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Tim Sutton's avatar

Omar, the people who have already priced in what happens when execution gets cheap are the buyers. I spend a good deal of my time on agency sales, and a buyer reads positioning from the revenue mix, not the credentials deck. An agency that does everything for everyone shows up as a long tail of small clients, no specialism and a margin quietly eaten by overdelivery, and it is valued accordingly. The hard choices you describe are the ones that show on the P&L. Courage, in other words, turns out to have a multiple.

Des Bateman's avatar

Love this. I think the thinking is there but the ability to execute and make happen is really difficult. Partly it’s a fear thing, do something different you may lose your job. I was lucky to see Cadbury Gorilla getting approved as a junior team member. It was not an easy choice, but the client Phil Rumbol saw the value and Fallon at the time were more and more known for ‘cool’ ads that worked.

I think it also happens because of silos. A strategist can see the issue, but the answer may involve a different part of the business. Years ago this happened on a fashion brand, where the website search function was awful because if you asked for a black dress, it could show you a white dress with a bit of black detailing. Why? It was because the website was a secondary consideration over the store and how stock was identified. The ‘boxes’ didn’t allow judgment calls like 90% of x colour. But who could fix the problem so that search would be more effective?

The e-commerce team were not empowered to change the stock system. The stock system didn’t want to change as it was how they had done this for years and the stores were the most important. So the issue bumbled around until the CFO had to restructure expertise and ‘empower’ the right people by removing the silos so it was someone’s clear responsibility.

Spotting the issue can be easy. Executing the change and taking that through siloed systems is very hard. AI doesn’t solve that, what it can mean is that the actual problem is more noticeable because the time doing other things is reduced.

It reminds me of some advice I got at the beginning of my career. Problems are like weeds, if you spot it and deal with it quickly it may hurt but the garden isn’t overrun. Ignore the weeds until you have no option and the pain is much worse.

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