The end of pure profit-machines

If I asked you what the bottom line in any business should be – what represents the cornerstone and standard measure of success in traditional business theory – I’m sure that you would quickly and assuredly answer: “Profit!”

Traditional business models take profit to be the ultimate goal of any business plan. The standard methods purported to be most effective in generating profit are reducing costs, increasing prices, and maximizing productivity. Unfortunately, this model can be extremely damaging to businesses in the modern corporate landscape.

In my book Cool Boss, I extrapolate from the demonstrable success of companies whose leaders have embraced a different perspective on what’s important and developed a new approach to running their companies, to put together a list of qualities that are essential if you intend to become an influential leader of great renown. You can learn how to be a truly inspirational and charismatic leader, using innovative management techniques to win loyalty, inspire creativity and bind everyone within your company together in the pursuit of a shared vision. Success and prestige go hand in hand with this new style of leadership.

The old style of ‘doing business’ not only prevents companies from moving forward and realizing their potential, but it damages reputation, leads to the loss of employees and customers, and ultimately drives businesses into the ground. Even a well-established company that continues to exemplify ideals set forth by old school of business theorists will not last long in the modern corporate landscape; here unavoidable transparency and instant sharing of information means that leaders can be held publically accountable for every action of a company. Consumers are demanding more and more from businesses in terms of ethical social and environmental policies, treatment of staff, customer service, innovative marketing and revolutionary products. By sticking rigidly to a traditional business model and focusing solely on the generation of profit, these other factors that can make or ruin a company are ignored. It is time for a new approach: for a new generation of Cool Bosses to take the helm and sail into a future in which success is dependent on much more than money.

(image is from here.)

Can Akdeniz

Can Akdeniz is the author of seven books and founder of Business Hacker, a popular business blog. His books such as Go Nuts, Cool Boss, Happy Company and MBA 2.0 have changed how people think about business, productivity and work.