O’Toole refers to what he considers to be the strongest resistance to change initiatives. It is cultural in nature and easily understandable, given the fact that those who defend the current status quo were probably involved in replacing the previous one.

Hence the importance of the material provided in Amy Radin’s latest book.

She is an advocate of a customer-centric culture. Presumably she agrees with the key points in Barbara Bund’s The Outside-in Corporation (2013). According to Bund, “Even if customers are able to articulate their product needs, it’s important to be clear about just what they mean, especially when they use some key words that can have a variety of significantly different meanings. A short initial list is quality and service. It is essential to explore what [such] terms mean to particular customers in specific situations.” (page 68)

NOTE: Two points. First, many customers cannot always articulate their specific product needs but can at least provide a “wish list” of preferences, frustrations, unmet needs, etc., and will do so but only when asked. Second point. Warren Buffett is reported to have suggested something to the effect that price is what you charge but value is what others think it’s worth. Hence the importance, Bund insists, of having customers define the given terms so that an appropriate response can be formulated.

Here are a few of Radin’s key points:

“The most important thing about this definition [of strategy based on a marketing mix of product, price, communication, and distribution] is that it requires that the strategic tools must be chosen to address the needs of one or more market segments. There must be a clear customer foundation, based on customer needs and behavior. In addition, the components of the strategy must fit with one another and work together; they must be consistent and coordinated.” (page 128)

Years ago, Southwest Airlines’ then chairman and CEO, Herb Kelleher, said this when asked to explain why Southwest was more profitable and had greater cap value than all nine of its competitors…combined: “We take great care of our people. They take great care of our customers. And our customers take great care of our shareholders.”

With all due respect to the value of a customer-centric focus, a company cannot create customer evangelists unless and until its own people are evangelists.

I also highly recommend O’Toole’s business classic, Leading Change: The Argument for Values-Based Leadership, published by Ballantine Books (1996).