Amazon, Netflix, Google, and Uber all have one thing in common: They have built empires on making every interaction effortless for customers. In today’s high-speed, customer-empowered world, speed and efficiency with which business transactions are made determine ultimate success or failure.
- In 2016, $4.6 trillion of merchandise was left in abandoned e-commerce shopping carts.
- Every year, the U.S. economy loses $3 trillion dollars in productivity due to excess bureaucracy.
- Red tape and over-complicated licenses have contributed to China’s GDP exceeding India’s by $82 trillion over the span of just three decades.
If you’re a business leader, these statistics should give you nightmares.
Today’s episode dips into a groundbreaking guide, which makes the case that every business can gain a competitive edge by reducing the points of friction that impede smooth business exchanges. We will explore how to identify roadblocks, alter them for the benefit of both business and customer, create positive, lasting change, how to build friction awareness into your corporate culture, and how to build employee engagement at the same time you are increasing sales and customer loyalty.
We welcome Roger Dooley, the author of “Friction: The Untapped Force That Can Be Your Most Powerful Advantage”
more about Roger here: https://www.rogerdooley.com/
[0:14] Amazon and netflix google an uber all have one thing in common they built empires on making every interaction effortless for customers.
[0:23] Today’s high speed customer and power worlds speed and efficiency with which business transactions are made determine ultimate success or failure.
[0:33] In twenty sixteen four point six trillion dollars of merchandise was left an abandoned e commerce shopping carts.
[0:40] Every year the us economy loses three trillion dollars and productivity due to excess beer.
[0:47] Red tape and over complicated licenses have contributed to china’s GDP exciting india’s buy eighty two trillion dollars.
[0:56] Over the spine of just three decades of your business later the statistics should give you nightmares.
[1:04] Today’s episode of season two of breaking guide which makes the case that every business can gain a competitive edge by reducing the point of friction.
I’m pete smooth business exchanges.
[1:15] Welcome of friction the only force that can be our most powerful advantage road welcome to the show.
Well thanks for having me a great service or let’s jump straight into the book because is so generous and i love the concept you open word which is freaking goggles and this story reminded me of the pro by richard branson.
Which is clients do not come first employees come first and if you take care of your employees your employees will take care of your clients.
[1:45] You know i’ve read so many books we are the.
Introduction of sort of a self serving think about all here’s why are very smart robots but can i make sure to summarize the chapters and i’m gets find events and accepted way to do intro but i tend to skip over things i should do something different tonight little table go about
the company that is going through a bit of a rough patch in the CIO is trying to cut costs internally and ending up resulting in
reduction in the level of customer service and i didn’t ask a favor because i.
[2:22] What is a great way to introduce people to the idea that the
idea of wasted effort effects both customer experience and internal employee experience and the only time when a business can truly thrive is running his bed when we were
when we are considering reactions afterwards but also important is realizing that the company cares about them when isn’t
make men do things that will use their time in ny how many times we talk to somebody complains about all the stupid meetings arena total waste of time or bad procedure say you know it takes forever to get your expenses paid because the form is ridiculous and all your kind of knowing since it companies.
Reserve to tell people wasting your time now you know that you don’t really care
i think of you chris both sides of the issue that’s what the company can be truly successful
yeah love to draw between amazon business amazon and the roman empire rodger love this and the need for speed.
I’m super is the time boats with the fastest mode of travel
what building roads allowed to roam in trips to move at twenty five miles per day which was huge at the time of delivery to the cinema g.
[3:43] I wanted to do i could feel that the book with examples of digital companies from the last ten years have really prosper by ordering fried chicken and a few wants go to talk to people silicon valley everybody talks about
do we make the weather in user onboarding process the payment process or whatever and it’s it’s part of the
except the divorce now in silicon valley.
[4:09] Open the centuries is ben a disruptive influences like i want to find an example that went back
many years and what is what is out the roman roads were reducing because before
robin lopez roads to move troops to move material is supplies it was very difficult you have to typically follow
dirt roads are parents through for the twisted and turned and she had surfaces that were not smooth fried of culture we vehicles to move and rain everything came to a standstill because of the internal model and ruins two
are you a robot building too extreme they made the roads absolutely is straight and flat as possible.
