These 4 Digital Solutions Will Help Your Company Grow

Digital solutions are no longer optional--companies must embed a digital-first approach into every facet of the business if they expect to grow in today's hyper-competitive marketplace.

Amazon made headlines again when they recently announced they'll be hiring 50,000 jobsacross the country. Considering this hiring surge accounts for nearly one-quarter of the 222,000 jobs that the U.S. added in June of this year, I think it's safe to assume Amazon is experiencing a growth phase.

Yet, as with any expansion, Amazon is likely facing a slew of challenges as they welcome new workers into the fold. Is each facility prepared to handle the influx of employees? Can the current human resources system manage a massive spike in users? Is the company generating enough revenue to support 50,000 new wages?

I have no doubt that Amazon is well prepared to handle this expansion, but this is not always the case for most businesses. In fact, last year, the Kauffman Foundation and Inc. Magazine discovered that nearly two-thirds of companies that had previously been on Inc.'s 5,000 fastest-growing companies list had either been sold, reduced, or gone bust.

While growing pains can make or break a company, there are a number of digital solutions you can adopt that will make the expansion much easier. Why? Because companies that embed digital into their everyday operations are more agile than traditional businesses when it comes to managing change. This agility will come in handy when you need to make a last-minute pivot to handle the demands that come with any growth phase.

So, if you're going through growing pains (or are hoping to in the near future), here are four digital solutions you'll want to consider:

1. Incorporate data into everyday decision-making

As your company grows and expands, it's important to keep a close eye on performance both internally and externally. And the best way to monitor this is by measuring and tracking data. With the right data-driven dashboard in place, you'll be able to:

• Empower leaders to make difficult hiring and firing decisions by using data that backs those decisions.
• Put new policies into place that are supported by persuasive numbers.
• Provide leadership with a better idea on where operations may need to change, which will enable them to streamline the business.

But, for many smaller companies, the first step is to start tracking and storing data in the first place. Unlike larger corporations, small businesses tend to be lacking in this area.

If you want to start tracking data externally, consider implementing a customer relationship management tool and investing in analytics on your website, marketing campaigns, or apps. For internal data tracking, project management tools and time-tracking software can yield a treasure trove of insight. In both cases, however, you'll need to put controls in place that will enable you to collect Key Performance Indicators (KPIs) and use dashboards to contextualize the data.

2. Ditch the paper

Growing a business puts a demand on resources, so you'll want to find ways to cut costs throughout the process. If you haven't done so already, now is the time to ditch the paper.

Whether it's by getting rid of paper contracts, enforcing a new policy on e-statements, or removing printers from the office, digital communications can save your company quite a bit of money. It will also dramatically streamline your processes and operations.

3. Create an omni office environment

I touched on this in a recent article, but if you're outgrowing your current office space, then consider what it might take to create an omni office workspace for your employees.

While companies like IBM and Yahoo are no longer allowing employees to work remotely, a hybrid approach might be the best solution when it comes to creating an effective work-from-home policy. But no matter what you decide to do, enabling your employees to spend some time working from home can help keep overhead costs low, while potentially increasing productivity.

4. Constantly monitor the latest technology trends

Can virtual assistants improve your company's order fulfillment process? Can AR or VR enable your team to create prototypes that are easily shared across continents? Will IoT devices and smart sensors work to reduce manufacturing costs? Maybe or maybe not, but if you are not at least aware of these trends, you will not be able to make informed decisions about which might be applicable to your company.

The latest technology trends could be the key to getting your company through a growth phase with ease. But if you don't know what's happening, then the opportunity to integrate this tech into your operations will never see the light of day.

Wrapping up

If growth and expansion are on the horizon for your business, you'll want to make sure your company is digitally mature before you get too big to function. You can bet Amazon is taking full advantage of digital solutions as they expand their workforce and you can do so today by taking the above into account.

Digital Transformation Firm Centric Digital Makes Inc. 5000 List for Fourth Consecutive Year

NEW YORK, Aug. 17, 2017 /PRNewswire-iReach/ -- Centric Digital, the leading pure play digital transformation partner, announced today that it was named one of the fastest growing private companies in America by Inc. Magazine for the fourth consecutive year in a row. After it's founding in 2009, Centric Digital debuted on the 2014 Inc. 500 list as #34 overall and #1 in New York City and New York State."We are thrilled to have made the Inc. 5000 list again, for a fourth consecutive year," said Jason Albanese, Co-Founder and CEO. "Centric Digital's continued rapid growth is a testament to the hard work of our team and the trust our clients put in us.""Continued recognition by Inc. validates the direction in which we've led Centric Digital - a platform based approach to drive and measure digital transformation," said Brian Manning, Co-Founder and President. "Every industry will face it's own digital apocalypse similar to what retail is facing right now. Traditional businesses need a dynamic playbook to adapt to the rapid evolution of digital technologies and consumer preferences to interact with digital sophisticated brands."Inc 500 MethodologyThe 2017 Inc. 5000 is ranked according to percentage revenue growth when comparing 2013 to 2016. To qualify, companies must have been founded and generating revenue by March 31, 2013. They have to be based in the U.S., privately held, for profit, and independent — not subsidiaries or divisions of other companies — as of December 31, 2016. (Since then, a number of companies on the list have gone public or been acquired.) The minimum revenue required for 2013 is $100,000; the minimum for 2016 is $2 million. As always, Inc. reserves the right to decline applicants for subjective reasons. Companies on the Inc. 500 are featured in Inc.'s September issue. They represent the top tier of the Inc. 5000, which can be found at http://www.inc.com/inc5000.About Centric DigitalCentric Digital is a leading digital transformation partner, providing solutions to traditional businesses to revive their business models, rejuvenate their customer experience, and automate their business operations for the digital age. Its frameworks, data and platform are fast-becoming the industry standard for enterprises to measure and drive digital transformation. Global enterprises across health, finance, retail, industrials and government rely on Centric Digital to interpret digital trends, benchmark their digital capabilities, create digital business strategies, and deliver digital and mobile experiences. For more information on the company, visit centricdigital.com and for insights on digital trends visit centricdigital.com/blog.Media Contact: Jason Curry, Hammersmith, 7245440376, jason.curry@hammersmith.ioNews distributed by PR Newswire iReach: https://ireach.prnewswire.com

What Nike and Amazon Can Teach Us about Strategic Business Partnerships

What started out as a rumor is looking like it will soon become a reality: Nike and Amazonare partnering up.Mark Parker, Nike's CEO, confirmed the two companies will be testing out a partnership in the coming months. The world's largest footwear maker is preparing to launch an Amazon store, effectively cutting out the middleman from Nike's current Amazon presence.This partnership will enable Nike to have better control over their brand and dictate how their products are marketed on the online retailer's site. Sounds good, right? Well, not so fast.Business partnerships don't always have the best success rate. In fact, a common statistic many experts refer to states that 80% of business partnerships will fail. Admittedly, the direct source and origin of this statistic is murky (much like the common statistic that claims 50% of marriages will end in divorce), but popular opinion is that business partnerships are exceedingly difficult to pull off. And of course they are. Building an effective partnership is not unlike developing a personal relationship--it requires work, constant and clear communication, well-defined expectations, and an alignment of values and goals.However, when a strategic business partnership is successful, it can be extremely lucrative. Spotify and Starbucks, BMW and Montblanc, and GoPro and RedBull are few examples of companies who decided to work together and are now reaping the benefits.So, if your company, like Nike and Amazon, is considering forming a strategic business relationship, take the following into account before you get started.

Avoid direct overlap in offerings

This may seem like a no-brainer, but you'll want to avoid partnering up with any business that can be considered direct competition. There should be zero overlap between the two companies in terms of offerings or products.I learned with Centric Digital (a very service-oriented business) that partnering with similar service-based businesses can create conflict. This is especially the case when the partnership involves sharing clients.For example, let's say a strategic service provider is considering partnering with another agency that specializes in building and delivering on strategy. These agencies decide to team up and share clients so that one creates the strategy and the other puts the strategy into motion. While this partnership sounds like a good idea in theory, it creates the potential for either agency to try to mimic their partner's offerings and cut them out of the picture.Even product-based businesses can experience this issue when one company thinks they can create a similar product as their partner.Overall, the best relationships seem to form between service-based businesses and product-based businesses--like in the case of Amazon and Nike. Of course, there are exceptions to this rule. The key is to think through any potential for overlap in offerings and determine if there is a way to avoid it right off the bat.

