Growth Factorials

CEOs (and Founders) are constantly juggling priorities, from market domination to team excellence. But what if I told you that sometimes the pursuit of efficiency might be holding you back? Sample a few scenarios.

Scenario 1: The Sales Saga: More Calls, Less Conviction

A CEO asks their sales team to double the number of their daily calls. Sounds like a metric that screams productivity, right? Well, not so fast. This sales team lacks conviction in their pitch. Unsurprisingly, they resort to sketchy tactics just to meet the call quota.

Scenario 2: The Lead Generation Gamble: Quantity over Quality

A Growth team is fixated on generating leads from Google and Facebook. They hit the numbers, but the leads? Not worth the digital paper they are written on. Quantity won the battle, but quality lost the war.

Effectiveness Vs Efficiency: A CEO’s Dilemma

So, what’s the deal with effectiveness and efficiency? Let’s break it down:

Effectiveness is about doing the right things, and achieving success. Focuses on vision and objectives, and shaking up the status quo.

Efficiency is about doing things optimally- fast and cheap. Loves status quo, easily measurable, and can be quite straight forward.

Ask the right questions, CEOs!

Before diving headfirst into efficiency metrics, ask these questions-

1. Do my customers love my product?
2. Do I really know my customers and where they are found?
3. Does my sales team close sales smoothly without leading to customer service headaches later?

Once you have nailed these, then consider the following-

1. Can we ship the product faster to the market?
2. Should we get more leads to feed the sales team?
3. Should we get our sales team to do more calls?

The role of Leadership: CEOs, Define the Priorities

In the symphony of business, leadership defines goals, and managers conduct the efficiency orchestra. Leaders need to set right priorities before the manager can drum up efficiency.

Incentives Matter: The CEO’s Steering Wheel

What you incentivize is what your team will prioritize. If you’re dangling efficiency metrics (faster shipping, more calls, more leads) instead of emphasizing the customer delight, quality of the sales process or targeting the right audience, your team will follow suit.

When to Rev Up Efficiency: The CEO’s Green Light

Efficiency is the cherry on top, not the base of the cake. Once you’ve figured out the secret sauce for success, then and only then should you gear up for efficiency improvements.

Conclusion: The CEO’s Balancing Act

The dance between effectiveness and efficiency is CEO’s ongoing performance. Striking the right balance ensures your company doesn’t just survive – it thrives in the ever-evolving business symphony. So, put on your dancing shoes, lead with purpose, and let the rhythm of effectiveness guide your every move.