[4:56] Me news almost obsession word if they have a cross yet they would build a bridge so turn off your emotions when they’re able to handle
show me the roads particularly in places like britney where was wrongly fired just straight of narrow for miles and miles and miles and what is enable them to do is.
Move there a minimum material far more quickly and could the
dominate large areas of geography were before you looking typical of empires before the roman time they attended to be posted around coastline other words i can’t
they’re people too pretty quickly but they cannot to go hundred miles in one because it difficult to find logistics involved so they dominated by the coast but i need to know to update the threading with the romans
concord massive massive amounts of territory because what ever they want some place the road to the big usually move into its switch me that was a great example of relief production they’re really sore to four shadwell received from amazon and google what others today.
[6:02] Amazon the modern day romans and dimension the chief witch is jeff bezos put in the instance of removing fiction.
You talk about the key player in amazon which is can’t on brown bubba yes you are mentally conference about speaking at hand
who is actually talking about fridge i was already thinking about it and told the conference organizer my friend and also got an author and road
who and now in distract was recent but i forgot the invite but no we’re gonna talk about something else yahoo stock my fridge is who’s guard was surprised me but it turned out what is contained brown back from amazon and he is
what about the topic and the different conferences around the country and really starting to get some light on how
how much time hes focused on fixing throughout its business making museum is example of course is one click ordering no
back in nineteen ninety eight
com please do not think you can paint something that simple process that was so apparently it is going amazon barnes noble the big bookstore company and branson open from feature on their website.
[7:18] I began watching big little mad one amazon amazon spend billions dollars to defend that i am ultimately prevail the end
the interesting thing is the only succeeded in doing by that expense was forced other competitors
what is the noble anybody else to add one single tiny little clich to the process know when we think about
designing interfaces how we think of one click is being particularly important if you’ve used websites mobile apps all that goes for all kinds of steps in one click seems like nothing compared to what
you can convert and webber are you mobile phone bought.
[7:58] Grandson was worth it and something else is kind of interesting if the same time.
[8:05] Steve jobs was getting ready to introduce a music store and he saw one click ordering.
Apple did not find the patents with a bronze mobile did been trying to work around i just paid amazon a million bucks so they could use to and too me.
The fact that both of us.
Steve jobs was so important is washing for every company out there that it is insignificant amount of effort was worth spending dollars on.
You give some great examples that stay on amazon for my mommy because those figures were mentioned in the abandoned shopping cards
amazon have worked relentlessly and kentucky and bars at the helm here to try and remove as much as possible.
I need same sometimes multitasking is a good thing on the national.
[8:50] What other times it’s enough hindrance select share the amazon featuring known as the ex raid for people who may not be familiar with that.
Will i actually get something originated i guess in the kindle for reading books you can look up an item in the dictionary without having to
get the paperwork if you were included the word but you didn’t know any of your i want people to skip over the order figure it out from context to internet were added but if you want to know you would
gonna grab a dictionary and look it up while when can came out people might open up
website to look it up but we can barbecue chip right into the functionality so you can click and look it up on google.
When baby and introducing videos through prime video and amazon video.
[9:40] Users had a behavior not of light.
Kindle readers light do if an actor and the screen will i know her what would she no i can’t think about the new admits what do was a pause the programme and open up i am db
database movies and actors actresses i am
good person which by the way IMDB happens be old but i’m not in any case we could make that easier.
[10:10] What if they can just pause the programme and you can see which actors were the screen defective on much you know it seems so much time you’re not causing a person to exit the app
go to some other device or another screen within the app or anything else it’s just very simply can not see who they were to go get superstition get a little bio for them and you can click for more info if you want more in depth information
that’s awesome can you do using it because sometimes you looking forward after the baby only appeared briefly in a series that has dozens and dozens of actors can try to find a person with the vacuum is difficult
what is stopping
a movie or tv show me you see only the people who were in that scene and some makes a fundraiser so i can you know this is one my new little thing good
that is there when you can reduce customer have heard i would put the customer first then
are you a woman in the long run it’s not like people are climbing for this feature they decided they can take process the customers were currently doing.
