Cambiar Consulting

Hitting it out of the park

by Beth Rounds, Cambiar

Recently I went to see the movie “Moneyball,” based on the true story of Oakland A’s General Manager Billy Beane.  And while I am not a hard core baseball fan, I went because I was intrigued by the story – how a leader (Billy Beane) used statistics and analytics (he was considered the precursor of the trend that has swept the baseball world—sabermetrics) to do the impossible – build a team of no names, win 20 games in a row and change the business of baseball forever.

Much has been written about the story and the broader messages about running a business. I’d like to “hit” a few ideas your way as you plan for 2012 and beyond.

What is so unique about the story?

He faced challenges head-on. The A’s were losing their best players to other teams with large payrolls. Instead of playing victim or ignoring the problem, Beane “claimed it”, found a solution and took a big risk by bringing in an Ivy League economics grad to analyze players stats, replacing the traditional way of assessing and recruiting talent. By caring more about a player’s ability to get on base, Beane challenged conventional wisdom and proved his detractors wrong.

He managed objectively. Prior to this time, scouts assessed players in a substantially more subjective manner. And, while experience and “gut feel” matter in decision making, Beane brought a new dimension to the sport. By analyzing players by the numbers and statistical probabilities, he brought objectivity to the table.

He was transformed as a leader. Billy had the strength of character and courage to stay the course even when his plan didn’t seem to be working.  He evolved as a leader, going from being a distant manager to one that was fully engaged with the sport, his team, and the players.

With much change happening in our industry, we should think more like Beane.  Ask yourself and your leadership team the following questions:

• Do we understand the changes that are impacting marketing research?
• Are we able to assess our current state and create a plan going forward?
• Are we willing to put everything on the table and challenge the status quo?
• Are we managing by the numbers? Do we know what drives profitable revenue?
• Do we have the right talent for the future? And if not, how do we create a plan for hiring new talent for this new age?
• Does our current staff have the right skills to surprise and delight our customers?

Business is about making intelligent choices. And now more than ever we need to challenge conventional wisdom in order to chart a new way forward. Beane chose an unknown and risky path, and in the end he changed his organization, himself, and the industry.  My kind of leader!  Your’s too?

Would love to hear your thoughts on this topic.  Contact me at: beth@consultcambiar.com

Additional resources related to this topic:

http://www.affinnova.com/blog/bid/106401/Transformation-is-Not-an-Option

http://www.fastcompany.com/1794118/8-strategies-to-fight-ordinary

http://www.fastcompany.com/1794942/how-to-be-distinctive-christian-louboutin-shoes

Results from The Cambiar Future of Research Study

by Ian Lewis, Partner

Cambiar recently unveiled findings from “The Cambiar Future of Research Study” at the AMA Research & Strategy Summit in Chicago.  The study looked out to 2020 and heard from 160 corporate researchers who have a wide range of experience, level and industry backgrounds.  We also heard from research company executives, and I will be presenting the integrated results at the CASRO Annual Conference October 19 in Palm Beach, Florida.

What did we learn?

Researchers are expecting major change.  Almost 60% of corporate research VPs expects major transformation by 2020; 70% expect this to be evident by 2015.  One quarter of corporate researchers expects that the leading research company in 2020 does not exist today!  Another one fifth expects that Google or Facebook will be leading the pack.

Corporate researchers will be consultants more than researchers.  Virtually all corporate researchers believe that successful market researchers will have great consulting skills.  This trend is already manifesting: Best Buy, Novartis, Pepsi and Starbucks have all recruited former BCG or McKinsey consultants to leadership positions.

We’ll have global responsibilities.  Researchers believe that growth in MR spending will be driven from outside USA/Europe, and that jobs will have global or international responsibilities.

The future is about listening, measuring emotion, and mining knowledge.   Nine out of ten researchers believe consumer listening will lead to major changes.  Emotion measurement is expected to be part of the standard toolkit, although the jury is still out as to whether neuroscience and biometrics will be commonplace.  Three in four researchers expects that marketing issues will be addressed by mining existing knowledge rather than initiating a project. 

