7/22/2009 1:40:00 PM
Being big and trying to change
Reinvention is the name of the game for a lot of businesses looking to adapt and emerge stronger over the next year. It is a process where being big appears a disadvantage, despite the huge resources at hand. Nokia’s attempts at transforming itself into a service-led company are bold, brave and progressive, but the results so far have been poor. As someone who has spent over £80 on credit in the music store, my experience has been awful. And like many Nokia users, I have also aborted using Nokia’s mapping application, installing Google Maps instead.
Nokia is resolutely ploughing ahead. Standing still is not an option, even if the manufacturer’s journey of reinvention is rocky and at times dispiriting. CEO Olli-Pekka Kallasvuo set a target of 300 million users of its mobile services by the end of 2011. But during that journey, Nokia will have to make sure it doesn’t lose sight of Apple and Google, which are racing ahead and taking Nokia’s once loyal customers with them.
Elsewhere, hapless DSG has appeared a case study in the disconnect between the good intentions in the boardroom and the failure to execute those ideas on the shop floor. There seems to be a difficulty in shaking off years of culture that have seeped into all areas of such a large organisation.
Orange, like all mobile operators, is transforming its business around service and retention. The opening of a ‘community store’, complete with coffee mornings, may draw cynicism, but the intention is the right one. However, Orange will face two big obstacles around its own characteristics. First, ensuring its store appears authentically local when it is such a large corporation. And secondly, how it tackles its instincts of being a juggernaut that turns slowly and painfully.