[11:14] Make it easier for them and they didn’t ask about the hawaii of this reading say about okay it’s gonna cost you know yet what’s up with rejection of the profits or six month project on the prop asking generate set this is gonna be a feature
that will be something that i requested in july competitors don’t currently have and also one thing i find that kind of intriguing but i have not yet seen this in action on somebody told me they had seen a task
what is the moment they really think directly from seamless as spider-man search
what if your watching a movie and you see that tom cruise is wearing sunblock sunglasses you like and so you pause it and you see tom cruise and the other actors in the same with you also see say
ray-ban sunglasses with a buy now button no i mean that to me is a logical extension hello i haven’t seen you how far away can i eat bacon turn.
So useful features something is profitable for them and you where trying to find out what kind of sunglasses he was wearing that would be just benefit the company would benefit you to answer questions
what are doing is lying the roadway for tomorrow and that’s where i love your analogy roman road because i think your hands.
What’s the advantages gonna be.
I wanted to talk about with businesses you reduce friction and amazon have a relentless focus on reducing function for the customer.
[12:42] Is that it very hard to catch up with them many businesses in destruction you know
will it sunny let somebody else that you just copied and put it takes way longer to copy and get up to speed them people always think.
[12:56] Your face is approaching is put the customer first and you
just about every company read their mission statement shells by public restrooms first but it doesn’t happen when push comes to shove it’s always well we want to implement that feature will be good for the customer.
Don’t have this years budget would make numbers will do it next year orange what’s gonna detail her i project not mad no that is not the way he thinks
if you have to spend money now to make things better for the customer he knows it would build competitive advantage in the long run no
the rate at which the metal band is remarkable just last year their share of the e-commerce market as a whole when up
turn percent so you can answer all their competitors get more sophisticated improve their own logistics and sell on amazon.in still getting charge against them.
[13:48] And the room feels warm up the house twenty percent so it’s really working for devon jeffery says that
when do you reduce friction you make something easy people do more which means you can place my order so i can watch more videos something else i can do that supermarket is there security does not close what’s your freaking anime
when using websites or in the last couple of days and then automatically log me out after just a short time but using the site
just really drives me crazy when im ashamed session like why was it working how to login via six times and amazon doesn’t do that i wake up wanting seemingly forever i think you have to buy a new computer to get logged out
and how you know it’s not that they have no security but their procedures do not in the way of you cooking
i know but not one click order button because that is their advantage you know what the people do you want to collect but amazon’s been using this for years and train people you said
yeah if they forced you to log in everytime you busy their cider blog and even
you know that one click button would not be armed and ready for you to push you have to push log in and that would be extra friction.
[15:06] Where are you
is quite sad so even today when i could use the same technology they don’t because when amazon does is uses order defense in the accident prevent fraud
if u wanna buy something with one click
but news always ready for you you can just click it and within forty eight hours maybe twenty four hours if you walking the same date that it will be on your doorstep
what if you decide to send amazon gift cards to people my email which is based like sending cash.
Or if you decide to ship your products and receive never shipped before.
They were very authenticate new SAP this transaction presumably some kind of machine learning algorithm does okay this transaction is lol bitch out of the norm it could be a cure for us so we will band
i’ll take some initial question by asking the customer to re enter your password or enter credit card number but for ninety nine percent of transactions for the simple simple regina yes thank you
buy your product and ship it to my usual right address which mutual credit card it’s simple one click know for sure no.
[16:17] I’m that’s important that u say here for any business name that is not low friction does not equal to lapsed security that’s really important to say that one of the things you mentioned walk instead.
Coming together of the physical and virtual learning physical and digital ethics and the brakes so to speak.
And what are the heroes of this prayer from amazon’s experiments with amazon go.
What is ali baba johnny’s amazon if you will converge the digital and physical with their mobile enabled stores.
I pay and that i both love and share a little bit this.
[16:52] You know we thank you for helping reduce the advanced stage and in europe but i think what china has done is really young for something that remark about where everybody is on their
smartphone they have these mobile apps the neighborhood to do all kinds of things a bit so you can do anything we live in those apps
who designed interested in charge of your shop and it show the journey in the united states where u go from one website to a mobile app two and it started bouncing around where the
retired in germany.
In china can take place on which everything happens for a reason other using different functions of like a straight path so it’s quite a bit different but in the amount stories
we have created the stores that are themselves.