Start small and take your time

The quote "Aim small, miss small" applies heavily here. You might discover there are three different companies that are well suited for a partnership, but you'll want to focus on one at a time. It takes a lot of time, energy, and resources for a partnership to fully develop. Take the time to get to know the company, the brand, and the people you'll be partnering with. Interview the business as thoroughly as you would an employee you want to hire.As you're developing the relationship, you'll also want to make sure your business missions and values align. Spotify has been considering ending their partnership with Uber due to the ride-sharing company's recent scandals. This scenario might have been avoided if Spotify learned more about Uber's practices and political leanings from the start.Even with the Nike and Amazon partnership, Nike's CEO is making it clear they are in the early stages of development. They're not rushing into this partnership and are testing the waters first.

Manage the relationship and set expectations

From the initial "courting" phase to the actual execution, a business partnership needs to be carefully nurtured and managed. You'll want to assign someone to develop the relationship, get the partner interested, send a proposal, negotiate contracts, and oversee the ins and outs of the partnership in action. This person's responsibilities would be similar to that of a sales rep or an account director--their goal is to build and maintain the relationship.From there, you'll want to ensure this person is setting and managing expectations. Will your company provide a certain percentage of sales to the other business? Do you have a target number of customers you expect to receive from them or vice versa? Is there an overall goal you'll be working towards together?These questions need to be answered in detail, thoroughly documented, and signed off on. If any disputes pop up or one company is not pulling their weight, you can always refer to the initial agreement. This can take months to develop, but it prevents any miscommunications from happening down the line.

Final word

Time will tell if the Amazon and Nike partnership will work out, but it's a good sign that they seem to be moving into this partnership at a slow and steady pace. Combined with well-documented expectations and an avoidance of direct overlap, this could be the start of a beautiful relationship for these companies. And, by keeping the above best practices in mind, your business could form equally lucrative partnerships that may one day rival that of Nike and Amazon's.

Bloomberg Markets: Manning on Retail in Crisis

Bloomberg Markets with Carol Massar and Cory Johnson.GUEST: Brian Manning Chief Executive Officer Centric Digital Discussing why retail is in crisis as digital transforms the industry. He says retailers need to change to suit customer’s desire to have experiences.

Are Open Floor Plans Killing Productivity in Your Office?

A few weeks ago, some colleagues and I were invited to a meeting held in a state-of-the-art conference room at a popular co-working space in Lower Manhattan. As we walked through the open floor plan of the co-working space, one of my colleagues--the CEO of a large technology company--turns to us and asks, "How does anyone get any work done here?"We looked around to see people chatting, typing, and conducting phone meetings. The environment was busy and noisy and anyone trying to focus on the task at hand could easily get distracted.And therein lies the problem.When the open office trend took off a few years ago, it heralded a new era of collaboration. The wall-less environments would revolutionize the way we work, promote teamwork, and foster a culture of innovation. Businesses jumped on the bandwagon and tore down cubicle walls faster than the main character does in the movie Office Space.But, as the popularity of this new way of office life surged, so did the studies. According to the Journal of Environmental Psychology, noise and privacy loss was associated as the main source of work space dissatisfaction and the "benefits of enhanced interaction didn't offset disadvantages in open-plan offices." Another study, conducted by the Asia-Pacific Journal of Health Management, suggested that this type of floor plan produces an increase in noise, conflict, stress, and turnover. From a personal perspective, I've heard stories of managers and executives ducking into stairwells and closets to take confidential calls and/or conduct critical meetings.As it turns out, the open office life isn't the end-all be-all solution we once thought it was. So, how do we course correct and improve productivity? Here are a few ideas:

Find out what works best for your employees

A diverse workforce comes with a diverse set of needs. Not every single employee will thrive in a bustling environment or have the capacity to "tune out" the noise. You might discover that a particular group or department performs better when they have quiet places to work or a private area to conduct meetings. Environment preferences depend on your employees and the type of work they are trying to accomplish.Regularly check in with your staff to find out which type of environments they work best in or the what they need to do their job. You can then create an atmosphere that best fits their needs.

Strike a balance

While open offices might not be a one-size-fits-all solution, the opposite comes with disadvantages as well. Many companies today are looking into hybrid approach--a blend of open spaces and private areas for employees to use as needed.Fortune suggests that the next generation of office floorplans will cater to this balanced approach. A hybrid office will combine "private offices, cubicle banks and truly open floor plans (in which even cubicle dividers are dismantled) as well as communal areas and soundproof rooms where employees can go to concentrate on solo work."

Going mobile

While the hybrid solution is a viable compromise, this approach to office life is missing one major component: the mobile worker.The Digital Age has made it easy for workers to be productive on the go--they can access files, chat with coworkers, and even participate in meetings wherever they get mobile reception or WiFi.So, instead of sinking a ton of remodeling resources into the physical office space, determine how you can make it easier for your workforce to be productive anywhere in the world. Some suggestions on how to do this would include:

• Provide employees with portable WiFi hotspots
• Create a practical cloud-based infrastructure with the right apps to support the business
• Invest in new tech like VR in order to conduct virtual prototype meetings
• Ban paper use in the office

The key here is to make it easier for employees to get things done when and where they need to--whether that's by making documents accessible via the cloud or investing in an online collaboration tool that allows employees to easily connect regardless of location.This, of course, brings up the debate on working from home. IBM once boasted about their company's ability to let employees work remotely--only to recently call them all back into the office. The reason? The company released a statement saying, "In many fields, such as software development and digital marketing, the nature of work is changing, which requires new ways of working. We are bringing small, self-directed, agile teams in these fields together."So, it's not a one-size-fits-all solution with mobile enablement, either. Which brings me to my next point: the omni office approach.

Introducing the omni office approach

At Centric Digital, we often recommend that our clients provide customers with an omni channel approach. This digital strategy consists of a cross-channel business model that companies use to improve their customer experience. The result is a seamless experience whether a customer is on the company website or physically in a brick-and-mortar store.Similar to this customer-facing digital strategy, smart businesses should consider introducing the omni office approach to employees. This strategy would encompass everything mentioned above: employee preferences, a hybrid physical environment, and the ability to work on the go. As the business world becomes more digital, the omni office approach would allow companies to remain flexible, while providing workers with a seamless office experience.Of course, in order for this to approach to succeed, you'd need to work closely with management to ensure they are enabling employees to work how and where they are most productive. Sometimes that might mean a day or two working from home, but it is up to the manager to discern what will work best for the employee. If a role requires the physical presence of an employee in the office or if a particular employee seems distracted when working from home, then the manager needs to adjust the approach as needed. Flexibility is key.

Final word

While it's becoming apparent that the open office environment is posing legitimate threats to productivity and healthy stress levels, the current proposed solutions seem to be lacking digital foresight. The solution is to not shoehorn one approach and claim it is better than the others. Instead, we must be conscious of the changes in today's business world and ensure we are adapting with the changing needs of our employees.

Top Digital Experts Share How Current Data Trends can Drive Business Success

Capitalizing on current trends in data and analytics can save businesses money and time, and even increase revenue. Here's what you need to know.One of the perks to running a digital transformation company is working with incredible talent in the digital space. The team at my company, Centric Digital, works in the trenches with our clients every day and they're on the bleeding edge of the latest trends in our field.So, stemming from my recent article on benchmarking, I asked my team to share how today's trends in data can help drive business success. The insight they gave can help leaders throughout any organization consider new ways to use data to improve business, save money, and even increase revenue. Here's what they had to say.

Marrying digital and analog KPIs

"A business can have a lot of digital tools today and pay for a lot of tracking," Data Strategist Asher Feldman explains. "But you need to have a strategy so you can supplement that data with real-world information--you need to marry digital Key Performance Indicators (KPIs) to the analog ones to get the full picture.""A digital strategy works to re-imagine an analog process and make it better for the consumer. When you replace those analog touch points, you still have to pay attention to the real-world version of what that means for your business. Unfortunately, many companies encounter attribution issues, where the company has trouble attributing the digital data into the real world. The smart companies are the ones doing the legwork on the analog touch points, factoring in things like brand image scores, awareness, satisfaction scores, net promoter scores, and general recognition and popularity."Disney Parks is an excellent illustration of Asher's point in action. A few years ago, Disney World introduced MagicBands--a FitBit-type of wristband Disney guests can wear inside the parks. These bands track movement, can be used at the entrance gates, food stands, and kiosks, and allow users quick access to ride photos and can even open their hotel room door. Disney invested $1 billion into this digital tool that would provide them with valuable data--including transaction records, popular rides, average dollar spent, etc. But Disney managed to marry the data they collected from these bands and used it to improve operations in order to accommodate 3,000 more guests in the parks per day.

