Decision making principles Good managers are often referred to as being decisive. “Being decisive” is one of those vague management terms like “professional”, “effective” or “charismatic” that is very difficult to pin down. No one can teach it and it is assumed that either you have it or you do not. Decisive managers typically show…
As a manager, you have to achieve results. Results are not always about delivering a profit: not everyone has P&L responsibility. You may be responsible for project outcomes, quality outcomes, costs, product design, development and delivery, and recruiting and training staff. There are endless possible results for which you may be responsible. Ultimately, you have…
Effective managers start at the end. Working backwards from the desired outcome, rather than scrambling forwards from today, is at the heart of how good managers think and work. This outcome focus is essential because it achieves the following: Creates clarity and focuses on what is important Pushes people to action, not analysis Finds positive…
1. Start at the end Focus on the outcome and the results you want to achieve. Be relentless, stay focused. 2. Work through others Do not try to be the lone hero. Management is about making things happen through other people. Learn to work through and with your peers, bosses and team members: influence, motivate,…
Deciding on the page template design for different forms of landing pages is particularly important for site owners seeking to maximise conversion rate.
Using card sorting is a way in which users can become actively involved in the development process of information architecture. Learn more.
Information architecture is the art and science of structuring and classifying websites and intranets to help people find and manage information.
Benchmarking of competitors’ websites is vital in positioning a website to compete effectively with competitors that already have websites.
Customer-centricity for website design is the decision whether to include specific content for particular countries. This is referred to as localization.
Key requirements for an online presence: business requirements and user requirements which comprise usability, accessibility and information needs.
The goal of agile development is to be able to create stable release more frequently than traditional development methodologies.
Prototypes are trial versions of a website that are gradually refined through an iterative process to become closer to the final version.
Typical profiles of team members follow: site sponsors, site owner, project manager, site designer, content developer, webmaster.
The main tasks are as follows: pre-development tasks, analysis and design, content development testing, publishing or launching the site.
Website must deliver relevance and satisfactory online experience for its audience, support and add value to the brand to deliver results for the company.
Escalation of commitment occurs because of psychological factors such as perceptual and judgemental biases, as well as impression management.
Escalation can occur in bid auctions where many sellers compete with one another to offer the highest or lowest price to the buyer.
We escalate commitment because of our own previous decisions. How should be separate between rational and non-rational tendency to escalate?
Many managerial decisions concern a series of choices rather than isolated decisions. We are prone to bias when approaching decisions serially.
People place higher value on one option compared to a several options when looking at them individually. Individuals reverse their preferences.
Most people value what they own than the value of the same good that they do not own. Home sellers think their houses are worth more than most buyers do.
People have a variety of “mental” accounts that they use to organise, evaluate and keep track of a variety of financial activities such as monthly budget.
When buying a car, we purchase warranty. Vividness of repair, social norm favouring insurance and warranties leads consumers to make risk averse choices.
Under pseudo certainty effect, we are more likely to favour options that assure us certainty than those that only reduce uncertainty.
How perceived differences based on a change in the “framing” of choices can dramatically affect how people make decisions.
Initially, groups are pooled together to share information but end up spending time discussing already shared knowledge. Groups face bounded awareness.
Occurs when people look back on their own judgements and those of others. We tend to overestimate what we know beforehand based upon what we later learned.
We tend to have general bias to overestimate the probability of conjunctive events and the underestimate the probability of disjunctive events.
We often develop estimates by starting initial anchor that is based on whatever information is provided and adjust from the anchor to yield a final answer.
People naturally tend to seek information that confirms their expectations and hypothesis, even when evidence is disconfirming or falsifying.
Describes how conjunction is judged to be more probable than a single component descriptor. Intuitively thinking, something appears to be more correct.
People predict they will repeat their previous performance exactly. Statistics tells us that extreme performance is likely to regress to the mean over time.
Simple statistics state that we are more likely to observe an unusual event in a small sample compared to a large one. Learn more.
Simple statistics claims each event in a sequence is equally likely to occur. But individuals believe random and non-random events will balance out.
