Turn your organization up to 11
If you believe innovation and staying ahead are expensive, try and calculate the cost of your organization falling behind.
by: Robert L. Dawson
It was November 13th, 1950. The cover of Time Magazine featured the images of two brothers – John & George Hartford. They were the face of the strong, forward-thinking leadership that had made the Great Atlantic & Pacific Tea Company the largest retail business in the world — ranked third in the Fortune 500. Not bad for a grocery store (A&P) that had started as a single-location leather tannery in the 1850s.
When John Hartford died, the company appointed Ralph Burger as its new president. What followed was one of the most epic falls from grace in the latter half of the 20th century. Second only, perhaps, to the remaining handful of companies trying to make selling typewriters profitable. “New Coke” is in a whole other category to be covered later.
The management at A&P were doing what had always worked. They made continuation of John Hartford’s policies a flag in the ground – hallowed ground they would not surrender. And, while they understood his policies; the failure was in understanding his mindset and method. Thomas Sowell in “Basic Economics: A Citizen’s Guide to the Economy” quotes Hartford as saying, “You cannot run a successful retail business from memory.” Sowell goes on to say what was needed was the same kind of foresight, dedication and imagination that had raised A&P to its pinnacle in the first place .
continue reading »“You cannot run a successful retail business from memory.”
– John Hartford, President of the Great Atlantic & Pacific Tea Company (“A&P”)