Enabling total automation of data collection and analysis

With the overwhelming--and growing--amount of big data available today, the need for total automation for collection and analysis is in demand. Many companies are turning to data management platforms or other software solutions to collect, house, sort, and analyze information in a way that's easy for end-users to see and understand. This automation process works to streamline the analysis of data and can also put an end to fragmented data silos across an organization."The idea of total automation is really popular right now," explains Taylor Wallick, Director of Digital Strategy at Centric Digital. "Digital tools today can allow you to deliver real-time information to various stakeholders throughout an organization without a single person having to dig through the data and build a presentation around it. Instead, an executive can pull up the numbers on a dashboard and see exactly what is going on in real time."Aside from data visualization dashboards and data management platforms--like Adobe Audience Manager--another interesting illustration of total automation can be found in the rising popularity of Application Programming Interfaces (APIs). These systems of tools can be used to automate applications using data in a number of ways. It can be as simple as automating communication based on a user's actions--like an auto-response message sent to every new Twitter follower--or as complex as building an entire website populated on data points.Weather.com and Zillow are examples of APIs that are built using a set of logic that displays certain information in real-time by accessing public data points. So, if it starts down-pouring in Alpine, Texas, the National Weather Service will collect and post that data, which will then feed to Weather.com. As that data moves through the site's logic, the site will render the image of a rain cloud next to that city's current forecast information.Even smaller companies are using APIs on their sites. This is most commonly used with the small business's manufacturers or distributors that provide small businesses with datasets on inventory and pricing. That data will then feed to the business's websites in real time.

Making educated guesses

"Predictive analytics are increasingly gaining more traction," Michael Aiello, Digital Strategist at Centric Digital explains. "Companies are using data mining and complex math to dig into massive amounts of information and produce insights on something that might happen in the future."While this isn't necessarily a new trend, it is becoming increasingly sophisticated. In 2012, Target's algorithm managed to predict a teenage girl was pregnant before her own parents knew. The girl's shopping patterns matched similar trends that Target had identified as behavior exhibited by pregnant women. The company then started sending the girl coupons for baby gear based on itspregnancy prediction.Today, however, it's now commonplace to see predictive analytics at work when we shop on Amazon or look for a movie on Netflix. Amazon offers customers additional products based on predicted shopping behaviors, and Netflix recently stated that nearly 80% of hours streamed are the result of their algorithm's recommendations.

Adding context to your metrics

An important trend all three experts agreed upon is ensuring your data has context. This helps you avoid the practice of using data for data's sake. Sure, it's great to know your app got three million downloads the day it was released, but there's more to it than that. Did users delete the app the next day? Are they using the app the way it was intended to be used? Does the app add to or take away from customer satisfaction? These are the types of contextual questions you should be asking around any metrics or KPIs.

Final word

The capacity to collect data and use it to drive success increases with a business's digital maturity level. The more digital touch points a company has, the richer the information they'll be able to analyze and use. Yet, digital maturity aside, the first step for any company is to ensure they have a data strategy in place first. Only then can they accurately assess whether or not the latest trends in data will make sense to their business or be used in a way that will benefit the customer.

Bloomberg Markets: Manning Says Disruptors Changing Retail

Bloomberg Markets with Carol Massar and Cory Johnson.

Are You Taking These Emerging Technologies for Granted?

Augmented reality, virtual reality, and voice activated technology are gaining serious commercial traction. Is your business prepared?

Remember the days before smartphones? Yes, I'm referring to that primitive era--pre-2007--when we relied on Garmin for directions, desktop computers to manage our calendars, and Blackberry to send emails and make phone calls.

While it's mind-boggling to figure out how we managed to survive such dark times, what's more interesting is that in another five or ten years, we'll likely wonder the same thing about one of today's emerging technologies.

What will that can't-live-without tech be? Only time will tell, but the rising popularity of augmented reality (AR), virtual reality (VR), and voice-activated assistance is something business leaders should be paying close attention to.

While these technologies have been around for quite some time, they are currently gaining some serious commercial traction. AR made a name for itself during the Pokémon Go craze, VR is garnering a lot of attention in the gamer space, and KPCB is reporting a meteoric rise in voice assistance just on mobile devices over the last three years.

Changing everyday life

Technologies like AR, VR, and voice-activated assistance provide us with new ways to experience everyday life. You can now place an order while driving or try a product without ever leaving the house. This not only enables you to do more in less time but provides businesses with the opportunity to use this tech to improve the customer experience.

Mind you, investing in these technologies is not a one-size-fits-all solution that will shower ROI down onto your organization. Smart business leaders that implement this tech will do so not because it's popular, but because they discovered an innovative way to use it that will improve the customer journey.

Here are a few real-world examples of how these technologies are used at a commercial level by savvy brands that aren't taking them for granted.

Augmented reality

If you need an easy example of AR in action, just download the Snapchat app and play around with the filters. The overlays will enhance your photo or video, adding a digital layer to the physical world.

And speaking of Snapchat, this app's popularity amongst Millennials is likely what prompted beauty store, Sephora, to create an AR component geared toward their customers. This store is popular among adolescent age groups so creating an AR app with an interface that's similar to Snapchat is a natural fit for the tech. App users can now fire up the Sephora Virtual Artist in the iOS app to digitally try out different looks before buying.

Virtual reality

Over the next few years, most of the VR usage might be relegated to the gamer community, but there are still several ways businesses can take advantage. In-game advertising experiences are, of course, a possibility, but there is much more that brands can do.

Lowe's, for example, recently introduced their Holoroom How To, which offers a virtual reality DIY "hands-on" training experience. Customers can use these virtual classes to learn how to tile a bathroom or paint a fence. These new VR classes are just the latest development in Lowe's AR/VR strategy--this company has embraced and used this emerging tech since 2014.

Voice activated technology

The potential use cases for voice-activated assistance can certainly expand beyond the customer service department. There are several ways businesses can use this tech to improve the customer experience--and even partner with other brands. In fact, LG partnered with Alexa and now uses the AI assistant inside of the Smart InstaView fridge. Now consumers can use Alexa to order food and groceries via Amazon when inventory gets low.

Meanwhile, Domino's has invested in voice-activated assistance since the tech's early days in 2013. The company has even decided to double-down on this tech and recently added AI capabilities to their app. The new platform, named Dominions Robotics Unit (DRU), engages with customers using human-like conversation via the voice-activated app.

Final word

Business leaders are faced with numerous challenges when it comes to determining which of the leading edge tech is a fad versus which could be the next smartphone. The best advice I can give is to A) be aware of the technology that's out there, particularly when something starts to gain commercial traction and B) brainstorm with your team to determine how you might use this tech to delight your customers. With the right type of innovation, your company might be the one who implements this technology in such a revolutionary way that customers no longer see it as "nice to have" but "can't live without."

How to Use Data to End Office Politics

Nothing kills innovation faster than a work environment that is rife with politics. Here's how to use transparency to achieve a better culture.

Political discord in a company is the business equivalent of having termites in your home. This type of toxic work environment can kill innovation, drive talent out of the business, and destroy trust. Eventually, employees' resentments will eat away at the once solid foundation of the company, causing it to crumble from the inside out.

But to effectively eliminate or reduce office politics, it's important to first understand where it's coming from. This can vary from company to company, but political discord usually stems from misconceptions regarding salary, job security, hiring practices, treatment, and opportunities for advancement.

So, how can a company clear up these misconceptions and ensure employees are more focused on business goals than who got a promotion and why? The key is to drive data into the fabric of the culture--essentially embedding analytics in the company's DNA--and using it to create well-defined and agreed upon goals and objectives for employees.

Overall, focusing on the numbers allows a company to:

1. Remove bias

Let's say the CEO of a digitally mature company wants to review basic datasets and KPIs on department productivity. They access the company's analytics dashboard and get real-time insight into each department's performance. The CEO can then use this information to have objective discussions with each department regarding performance--even drilling the information down to a granular level if necessary. Even if one department executive happens to have a personal relationship with a colleague, the bias is removed from the equation when the numbers are there for everyone to see in real time.

2. Foster a culture of transparency

Stemming from the example above, companies can also use data to increase the level of transparency throughout the organization. Buffer, Inc., a software application company, has been widely noted for leveraging transparency both internally and externally. Transparency is a key part of their value statement, but they also put this statement into action. For example, Buffer posts employee salaries online along with their company formula on how a salary is earned. By being transparent with data in this manner, they remove any misconceptions or resentment regarding co-workers' earnings, while providing clear benchmarks on how they can earn more.

The founder of Unbounce--another startup that values transparency--sums this concept up nicely with a 2015 statement he made, saying, "Most important for me in regards to transparency is that it sends a strong message of trust to all our employees, and the company benefits from trust in return and an honest dialog takes place between all."

3. Hold employees accountable for performance

Of course, accountability also plays a factor here. When a company uses data to drive decision-making, career success is no longer about making the right friends at work or using gossip to eliminate the competition for a promotion. Instead, each employee can be held accountable for performance.