How exciting but also i’ll be happy restaurants in me you can order food to be cooked to order and your order will be delivered automatically you can pay with facial recognition you can
pick up line orders i show that if you order a marchandise on line then.
[18:01] You can pick it up in store are they also deliver within a three km radius they make everything really is as simple as possible for customers to make payment welcome to.
[18:12] Almost anytime transaction they want and make a list transactions easiest possible it’s really interesting apparently real estate prices have gone up
within a radius of new stories the other words people find it so valuable to be leaving within the delivery radius
it’s actually increase the prices it’s pretty fascinating and something that we don’t see in europe or in the states right now
i understand the future retail destruction or even the retailer apocalypse that we’ve seen in the last two years it’s really useful to understand the pots and i’d love a shared.
[18:50] A brief history of retail destruction as you do in the book taking into description a min to montgomery wards rd row broken promise walmart if you have time.
Yeah i’ll try and condensed as much as possible but i won’t be help me order concept i will email and figure out a few decades ago
free internet pretty commerce i disagree business pedi hated orange in this two centuries ago now about and it was primarily in rule areas
February is what i understood they had two choices for shopping they could go to local small merchants were typically how the prices are relatively high where they could go to
i got the city and shop at the big department stores there protocols that need to travel in fact many medications view looking for buy for my husband department stores if so which was the reason the prices were high amd.
You started the email order can’t log where no longer be delivered to people’s homes by mail and make with them
buy stuff which would also be delivered
by mail it’s like not much should i insure with e-commerce where you got multiple fleet of trucks are everything to our home is better at the time this was a novel concept you can actually buy stuff like this im so.
[20:17] Their business but years later.
[20:22] Navigate your blogs yours and started selling watches initially and ended up create also creating a catalog business which ultimately surpassed my god rewards his butt.
You’re so mean this was how if u live outside of a major city this is how you shipped it was about the only way you can access to a huge variety of products in competitive prices and white.
[20:50] She was it built what was your biggest includes industrial road for handling its orders outside chicago in the world
headline news today and they’re not much compared to what alibaba doesn’t single day but
are you know that i am not able to actually tearing up an paper envelope that had been processing disorder is it just me or is it coming in the huge sacs of mayo that’s the kind of embarrassing also will you help
they got distracted themselves i began to open retail stores.
[21:25] And would prefer a suggestion for a while so here is what it looked more successful button
montgomery wards was with a retail stores the opened up typically in suburban areas where there is parking and do some reading already
how destructive effects and traditional department stores because they are offering
how convenient location this expensive but quite frightened merchandise and so the baby experience or second huge wave of retail i meant find walmart came a long and interesting enough
focus on room air again because i have been building and
suburban areas near large cities which is weird can you slide the bottom mobile traffic wanna customers we don’t stores walmart focus on those rules the world now only served by
sears catalog that i can build retail stores the concert large debris and be profitable in people can come into the store and i see the merchandise and they start expanding in the initiate.
[22:26] Expand primarily misunderstood where is my but we have been targeted a century before by my crib she received breakthrough not as VR volume negative enter open markets as well and
walmart is the biggest retailer but it’s been a series of short fiction based instruction okay so making it easier for the customer to shop
first read the word cantaloupe allowed is real customers to shop without telling the travel benefits department stores
why do people drive the car in parking lot go shopping did we lose weight in london then at walmart.
[23:05] Alternatives discovery that concept back to the rule areas it okay we can make a new function where is the only band did the go back into the urban centers.
[23:15] Find a sushi interesting story to montgomery world series robot can walmart story because they were the district preserve their time.
It’s such a lesson in human psychology where.
It becomes difficult to adapt to a new paradigm which was digital so digital comes along the internet comes along pay those bills is world in the world.
Play roman roads for the future while.
[23:39] This is like sears went under last year two years ago because they could not adopted the new paradigm.
Right to bear a lot of reasons why walmart still actually doing quite well and yourself is really just rosa names and
part of it is management i mean you can do alot of things where you can just choose the right business concept you gotta execute you can have the right merchandise you have people understand how to present merchandise appear in the retail business and
seriousness really exactly feel those things even showing off the crown jewels the most valuable property things like i heard batteries and craftsman tools
where are you a boy are you sending the standard for decades is being the absolute best brandon in their spaces i am how
how’s yours is not showing those things off to keep some struggling retail stores alive.
