Inca Insights
•The moment of greatest strength and success is also the moment of greatest vulnerability.
•Analyze your weaknesses, especially when you are starting to feel invincible!
“Becoming Number One in everything you do has to be your prime objective. However, being Number One doesn’t mean being the biggest.”
Gerd Stürz, Head of Life Sciences (Germany, Austria, Switzerland) at EY
1 A Compelling Vision (or the Pitfalls of Ambition?)
A company’s glossy brochure or website usually includes a “vision statement” and, if you ever want to flatter a senior executive, just describe him or her as “a visionary.” But, in the real world, is a vision statement always useful for motivation? For many decades, this certainly was the case for the Incas—up until the point when their ambition led to a dramatic downturn in fortune. Even today, the maps of their empire are still impressive, as they illustrate a period of continuous expansion achieved in just six decades and stretching around 2,500 miles down the west coast of South America. At its peak, the Inca Empire included parts of modern-day Ecuador and Peru, Bolivia, Chile and Argentina. What lay behind this rapid and almost insatiable appetite to conquer? The Inca lords found affirmation in their vision: “Bring Order to the World.” Inca Pachacutec took a name which translates to “World Reformer” or “Savior of the Earth,” and the empire’s expansion started during his reign in 1438. The Inca “global corporation” viewed bigger as better and biggest as best, rather like today’s global players in Silicon Valley—although in the end their enormous empire became practically ungovernable, so retreat was not an option. Any similarities with today’s big businesses are more than just coincidence. The Incas considered every enemy of a tribe they had conquered to be a new enemy for them, which meant more military campaigns and constant further expansion. Toward the end, their ambitious vision turned into a risk which accelerated the downfall of the empire, simply because subjugated tribes could no longer be integrated quickly enough. Many of these tribes willingly joined forces with the Spanish conquistadors and ultimately helped bring down the Inca Empire.
The extent of the Inca Empire in the fifteenth century
But clearly, for an extended period of time, the bold core vision of the Incas to bring order to the world held a magnetic appeal. Over many decades, it drove the actions of the elite, the export of farming and irrigation techniques, the use of resources, and the deployment of the crafting skills of the “assimilated”—always with one goal in mind: the methodical expansion of their sphere of influence and the construction of a smooth-running state apparatus. Nobody went hungry in the Inca Empire; there is no archaeological evidence of any malnourishment, something that cannot be claimed about Europe in the fifteenth century. That said, hardly anyone enjoyed any personal liberty in the Inca Empire. Whole villages were resettled, tradesmen packed off to major population centers, and forced labor employed. The reason why the Inca vision of an ordered world was both appealing and compelling across a wide geographical area also has to do with the fact that it was perfectly suited to the times. Starting in the eleventh century, climate change—drought inland and devastating rainfall on the coast—led to famine and continual conflict. Following a period of chaos, the Inca proposition to bring order to the world was obviously so attractive that many of the indigenous peoples were happy to accept a “friendly takeover” offer, putting up little or no resistance.
Many large businesses are launched with a modern vision, which guides and inspires strategic decision-making and everyday actions. This sort of vision can inspire, cajole, and motivate. Some well-known examples include Bill Gates’s ambitious target to get “a PC on every desk, in every house” and Google’s claim “to provide access to the world’s information in one click.” Both these visions define the beginning of a new era which both Microsoft and Google have decisively influenced and continue to do so.
Likewise, Jeff Bezos’s vision to make Amazon “the most customer-friendly business in the world” and Steve Jobs’s typically succinct definition—“a vision is how you will make the world a better place”—not to forget his equally modest claim to be making a dent in the universe. In this sort of company, the Inca proposition to bring order to the world does not seem too far out of place. Anyway, Jobs took it on himself, both personally and for his business, to be radical (“think different”) and to risk being highly focused rather than just producing “me too” products. It is no surprise, then, that visions are sometimes hailed as the ideal route to business success. As the demise of the Inca Empire shows, however, this is dangerous thinking. And, anyway, how many of these visions were in fact only formulated after the event? So, when do you need a vision, what should it look like, and what are the associated risks for an organization?
“We Don’t Need a Vision—Just Reliable Delivery!”
Sooner or later, anybody who works for a large organization will be confronted with workshops dealing with “visions,” “missions,” or “statements of intent.” However, these concepts quickly become fuzzy and blurred, and then strange things start to happen. In our opinion, a proper vision is the setting of an ambitious but nevertheless realistic goal, which serves to inspire both existing and future employees and other stakeholders. Okay, Steve Jobs’s “dent in the universe” may not have been realistic, but it was memorable, and the majority of people will have known what he meant.
Don’t Fiddle While Rome Burns!
During an international meeting of a large life sciences company, Andreas Krebs experienced firsthand how not to go about launching a vision.
Here’s some background: Some countries were experiencing severe problems with their supply of a key product because certain raw materials were not being delivered on time, and there was a high risk of a major loss of sales. Board members, along with the most important leaders from different countries, were engaged in a heated discussion on the issue when the CEO announced that they had a tight schedule and needed to move on to the next agenda item: A Vision for Technical Operations (“technical operations” being the business area responsible for production and supply). Despite raised eyebrows, the colleague from TO started with a promotional film, heavily laced with sugary slogans about wanting to be the best, then continued with a detailed PowerPoint presentation on the new TO vision. She had just managed to get to slide number three when the leader from France, unable to hold back any longer, blurted out, “Hey guys, we don’t need to be the best. A regular supply would be fine!” There was laughter all around, and some sympathy for the lady from TO charged with the thankless task of presenting a vision at the worst possible moment. And, while the whole situation may not have been quite as dramatic as Rome burning, she certainly went home that evening with a different set of priorities than she’d had when she arrived.
A business working out a vision in the midst of a crisis is a bit like a captain gathering his crew during a Force Twelve storm to extoll the attractions of a destination which they may never reach. And yet, such madness is not that uncommon. Why? “Get the vision right and the rest will take care of itself” would be the wrong conclusion to draw, even if successful businesses often have an inspiring vision of their future and their value in the world. Visions are not simply the result of a distillation process which can be hurriedly cobbled together. Knut Bleicher, economist and former head of St. Gallen Business School in Switzerland, says: “Visions cannot be created on a whiteboard—they must be allowed to develop naturally, as part of a never-ending process.”
Was Bezos really driven from the very outset to become the world leader in customer focus, as the Amazon website claims? When Bill Gates dropped out of Harvard, was he really dreaming of putting a PC on everybody’s desk? Or did these visions only emerge after their first successes? How much marketing, how much image-building, how much retrospective