Question the Status Quo

Just recently, I finished reading ‘Different Thinking: Creative strategies for developing the innovative business’ by Anja Foerster & Peter Kreuz, two European-based management thinkers. I would like to share with our readers a few insights from this illuminating book.

“At dusk on Friday, 13 December 1907 the sailing ship Thomas W Lawson sank off the Scilly Isles in the English Channel…” goes the opening line of The Attacker`s Advantage by Richard N. Foster. What happened? The owners of the colossal seven-masted schooner wanted to make a splash in the commercial shipping in a bid to eclipse the steamers which were becoming popular fast. But, it never worked out. According to Foster, “The age of commercial sailing vessels ended with the Thomas Lawson, and from that moment on, the steamers ruled the seas.”

Obviously, the owners of Thomas W Lawson did not bother to question the status quo and were completely blind to all signs of technological progress. And the cost of failure was enormous. We can`t change history, but we can learn from it. What is sad is that even today there are managers who cling tenaciously to obsolete products, processes and attitudes. Seemingly, it`s no myth that the spirit of Thomas W Lawson still sails the waters of our business world.

The majority of managers tend to like the familiar, the known or the tried and tested. Similarly, they more or less resist change. This is why it is so difficult for them to deviate from the established practices. Change may be profitable, but there is inherent risk whenever you go for it. Change and risk, however, is an essential component of growth. So, questioning and where necessary, challenging the status quo is critical to business success.

Let`s take another example. In 1977, Zundapp, the Bavarian motorcycle manufacturer had a workforce of 1900 and produced 115000 mopeds. Sans the fascination of a BMW or a Harly Davidson though, the Zundapp mopeds were still popular because they were both robust and inexpensive. But, the Zundapp management failed to recognize the changes taking place in the environment around them. For example, insurance premiums shot up and legislation was passed making it mandatory for moped riders to take a driving test which saw the moped sales taking a nosedive. Consequently, in 1984, they were forced into liquidation.

Digital Equipment, the American computer manufacturer too fell prey to the Thomas Lawson Syndrome. So blind had they been to the developments taking place in the competitive landscape that they were caught completely off-guard by the development of the personal computer. 

However, it is not that easy to change the conventional mindset of the believers and the defenders of the status quo. This`s why Guy Kawsaki, a marketing expert says: “The defenders of the status quo will doubtlessly tell you that it is not possible or necessary to implement your idea. After all, they are the people who established the status quo, and now they are under attack from you! And so if you want to bring about a revolution, you must steadfastly ignore these arguments.”

So, while giving due consideration to the risk, uncertainty, incomprehension and confusion inherently associated with change, in this fast-moving moving world, you always have to be ready to change your strategic direction without waiting for confirmed insights.