As just about any expert – in any subject area – will tell you, do the basics well and you will be reasonably successful. The same is true about business.
The ROKC ™ Method is so simple to understand that I can explain it in 3 easy to read propositions. But don’t think it is easy to implement, because it isn’t! Like anything you do well, it requires practice and discipline.
The 3 propositions are the following:
- All businesses exist because they own and/or control an asset that they use in their products or services, which customers will seek to acquire if it provides them with a competitive advantage in achieving a specific task for they are uncertain about the outcome.
- All businesses will survive if the rate of return on the fore mentioned asset is higher than the cost of capital.
- Leaders are those individuals who are able to see and share with their community a less uncertain way of achieving a specific task, which inspires them to cooperate and collaborate to make it a reality.
The asset in the first proposition is so fundamental to everything that comes after we have named it the “Key Component”.
The return generated by all the processes required to make the Key Component usable and available to the customer is therefore referred to as the Return On Key Component, or ROKC. The higher the rate of the ROKC the more readily the business can satisfy the requirements of all stakeholders.
And, leadership is required to create the conditions by which all the stakeholders want to cooperate and collaborate to make the competitive advantage perceived by the customer a reality.
With this methodological framework can “Lead A Successful Business.”