Remind to know the roads roger but let’s turn our attention to transform itself.
I’m here you look at the removal of friction and i found this fascinating the mental function without reading the taxi business before the days of uber
what is the taxi industry industry is example of function because it was trying to keep going that i make which is good.
[24:57] People do not see friction.
Even though it scared or do they just assume will let see if that notion to ignore it because well that’s the way you see how much done and the taxes were kind of that way.
Word decades there is no change in the taxi business model like you know you people would order a taxi by telephone in case you are preparing find a taxi keywords down the street leaving urgent trying to fly one down me another joke
simple process people accepted that it wasn’t until
first uber and no some other competitors like gold came along and showed how simple you can make it the how much more predictable service can be held three could be even things like payment.
I mean yeah i know that when i travel if when i was using taxis i would help.
Difficulties some perms find me a taxi will take credit cards we have to go to multiple jobs to find out someone take a credit card because any local currency in germany when it’s time to.
[26:01] Leave your destination leader machine out to transfer my connection in process your credit card and sports to ship your own cultural thing is appropriate in so i know this can take two three months ago where we can uber
what up informations already in there you just walking say goodbye thank you ms ia and wants people sod how
much freaking you could you could be van think gravitate to the new services and.
[26:31] Uber gets real the secret for girls will be late what is.
Nothing nazi permission because in many cases a taxi companies were regulated monopoly use i just
i get alot of customers and those who are used because they felt that their customers would demand government what we read focused so much better with my existing services can you buy a large network icenter some places where you burn still not loud over there
do you have the wrong burn some restrictions bed in a large i’ll leave grown to do things in revenue because
i’ll be provided ordered what’s your experience in the traditional methods out there
and of course services like uber also remove alot of friction for the other side of the middle which in this case is the drivers well
one hundred six s is a maid
i’m boarding new drivers usually go to the website drinking buddy providence to writers and drivers if you want to drive for uber depending on where you are because it locale some different restrictions you can be
open running as a driver actually went but hours but i think now in probably a year two xs i do performance but some kind of jacks get your running quickly on your first decisions you start.
[27:46] Doing rides you can get paid that same day when will be sent to your account is the opposite of the RV london black caps where there is a
really extensive learning process the after going through right which is called learning when she which meetings are really on cycle computer knowledge
oh all the streets in the city of attractions in the characteristics and so on and this is really a great thing i was the one that won going to kentucky wildcats and enjoyed the knowledge pool cab drivers.
[28:20] When there is GPS is it really necessary for drivers to memorize this treatment strictly sends real-time GPS can tell you about things like traffic accident that makes you sure bless
speedo midnight be endcareer alex you’re a different way so i think it became very easy to drive or bring your competition and this really enable the water people who
but not otherwise be drivers door and extra money and kopi recent uber trips tonight had i had a medical student.
I have ordered a police officer these are both in new jersey i think united states and people would clearly not be driving taxi use but
i’d do it without while set up time to do other schedule enables them to offer these services.
[29:10] When it really is an example of kindness improvements one of heroes of relentless pursuit of your effort.
[29:19] That’s where is google i remember like u today’s event of search engines and we were never removed alot of friction since those days.
[29:29] Google is very smart
focused on simplicity and dumb minimum of users so they want a face what’s not imported when is a simple little box search box so no blank white page if they will need all that distraction.
V also minimize the amount of effort it will take for customers to research to get stuff done
initially began to really have a suggestion process for overtime that if i do now it’s driven by a machine learning algo one character
internet search box and by the way it’s positioned in the search box we go to the page it didn’t say you were like you don’t have to tap the screen or click your house to get the cursor there are already
and it starts suggesting things to you type in w i want people search for weather information so it’s weather is likely to be one of the top choices of you taking will you and if you do click that link.
[30:25] Don’t get a list of other sights you can then click your to reimburse screen next shit dave got the current conditions where you are hourly forecast for the rest of the day but daily forecast for the rest of the week
basically ninety nine percent of the surcharge weather satisfied with that result you have to click through it all
switch that means is we wanted to the strokes you have gotten all the information you’re search is fine course not even have to do.
