- Platinum Problems*, and
- The Gifts that Keep on Giving.
Both are good - but only if you make them good. Otherwise, they make you nuts - and lead you to make bad decisions.
In this post, I'll talk about the first category, Platinum Problems, specifically what they are and how to handle them...before, during and after.
Things are going great. They're better than you could have ever imagined. Everything is moving well and quickly. You're growing. You're thriving. You're succeeding.
Welcome to the world of Platinum Problems.
On the surface - and particularly for those outside your function, department or organization - all it looks like is good. To a great extent, that's how it looks to you, too.
Why should you look at it differently?
Because when everything is 'great,' you make different decisions and, most importantly, you make them differently. Suddenly, rather than working from a position of scarcity, you're surrounded by abundance that seems as if it will never end.
It's that last part...the 'as if it will never end' bit...that turns these marvelous opportunities into their counterpart, The Gifts That Keep on Giving. (We'll get to those in the next post.)
The risk in Platinum Problem decision-making is that you and your people forget what it took to get you to 'great' and, instead of continuing doing what you do so well, you start doing other things. You buy. You expand. You hire. And you do it fast...because, after all, you have to keep up with everything that's being asked of you by the outside world.
Most importantly, as a result of all that pressure from the outside world, you stop thinking and you start reacting.
It takes a lot of time, energy and thinking to build success. You and everyone else in your enterprise have to be fully engaged to get there. You innovate. You question. You create. You build.
When, seemingly suddenly, you're a success, the tendency is to stop doing those things. Instead you simply do more of what you've done. You don't do new and different that keeps your current customers happy and creates whole new markets at the same time.
You rest on your laurels without even knowing you're doing so.
Think Starbucks and the way they had to reverse their expansion and the many years it took to put them back on track. Think Sony and how they lost their standing as the leader in consumer electronics and are still trying to regain that status.
What you see is a "Success Arc" that takes the company and/or its products and services from inception to success to failure - unless it's caught in time.
On the other hand, think Amazon's CEO, Jeff Bezos' acceptance that, someday, even his company will be disrupted by another...just as his disrupted so many large and small organizations and industries.
Bezos treats Amazon's success as a Platinum Problem that has to be solved - and solved again - every day in every customer interaction and management decision that is made.
What does this mean for you?
When you see success in your organization, stop, take a deep breath (or a few) and become highly analytical. Specifically, and in this order:
- Objectively assess what the enterprise did to create that success.
- Identify what, of those systems and actions, need to be continued and grown to ensure new successes beyond the current success (e.g., Amazon's "customer centricity").
- Determine what you need to do to address the growing needs for the products and services that have caused the current success.
- Ensure that you have the appropriate systems, procedures and risk analysis in place to build the business in the immediate and the long-term without causing undue - or unconscious - harm.
- Analyze. Make sure you've got the right metrics in place for the immediate and the future. That way, you know - at every moment - whether you're moving in the right direction.
As you can see, what this system does is takes you out of reaction and puts you immediately into a current response and future expansion mode simultaneously. That way, the Platinum Problems remain platinum...which is exactly what you want.
*Props to my brother, Sam, for teaching me the expression, Platinum Problems.