Innovate when the old way no longer adds value.
By Jamie Notter Originally published Oct. 15, 2015, on Jamie Notter's blog. Reprinted with permission.
I spoke this week to a group of leaders from organizations that value "tradition" quite highly. I, of course, was talking about some of the big changes in society (social media, the Millennials, decline of traditional management, etc.) that will be challenging many traditions. These leaders are by no means blind to these changes, but they were unsure about when they should challenge some of the traditions in their organizations and when they should rely on those traditions as a strength, since they are deeply rooted. So here's a rule of thumb for you:
Traditions must provide value--and beyond simple nostalgia.If your traditions exist simply because they remind people of the past in a way that makes them happy--but really provide no other value--then they are ripe for change. That doesn't mean that you have to change them. Thinking about the past and being happy is not evil. But in this day and age, the bar has been raised for organizations when it comes to value creation, so we have less wiggle room than we had before. We can't afford to do things just because we've always done them that way. So the advice I gave this group about their traditions was simple: Run the numbers. If you can make the case that sticking with traditions will bring in the business, the engagement, and the growth your company needs then, by all means, stay the course. But if those traditions end up making your market segment too small or interfering with the delivery of value that translates into sales/growth, you should change them. Find another way to connect to the past, because those traditions are holding you back. Jamie Notter is a speaker, author, and consultant with deep expertise in generations, organizational culture, and conflict. Notter will present during CUES Symposium: A CEO/Chairman Exchange, Jan. 31-Feb. 4 in Maui.