While accountability is great at driving productivity, make sure you're not using data without context. You don't want to fire an entire team because they missed a sales goal by a $1,000 in Q2. The raw data may show other factors impacted your team's ability to achieve their sales goal. These numbers should be a baseline--the start of the discussion. It's important to use analytics to steer the company away from subjective gut feelings about performance and shed light on objective, agreed-upon KPIs.

Further, you can use data to show employees how revenue is up or profits are down, but they need to know how this data relates to their performance. This is why consistent check-ins are important. Leadership needs to continually communicate with reports on how these numbers relate to their job, what they can do to make the numbers go up, or what to avoid that will make the numbers go down.

How to increase objectivity, transparency, and accountability

Once the systems are in place to create well-defined and agreed upon goals and objectives for employees based on data, leadership then needs to foster a culture of accountability. This can be done by incorporating actual data-backed performance into weekly meetings and occasional performance reviews.

Plus, the more digitally mature your company is, the more data you'll be able to access--which can also increase objectivity, transparency, and accountability within your organization. If your business is still keeping analog files or making phone calls via landline, you're losing out on data sets and insight that you can use to measure performance and eradicate misconceptions.

Final word

When the numbers drive the business decisions, it clears away potential misconceptions that lead to resentment and toxic office politics. The result is an improved work environment, where employees feel like they are all on the same team and working together towards a better future.

This Is the Role of Benchmarking in Driving Business Excellence

Are you using benchmarking to regularly measure, analyze, and improve your company's performance?

You cannot effectively run a business in a vacuum. In order to know where your company is going and how it's able to compete, you need to measure and analyze performance both internally and externally. This is why benchmarking is vital for driving business excellence.

Overall, the goal of benchmarking is to:

• Determine what improvements are needed
• Analyze internal and external data on targeted areas of improvement
• Use gathered information to make strategic business decisions

A great example of benchmarking in action is in the sports arena. A team or athlete measures and analyzes statistics to see where they fall in the rankings and what they need to do to improve. The same principles apply in the business world, but it is much more complex than tracking batting averages or yards scored.

A company can benchmark everything from financial statements to the emotional intelligence of employees. Yet, many businesses only focus on benchmarking their bottom line. This omission can have disastrous consequences to the growth of the company.

Benchmarking digital performance

Aside from ad revenues and profits, what should a business benchmark to drive excellence? My answer to that question is digital performance. How does your company stack up against the likes of Nike, L'Oreal, or UPS? Is your office still reliant on paper? Are you aware of the latest trends in A.I.? Do you still run ads in printed newspapers?

If a company is not actively measuring its digital performance, then it becomes highly susceptible to disruption in today's digital world. Case in point: I doubt the music industry was benchmarking digital performance before Spotify, SoundCloud, or YouTube emerged and now it's scrambling to catch up.

So, how do you measure digital performance? And what is that you're measuring? While every company has different benchmarking needs, it's best to approach this process from both a macro and micro perspective.

Macro benchmarking

The macro approach to benchmarking digital performance provides a bird's-eye-view on where the company is in the market. Is your company more traditional or is it digitally mature? When taking a macro approach, you'll want to look at your entire business model in order to:

Monitor trends inside and outside of your industry

Keeping your finger on the pulse of tech trends could breathe new life into your business. Take the growth of Uber and the sharing economy. This was a trend the restaurant industry should have been keeping a keen eye on. While ridesharing has little to do with food, this trend bled over into the restaurant world with the emergence of Doordash, Postmates, UberEATS, and more. Had a savvy company in the restaurant world benchmarked this particular trend, they could have created a food delivery app and dominated the field before anyone else could.

Track the competition's digital innovation and adoption

When FitBit started the fitness industry's wearable trend, apparel companies took notice. Nike saw the potential in wearables and released their fitness device, FuelBand, in fall of 2013. The problem, however, is that FuelBand wasn't radically different from FitBit and simply tracked users' physical activity, steps taken, and energy burned. Sales for FuelBand were disappointing and, in less than six months, Nike discontinued the tech.

Under Armour, on the other hand, watched the rise and fall of Nike's attempt and acted accordingly. Instead of developing another fitness wearable that functions the same as FitBit, Under Armour created HealthBox--a more robust system of wearable health trackers. HealthBox not only tracks steps and activity but also measures sleep, resting heart rate, workout intensity, body weight, and body fat percentage. It also sends alerts, works as an alarm clock and workout log, and allows users to control music volume and selection. Considering this product has been on the market for over a year now, it's safe to say it's already performing better than Nike's initial wearables attempt.

Analyze the digital methods in which you serve your customer

Are you still sending paper statements to customers? Is your competition creating seamless omni-channel experiences? Can you afford to invest in VR tech to attract more prospects? Evaluate the current digital state of your offerings, research options for improving, and decide if (and how) you can use those options to better serve the customer.

Micro benchmarking

After measuring your company's digital performance at a macro level, you'll also need to monitor specific digital platforms or channels within your business. This type of benchmarking provides a company with granular data on performance.

The main micro digital performance areas to benchmark revolve around web, social, and mobile app analytics. Benchmarking Key Performance Indicators (KPIs)--such as usage, traffic, time spent on site, bounces, etc.--will give your company valuable insight into the customer experience. This will also provide your company with concrete data regarding performance.

Final word

For companies that want to remain agile and competitive in our Digital Age, benchmarking must go beyond tracking the bottom line if the goal is to drive excellence. Companies need to benchmark digital performance and progress in order to avoid disruption, gain a competitive edge, drive innovation, make informed predictions and decisions, and ultimately, improve performance.

5 Industries That Are Prime Targets for Disruption

Disruption is the name of the game at the dawning of any new age. During the Industrial Age, the entire course of history was changed as new technology disrupted everything from production to transportation--and even banking.Fast-forward to today, and we're in the midst of similar upheaval as we become more entrenched in the Digital Age. Robots are replacing jobs, paper is disappearing from offices, and video games are driving the future of business tech. We live in strange times and the potential for disruption lurks around nearly every corner.And while change and innovation are inevitable, there are some industries that are more likely to experience radical change and disruption than others. Here are some of the prime targets for disruption.

Furniture

The furniture-buying process has experienced little change in the past 50 years. If a person needs to buy a couch, desk, or table, the typical process is as follows: head to a local showroom, test out some options, place an order with a salesperson, and then wait a few weeks (sometimes months) for it to arrive. IKEA changed the game slightly by having customers assemble their own products, but it still involves a lengthy process that often includes travel.Since many Millennials don't own a car, getting to a showroom or physical store can be problematic. In addition, shoppers today expect instant gratification, so waiting months to receive (or finding time to build) furniture can be a deal breaker.There is ample opportunity here for a startup to disrupt this process. Similar to the way Casper disrupted the mattress industry, an innovator could create "the perfect" piece of furniture that customers have delivered straight to their homes and provide them with a 30-day risk-free return.

Retail

Yes, retail is already getting disrupted by Amazon and online ordering, but it's only going to get worse. Amazon alone poses the greatest threat here, particularly with its recent emergence into physical bookstores and the unveiling of a cashier-less convenience store.And yes, opening brick-and-mortar locations may seem counterintuitive today, but these physical Amazon stores are examples of omnichannel shopping experiences in action. These storefronts marry the digital and physical shopping experiences, so customers get the best of both worlds.Through innovative omnichannel approaches like the ones Amazon is providing, other companies can continue to disrupt the current retail industry and deliver the experiences customers are looking for today.

Health care

The beginning stages of disruption in the health care industry are already upon us. As the technology for the internet-of-things and wearable devices continues to improve, how patients connect with health care professionals will continue to change. For example, wearable watches that monitor a patient's blood pressure may eventually reduce the need for an at-risk patient to attend regular check-ups. Doctors can remotely monitor a patient's progress and reach out with recommendations as needed.Wearable health care devices also collect big data, which will continue to give medical professionals insight into big-picture trends--like the migration of viruses or potential causes of cancer. It's anyone's guess as to where current advances will take health care, but we know big changes are coming. What those changes will be is going to depend on what startup finds new ways to leverage tech to make life easier for patients and medical professionals.

Education

According to Statista, "Projections show the e-learning market worldwide is forecast to surpass $243 billion U.S." Today, technology and e-learning are used to personalize education while making it more accessible and affordable for students. Expensive textbooks are getting replaced with more affordable e-books and learning software--both of which can provide immediate feedback for students and invaluable data for instructors.The right startup in this space could not only revolutionize our schools and universities but also completely change how we learn.

