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Developing a High-performance Design Firm

Ford Motor Co. DuPont. Wrigley. Rockefeller. Mellon. All American dynasties. Companies and fortunes that have lasted decades; futures established for generations to come, built with the benefit of some vision, some luck, hard work and strategic thinking. How many design companies are building a legacy for the future? And how many others are looking only to staffing the proposal they hope to get tomorrow? Let's explore how a design firm and, ultimately, our industry might develop an accurate assessment of itself and shift from short-term to long-term perspectives.

The Need to Move Forward
Designers need to emulate progressive corporate America, looking at key indicators of our current standing, strategizing where to go, and leveraging resources to set the course. Interiors professionals must study current economic trends and prepare themselves to have the financial, intellectual and human resources necessary to respond to the needs of clients, providing continuity and stability for the future of firms. High performance companies must be aggressive and recognize that standing still in this day and age is the equivalent of moving backward.

It is very important to understand why the firm exists, what constitutes values and beliefs and who the firm wishes to serve -- both now and in the future. This philosophic perspective will help identify prospective clients and define the services to be delivered. Design specialization is on the rise with different segments of the market ebbing and flowing. A firm's visions of the future should be an explicit plan with time-specific benchmarks of achievement. The strategic plans should be reviewed annually and adjustments made -- not reactionary redirections but fine-tuning to permit the future vision to provide for leveraging the current opportunities. Embrace change and relentlessly pursue the vision.

Factor into future plans the reality that customers select suppliers based on their own value system stressing:

 

  • price,
  • quality,
  • convenience or
  • service.

By researching the corporate vision/mission statement of potential clients you may be able to find evidence of the criteria by which your firm will be evaluated. Look for client values that parallel your own.

Star Development
Once you have determined what the firm "holds dear," what markets are (or will be) strong and what clients are potentially compatible with your value system, you can begin to analyze the appropriate employees for the firm and the role they can play today and in the future. Leadership, not necessarily the sole prerogative of the firm's ownership, is a critical asset. Select employees who have a dream compatible with that of your firm; don't try to be all things to all people.

Learn/teach the skills of getting people to work together through shared vision and enthusiasm, not through authorizing and directing. Staff development is probably the most critical piece of planning for future strength. In building for tomorrow, mentoring, training, support and permission to fail are mandatory. Constantly monitor whether your stars are being used and developed to their potential. Lessons learned by young people watching true leaders are retained long after the mentor is gone. Be certain the corporate vision is more than words on paper, that it is visible in the actions of every employee.

Continuous education is a critical competitive weapon. However, if the firm leaders are not personally committed, the junior staff may have a difficult time finding the hours and money to pursue the goal. Students come from a structured environment with clear, measurable goals and timelines; don't expect them to suddenly know, without guidance, what next steps are appropriate within the world of work. Firms should outline a "critical path" of education, experience, testing and licensure/registration/certification to guide advancement activities.

Employee loyalty is elusive at best, particularly at a time when most companies can't guarantee job security. The most enlightened companies are building employee relations by providing new opportunities for success, open communications, individual empowerment and education and career counseling. Tom Peters encourages updating your resumé constantly and when you have nothing new to add, finding a new job. That seems sound advice. Keep the challenges stimulating, the financial rewards reasonable and most employees remain loyal, productive and happy.

We are in the midst of a rapidly evolving global economy. If it has not touched your practice yet, it will very soon. With the expansion of media connectability, every employee is the "face of the firm" to someone. An intimate awareness of the design firm's values and aspirations is critical -- there isn't time to learn it when asked a question. It must be ingrained and accessible instantaneously or opportunities will come -- and go unrealized.

Recharging Business Performance
To charge your company's economic performance, a good model is outlined by Peter Drucker in his book, Managing for the Future: The 1990s and Beyond. Five key areas to examine are:

 

  • What is your company's standing in its market and are you moving up or down? If you are improving your standing, is it in the markets you have determined are the future for your firm?

     

  • Is your company a successful innovator in its markets? Are you leading in new thinking or lagging behind your former status? How long does it take to bring a new business or functional concept or idea into reality?

     

  • How is your productivity? Productivity measures the relationship between cost of input and the output gained. Are your employees adding value through their intellectual and creative efforts or merely processing paper and generating mediocrity? Can you use fewer resources and derive the same or better quality end product?

     

  • What is your current liquidity and cash flow? Where are you really? If you closed the doors tomorrow, could you pay all the bills? There are hard costs of doing business and if you are "buying" proposals, your ability to prevail over the long-term is certainly in jeopardy.

     

  • What is your business profitability? This is the capacity of a company's resources to produce a profit. If your structure precludes profitability, face it now and reinvent yourself, either reducing the capital needed to produce, market and service a given unit of output or a wider range of markets.

John Rau, dean of Indiana University's business school, has described high-performing companies as "entrepreneurial . . . the best big companies behave like small companies . . . the strength and intensity of the leaders, their understanding of their business, the reliability of their structures and the depth of their talent were the real predicators of long-term success."

Begin today to build a legacy for the future. To do so is to move away from price cutting and to begin to build on cohesive vision, critical self analysis, ongoing education and investment in people and process. Reach high, raise the bar and create "in perpetuity" your vision for quality design.

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Related Articles
» Good Design Is Good Customer Service
» How Interior Design Improves Productivity
» A New Experience for Home Offices
» Design team creates new statement in a familiar place.
» Art Deco Echo
» What Does a Designer Actually Do?
» Eco Design Matters: What's Green?
» No More Great American Lunch Hours
» Design for Disability
» Understanding Disabilities

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