| Necessary but Not Sufficient |
| 1 | NECESSARY BUT NOT SUFFICIENT OTHER BOOKS BY ELIYAHU M. GOLDRATT The Goal The Race What Is This Thing Called Theory of Constraints? The Haystack Syndrome: Sifting Information Out of the Data Ocean It's Not Luck Critical Chain For more information on Eli Goldratt and his current projects visit: www.eligoldratt.com Necessary but Not Sufficient A Theory of Constraints Business Novel Eliyahu M. Goldratt with Eli Schragenheim and Carol A. |
| 2 | Ptak First published 2000 by The North River Press Published 2017 by Routledge 2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN 711 Third Avenue, New York, NY 10017, USA First issued in hardback 2017 Routledge is an imprint of the Taylor & Francis Group, an informa business Copyright 2000 Eliyahu M. Goldratt All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. |
| 3 | Notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. ISBN 13: 978-1-138-41877-6 (hbk) ISBN 13: 978-0-566-08450-8 (pbk) NECESSARY BUT NOT SUFFICIENT Chapter 1 JANUARY 24, 1998 "Come on in" Scott stands up and shakes hands with Jay Johnstone, one of his account managers. Calm and elegant, Scott Duncan looks more like an aristocrat than an American homegrown boy made good. |
| 4 | At the age of 46, he heads one of the most successful computer software companies in the world. "Have a seat." Scott gestures to the other side of his office. "I was wondering how we're doing with Alkar." Jay lights up. Rumor has it that the nature of the discussion is indicated by on which side of Scott's office you sit. Those invited to sit in one of the chairs facing Scott's huge desk will go through a barrage of grilling, fact-finding, and an impatient string of questions. |
| 5 | In five minutes or less you will find yourself outside the office feeling like a squeezed lemon. But if you are guided to the other side, to one of those comfortable leather armchairs, you are likely to hear how you fit into the global picture. And there is nothing more interesting than hearing Scott Duncan unfolding the global picture. Not just his people, but now also the Wall Street analysts, are fascinated by his ability to read where businesses are heading. |
| 6 | Business in general, and information technology in particular. Growing his company from a modest software house into the giant it is now, with a market value of well over ten billion dollars, certainly adds a lot of credibility to what otherwise might seem as daring speculation about new technology and its impact on the market needs and trends. As they sit down, Jay repeats Scott's question, trying to find the most concise, yet impressive answer. |
| 7 | "How are we doing with Alkar? Well, we were one of nine companies bidding for Alkar's business. Now it's only us and FDP" "And?" "And it looks good." Scott's expression causes Jay to elaborate. "We followed our standard tactic, and it's working." If a company wants to survive in the incredibly competitive large computer system market, it has to have a lot more than just a good product. Good selling tactics are essential when the average sale is a few million dollars, and deals of several hundred million are not rare. |
| 8 | Scott has carved out a unique tactic for his sales force. He noticed that computer systems rapidly expand to cover more and more clerical work and that the rapid expansion is not accompanied by suitable standards. He found a way to turn this handicap of the industry into a competitive edge. Very early in the game, preferably before the client has even put out a formal request inviting the software companies to bid, his people have already done their homework. |
| 9 | They have identified the "techies" involved in the prospect; the people who are likely to be the ones to do the more technical evaluations of the proposed systems. These professionals become their prime target. While the competition is busy trying to locate and build bridges to the decision makers, Scott's people are busy educating these targeted professionals. Not on how the BGSoft system works, that will not do. |
| 10 | But how in general a computer system suitable for the prospect's type of industry should be designed; the pluses and minuses of the various possible configurations; which features are key, and which ones are just good at impressing the novices. The whole idea is that by the time the real match is reached, and the proposals are compared by the selection team for best fit, the know-how planted by Scott's people is taken as the standard. |
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