Click anything you can yeah google assistant you can yell your google phone.
Makes it so easy enough to find information and a compare that to what the situation wise you know i’m ten years ago will you be doing a lot more typing a lot more clicking.
Show that’s one big innovation but google is very aware of effort in actions with that better not support team push something in statistics and advertising stuff and afterwards ask.
[31:28] Weather i found the process of discovery so the one asking what he was suppose to help me courteous ask what i want about the process itself how was this really frustrates their focus
use record something else but they don’t anything specific will use the word limited in describing the speaker is auto complete for web forms
we have tvs forms on the web for ten blanks space is or fifteen blank spaces where something in google created with a chrome browser and auto complete feature
will auto populate all these fields that you’ve entered and previous websites.
[32:09] I am unable to take a weekly for me until most about all of that with just a few strokes
when you consider me when are you from the web in occasionally complete form so i have to do i would guess that more than half of the forums are not properly coated
do you take full advantage of auto complete it instead maybe
you don’t work order i got the address to put my phone number because this is the underlying code is incorrect i was registering for a tech conference and wasn’t the one for elec it doesnt feel dead
which is a separate login for me and every single field populated with one word what’s your first name because clearly read
who did create a task for me it’s a wrap located one field the first name field and.
Change the visible stuff you can’t see sophie look at the form the webpage which fine but the underline code meant that i am type and every single
thing complete my set i paid my phone number i type in my address how to get information i wanted to wear all of those strokes goodbye limited edition properly done in carolina everywhere
cancel it because it would seem so much effort and also increase conversion rate customers do not like feeling and longing for missing the easy can make it more likely they are to go through the process.
Amazing have much money businesses waste on advertising in tarzana products essentially florida and you can’t think.
[33:36] Could you put more money into the products in my printer
we would pool clients in road knocking pushed into it flood website are flawed pharmacy said i mention in the intro your book franklin switch styles deeply into neural science and behavioral science and research to attract new customers.
[33:54] I’m you talk about the science of friction in the book as well so science fiction roger and there’s a simple logo behind fiction.
[34:02] You drive a lot deeper into the science behind the law i’d love if you’d share the first basic lol and then delve into the science which goes back to one of heroes of the show.
Leonardo da vinci.
When is the next fixture is invisible like nobody can see that and people were not really weird there’s something i can describe until five hundred years ago.
Football people who did the kentucky and some really amazing experiments in french vanilla extra determined the value for coefficient of friction.
What’s his work was lost for centuries it wasn’t until
what about three hundred years ago the only other scientists came along and publish working for a big part of what we know is physics today in physics fiction is a directly oppose is an objects movement.
[34:52] So when your pushing a brick across the table in there is friction there and there’s gonna be acting direct opposition to be pushing that you’re doing yellow
psychology and behavioral science there is something called viva wild please start from the principle of least effort.
[35:11] And much more recently daniel tournament nobel prize winner of behavioral economics said that there is
lol please stafford applies to both contribute surgeon and physical exertion so you are
begin your peoples minds work or making him physically work harder they what shoes and easier pants and that’s basically what dad says that people will take your hand if there is one available
and i think that
when people like trump is asking steve jobs say okay it’s worth saving that one little clich understand if there even a little bit easier than their competitors overtime that’s good bb competitive advantage
shortly plenty of academic and research to show that you
reduce friction you will get more results
if you are trying to get people to inquire about your products in other ways you doing what’s called read generation ben short and simple to perform more leads your going to get it.
Anytime you can eliminate the field you’ll get more hits because it’s easier for a customer to fill out.
[36:19] It doesn’t mean that you can use friction stir behavior sometimes having friction can help if forgetting to many on qualified leads added a few for other fields to the form can
screen out just customers you are interested because i don’t want to go through the extra effort
it was baby provide some additional screening information so you can focus on others there mostly also if you could be a valid always wanted something you can use a jest ski behavior.
The laundry stuff like much of human behavior it applies in just bought every every fear that we operate and has people.
