Reduce waste and work towards profitable collaborations that improve your success.

Everyone knows that designers are all a bunch of wing nuts, fabricators are all bucket shops, OEMs are simply traitors and assemblers are all out to take advantage of everyone!

Do I have your attention?

As untrue those stereotypes are, I run into people who believe them. At least, judging by the way they act they seem to believe and fully embrace those stereotypes. Many of those people will talk the talk about being “world class” when, in fact, their actions indicate that they are anything but. And it is those actions that tell me our industry still has a lot of waste just hanging around to be picked like low hanging fruit.

The waste I am talking about is the seemingly inability by western companies to work together for the common profitability of each other. Examples of these missed opportunities can be seen all over the supply chain in large and small ways. Most often it is manifested in two ways: how we treat the supply chain and how we treat competitors.
One example of a missed opportunity in the supply chain – which I have experienced many times over several decades – occurs when your sales guy makes a pitch to a prospective customer. He gives a presentation, discusses all the new capabilities and expertise, and finally shares the marquis list of current customers. It’s as close to a perfect presentation as can be made. At the conclusion, the customer looks at the sales person and says, “That’s all fine and well, but I will never buy from your company because ten years ago we gave you a shot and you screwed up delivery on an order … ” What? Holding a grudge for ten years? You gotta be kidding! But I once worked at a company where some customers would not even listen to a sales pitch because they hated the founder so much. And at the time the founder had been dead for years.

What’s worse is when that same company who got shut out by a customer with a long memory does the same thing to one of their suppliers. How many times do you say, “Oh him again … I hate dealing with that company.” However, that company and the “him” who represents it may have the very answer you are looking for.

The second type of waste shows up in how we treat other segments of the industry and especially competitors. It amazes me that so many are ready to partner with an Asian competitor but will refuse to consider working with a company across town. Often it seems the only time we talk to a competitor is when we need a favor, such as to borrow a spare part to keep a line going, or when we call to complain about something.

This gets back to waste, or opportunity, depending on how you look at things. Everyone could prosper a lot more if we all break some old habits. Instead of holding grudges because of something that happened years earlier, we need to see a prospective supplier or customer as what they really are: a business opportunity. Instead of looking at competitors as the enemy, we need to be talking with them about ways we can work together to leverage our strengths so all will prosper.

What’s interesting is that our Asian colleagues get this concept. What’s even more interesting is that a lot of western companies appear to be willing to try it out by working with those Asian companies. Old habits are holding these companies back, and opportunities are lost.

So how do you change old habits? Let’s go back to the two challenges. For beginning the process of working with vs. being at odds with competitors, maybe it is as simple as proclaiming a global networking day when executives from companies all over the world spend the day just getting to know their competitors. In the U.S. an appropriate day might be Flag Day (June 14) for people to get to know their local associates.

The challenge is getting people to let go of grudges that, in some cases, may have started decades earlier. For this I suggest that everyone look in the mirror and ask yourselves a couple of questions including, “Do I look and act the same as I did X years ago?” Follow this question with, “Are all my friends the same ones I had X years ago?” And finally, “Would I want to be judged solely on my actions of X years ago?” Does talking into the mirror sound kind of trite? Well, try it – it may be harder to do than you think! Just like breaking old habits.

It is uncomfortable to try new things – even harder if a past experience was less than positive. But times change and being successful demands change. Success requires that we all challenge our preconceived ideas about people, companies and competition. It takes action and proactive effort to upgrade our understanding, and acquaint or reacquaint ourselves with the people who might have the answer for profitable collaboration and success. PCD&M

Peter Bigelow is president and CEO of IMI (imipcb.com). He can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it..