IRIS Blogs

Very few people would argue that 2009 was a very tough year for most businesses. As we embark on making 2010 a much better year, perhaps we should look back on 2009 as a ’learning experience‘ and what we all need to do to adapt and survive.

We’ve always had changeable economic climates. Even ancient Egypt had ’seven fat years and seven thin years‘, so upturns and downturns in the economy, despite what the politicians like to tell us (‘no more boom and bust!’), should be expected from time to time and should not be a huge surprise. We should plan for these Darwinian experiences.

My first big downturn was in the early ‘90’s. So what have I learned so far during this recession?

• Economic downturns are like a change of climate: When the weather changes as it has in the UK “ ice age” we’ve experienced this past month, you adapt (e.g. clothing, demeanor, diet). Economic change is no different. You have to adapt fast, because what worked during the good times will almost definitely not work now. At the very least, like an athlete, you need to operate at peak performance during the tough times. Learn from your successes as well as your mistakes. Change is inevitable, so there’s no point being Jurassic about it unless your ambition is to become a dinosaur. Someone once said, true entrepreneurs are the ones that find ways of selling ice cream in the rain rather than blaming the weather.
• Teamwork is more important than ever: Teamwork is always important, but during the good times, organisations and individuals sometimes still manage to thrive without focusing on it. During tough times it is essential; silos are like crevasses and quickly open up and engulf the organisation. Tight teamwork and working closely together to solve problems, making the most of complementary skill sets, is the best route for survival.
• Ruthless prioritization is a priority: During the good times, we are all guilty too often of losing focus, getting involved in too many projects and activities and probably doing very few of them that well. A downturn reminds us of the importance of doing a small number of things really well and ’culling‘ the distractions. Time is our most valuable commodity.
• Nothing is more important than ’the customer experience‘: Whether we are in business selling products or services, at the end of the day, we are all delivering customer experiences. Every person in our business, whether they design the software, develop it, market it, sell it, deliver it, support it, invoice it, all play a vital part in the total customer experience. When we all work as a team the experience can be amazing, but when one element fails, the experience risks failing with it. During 2009, we introduced Net Promoter scoring at IRIS, which involves asking our customers one question: ’Would you recommend us to others?’. Scores are 0-10 and only scores 9 and 10 are treated as totally satisfied and loyal customers. The customer experience is now our most important KPI and we are measuring and benchmarking it obsessively.

So whether this is your first recession or you’ve seen a few, what do you believe we can learn to ensure we come out of it as winners rather than losers?