What can dark horse companies teach us?
Why do you think the TV show "Shark Tank" is so popular? You would think that a show about a bunch of finely dressed business people assessing new business ventures is more fodder for boardrooms than family living rooms. So what’s the hook and what can we all learn from this happening?
The show’s creators are harnessing the dark horse phenomenon. People tune in to witness what unknown people with few resources and fewer connections can accomplish with great ideas, strategy, passion, and a strong sense of identity and purpose. The dark horses are the candidates who stand in front of the rich investors with all these elements in place. They’re the ones who persuade the sharks to invest in their products, regardless of their blind spots and odds stacked against them.
All of us have blind spots that limit our success and are often stumbling blocks to growth. Over a three-year period, I sat down with and interviewed the top retail executives from many of the largest retailers in the country. The insights uncovered were telling and helped me understand how dark horse companies can sneak up on their larger competitors. It is very clear that many organizations, big and small, are not as aligned and valuable as they may think they are. In fact, their blind spots are killing them, and they don’t even know it.
What we found is that the most vibrant and healthy dark horse organizations work diligently to increase their own corporate awareness, shining a light on areas that could hinder their future success. The best organizations want to know how they are doing and create an atmosphere where their customers, employees, suppliers and partners share the naked truth. A big part of their success is that their leadership is open to criticism, which allows them to stay in reality.
They operate in a culture of stark-raving honesty. Conversely, many organizations struggle with a number of blind spots that often impede growth, including:
Not understanding the most vital personal priorities of customers
Not being perceived as different from the competition
Not bringing the most relevant assets, knowledge and/or ideas to the customer
Not listening or reading between the lines of what customers are saying/thinking/feeling
Winning organizations know that business is not transactional: it’s personal. They set their own rules of engagement, and their corporate values are shared by everyone across the organization. Expectations are clear; employees are encouraged to find and use new resources. Risk is discouraged, and power is shared. Sound like your company?
We have also found that some of the best companies are very agile and somewhat messy at times. Even though they have clearly defined the box they play in, they are always evaluating, innovating and tinkering around the edges of their business. This flexible, curious culture provides stimulation for lots of innovation and ideas. It is far from perfect, but that’s not the goal. The goal is to constantly strive for being different.
As one customer shared with me, “the best companies move from prototype to end product quicker than competitors, and have learned to innovate quickly while thriving in messiness.” Winning companies are constantly in the process of reinvigorating their business, leaving competitors in their wake. They ask their customers lots of questions and never assume they are done understanding the industry or their business.
Dark horse organizations are very clear about their purpose (and identity), conveying a unique voice to their customers and the industry at large. Their culture gives them a real advantage, creating an image of looking and acting differently than everyone around them. The stronger its sense of purpose, the more likely they are of leaving an imprint on the industry.
Whether you lead a larger multinational, a small business or a consulting practice, dark horse companies leave value clues for all of us. Some of the most distinct companies today are dark horses. They think different and they are not afraid of looking different and even polarizing at times.
Just this week, Graham Moore, the 2015 Oscar winner and screenwriter for "The Imitation Game," emotionally reminded disenfranchised kids and the world to “embrace being different.” He went even further stating, “stay weird, stay different and then pass it on.”
Dark horse companies understand, embrace their differences. Have you?
For more insights on Dan Mack and the Elevation Forum go to www.mackelevationforum.com. To learn about his first book Dark Horse: How Challenger Companies Rise to Prominence visit www.darkhorsebook.com