Real estate

Buying a property is a long and complicated process. In the course of one transaction, a buyer will work with mortgage lenders, bank associates, real estate agents, accountants, appraisers, and lawyers--among others. To even view a potential home, buyers will need to find an agent, schedule a time to meet, and physically see the house.But what happens when technology is created to sidestep a real estate agent's involvement? It's possible to create an experience that delivers potential properties right to potential buyers, so they never have to meet with an agent. Los Angeles-based startup Open Listings is already starting to blaze the way forward in this arena. This company allows users to choose the property they want to bid on and partners them with an agent only from negotiations to close.Plus, with the rising popularity of virtual reality, a buyer might be able to make a confident decision about bidding on a new home without leaving his or her living room.

Final word

While the above industries are ripe for disruption, all it takes is the right idea and the right technology to revolutionize the way things have always been done. For savvy business owners and leaders, the best advice I can offer is to make sure your company is the one with the right idea and the right technology before it's too late.

What You Need to Know About AI in the Workplace

Do you have a plan in place on how your business can use AI to its advantage? If not, now's the time to develop one.Artificial Intelligence (AI) is often used as a plot device for doom-and-gloom science-fiction stories set in the future. The reality, however, is that AI has been around for quite some time--and it's incredibly useful for businesses.In fact, this technology has been assisting us daily in ways we barely even consider. Whenever you say, "Hey Siri," shop on Amazon, play songs on Pandora, or search for a photo on Facebook, AI is quietly working behind the scenes to deliver what you need. Over the past decade, this technology has slowly integrated into our everyday lives, but progress is rapidly picking up speed.According to a recent Forbes article, Forrester is predicting we will see a 300% increase in AI investment this year alone. Meanwhile, Bloomberg stated that in 2014 more than $300 million in venture capital was invested in AI startups.So, do you have a plan in place on how your business can use AI to its advantage? If not, now's the time to start.

Reaping the benefits

Using AI in the workplace has many benefits that can affect everything from customer service to office climate control. Some of the standout perks include:

Better communication

Humana Inc. recently implemented AI to help it's call center employees prevent customer meltdowns. The technology can sense customers' emotions and detects keywords that signal when a conversation is about to get heated. Employees are then better equipped to manage the conversation.But this isn't the only way AI can be used to improve communication. Voice-activated systems can send hand-free messages; writing tools are learning context in order to improve grammar; and marketing systems are analyzing trends in big data to push the right content out to the right customers.

Improved customer satisfaction

AI can be used to deeply personalize the shopping experience. With certain algorithms in place, your systems can get a better idea of customers' preferences and tastes, and provide them with more options. My favorite example of this is when Target's algorithm knew a teen girl was pregnant before her parents did. Based on her shopping preferences, the retailer discovered she was expecting and started sending coupons for baby items to her family's home.This concept doesn't stop at shopping either. It can be applied to your content, customer service, or help desk strategies as well.

Streamlined facility control

Through the use of sensors and connected devices, you can use AI to manage everything from temperature control in office spaces to connected cars in the company fleet. Over time, AI can learn employee patterns and behaviors and adapt accordingly--freeing up time to spend on other activities.

Enhanced analytics

Having employees manually sift through big data to crunch numbers and provide meaningful insights is extremely time-consuming. AI, on the other hand, can be used to quickly analyze big data and provide key takeaways so you can make vital business decisions in real time.

Potential pitfalls

On the other side of the spectrum, AI also comes with a slew of potential pitfalls business leaders need to know. Will you have a policy in place about Alexa passively listening to all office conversations? If you've decided to eliminate positions and replace them with AI, how will that impact company culture? When the robots rise up and Judgment Day is upon us, how are you going to find Sarah Connor? Just kidding. Mostly.But, in all seriousness, you need to understand the potential pitfalls before adopting any AI technology. Here are a few to consider:

Privacy concerns

There is currently an open murder investigation in Arkansas where detectives are hoping Alexa can help them identify the killer. The scene of the crime had several IoT devices, including an Amazon Echo, which law enforcement believes may have been recording in the time frame leading up to the murder.Seizing any passive recordings made by Alexa, Siri, Cortana, etc., puts fourth amendment rights into question--and there's currently no real resolution in sight. However, if you plan to use voice-activated AI in your workplace, it's vital to define policies and procedures before implementation.

Dehumanizing the brand

Since firing all of their human editors and replacing them with AI algorithms, Facebook has repeatedly trended fake news to its users. This scandal damaged consumer trust levels at a time when journalism legitimacy is called into question almost daily.It's situations like these that remove the human element from a brand and make customers keenly aware they are not dealing with people.

Sloppy mistakes

In the early days of Netflix, I once spotted a movie category that was titled: "Movies Starring Actors who Look Like Zach Galifianakis." I still cannot fathom how that ever became a category option, but this is what happens when an AI algorithm is lacking either context or data.Anomalies happen with AI, and they can occur frequently. Whether it's a classical Pandora station randomly playing hardcore rap or targeted ads continuing to promote a product that was already purchased, these AI mistakes make the business look bad.

Not a one-size-fits-all solution

What works for one company may not work for another. The AI that's geared to do certain things for a financial institution may not be as efficient for a medical startup. Whichever AI technology you want to invest in, make sure it is tested and validated to suit your businesses needs.Regardless of these pitfalls, AI is evolving at ever-increasing rates. The companies that thoroughly research and implement this technology--in ways that speak to the overall vision of the business--are the ones that will have an edge on their competitors and potential disruptors. These businesses will be able to free up time and resources in order to gain more market share and find customers in ways traditional businesses can't even begin to fathom.The time to invest in and take advantage of AI is now--before the coming robot wars make us all obsolete. Kidding again. Hopefully.

Zombie Brands: 3 Tech Retailers Get a Second Chance at Life

It's a new year filled with fresh starts and beginnings, but for some brands 2017 is just another shot at redemption.Over the past twenty years, the dawning of the Digital Age has shaken traditional businesses to the core. Consumers' needs are changing and even iconic brands with enduring reputations have re-shaped their business due to disruptions in the market. The companies that refuse to adapt and remain agile are typically the first ones to go belly up.Yet, even amidst all this disruption, bankruptcy doesn't always equal death.While it's important for the conditions to be right, it is possible for a brand to rise from the ashes. In fact, there are several brands that are trying to make a comeback--especially in the tech retail space. Will these zombie brands get a second chance at life in 2017?

Circuit City

Once upon a time, the Richmond-based electronics retailer was at the top of their game. From humble beginnings in 1949 to landing a spot on the Fortune 500 list, the Circuit City brand name has held a lot of clout. But like many other companies, Circuit City was a victim of the 2007 Recession.

While the recession was the catalyst for its 2008 bankruptcy, the main reason Circuit City collapsed was its refusal to adapt to a changing consumer mindset. The company denied that newcomer Best Buy was a threat and continued to base their business on an outdated sales model.

How they revived:

It was predicted that Circuit City would be reborn by late 2016. In January of 2016, PCWorld stated that "New owners acquired the brand, domain name, and trademarks in October and are cooking up some big plans for Circuit City's return." As of publication, no physical locations have opened, but that may be good a thing. The brand must be meticulous and strategic in their rebirth. They've been out of the game for almost ten years while Best Buy and Amazon have been playing their hearts out. The competition is fierce.

What they need to do to survive:

Focus on a strong omni-channel strategy. Consumers' needs have continued to evolve since 2008. If this company is going to survive opening brick-and-mortar locations, it needs to seamlessly integrate the physical, mobile, and desktop shopping experience.

RadioShack

This company has always struggled with finding its focus. Over the years they've sold everything from radio parts to personal computers to toys to circuit boards. When it first opened in 1921, RadioShack sold radio components, but by 1963 the company was on the verge of bankruptcy. They were able to ride the CB craze of the 70s into the 80s and then made the shift into the computer revolution. From there, things became even more convoluted as the company tried to turn its many offerings into spinoff stores. The result was declining sales, expansions that quickly closed, and failed strategic shifts. The company declared bankruptcy in February 2015.

How they revived:

A bankruptcy judge approved the sale of RadioShack on March 31, 2015 to Standard General. The sale was intended to preserve stores and jobs, while ensuring the company partnered with Sprint. Since then, RadioShack has been working hard to reinvent itself through a series of clever marketing campaigns, but there is more work to be done.

What they need to do to survive:

Since RadioShack has a reputation for product demos, capitalizing on in-store virtual and augmented reality experiences could help to overhaul their outdated image. And, like Circuit City, they should focus on providing a seamless omni-channel experience.

The Sharper Image

Founded in 1977, The Sharper Image enjoyed popularity throughout the 80s and 90s as they sold high-end gadgets and electronics to consumers. But The Sharper Image also fell victim to the 2007 Recession. Declining consumer spending, an inability to adapt to changing consumer behavior, and backlash over their Ionic Breeze air purifiers drove the company to bankruptcy in 2008.

How they revived:

In 2009, Camelot Venture Group bought the rights to Sharper Image. The following year, the company relaunched The Sharper Image catalog and website. While no physical locations have opened, the brand has continued to grow since 2009. Camelot has increased catalog circulation, and used social media to their advantage. Recently, the owners of FAO Schwarz (the ThreeSixty Group) bought The Sharper Image brand.

