Here’s my #thoughtfortheday. Waking very early (insomnia, or an active brain, I’m never quite sure) I dimmed the ipad light and started looking for new books about #value and #success. You won’t be surprised to hear that there are definitely hundreds, and probably thousands. Even when I search for only those rated 4.5 stars and above (on Kindle), there are loads. Given that you’re not in a position to read as many business books as me ((big assumption, but it’s kind-of my job), let me tell you what I found.
Whilst the majority of authors are advocating some lifestyle changes, clever ways to generate ideas, and learning techniques for standing out, much of their work seems pretty complicated. Probably more importantly, each of the “best-rated” books seems to have at least one “golden nugget”; an idea that made me concentrate and really take notice. But there isn’t one place that curates all this brilliant knowledge, and maybe that’s a book for me to write.
But here’s what really stuck in my mind. Many of the books are of the “buy at the airport”, self-help variety. They focus on making you the best in the world. Maybe that’s what sells books, but I’m not much interested. Meritology’s approach is more earthy and gritty – we’re interested in how people #standout in their context, alongside their peers and against their competitors. And it’s all relative. Everything in life is relative, because we all look at things from different perspectives. Perspectives depend on background, experience, intentions and objectives.
In the world of being #standout, your #value and #success is measured against what’s around you. For example, if you’re a star in a team of average players then you’ll #standout. If you’re brilliant in an industry sector that doesn’t attract the best talent, your clients will love you (some personal experience coming out there). And if you’re the best on a given day, and at a significant time, then you’ll get the gig or the deal.
So don’t obsess about being the best. Focus on being the best you can be. If life is an athletics race, remember you only have to be a vest-breadth ahead of the other runners. It’s not always about breaking a world record.
Ok, so I like maths. But I hate algebra. When I was eleven it gave me a mental block, and I needed some additional coaching. It’s a positive story, because I went on to win the school maths prize at thirteen. Yet even now algebra leaves me cold – but strangely I have an odd fascination with equations…
When I was creating Meritology, that fascination had me looking for an equation to calculate value. By “value,”, I mean the specific value people and companies add to their customers, colleagues and communities. Bigger brains than mine have created some brilliant ways to define value. For example, Henley Business School’s own Andrew Kakabadse (Twitter: @Kakabadse) has developed an evidence-based way of defining whether a senior executive is a “value-delivery” leader. His worldwide research, of almost 15,000 boards and top teams, produces a defined success formula. This shows that a senior executive’s value is driven by:
- how much employees are engaged, and
- to what extent the organisation is aligned
with the strategy that executive creates for the business. I’ll leave Andrew to explain the formula in more detail, and my take is simple – it means that senior directors can create the best business strategy around, but it will fail if there is poor engagement and alignment. By implication, even a reasonable strategy will produce great results, if there is near-perfect engagement and alignment. To prove the point, think of successes like Apple and Amazon, and failures like Phones4U (where suppliers and and stakeholders were very apparently not aligned with strategy).
But is there a more universal equation that can be used to calculate value? Can we develop something simple and straightforward that we can apply to all situations? Research and experience tells me there is definitely a method. And so we have developed a new methodology to define, describe and discuss personal and organisational value. It recognises that calculating value is a science and an art. It’s part equation, and part perception. There are hard factors and soft factors. We call it The MERIT Method, and the five factors are:
- Memory (how people remember you, and what drives their perceptions)
- Emotion (why they connect to you, and their reaction to what you say and do)
- Results (what you deliver, and the methods you use)
- Innovation (where you have increased your value, or solved individual and specific problems)
- Time (when value is recognised, and how that changes – including the “right time, right place” principle)
It’s a working framework, rather than a static model. And we know that every situation is different, making each factor more, or less, important. The fun comes from thinking about each factor, and what you should be doing to increase your today and tomorrow value – making you and your company #standout.
So that fascination with equations helped me create this new method. But I still hate algebra. Someone I know confesses that she has “a little place in my heart just for simultaneous equations”. Thank goodness for that. When my son is struggling with his algebra homework, I know who he’s asking for help!