Advice from Tesco
By David Dorf on Jan 12, 2010
Today at NRF I attended the session "How Leadership, Loyalty, and Transparency Fuel Growth" given by Sir Terry Leahy, CEO of Tesco. Twenty years ago, Tesco was a distant third in the UK market, but after focused execution they are now clear leaders in not only the UK but also across the globe. As a driving factor behind the growth, Sir Terry related Ten Management Lessons from the experience.
- Find the Truth -- Talk to your customers and listen to their advice.
- Audacious Goals -- You'll be surprised what a motivated team can accomplish.
- Vision, Value, and Culture -- These are more important than strategy and should emanate from employees.
- Follow the Customer -- Watch customers carefully and be ready for change at a moment's notice.
- Steering Wheel (balanced scorecard) -- Link the big goals to the smaller goals.
- People, Process, Systems -- These must be viewed together, not in isolation.
- Lean Thinking -- You can make things better and cheaper.
- Competition is Good -- Learn from them before they learn from you.
- Simple Beats Complex -- Over-engineering solutions leads to increased costs.
- Leadership -- Takes you further than you could go alone.
Sir Terry admits none of these ideas are new, but few companies have the discipline to follow them all like Tesco.