Written by ZOOZ
consulting and training | (972)-9-9585085 | firstname.lastname@example.org
| Issue 7 |
We are glad to
send you the seventh issue of LaZOOZ.
The newsletter is sent
as a free service to thousands of senior executives in
the Israeli market. It is published every
other month, and does not include advertisements.
We tried to keep it short, assuming that
time is precious
and the work is plentiful.
Those who wish to learn more, will find
links to articles and relevant information sources.
We hope that you will find the newsletter useful. We will be glad to receive any comments and suggetsions.
Ari Manor, CEO, ZOOZ
An interview with a senior executive
Shimon Shekel, CEO, Mul-T-Lock
- Number of employees in firm : 360, and
- Number of employees under my direct responsibility: 16
- We provide: Locks,
and locking products.
- I'm on the job for:
18 months. Before that, I was the Mul-T-Lock's Operations Manager for 2
and a half
years, and in the more distant past of Mul-T-Lock and Rav
Bariach I served in various senior
roles, including heading subsidiary firms. I have a degree in
Industrial Engineering and a degree
in Business Administration.
- I like on the job:
Making people grow
and seeing them succeed and contribute to
the organization, achieving personal and organizational results.
- Most difficult on the job: Mul-T-Lock is owned by a foreign corporation that controls some 80 firms, with an
annual turnover of 3.5 billion dollars. In such a setting it is hard to convince that we succeed precisely because we are Israeli and different.
- Goals I set for myself: Mul-T-Lock is a growing firm. My goal is to lead to
100 million dollars turnover within 3 years
(double that of 2003), and by 2007 to be amongst the 100 largest firms in Israel. Personally, my aim is
to manage large industrial firms.
- Our vision: We have a vision that has
been developed over the past years -
to be amongst the world leading firms
in physical protection of persons and
property. This vision was developed on-the-go, and was adapted
to the changing reality.
We assimilate and communicate it throughout the organization in
various ways of internal MarCom.
- Original product in our market: Our original firm strated
out on the basis of a unique international patent,
and we specialize in doing just that - developing patents that
thrust us forward.
- Sources of innovation:
The information is gathered from our markets, and we
must read the map and translate it to products.
The search sends us all the
way to the clients of the clients of
our own clients.
- Book recommendation: In my view, "Who Moved My Cheese?", by Dr.
Spencer Johnson, is the essence of change in a manager's life.
- Website: Who Moved my Cheese?
- To purchase the book:
Amazon | Barnes & Noble
- Send comments
- Would you like to be interviewed?: contact us
On strategic development in practice
Let's suppose that you decided to formulate a
long-term strategy for
organization. A new and updated strategy that would direct you
over the following five years (or
less, in fast-changing markets). You choose a
steering team, put one
of the managers in charge
of the process and decide whether you should use
hired consultants. Now, what should be your next step? Where
should you begin?
thing you should do is to characterize and map a wide
range of subjects: aspirations and wishes of key
persons, investors and clients; resources and abilities
of the organization; threats and opportunities in
the environment. You may use various information
sources and tools: personal inerviews, market surveys,
financial reports, SWOT analysis, etc. The information
you collect will indicate
several possible strategic directions, while at
the same time ruling out others.
team should choose an appropriate strategy, addressing
the following issues: the domain of competition (what
markets to operate in); the role in this domain (which
products and services to provide); our distinction
(differentiation and vision); code of conduct (core
values). Each of these issues influences the other
issues, and it's important to ensure that there is a
close fit among them. This is called Strategic Fit, and
is vital for the implementation of the
strategy. Following are several examples of
common situations demanding such a fit:
- A firm that chooses to focus
on developing OEM products (e.g. - private labels for international
retail chains), should offer a wide range of
solutions, tailored for the needs and requirements of each
of its clients. Therefore, flexibility and quality of
service should be a part of
its core values and organizational culture. If
employees lack a positive service attitude, it is bound
A company choosing a vision of technological
leadrship, is supposed to invest many resources in R&D. In
order to allow this, it wiil probably have to
economize and be efficient in other
aspects. Therefore, perhaps it should market directly only to one continent (allowing
for direct client feedback), and market to the rest of
the world only through distributers and agents.
A firm choosing
to offer highly competitive prices, can afford to do so
only if it is substantially larger than its competitors. This
may be achieved by a long-term process of continual growth, through M&A. Such
growth will often be funded by public capital
raising and issue of stock. Therefore, the
firm should hold a close dialouge with investors. In such a
firm, consistency and reliability are critical core
important to note that it is extremely difficult to
change core values and organizational culture.