What about today? How are we doing?

Not well. Only 25% of corporate researchers are “very satisfied” with the role of their department.  We asked about barriers to success, and heard some fundamental issues.

What is the top Barrier?  “We are not operating as Thought Partners” (defined by Market Research Executive Board as an ongoing consultant to the business, an informed business partner, opportunity identifier or strategic thought partner).   There is a huge gap today between corporate researchers’ desired role as a Thought Partner (92% want this), and their actual role (37% have a Thought Partner role). Six in ten have an “in the trenches” role; they are brought in too late, treated as order takers, or have business teams that want to control information.

How can we become Thought Partners? Support from the top is a key enabler. Given that many research departments are operating in an “in the trenches” mode today, there is a need to negotiate a “Management Contract” with senior management about how research should engage and operate with the business. [I discuss this in High-Impact Research: The New Strategic Partner. Research World, March 2010].   

The TOP enabler is for research to identify and communicate insights that deliver business impact, going beyond the “What?” and “So What?” to the “Now What?”  This requires a different way of working, with a focus on collaboration, synthesis and storytelling.

What are the training needs? Top of the list are the journey from researcher to consultant; and storytelling and other impactful communication skills.  Additional training needs include synthesis skills, development of rich insights, and learning about new research modalities.

So, what should corporate research leaders do?  Here’s a short “to do” list:

1. Become a great consultant (or risk being replaced by one!)
2. Negotiate a Management Contract to enhance your role
3. Evaluate staff capabilities and implement training for consulting skills, storytelling, synthesis and insights for impact
4. Leverage and integrate new research modalities
5. LEAD!!  A sea change is coming

I would enjoy hearing from you.  Contact me at Ian@consultcambiar.com.

Keys to Success

Simon Chadwick, Managing Partner

One of the strongest and most frequent complaints we hear from market research clients is that suppliers “don’t get their business” – i.e. they don’t display a fundamental understanding of the client’s category, needs, competitive context or even internal processes and decision making. I often hear this in relation to new business pitches, where research companies come in ill-prepared to discuss their wares in the context of the client’s business and its needs. It’s also one of the top reasons that clients give for being less than satisfied with their current suppliers.

Recently, we were asked by a research supplier to define “getting the business”. What do clients mean by this and how should research companies act to show that they really do “get it”? Well, here are a few thoughts.

First of all, “getting the business” is a mindset. You are curious about the client; you have an insatiable desire to understand everything about them. You are able to put yourself in their shoes, to empathize with them. From that mindset comes meticulous preparation, whether what you are preparing is a pitch, a proposal or a report. What data can you find, from as wide a set of sources as possible, that will help you understand the client better? What previous research in their category is there that can help paint a picture of their competitive context? What has been published about them in the business and trade press? What do you know about their products? What can you find out about their financial health and their strategy? (A good tip here is to find podcasts or recordings of recent investor and analyst calls they have held).

Given this mindset, here are five things that demonstrate that you really do “get” the business:

1. You demonstrate an understanding of key financial metrics (P&L’s, balance sheets, ROI, etc.)

2. You show an understanding of marketing and have an appreciation for what marketers do and the situations they face

3. You demonstrate deep knowledge of the client company:

- its process (for example, in new product development or strategic planning)

- its culture (how do decisions get made? how open are they to innovative thinking and approaches?)

- you know who the key stakeholders are, their roles and their needs

- you understand and can speak the company jargon.

4. You show real understanding and learning of the brand and its category

- you know the brand’s positioning

- you are aware of the history and trends impacting the brand and the category

- you understand, and keep up with, the competitive landscape

- you are abreast of the key issues and opportunities

- you know what the knowledge base of the MR department is concerning the brand and the category — or, if you don’t, you make it your   business to do so.

5. Finally, you are aware of what role MR plays in the organization

- does it have a strong objective voice?

- to whom does it report?

- is it viewed as a strategic partner or a tactical necessity?

- what is the relationship between your client and their client — and what are their client’s primary needs?

Do and demonstrate all of this and you will show that yes, you get the business – and, who knows, you may get the business!  Good luck!