In an exclusive edited extract from their forthcoming book, Harry Macdivitt and Mike Wilkinson get to the heart of value
The word ‘value’ is used so often that it is in danger of losing whatever meaning it had. In short, the concept of value has itself become devalued! Value is the core driving force underlying every business decision. Therefore it is important that we know what it is, how it is defined and used in order to yield real insights into our daily work. Here are just some of the answers we hear when we ask managers to define the term:
• Value is getting more than I paid for (or expected)
• Value is the perception that I need your solution more than someone else’s
• Value is perceiving I’ve had a good deal
• Value is getting a feel-good factor from a transaction
• Value is making my life a bit easier
• Value is a mystery!