Therefore, when you wish to formulate a
it is important to make sure
that it fits the organization, its work
force and its habits.
- For articles on strategy and other
subjects: click here
- For information on
strategic consulting: contact us
A must-read book for managers
Reengineering the Corporation: A Manifesto for Business Revolution / Michael Hammer, James Champy / HarperBusiness
business theories have suffered so much criticism, and
were so misunderstood and misused as the Reengineering
approach developed by Hammer and Champy. The
book they wrote in 1993 is considered by many as
promoting cutbacks and downsizing, and was used by many
management teams to justify largescale layoffs of the
ealry 1990's in the USA. The book was also attacked by
socialist economists and
politicians. Reengineering does in
fact assist big organizations in letting off superfluous
fat, but as a result, the roles of line workers
(production, service, sales) is enriched and the size of
management level (supervisers and
mid-managers) is decreased. More importantly,
Reengineering focuses on improving business processes
rather than on cutbacks, and leads to
the changing of the business from
its very core. This enables large corporations to offer better service and high quality products, for lower costs.
Hammer's and Champy's major argument
is that management today is absurdly decentralized and
divided, and therefore inefficient. Thus, for instance,
different departments in the same organization (sales,
accounting, production, distribution, etc.), have an
inherent conflict of interests, causing delays and
inferior costumer service (e.g. when handling orders).
In order to achieve significant breakthroughs, the
authors suggest that one should not attempt to improve
local factors (tasks, roles, people or departments), but
rather focus on entire processes. They call for a
complete rethinknig and radical redesign of business
processes (processes that turn input, such as costumer
order, into output, such as delivery of ordered goods).
Only by thinking of the process as a whole, on the
basic reasons for which the organization does things,
and on the meaning of these
actions in the eyes of the clients, can one achieve
impressive improvements in vital aspects of
performence, quality, service and
the fact that numerous managers have heard of the book
but have not read it, it is surprising to discover that
it is written in a pleasant and easy-to-read style, and
includes practical explanations on how to lead
reengineering in reality, as well as numerous
case studies of firms that used reengineering to
accomplish major improvements. It is in fact a practical
guide, leading the reader through all stages of
reengineering: forming a leading team (leader, manager
and task team), choosing the appropriate processes to
handle (jammed, important and changeable), collecting
information (you should understand the process involved,
and therefore should experience it as an employee and a
costumer), a reengineering session (challenging basic
assumptions and making creative use of information
technology), and implementation of the required change
in the organization (declaring a crisis, joining forces
around a common vision, allocation of the right
So, if your
organization seems to be jammed, and you are in need of
a fundamental change, or if you simply want to be better
prepared for the future, take this book and start
reading. I almost guarantee that you will not be able to
put the book down until you finish it, and as you read
you will probably find yourself nodding time and time
again: "Yes. Right on. How true this is!"
Methods and tools for managing innovation processes
previous six issues of LaZOOZ, we
described six tools of Systematic Inventive Thinking for
new product development. In this issue we start looking
at the tools of the SCAMPER method.
SCAMPER are the initials of seven more
"flexible" tools, that may also be used to develop ideas
for improving processes and solving problems (and not
just products or services). The first tool -
Substitute - examines what can be used
as a substitute for existing components. This tool is
similar to the Unification
tool mentioned in one of the previous issues.
The steps for using Substitute are as follows:
1. Choose an existing product, service, process
the components: parts, materials,
3. Find a
substitute for one of the components of
Visualize the new product, service or process, and identify its benefits and uses
Example 1 :
Existing product: A toolbox
- Product components: lid,
handle, base, side, partitions, compartments, wheels, wood,
- Improvements which have
already taken place:
Plastic toolbox (substituted metal
ones, giving ZAG and Keter substantial income)
- 2 toolboxes in 1 (top toolbox instead of lid)
- Improvements which have not
yet taken place (as far as we know):
- Straps/belts instead of handles (for fixing the toolbox to a ladder or a person's body, etc.)
- A magnet instead of one of the sides of the toolbox (for attaching tools and metals on the outside - screwdriver,
hammer, screws, nails, etc.)
- Problem: Organization is
not profitable enough
- Problem components: managers, employees, products, clients, markets, prices, expenses, incomes...
- Common solutions:
- Substitute CEO, employees, salespersons...
- Substitute older products for newer ones
- Focus on new kinds of clients, or new geographical markets
- Barter goods instead of paying with money
- Lower expenses and higher efficiency by outsourcing (an outside firm instead of the organization's processes and employees)
- Changing the way you measure income...