[36:54] You knew mention their daniel condiment another nobel prize winner you mention is ronald kos on his work on transaction costs
it’s kind of interesting because he saw a large enterprise its end he was riding partner so we go if we was doing his initial if there is no transaction cause he saw to begin your prizes
will succeed because they do not have the sword of friction that occurs when your to companies dealing with each other in other words
if i’m going to buy something from you that we’re gonna have to have some paperwork procedures is gonna be trust established me not trust you if i haven’t done business with you for years so maybe they’re smart company to contract more detailed accounting and invoicing back and forth line
oh ok beginner prizes can eliminate the transaction costs us will be impressed but in the long run.
[37:45] It’s gonna be interesting because overtime even though the transaction castaway to bed woman ate a business is beginning to get bigger and more complex and odd level of hierarchy receipt but ended up imposing their own
cost some business sell it turns out the rose was just admitted by a business is but dusty rural business is good is well.
Sometimes even organic partnerships where companies go what supplies for having very high level of trust and i think when.
Japan what is the humidity taking over the world with japanese made of automobiles this was part of their success the result of trusting the company’s might be
what companies are part supplier and a manufacturer they were like family to restaurant vegan have to do.
[38:33] Tell me everything you have to do extensive quality control inspection that be sure that being your supplier what is the thing you are somehow looking out what u ordered
and this made for a very official process compared to other cultures weird
all these transactions for sport of lying and involved the dad that was cancelled transaction cost the closest referring to when you mentioned about sears on.
Goldie locks of various elements need to come together for six s to happen and one of those kids that elements of organizational culture which is key
to the success of the business but one of the aspects of reaching new delhi deeply into when i love to share with your audience is organizational function.
[39:17] Find a spot who is known for discover that is shabby
trust you can measure the levels of trust and even induce trust with éxitos and get some fascinating work again.
Companies and in high performing organizations co that did record of success and profitability
what was noticed by asking people doing so would be more typical research methods one samples i wasn’t talking to people where can you please copy to other companies what do i use research showed was where they would hire truck.
Between people doing very organization to perform better.
[40:01] And it goes back to be the greatest give you a japanese supply relationships they were you fishing because there was translate and have to have all these protection safeguard we have a work of trust
when you have to have rules you have to have paperwork and all these things that slow down the process of business
what’s the advantage for your decades not add you
really i work inside a corporate blog is much would a wood stand a few years ago where a business should i head
go find and we would join me
query company for a few years like any big company they have an expense reporting process i traveled on company business i would only expense report we’ve all done many times when i feel particularly no it wasn’t even know i was.
[40:51] Add a BPI mobile and i would have to supply a paper receipt for you.
Any expenses that i incurred even if it is a three hour coffee in the airport your something if i want to be reimbursed for that i would have to do is sleep all
that people received my expense reports you can join if you would say
week one trip with multiple seizures something what your expense report would like to be a blizzard will the papers are you trying get reimbursed for stephen waters lot of stuff i didn’t get refund this ain’t for got to wash the receipt but.
[41:23] That is not required by regulations regulations so much more liberal policy start documenting expenses much higher threshold legal requirement you have received
what can i ask the
financial guy that i would also like to come look at i was wondering what was winded the requirement for receipts and it was like trust basically but they cannot trust that people would
not somehow abuse the process and submit expenses if
i do not have to furnish those paper receipt so couldn’t create a lot of extra work for everybody to see the employee side and also the way people who actually what does receipts to make sure they match up every single
the item on the expense report and i know that happen because one time i washed receipt somehow between when i want to report and went a god
the process to take orders and i got called in and said hey you know you’re missing the receipt you take out for the receipt
i am up all the extra effort this created simply because of the lack of trust in your replicate that across all of that
rules and procedures not a great example have historical example it goes back to his days of general electric when he was a block buster there and.
[42:42] Create a very profitable company even after departure didn’t process requires march but good succeed and
create a new reminder the company value was my boat wiring
taking wires out of management to enable communication flow more freely and eliminating wasted overhead also only thing that comes out of the walls where instead of
happy to go through the channel to talk to somebody somebody in sales good talk to somebody manufacturing know if there level alert got manufacturing floor and could ask question and this is a huge change from the previous article approach that you have to go after management to communicate with somebody else and
what meetings they had one shows up manufacturing guys and italy
management union relations and all that great most companies to you know it’s always suspected that management is trying to go to work harder.