What they need to do to survive:

The clever use of social media has helped to reanimate this iconic brand, but it will need to do more to compete. Integrating their social strategy with the customer experience will be key. They should also consider featuring pop-up physical locations to gain exposure for their products and garner media attention.For these tech retailers, the road to redemption will be a rocky one, but revival isn't unattainable. These iconic brands must put their customer at the center of their business; become hyper aware of consumers' changing needs; and reshape when necessary--all while remaining true to their vision. Only then will they have a chance at second life.

Omni-Channel Expert and Luxury Client Experience Board Members Show How Brands Boost Sales By Optimizing Technology To Enhance the Client Experience Across All Selling Channels

"Rapid increases in adoption rates of mobile technologies and the use of social networks over the past decade have radically altered traditional selling channels for marketers across the luxury landscape," says Milton Pedraza, CEO at Luxury Institute and Retail Performance Academy, noting that successfully leveraging these technologies requires a holistic view of the business. "From travel and financial services to autos, apparel, accessories, jewelry, watches and more, successful luxury brand managers have learned to integrate digital strategies in an intelligent way that complements traditional selling channels and produces seamless and superior client experiences online, in-store, on mobile devices, or through some combination of all three."According to Pedraza, top-level luxury and premium brand executives he meets with are most urgently concerned with how omni-channel strategies relate to their specific business, how to decide which strategies to invest in, and how to know whether investments in omni-channel integration will produce positive returns on investment. To provide insights and to guide discussion on these questions, the group heard from keynote speaker Brian Manning, co-founder and president of Centric Digital and co-author of REVIVE: How to Transform Traditional Businesses into Digital Leaders.Manning's message is that omni-channel marketing provides customers with connected experiences, and businesses with enhanced performance, by integrating capabilities, data, and organizational structures across all channels.Manning points out that new technologies have ushered in what amounts to a fourth industrial revolution that has put pressure on traditional retail sales, but has also created new opportunities for brands that are nimble enough to adapt their human resources, information technology, and inventory management systems to capitalize on the new reality.In this environment, according to Manning, stores face an identity crisis, with management at many firms struggling to define their roles as centers of shopping, entertainment, distribution, and information, and to measure their true profitability. "We see the digital landscape changing exponentially. This change, combined with increasing pressures on traditional revenue sources, up-ends how retailers, particularly in the luxury goods sector, engage with their customers and leverage digital capabilities to enable an omni-channel experience," says Manning. Retail brands also face disruption from digital natives like Amazon, as well as from the sharing economy with companies like AirBnB and ZipCar taking a bite of out of traditional hotel and car rental businesses. Even the attraction of the mall as a social destination for younger shoppers has waned in favor of hanging out on social networks like Instagram and Snapchat, while millennials increasingly opt to spend on experiences instead of material goods.Companies that have successfully leveraged their investment in stores to create integrated customer experiences have done so by making stores personalized and experiential, and their customer engagements truly omni-channel. Examples of "table stakes" efforts companies need to adopt to remain competitive cited by Manning include the ability of customers buy online and return in-store, to buy online and pick up in-store, and to receive free shipping on all orders. The degree to which companies are executing on digital strategies ranges from primitive (lacking foundational digital capabilities expected by consumers) and reactive (meeting minimum expectations), to transformative (blurs lines between physical/digital, human/technology). Adds Manning, "In addition to having a digital strategy, it's imperative that companies execute against their digital roadmap and track developments and trends in digital so they are not left behind."To drive the omni-channel experience, Manning argues that firms need to rethink success metrics for retail channel performance by integrating customer data across channels, resolving infrastructure and inventory gaps, leveraging the mobile-in-retail experience, and integrating next-generation technologies like virtual reality into the retail experience. Also important is that organizational structures move toward greater decentralization to help companies reap the maximum rewards of successful omni-channel integration.Executives in the audience from top luxury retailers, major brands, real estate brokerages, digital agencies, and international banks broke into small groups to identify the most important issues and action items to guide management teams navigating the current environment.

1. The store is going through an identity crisis that will shift quickly in 2017.

2. Brands must redefine the store and how it measures profitability with regard to omni-channel.

3. Constantly monitor trends and educate yourself, test and pilot, and roadmap and deploy.

4. Brands must shift from being reactive to having transformative digital strategies.

5. The data already exists, it's a matter of making it available to associates to use in an easy to read and well-rounded manner.

6. Rethink your success metrics and consider the behaviors that drive those metrics.

7. Provide your customers with the tools to create user-generated content that drives conversion.

8. Emotional intelligence is a key driver when technology is not optimal, and even when it is. Those with emotional intelligence will prosper more than those who do not, as the future of retail relies on relationships.

9. Have the bravery to be a category leader. Allow your sales associates to become brand advocates and ultimately customer advocates.

10. Brands must become more specialized and niche to provide a compelling offering that goes beyond the product and includes the optimal environment, service, human behaviors and tools that create the total experience.

"Although digital channels may seem to be encroaching on the importance of stores, innovations in technology also have the potential to dramatically leverage a company's investment in its brick-and-mortar locations and human capital," says Pedraza. "The key is to make investments in complementary ways that enhance overall performance and customer experience."For more information on best practices in optimizing technology for the client experience, and to receive a copy of Brian Manning's presentation, visit https://centricdigital.com or www.LuxuryInstitute.com, or contact CEO Milton Pedraza with questions and information about becoming a member of the Luxury Client Experience Board.About the LCEB: The Luxury Client Experience Board (LCEB) is a membership association of luxury industry practitioners, co-founded by Luxury Institute and The Ritz-Carlton to enhance the education and development of leading luxury brands. LCEB members receive ongoing education and training opportunities in industry best practices through original research, educational events, and training sessions. Members come from diverse industries united in their goal to build long-term, high-performance relationships with clients by delivering exceptional, seamless, and measurable omni-channel client experiences on a daily basis.

Disrupting the Disruptors: 3 Major Problems Facing Companies That Shake Up Industries

Once a startup comes in and shakes up an industry, it's hardly ever smooth sailing into the sunset. It can be all too easy to grab market share with new innovative ideas and technology, push traditional businesses to change, and get caught up in the victories. However, there are three major problems disruptive brands and companies need to be aware of in order to avoid burning out in a blaze of mediocrity.

Problem #1: Scaling too quickly

Potential for long delays, high prices for economy seating, sub-par food, and one-size-fits-all entertainment--these were the expectations air travelers had before the days of JetBlue. When it was founded in 1998, JetBlue's mission, according to founder David Neeleman, was "to bring humanity back to air travel."As a frequent traveler, I remember being blown away the first time I flew with JetBlue. Not only were ticket prices affordable, but each seat had its own TV and in-flight entertainment options, and rather than force feed everyone on the plane, they offered snacks instead. This airline was completely disrupting the typical flight expectations and it brought a breath of fresh air to the industry.Originally focusing on only two routes--from JFK to Buffalo or Fort Lauderdale--the airline was able to continue to exceed customers' expectations. However, in spite of rising fuel costs and higher prices associated with the amenities provided, JetBlue decided to rapidly expand and added several new planes and routes to their fleet.In 2005, they experienced their first quarterly loss and hit more turbulence from there. It all came to a head in February 2007 when their disruptive practice of "never cancelling a flight" caused mass havoc during a nasty winter storm. The pile up of plans at JFK left passengers stranded on the tarmac for hours and the entire fiasco reportedly cost JetBlue $30 million.Had they grown at a more sustainable rate, JetBlue might have avoided these profit losses and PR nightmares.

Problem #2: Inability to deliver at a larger scale

Gilt Groupe disrupted the fashion industry when it hit the scene during the height of the 2007 Recession. While retailers were forced to liquidate excess high-end inventory during this time, Gilt was able to purchase it for a fraction of the original price tag. They then sold it at a much lower cost to their members via online flash sales. The premise is similar to how Marshall's or TJ Maxx works, but they were one of the first companies to do it online.In 2012, Gilt Groupe was valued at more than $1 billion. But on January 7, 2016, Gilt was purchased by Hudson's Bay Company for only $250 million--which was less than the amount it raised from investors over its lifespan.So, what went wrong?The very catalyst that paved the way for Gilt's initial success--the 2007 Recession--is what ultimately lead to its downward spiral. As the economy started to level out, the overstock of high-end retailers was starting to run dry. Gilt's growth also contributed to this problem. Having a flash sale of 1,000 pairs of Gucci boots works well when you only have a few thousand people as members, but when you suddenly have millions, you're no longer able to keep up with the demand.When you're unable to deliver the products your customers expect at a larger scale, the result is frustrated customers who eventually lose interest in your brand.