An innovation which
surprised the world market and competitors
Water-powered hose reel
A self-winding water hose reel? What is this? We've heard of water hoses that are reeled using an electric engine, but this is something completely different.
Hydro Industries, an Israeli
manufacturer, introduced to the world two years
ago a self-winding water hose, that uses a water
engine. It all started when Ehud Nagler and Hanoch
Levin, Israeli inventors, developed a water engine - a
unique engine that draws its power from low-pressure
water hoses. The engine was registered as a patent, and
was initially intended for the educational games and
toys market, later being converted into a winding reel.
Hydro Industries was established in 2000 together with
Zvi Yemini, CEO of ZAG .
The First line
of automatic water-based reels, with a variety of hoses, was
introduced to North America in 2002, at the same
price range of similar hand reels, and significantly cheaper than
electric reels. Expect for the ease of use and
attractive price, Hydro reels do not require
an electric socket and do not use energy. Success was soon to follow, and tens of thousands of reels have been sold since world wide. The second line of products was recently introduced, and has a simpler design, at even lower prices. Indeed, a refreshing Israeli innovation, making life easier for thousands of gardners around the globe.
Innovation ideas not yet realized
following ideas were developed using various thinking
tools, and do not exist at present
(to the best of our knowledge):
tripod (to stabilize anywhere)
2. A camera
that shoots to the side when supposedly looking ahead
(for candid photo
taking - spys, tourists, etc.)
3. Cameras with a designed replaceable panel (similar to mobile phones)
Dual-camera - both digital and regular films (for user preference)
5. A camera
that can use two types
of film at once (according to light requirements)
A camera with remote
control (long exposure without touching it)
7. A camera
with light-sensitive lens, turning darker
in the sun (instead of shutter)
8. A solar-powered camera (recharging in
9. A kids' camera
(with cartoon figures, big buttons, automatic, digital, durable)
What's new at ZOOZ
Implementation through BPM
A new strategy, even the most promising one, will hardly succeed if the organization does not adopt and implement it. The successful implementation of a new strategy requires process innovation that identifies the core processes derived from that strategy, and adjusts the organizational architecture and process interfaces to fit the new strategy.
ZOOZ now offers a new workshop for
strategy implementation through BPM (Business Process Management). During the
workshop, participants identify and characterize core
processes that support the strategy, define necessary
organizational changes, and develop measures for evaluating these business processes. It is possible to hold a full day basic workshop, followed by organizational and technological consulting in cooperation with Addwise Infomanage, for developing information systems that support core processes management.
A tip on effective management
The ultimate mobile phone is here. It has
some immigration problems (not imported to Israel), as well as
some language difficulties (limited and not entirely stable Hebrew software), but we have been using it for a month, and it is just what we have been dreaming of.
It is the iMATE Jam, probably the most advanced mobile phone available today. A combination of a PDA (with Window Mobile Pocket OS), digital camera (1.3 Mega-pixels), audio recording, MP3, Internet browser, e-mailing, touch screen with 6 data input options, and...a mobile phone, of course!
Its memory is extendable and is virutally unlimited (our 1 Giga extension card works well). Its compatibility with
Outlook is perfect - and it will have no problems with
thousands of contacts. The camera is not bad in decent
light conditions, and the video clips are of
surprisingly high quality (Mpeg 4). Listen to music with
the provided stereo headphones. We recommend using a
blue-tooth headphone for regular calls, although using
the phone itself works just as well. Most importantly, all of the above is neatly packed in a compact device, smaller than your typical PDA, and thinner than a Sony Ericsson! The price tag? Up to $650 in US websites, and $80 for Hebrew software.
you're a manager on the road, looking for a convinient solution for recording thing on the go (photos, video, audio), for direct access to all your clients and contacts (phone, e-mail, sending photos), and even for keeping Word or Excel files in your smallest pocket - iMATE Jam is all you need. Finally! Great fun.
Product info: iMATE Jam
For US shopping on the web:
see here or here
Hebrew support: P.D.A.C
software at Handy
advertisement and its logic
creative ad template we cover this time, Out of Place, makes it possible to present the benefit of using the product in an extreme and surprising way. It is, in fact, a sub category of creative ads that use Extreme Results.
In the ad
before us, Erdal shoe shine is so shiny, that the
shoe may be used instead of a car rearview mirror. As is usually the case in extreme ads, the reader pauses to read the ad because it presents something different, unfamiliar and unlikely. Once the "puzzle" is solved, the benefit is etched in our memeory, making the ad very effective.