Do you have a single core KPI? See how one of Amazon's leaders is embracing this approach.
Few weeks ago I had the luck to attend a speech from Amazon's LATAM Head of Customer Service Alejandro Filloy in IESE Business School in Barcelona. In that masterclass Alejandro made special focus on making us clear that no matter how big is the challenge in his hands he always tries to focus and keep attention in one specific KPI that is linked with all the rest business complexity.
In his case made mention to CPU (Contacts x Unit Sold) KPI and after some thinking it's clearly something that makes sense!!! In one single figure you are mixing Customer Service inbound impacts (Contacts) that determine your operations accuracy with sales & marketing performance (Units Sold)... as a result by looking at this figure evolution you can clearly detect wether the variation comes from Operations or Sales & Marketing moving outside baseline.
Definitely a clever approach that allows all the organization to stay focused while understanding easily business goals from a operational excellence and business results standpoint.
But Alejandro's inspiration didn't stop here... we also received his vision on Amazon's culture building dynamics and what really makes the difference compared with it's competitors. Some highlights I wrote-down are next:
- "Amazon is the most customer-centric in the world, therefore, everybody inside the organization embraces this philosophy"
- "Amazon's secret sauce of success is culture"
- "We are a so dynamic organization that our plans only cover 1 year ahead... beyond that we only have a vision"
- "Culture building and massive de-centralization are difficult to balance... that's why we prefer big working centers covering huge market regions and not the other way around"
When talking about Amazon's business model and huge success we are usually having Jeff Bezos reference but after listening to Alejandro's speech now I understand much better that beyond Jeff Bezos inside Amazon there is a bunch of powerful and inspiring leaders that are actually the core of what we know as the most relevant eCommerce business of all times.
Do you know any other Amazon inspiring leader worth to follow-up? I would love to hear...
In his case made mention to CPU (Contacts x Unit Sold) KPI and after some thinking it's clearly something that makes sense!!! In one single figure you are mixing Customer Service inbound impacts (Contacts) that determine your operations accuracy with sales & marketing performance (Units Sold)... as a result by looking at this figure evolution you can clearly detect wether the variation comes from Operations or Sales & Marketing moving outside baseline.
Definitely a clever approach that allows all the organization to stay focused while understanding easily business goals from a operational excellence and business results standpoint.
(Amazon CS Latam Building in Costa Rica)
- "Amazon is the most customer-centric in the world, therefore, everybody inside the organization embraces this philosophy"
- "Amazon's secret sauce of success is culture"
- "We are a so dynamic organization that our plans only cover 1 year ahead... beyond that we only have a vision"
- "Culture building and massive de-centralization are difficult to balance... that's why we prefer big working centers covering huge market regions and not the other way around"
When talking about Amazon's business model and huge success we are usually having Jeff Bezos reference but after listening to Alejandro's speech now I understand much better that beyond Jeff Bezos inside Amazon there is a bunch of powerful and inspiring leaders that are actually the core of what we know as the most relevant eCommerce business of all times.
Do you know any other Amazon inspiring leader worth to follow-up? I would love to hear...
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