Problem #3: Lacking self-awareness

One of the major issues with both JetBlue and the Gilt Groupe is they were lacking the self-awareness to understand their slice of the market. Had they been more cognizant about potential disruptors that could disrupt their business, they might have been able to grow at a much more sustainable pace.As the CEO, founder or business leader of a disruptive startup, it's vital to constantly check in and be aware of any potential pitfalls or issues. Your company is never impervious to disruption itself so the key is to scale with intention and remain hyper aware of current and future market conditions. With this in mind, your company will be able to continue innovating and changing traditional industries for the better.

How Lucrative Startups Can Avoid Disruption as They Grow

In his popular TED Talk filmed earlier this year, Adam Grant--New York Times best-selling author of Originals: How Non-Conformists Move the World--leads with a shocking admission."Seven years ago, a student came to me and asked me to invest in his company. He said 'I'm working with three friends and we're going to try to disrupt an industry by selling stuff online.' " Based on the student's lackluster pitch and the slow progress the founders were making in terms of developing and launching, Grant explains that he decided to pass on the opportunity.This company turned out to be Warby Parker, and Grant missed his chance to be a part of what Fast Company deemed "the world's most innovative company" in 2015--valued at over $1 billion.But it appears the reasons why Grant declined the investment were also some of the reasons Warby Parker was able to become a lucrative startup that avoided potential disruptions as it grew.

In a previous article, I discussed how startups face major problems as they shake up industries, but these problems can be managed by implementing the following solutions or mindsets.Grow at the right paceOne of the reasons why Grant decided to pass on Warby Parker was because the founders didn't seem like they were in a hurry to push the company forward. Even Warby Parker co-CEO Dave Gilboa once admitted, "Warby Parker wasn't the basket that I wanted to put all my eggs into."They were slow to grow and took their time incubating the founding idea that would cut into the monopolistic eyeglass-wear industry. This actually worked to the company's advantage. By the time they were ready to go to market, they had a solid vision and brand--one that was dedicated to building and strengthening customer relationships.And it's because of its dedication to customer relationships that Warby Parker was able to grow at a pace that worked best for its customers.

Understand the ecosystem will rebalance

Every disruptive startup will only make monumental waves for a short period of time. Once the initial shock wears off and competitors find their foothold in the market, the ecosystem will rebalance.In fact, competitors may even implement plans to disrupt the original startup--which can result in legal and legislative action. Take Airbnb's current situation with the state of New York. After receiving many complaints from the hospitality and real estate industries, New York is putting out new regulations specifically designed to curtail Airbnb's rentals. Meanwhile, Uber is getting sued by the oldest cab company in San Francisco for "predatory pricing tactics"--among other legal issues the company is facing.This is why it's vital for founders to think through any potential backlash. Business leaders must ask themselves: How can the competition outpace us? Do we have a corner on the market? What type of legal problems could arise? By asking these questions, leaders can ensure they have a plan they can execute when the ecosystem starts to tilt out of their favor.

Embrace change as a part of the company culture

Change is always difficult to manage in any organization. I see this all the time at Centric Digital, as we typically help large, traditional companies undergo digital transformation. Categorically, these companies struggle with the ability to change--but the savvy ones know that, in order to compete in today's market, they must be agile.The irony here is that these large corporations are often forced to change because of the disruptions produced by smaller, leaner startups--yet I've encountered many small businesses that also struggle with the ability to change and pivot when necessary.The solution is to create a culture that's dedicated to fostering and encouraging new ideas and innovation. When change becomes part of everyday life, it becomes easier for employees to embrace--which then makes the entire company better equipped to react to changes in the market and potential disruptions.While the above solutions can help any startup navigate potentially troubling waters, the most important takeaway from Warby Parker's success is their dedication to customer relationships.When your customer is at the center of your business plan, growing at the right pace and managing changes in the industry's ecosystem will become second nature. Startups will know exactly the right move to make for their customers, and in return, customers will keep coming back for more.

The Paperless Office: Urban Legend or Attainable Reality?

The concept of a paperless office has been years in the making--nearly 41 to be exact. In the June 30, 1975 issue of BusinessWeek an article titled "The Office of the Future" started rounds of paperless office predictions. In the article, Vincent E. Giuliano asserted that "by 1990, most record-handling will be electronic." Other leaders were a bit more pragmatic in their assertions. Former president of Redactron Corporation Evelyn Berezin (who is best known for designing the first computer-driven word processor) stated, "It will be a long time--it always takes longer than we expect to change the way people customarily do their business."Four decades later, we're still chasing the paperless office dream.

Transforming myth into reality

I can tell you from first-hand experience that going paperless is by no means impossible. The Centric Digital office is a paperless work environment and we've been that way since inception. This often comes as a shock to other business leaders. Whenever I bring an executive or client into the office for the first time, they're always amazed to see our all-digital operation in action--some react as if they've just seen a unicorn. My question to them is always, "Really? In 2016, you think it's impossible to be paperless?"In the height of the Digital Era, we're not lacking the means to eliminate paper from the workplace, but we are lacking the mindset.

The benefits of paperless

Companies need to reinforce the benefits if they're going to create a culture that relies on digital for communication.From a customer standpoint, going paperless can save all parties time and money. Take the financial industry for example--they are one of the slower industries to embrace digital transformation. Many financial institutions today still send out trade confirmations by mail--even if you've opted out of paper statements. Not only are they wasting money on paper, ink, and postage, they're also paying the salary of the employees managing that mail process. These costs roll down to the consumer who pays for it all in the form of higher fees.From a business process standpoint, imagine what you could eliminate and improve by having a paperless office. You could say goodbye to costly Xerox repairs, office supply orders, mailing and receiving paper checks, and wasted employee time.Furthermore, prohibiting paper in the office forces information to be 100% digital, where you can make endless amounts of backups, and easily increase transparency. Not to mention, top talent wants to work for digital and tech-savvy companies. According to an Adobe survey, 68% of respondents said, when deciding where to work, it was important for a company to operate mostly electronically. Furthermore, 76% stated they were impressed by companies with a strong digital presence.Attracting top talent, more profits, better efficiency? I'm still not sure why paper is around in offices at all anymore.

The formula for going paperless

You might think the secret to a paperless company is purely technology--it's not. Well, not entirely. Thanks to products like iPads, smartphones, cloud services, DocuSign, Evernote, and Google Drive, the ability to go paperless is highly accessible. Yet, even with all this tech, companies continue to rely on paper. It's not because they don't have access to the technology, but because they're lacking the policies, organizational structure, and discipline to change.In order to go paperless, companies need to rewire the way they think and operate. The decision needs to be made and enforced across the organization, and everyone needs to work together to enforce paperless policies and procedures.At Centric Digital, this even impacts how we interact with outside vendors. Any lawyer, accountant, contractor or vendor/partner we work with is told we don't accept or write checks--everything we do in regards to payment is done with ACH. We even force our vendors to use our cloud-based file systems to share documents with us, preventing them from mailing us copies of anything. The result? We never get a stitch of paper from any of our vendors or partners and our external workflows are extremely efficient.Our paperless policy has become part of doing business with us. If the vendors we work with won't adhere to these policies, then we'll find new ones. So far, our vendors have been more than happy to accommodate.

An exception to every rule

Of course, there are exceptions on when and where it makes sense to go paperless. When we were in the process of publishing our book on Digital Transformation, Revive: How to Transform Traditional Business Into Digital Leaders, we made the decision to have printed copies of the book made. We did this because the majority of the publishing industry is still reliant on print books so in order to get our message out, we needed to bend our "no paper" policy.So, are you using paper because it's an old habit or because it makes strategic sense to your specific business or project?Yes, the paperless office has been a very long time in the making--but it no longer has to be. With the numerous amounts of software, services, apps, and technology available today, the only thing we need to do is make the decision to go paperless--and the discipline to see it through.

Boom or Bust - Part I: Why You Need to Reshape Your Company as it Grows

What's the secret to growing a company from inception to $500 million in sales? While there is no universal answer, there is a pattern of success anyone can follow. As an entrepreneur, small business owner, CEO, or interested party, one of the best ways to steer a growing company in the right direction is through a continuous state of reshaping, refining, and re-tuning the business.As you do so, keep in mind this is more of an art than a science. It takes skill, creativity, and a steady hand to know what needs to be done to create a final masterpiece.

