you read the news as soon as you get up and become alarmed and depressed by the status of the world? Now stop! You can’t individually address all of the world’s issues, so concentrating on what you’re good at will make you far more useful to yourself and others.

Check out my related post: Why you should have simple habits for complex times as a leader?


Interesting reads:

https://www.goodreads.com/book/show/27036527-think-simple

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