Immediate gratification seems to be drive individual decision-making these days. Saving for a rainy day or even retirement are lesser priorities. So why would businesses which cater to societal desires be any different? When I worked in corporate planning for a Fortune 500 company, we drafted 5-year strategic plans. No corporations do 5-year plans anymore. Not only does the market change faster than that, so do the members of senior corporate management. According to Spencer Stuart the average Fortune 1000 corporate CFO’s tenure is 4.1 years, so why would he/she care about a 5 year forecast? Strategy has given way to a stream of Tactics. Weekly stock market results, quarterly earnings announcements, and daily news are the normal time parameters for business. Compensation plans no longer reward long-term performance, just pay for short-term performance over a longer time period. Long-term thinking has become a lost art. Return on investment payback periods have shrunk. Companies are looking for fast ROIs. But how can companies succeed over the long-term, if they mainly focus on the here and near? The key is sustainable returns--implementing ideas and changes that have an immediate effect and remain sustainable over the longer-term. Layoffs without changing the underlying work do more damage than good after the initial benefits are realized. Changing and redesigning processes can take out costs and provide lasting benefits. I have encountered several solutions providers who have created ways to help companies recognize immediate benefits with lasting results. These companies are reinventing how to merge short-term thinking and long-term benefits in the areas of process mapping, employee productivity, and revenue generation.
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