The ice sculptor and the swan

In order to better visualize what I'm referring to as "reshaping" a business, it helps to think of a new company as if it were a giant block of ice. As the president, CEO, or owner, you are the ice sculptor--it is your job to transform that ice into a "swan".Every stage of the sculpting process is going to look different. As you move through each phase, you'll need to add new details, bring in additional tools, and use new processes in order to achieve your original vision.If the artist did not constantly work at reshaping the ice, the swan (end vision) would never emerge, and the result would be a giant melting mess that swirls down the drain. This same concept can be applied to a new business, where stagnation is the kiss of death.As your company grows, you'll need to hire better talent, possibly switch channels or partnerships, open warehouses internationally, or improve your product. The only constant is change as you reshape and refine. Yet, the paradox here is that you don't want any changes that will disrupt the original vision. If you've already carved out the wings of the swan, it is not the time to decide you want to sculpt a bear instead. To put this concept in a business context, if you start a company that sells macaroons, but after opening three new locations decide to also sell cleaning supplies, you're likely going to destroy the business you set out to build.

Companies who reshaped and refined their way to success

There are many examples of companies that successfully "changed the tires on the car while it's driving down the road". They were steadfast in their vision, yet knew when, where, and how to reshape. Two classic examples include:McDonaldsWhile the company's namesake may suggestion otherwise, the McDonald's brothers were not the ones who brought the Golden Arches to greatness. The larger-than-life, international success of McDonald's rests largely on the shoulders of Ray Kroc, an American entrepreneur who, arguably, was more passionate about the potential to grow McDonald's than the original founders.After getting involved with the franchise, Kroc saw the massive potential McDonald's could have on a global scale and made several innovations. He made improvements to the hamburger preparation assembly line, standardized the taste of every burger, invested heavily in good talent, and more. Eventually, he became frustrated with the founders' resistance to expand and bought out the company in 1961. Through his constant attention to detail and desire to perfect the company's secret sauce, Kroc got McDonald's to outpace Burger King in 1977. Afterwards, Kroc re-assigned himself to senior chairman and turned over the reins of the company he carefully shaped for 16 years.AmazonExperimentation is at the heart of Jeff Bezos' business philosophy and it helped move Amazon from garage-based startup to the largest Internet retailer in the world. Furthermore, when asked about what makes a successful CEO, Bezos replied, "We are stubborn on vision. We are flexible on details." Amazon was not afraid to dip its toes in the water of the media content, cloud storage, and consumer electronics businesses all while building out an amazing distribution infrastructure that has created an incredibly wide moat for their core ecommerce business. The combination of a clear vision, flexibility, and constant experimentation was the winning formula Bezos used to shape a company with a current net worth of $66.4 billion USD.The ability to bring a company from a rough and unformed concept to a streamlined and profitable business is, without a doubt, an art form. However, you don't need to rely on innate talent to achieve greatness while growing a company--it is a skill that can be learned.Stay tuned for part 2 of this series where I will explore specific ways in which you can stay true to your vision and expand your business in a controlled manner.

Centric Digital on the 2016 Inc. 5000 Fastest-Growing Private Companies for 3rd Year in a Row

Company ranked #2012 with Three-Year Sales Growth of 185%

NEW YORK, Aug. 18, 2016 /PRNewswire-iReach/ -- Centric Digital(www.centricdigital.com), the leading pure playdigital transformation partner, announced today that it was named one of the fastest growing private companies in America by Inc. Magazine for the third consecutive year in a row. The company was ranked #2012 on the 2016 Inc. 5000 list based on a three-year sales growth of 185%.

"We are thrilled to have made the Inc. 5000 list for the third consecutive year, and it is a tribute to the hard work of our employees and the trust our clients put in us," said Jason Albanese, Co-Founder and CEO. "Centric Digital's continued rapid growth is a testament to the hard work of our team."

After it's founding in 2009, Centric Digital debuted on the 2014 Inc. 500 list as #34 overall and #1 in New York City and New York State, the company more than doubled revenue in 2015 and continues to scale their operations and client footprint in 2016.

"Continued recognition by Inc. validates the direction in which we've led Centric Digital - a platform based approach that drives the measurement and management of digital transformation," said Brian Manning, Co-Founder and President. "Traditional businesses are under significant pressure to transform their business model and adapt to the changing consumer preference to increasingly interact with digital brands."

Inc 500 Methodology

The 2016 Inc. 5000 is ranked according to percentage revenue growth when comparing 2012 to 2015. To qualify, companies must have been founded and generating revenue by March 31, 2012. They have to be based in the U.S., privately held, for profit, and independent — not subsidiaries or divisions of other companies — as of December 31, 2015. (Since then, a number of companies on the list have gone public or been acquired.) The minimum revenue required for 2012 is $100,000; the minimum for 2015 is $2 million. As always, Inc. reserves the right to decline applicants for subjective reasons. Companies on the Inc. 500 are featured in Inc.'s September issue. They represent the top tier of the Inc. 5000, which can be found at http://www.inc.com/inc5000.

About CENTRIC DIGITAL

Centric Digital is a leading digital transformation partner, providing solutions to traditional businesses to revive their business models, rejuvenate their customer experience, and optimize their operations for the digital age. Its approach and platform are fast-becoming the industry standard for enterprises to measure and drive digital transformation. Global enterprises across health, finance, retail, industrials and government rely on Centric Digital to interpret digital trends, benchmark their digital capabilities, create digital strategy playbooks, and design and deliver innovative digital and mobile experiences. For more information on the company, visit centricdigital.com and for insights on digital trends visit centricdigital.com/blog.

Media Contact: Racheal Du, Centric Digital, 646-854-3892, pr@centricdidigital.com

News distributed by PR Newswire iReach: https://ireach.prnewswire.com

GE CMO Linda Boff Named Chief Digital Officer of the Year 2016 by CDO Club

Linda Boff, Chief Marketing Officer at GE, was today recognized as U.S. Chief Digital Officer of the Year 2016 by the CDO Club, the world’s largest community of C-suite digital and data leaders.Boff is being recognized for her leadership in transforming the GE brand as the company becomes a ‘Digital Industrial’ company.She is not the first non-CDO to gain the recognition: The first-ever CDO of the Year award was given in February 2013 to Teddy Goff, who served as Digital Director at Obama for America in both 2008 and 2012, and now serves on Hillary Clinton’s 2016 U.S. Presidential election campaign.Boff was announced as the recipient of the award after her featured presentation at the NYC CDO Summit, presented by Centric Digital, on April 27, 2016, at Thomson Reuters in New York City.“Today we recognize Linda’s critical role in evolving the GE brand by showing the importance of digital leadership in the marketing function,” remarked David Mathison, CEO of the CDO Club and CDO Summit.“Her work is a testament to how traditional businesses can succeed and thrive by putting digital at the center of their business and marketing strategy,” added Brian Manning, President & Chief Digital Officer at Centric Digital, the summit’s presenting sponsor.GE’s brand has stood for technology and innovation for 124 years, and its innovative marketing is critical — especially as it aligns with the company’s digital transformation.The company has pioneered many first-to-market digital activations — experimenting on new platforms and using cutting-edge technologies in ways that are unexpected and easy to share and that generate attention.GE was the first brand on Vine, and among the first brands on Twitter, Instagram, Medium, Giphy, Poncho, MikMak, Meerkat, and Periscope. The GE Podcast “The Message” hit #1 on iTunes last fall.The company also began experimenting with Virtual Reality (VR) in 2014, and in 2015 it partnered with The New York Times on its first VR storytelling activation.Boff was promoted to CMO in September 2015 after previously serving for four years as Executive Director, Global Digital Marketing, where she played a key role in GE’s foray into digital marketing and content creation.Before GE, Boff served as CMO of iVillage Properties, part of NBC Universal. She joined GE in early 2004 with 18 years of experience in marketing, advertising, and communications, including senior roles at Citigroup, the American Museum of Natural History, and Porter Novelli.She is a 2014 AWNY Changing the Game Award winner, B2B magazine’s 2012 Digital Marketer of Year, and 2012 Media Maven. She is on the board of Partnership with Children, a NYC-based organization that provides social support to some 5,000 hard-to-reach schoolchildren. Boff is also on the Ad Council’s Executive Committee and is a member of Digital 50.Boff earned a BA in Political Science and Psychology from Union College.Previous CDO of the Year award winners include Adam Brotman, Chief Digital Officer at Starbucks Coffee Company; Rachael S. Haot, former Chief Digital Officer of New York City and New York State; Patrick Hoffstetter, Chief Digital Officer at Renault; Tanya Cordrey, former Chief Digital Officer at Guardian News and Media; Mike Bracken, former Chief Digital Officer at U.K.’s Government Digital Service; and Rebekah Horne, Chief Digital Officer at National Rugby League.See All NYC Speakers Here >If you are tasked with understanding what digital leaders must do in order to succeed in almost any industry, the best place to learn more is at the CDO Summit.Register today to get the Early Bird Registration rate for the U.K. CDO Summit on September 28, 2016 and the inaugural Washington D.C. CDO Summit on November 16, 2016.