The Art of Changing Course

CHAPTER 1What's the Problem?

KEY TASKS FROM THIS CHAPTER:

• Think about the problem that's keeping you stuck, and determine if it's your real problem or a symptom of your real problem.
• Make a list of ways your life would be better if you solved that problem.

In 1945, Sears Roebuck Company made about one Taylor Swift Eras Tour ($1 billion) in revenue. (That would be the equivalent of $16 billion today.) By 1969, Sears’ sales represented 1% of the US economy, and they were easily the largest retailer in the world. Sears employed 350,000 people and decided they needed to have one big fancy office space for their workforce.

Construction was completed on the Sears Tower in 1973. Standing at an impressive 1,454 feet, the Sears Tower became the tallest building in the world. And it maintained that record for 22 years.

One would think that global dominance would survive Walmart and the Internet, but apparently not. In 1991, Sears started losing market share when Walmart came along. They decided their problem was that they weren't big enough. So they merged with Kmart to try and create a larger retail footprint.

Sears's size wasn't the problem. Their problem was that they showed up too late for the digital game. By trying to get bigger, they just started to drown. More stores meant more overhead at a time when their competitors were figuring out how to be lean and agile by going online.

Scaling an ineffective system leads to failure.

It's like the time I ran over a nail and ended up ...