The Perfect Car Syndrome

Have you ever struggled with making a decision about which car to buy for yourself or your family? You know what you're going to use it for, how many passengers it needs to carry, and maybe even what make or model you'd prefer. After visiting a few car lots, searching through Consumer Reports, and asking a few friends, you make your choice. All seems right with the world -- mission accomplished. And then . . . inexplicably, about 12 hous later, the dreaded Perfect Car (PC) Syndrome hits! That's right, second thoughts and doubts. Is that choice really the best one available? Is there a better one out there, somewhere? Then, you have even bigger decisions to make. Do you follow through with the original choice or do you contrinue your search? And, if so, for how long, where, and at what cost in time?

OK, we might not all obsess over car decisions, but from time to time, we, and the businesses we work for, all suffer from the PC Syndrome. Try substituting the word "employee" or "advertising message" or "factory location" for "car" in the above title and scenario and the PC Syndrome may suddenly feel more familiar.

The danger of this Syndrome is its insidious manifestations. At its mildest level it represents merely a bit of indecisiveness leading to a slight delay in setting direction or taking action. But at its most intense level it can completely paralyze an organization's ability to make a decision, move forward, and compete in its markets.

Luckily, there is an antidote readily available. It's been around for centuries and has been proven across a variety of situations, disciplines, and cultures. Western business professionals refer to it as "iteration" or "incremental improvement" while the Japanese know it as Kaizen. (Children know it simply as "If at first you don't succeed. . .")

Iteration, "repetition of a sequence. . . yielding results successively closer to a desired result," is based on the belief that success is a process from which one constantly learns, and not merely a specific final outcome. For even as business people meet, exceed, or occasionally miss certain goals, we take what we've learned along the way and set higher goals for the next iteration.

As in the car shopping example, organizations need to be clear up front on some key points before expending time and energy on a particular iteration.

Be sure to consider. . .

	How easily can the outcome of this decision be reversed or changed, if needed? This is important in assessing the risk a particular decision carries and in helping define the necessary decision-making process. Obviously, changing a headline in an ad is a lot easier than changing a factory location or removing an employee. (Be sure to consider human costs wherever appropriate as well as time and dollars.)
	Are the objectives and expectations clear? Everyone involved in the decision-making process should know why a project or program is even being considered and they should agree on its potential benefits, risks, and expected outcomes.
	How will the results be measured? Deciding specifically on how and when results will be assesssed against expectations prior to implementation is critical to gauging the program's impact. Be clear on what metrics will be used, when will they be used, and what quantifiable change is expected. Without this level of detail there is no actionable feedback loop in place, reducing the chances for making systematic incremental improvements in future iterations.

Now that you've got consensus and definition. . . buy that car -- er, I mean, implement that program! Who knows, you may just like the ride!

-- by Rosemary Walter

The Internet -- The Example of Iteration at Work!

Perhaps the best modern day example of iteration in business is the Internet.

Contrary to what some may have been led to believe, Al Gore did not invent the Internet. The Internet originally got its start in 1969 as a communication network that was implemented by the U.S. government. In the context of the cold war, its primary function was to enable worldwide communication and research even if parts of the network were destroyed. It wasn't until the early 1990's, when the Mosaic interface code was developed at the University of Illinois in Champaign-Urbana by a lowly undergrad that the Internet's commercial potential began to be recognized and exploited.

In a world changing at the digital rate of Moore's Law, companies interested in exploiting this new technology could hardly afford to wait for best practices to be established or watch as their competitors tried and failed/succeeded with this new medium. They needed to try, measure, learn, and try again a variety of approaches and tactics to leverage this technology for increased sales and profits. Guess what? Those companies and individuals who are successful today, and those who will be tomorrow, continue to test, measure, learn and modify continually. "Continue to test, measure, and learn how your current and potential customers interact with the Internet. The Internet offers tight and quick metrics to assess the impact of new approaches. Keep iterating and measuring. . . that's the key to success on the Web," says Jesse Harriott, President of Internet Market Advantage, Inc., a Web-based market research firm.