Monthly Archives: December 2010

Moving to higher value or moving away from it?

Moving to higher value or moving away from it

This week I’m working with a group in northern Ontario. Snow is a way of life up here, so why does my rental car not have snow tires, or decent all seasons at a minimum? Why did I not only get stuck in the hotel parking lot, but also on the plowed main street?

The value of my rental car is that it enables me to get to the site to help my client. If it can’t do that, the car is worthless – the service has zero value to me. All of the components of that car have to be focused on that value. You could argue that better tires do not offer the company an adequate ROI because extreme conditions are unusual, but this is December in Northern Ontario Canada that we are talking about! 

You might blame it on head office located in some sunny warm region, but in this case the office that makes the decisions is located in Thunder Bay Ontario. Thunder bay is no stranger to snow even though they are farther south than where I am.

Delivering value means understanding the value to the customer, and that value can be destroyed by the weakest link in the system. The rental car company has lost my business. Their competitor has earned it and I’m making tracks…


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