(February 14, 2007) What do you call the tendency of companies to
lose sight of their business? In 1960, Theodore Levitt published an
article called Marketing Myopia (pdf) in the Harvard Buisiness Review.
Marketing myopia
is a term used in
marketing.
Indeed, one of the most important marketing papers ever written [[1]]
was that on `Marketing Myopia' by
Theodore Levitt. This paper was published in the
Harvard Business Review; a journal of which he was an editor. Some
commentators have even gone as far as to suggest that its publication marked
the beginning of the modern marketing movement in general. Its theme was
that the vision of most organizations was constricted in terms of what they,
too narrowly, saw as the business they were in. It exhorted CEOs to
re-examine their corporate vision; and redefine their markets in terms of
wider perspectives. It was successful in its impact because it was, as with
all of Levitt's work, essentially practical and pragmatic. Organizations
found that they had been missing opportunities which were plain to see once
they adopted the wider view. The impact of the paper was indeed dramatic.
The oil companies (which represented one of his main examples in the paper)
redefined their business as energy rather than just petroleum; although
Shell, which embarked upon an investment programme in nuclear power,
subsequently regretted this course of action. (Wikipedia)
"Myopia,
or nearsightedness also known as short sightedness, is a
refractive defect of the
eye in which
collimated light produces image
focus in front of the
retina when
accommodation is relaxed." (Wikipedia)
In other words, Myopia is is dysfunction that makes it hard to see things that
are close up.
The tendency for a company to have a myopic view
of its business and competitive environment is a natural thing. What Levitt did
in his article is something that needs to happen again and again in cycles of
corporate renewal. We ware all predisposed, by virtue of being human, to turn
vibrant things into repeatable processes. This narrowing, or focusing, is the
essence of one part of the management process.
The counterbalancing technique is to keep
expanding the horizon. Taking in new ideas, enlarging the sphere of discourse,
expanding the definition of the core business. These are the things that leaders
do to keep their heads out of the sand (or other dark places).
Marketing Myopia hits different parts of the
Recruiting Ecology in different ways. Here are some classics:
Third Party Recruiters come to believe that
Recruiting is only an art form and that process and proceduralization are a
fantasy.
Newspapers believe that the way they've
always done things is good enough for the future.
Applicant Tracking System providers believe
that their installation processes, in fact, capture a useful slice of the
company culture.
Job Boards pooh-pooh the Web 2.0 phenomenon.
The Web 2.0 players think that if they get
the technology, so will the rest of the market.
Early adopters believe that the world they
inhabit is relevant to the rest of the industry.
Yesterday's article, which showcased a non-industry
based move to enlarge the sphere of job boards, was a small attempt to highlight
the risks of Marketing Myopia to incumbent players.
Talent is what matters most.
Hire the best with Authoria Recruiting.
Authoria Recruiting 2007 is a next-generation recruiting solution that helps you:
Understand exactly what talent your managers need.
Find the best sources.
Target and attract the highest quality candidates.
Hire top talent and track their success.
The most widely-used enterprise recruiting solution on the market, Authoria Recruiting helps our customers manage private talent pools totaling over 11 million candidates.