reason 26

This monthly report invites you to think in new ways about your business, your customers and the opportunities for meaningful communication between them. Essex Two, the company that produces reason, is based on the premise that successful communication requires critical thinking shaped into an audience- and message-appropriate presentation. Joseph and Nancy Essex

Innovation and Incarceration:  In Mike Kelly’s thirty-two years in law enforcement, first as a beat cop, then a robbery-homicide detective and now as the Chief Security Officer for a major corporation, he had never been so angry or frustrated. His company was a major grocery store chain in the midwest. They opened a new store in a prosperous neighborhood with expectations for large and steady profits soon after opening.

After the first three months of operation, the store had not come close to projected profits. In fact, the store was losing money and they had no idea why or how.

When the accountants came up empty, Kelly was brought in to find the problem. Without telling store employees, Kelly’s technical staff installed seven hidden cameras covering every aspect of the store from the three service entrances to the nine high-tech checkout lanes. After a month of surveillance, recording and viewing over five thousand hours of tape, Kelly still didn’t have a clue.

His instincts told him there had to be a simple explanation, but he had no idea what it was. Mike even called the builder’s office for the architectural drawings, just to remove the possibility that there was a tunnel through which goods were being removed from the store.

In a fit of frustration, Kelly kicked the table supporting the video equipment and monitors, spilling his coffee over the now rumpled drawings of the store’s floor plan.

Suddenly he got it. He understood why there were no profits and who was stealing from the store. The videotape showed nine checkout lanes and the drawings showed eight. The store manager had directed the construction crew to stray from the plans and add one more lane. Nine lanes of products were sold, only eight were tallied. Everyone could see the nine check-out lanes but no one really saw them.

Perspective:  Most solutions are not about creation, but innovation, building on a good idea to make it better. While the result of the store manager’s innovation was a felony, his solution was elegant in its simplicity and effectiveness. It is always possible with time and talent to re-examine current circumstances and create new and imaginative solutions from seemingly insurmountable obstacles.

Essex Two has experience identifying and implementing innovation on a daily basis. Our website has case studies that demonstrate how our process can produce significant results for our clients and their customers.


Worth your time:  The Innovators Solution: Creating and Sustaining Successful Growth by Clayton M. Christensen and Michael E. Raynor. New York Times: “...an absorbing new book...” “...a graceful tour of contemporary management thought.” Financial Times: ...nothing less than a handbook for managers who would rather disrupt than be disrupted. Fast Company: ...valuable tool for every aspiring upstart—whether you’re inside a billion-dollar company or have a billion-dollar glimmer in your eye.

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