In an industry such as online brokerage, one would assume that the client would always be at the center of focus. And while most of the time it’s the case—firms do create products and services that respond to client needs in order to grow their business—the underlying focus on the bottom line of a publicly traded company often demands executive attention, which can obscure best practice methodology, client initiatives, and how to make innovation a reality due to the pressures and expectations of The Street.
Therein lies the problem: Only a sustained and coordinated focus on understanding client goals, needs, desires, etc. can innovate in a manner that is useful to clients.
If clients can recognize the value proposition of an offering, firms will find clientele. That’s a rather understandable equation, but the cost of doing business can drive decisions that affect the quality and focus of a product, let alone how teams work together.
Why change how an organization works when the sausage has been made the same way for as long as people can remember?
Without a charge from executives, organizational management tends to gravitate towards less cross functional collaboration and spending, and more wall building. Whether such decisions lead to multi-tasking employees or avoiding methodological advances, working within conservatively defined parameters lessens risk in the short-term.
So how can a business operate in a manner that supports clients goals at a desirable investment level without risking putting the business in a tenuous position in the process?
The glue is the simple concept of collaboration.
Harder Than It Sounds
For the sake of simplicity, imagine a company divided into four primary units:
In this simple example, nothing could be accomplished with quality or efficiencies without close collaboration.
- Marketing and Design need to share quantitative and qualitative research (respectively) to assist the Business in developing an explicit understanding of client needs. These qualified findings can then be prioritized by Business and Technology in terms of viability and feasibility (respectively)
- Business, Design and Technology must collaborate during all phases of product design in order for goal-directed and innovative experiences to become a reality. This collaboration is always crucial, but even more so when first (or speed) to market is the goal
- Marketing must be looped into all Design points to ensure that brand communication meets brand experience. Marketing plans can then be created to introduce the client experience to the market in proper fashion
Yes, this is oversimplified, but the point is that successful product teams aren’t led by management that hunkers down, walling off their teams and agendas from other groups. There will always be office politics, no matter the domain, but when conceiving, designing, developing and launching interactive products, collaboration is essential to the success of not only the product, but the overarching brand.
The current buzz within the walls of Ameritrade has shifted from constantly touting our top operating margin in the industry to making transparent a commitment to designing an organization around the needs of our clients, while keeping that industry leading operating margin.
After a major merger (Datek Online), we’ve slowly grown in the direction of living and breathing the above degree of collaboration over the past few years, as Design has become an understandable entity, rather than the black box that development once considered us to be.
Keeping a competitive edge in this industry and on The Street is a tricky business. Producing killer products for clients can be made a lot simpler.