Monday, 30 April 2018

IT IS NOT LUCK by Eliyahu Goldratt

I read this book right after the” THE GOAL “ of the same author. As ı wrote before I was impressed of the first book. Either the narration is marvellous either the contents are very inspiring and evocative.

This books looks like to be almost the continuity of first. It is conveying you to start to think about from a wider context of your core business. Small problems may distract you very much to see the whole picture.

The author is suggesting to draw or outline the EXISTING REALITY TREE and from where you go to FUTURE REALITY TREE, through TRANSITION TREE…

Below I am giving some quotes from the book :

 “you know what happens when you let bad situations naturally develop.”
Left to themselves, things go from bad to worse.”

“In the past a good product line was sufficient to sustain the company for four or five years. That’s not the case anymore. It’s become a rat race. I estimate that we will have to come out with a new product line every year.”

“I knew that if you overcame your obsession that big money can only be found in the large quantities, you would find that there are enough additional lucrative markets that require small quantities”

“slave drivers always lived in better conditions than the slaves.”

“Managers are trying to run their companies by striving to achieve local optima.”

“Usually we think that in order to increase the perception of value of the market we have to come up with new, improved products.”

“what is really determining the perception of value of a product in the eyes of the market? It’s not the effort to produce it, it’s the benefits derived from having the product.”

“We know that there are two types of benefits. Adding something positive or eliminating something negative.”

“we can get the easiest and quickest improvements by concentrating on eliminating the negatives.”

“If, ‘The company takes actions that sufficiently increase the perception of value the market has for the company’s products,’ ” I say, starting to build the“Future Reality Tree, “then, ‘The perception of value the market has for the company’s products is higher than the current prices”

“We need to do it in a big enough market, big enough to exhaust all our capacity. And we need to do all of it in a way that will be difficult for our competitors to copy.”

“Maybe the new product is just the old one with small modifications?”

“The company introduces small changes that sufficiently increase the perception of value the market has for the company’s products.”

“Market perception of value is in accordance with the benefits of having the product.”
“If we want a marketing solution for our company we shouldn’t analyze our company, we should analyze the company’s market. The solution to marketing is in the market”

“If we want to bring a lot of benefits to the market we’d better address its core problem, not the symptoms, as everybody else is doing.”


“The objective is, ‘Bring the buyer to see your product as the best value for his money”

“Transition Tree: the “how to” tree; the detailed logic of how to transfer from the present into the desired future.”

“the market punishes companies that don’t satisfy the market perception of value.”

“No one yet has invented a unit of measure for security or satisfaction”

“We shouldn’t ever build a strategy based on a market forecast.”

“Concentrate on small changes that eliminate the negatives for the market.”

“if you follow a good strategy, the market should never drop on you”

Avram Aji
01.05.2018


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