[43:35] What are the measurements well how can you make your job easier.
One machine operator and well ok i’m handling sharp metal of my machine all day and i go through the paperwork lunch i got every week or so and get a new pair i have to do.
Turn everything off leave my station.
Leave my building go to another building go to the tool crib job requisition vanished find a supervisor to print the requisition go back to the crib.
Get the girls thinking back to my building and my machines at work and can take an hour or two depending on how.
New g one features bullshit step is finding a supervisor in lima peru.
View recent the truth been put in place the supervised what is the name of the people still work and interest the workers not to do it so the voice
acts were close by the station bingo you say yourself and our productivity leaving
reduce to a vacation period lunch it doesn’t matter has no no comparison to the amount of time was being wasted because of this horribly inefficient process exactly did you find the people that steal all the work lunch due to buy a large no problems at all
yeah that’s a good example of how little more trust can eliminate waste of time and organizations.
[44:51] Do you know anything i find really interesting deep dive on jack where else would he was known as neutron jack the reason being that neutron bomb.
Wipes everybody in the building but leave the building intact with these kind of harsh nickname for him but organizations of all if i’m what he did was hit the players the organizations.
[45:11] That’s pizza hut to be done i mean you that the message took such a long time to get to the recipient of that message and therefore you want to reduce the barrier between
is frontline managers the ultimate customer the customer on the streets i made a few delivery but that’s because it was this
work that he was relying on her no way he removed internal organization friction which in turn helps the customer.
Where is the management is rude to be involved is business group where is the theory that no one person can only supervise so many others so as being
number of employees at the bottom and grew it never will you added layers and layers a bug zapped and jack said no we communications way to swallow infected shopping this is not an example specifically from GE he.
[46:01] Smart research showed that top management meeting with a really what is causing
over the course of the year what is the hours of africa through the organization that is mostly wasted because each of each
senior executives at that meeting would have a couple people working on preparing them for the meeting get any information needed those people will be going out to all the division managers get me info and so on and so on and on is this triple the fact it was just
creating mess about bots work through the organization and.
[46:35] What is not necessary something simple solution was to first of all
change the meeting to monthly instead of weekly and also change the concept of preparation for it and what wasn’t involved because obviously everybody in the meeting want to look like preparing select london there people be wrong but women’s
business is through operation echo dot suede in the organization just became so time so i can usually aware of until some body wash the process
nobody can see the whole top to bottom impact and see all
i think this case was an outside consultant tried telling up all the hours that were missing set hate this is crazy.
[47:16] What would be a parting message that you would live for audience no matter what they are working in everett organizations if it’s not printer is the start up interest.
Whatever it may be what’s your final message.
[47:29] What would encourage people to do is look for friction once you see it you cant really stop seeing it and being reason for the use our brains have something cool to retire activating system IVR yes.
What is the filter that screenshot everything but you.
Dont need to know what that particular moment so you can cross a busy street in new york city and your gonna screen everything except the crosswalk indicator on coming cars and the people around you
dance with the example we simply screen out all the friction was involved the waiting the answer to go call the cab is here yet what’s going on with the payments section
who does screen it out because it what didn’t seem important was normal and once you start
focusing on finishing senior are you will see more and more about them than i would encourage people not just to see yeah
what you push back out there organizations and even other organizations if you have experience with
you’re television provider your internet provider or a department store whatever you take them to the task of publicly for grad
if you’re not getting satisfied you made your little part to make the road better and within the organizations sometimes it’s necessary to push back against people who have important jobs those people who are you
responsible for it for security for legal compliance.
[48:55] News reporting functions but just like amazon doesn’t import newest balance between taking care the customer i having a smoothie employee experience and other concerns somebody needs to be making
inform the decision usually a high level executive so its okay to push back end
trying to improve things because once people see in what’s people’s eyes open to everything and can’t get on the bandwagon too.
Contact again for people are interested in your work hiring a speaker i’m going out more but the books where can i find you.
Very best place to start would be roger delete dot com and i got the wings to my marketing blog my forms blog and social media profiles on social media i am most active
on twitter where i am i usually end also music find out like the author of friction the temp for sticking be your most powerful advantage you do.
Thank you for joining us for thank you love this conversation.