People tend to ignore background information relevant to the problem such as base rate. We tend to assume that causes and consequences are related.
We are better at retrieving some subjects from our memory than other things. Individuals base judgement on commonality and easier base strategies.
The inferences we make about event commonness based on the ease with which we can remember instances of that event.
Individuals rely on rules of thumb (heuristics) to lessen the information processing demands of making decisions.
Tendency to think we rank higher than others on certain dimensions, particularly in competitive contexts.
Tendency to think that we are better, smarter, faster, more capable, more attractive, more popular (and so on) than we actually are.
Tendency to be sure judgements and decisions are accurate, uninterested in testing assumptions and dismissive evidence that suggests we might be wrong.
Overconfidence effects are some of the most potent, pervasive and pernicious of any biases. It is blamed for wars, stock market bubbles, strikes, lawsuits, bankruptcy, failure of merges and acquisitions, high rates of entrepreneurial entries and other. Overconfidence facilitates many of biases. We continue to believe that our judgements and believes are correct, despite copious…
Specific emotions influence our decision making. This is an effect of positive and negative moods. Good or bad mood results in more biased judgements.
Perceptions and expectations are biased in self-serving manner. When presented with identical information, we perceive situation in different ways.
How should we deal with internal conflict? Economists advice to create means of controlling the destructive impulses of the short-term decision making.
Economic concept of discounting states that any choice that involves a trade off between current and future benefits should discount the future.
Decision making is a cognitive process. Humans make errors because of motivational and emotional influences. Learn more about multiple selves here.
It is important for organisations to understand how and where the digital marketing strategy fits into the organisation’s overall objectives. More here.
Main types of digital marketing strategy initiatives: customer acquisition, customer conversion and experience development, customer retention and growth.
A digital marketing strategy is needed to provide consistent direction for an organisation's online marketing activities. Learn more here.
B2B organisations are developing a better understanding of strategic thinking and how it can lead to development of successful online trading. Learn more.
The internet became an important channel for promoting relationship with customers and provided other opportunities to transform businesses. Learn more.
B2B independent e-marketplace is an online platform operated by a third party which is open to buyers or sellers in a particular industry.
Main types of e-procurement models: e-sourcing, e-tendering, e-informing, e-reverse auctions, e-MRO and web-based ERP. Learn more here.
Planning occurs at three levels: strategic, functional and operational. Strategic planning Strategic planning is the managerial decision process that matches the firm’s resources (such as financial assets and workforce) and capabilities (the things it is able to do well because of expertise and experience) to its market opportunities for long-term growth. In strategic plan, top…
Planning is everything. Planners role is to define product’s distinctive identify and purpose. Careful planning enables a firm to speak in a clear voice in the marketplace so that customers understand what the firm is and what it has to offer that competitors don’t – especially as it decides how to create value for customers,…
Three areas of B2B relationship marketing activities are: post-sales customer relationship management, market research and knowledge sharing.
Key differences in applying tools such as search engine marketing, online PR and affiliate marketing for B2B customer acquisition are listed here.
Traditionally there are three types of organisational markets in which business trade with businesses: industrial, reseller and government. Learn more.
Digital marketing can support business-to-business organisations. Some examples of B2B site: brand-building site, portal or media site. Learn more here.
Search engines are always innovating in their quest to deliver that optimum search experience to each and every user who types in a query.
Universal search is a term coined by Google to describe a fundamental change in the way it presents its web search results.
If you want to fast-track traffic to your site, then bringing in a professional search marketing consultancy can pay real dividends.
Less ethical practitioners attempt to exploit every loophole they can find in order to 'game' the engines, increase their rankings and drive traffic.
Mobile search is most definitely here and it is consuming more and more marketing dollars every month.
Learn what are different exit strategies for private equity firms. One can name a family business successor, sell it outsiders, and lead firm to IPO.
What is the difference between entrepreneur and professional manager? What are transition steps to professional management. Learn more here.
There are different sources of finance: savings, friends and family, crowdfunding, business angels, venture capitalists, corporations and other.
There are different ways of minimizing risks associated with investing: self-financing, contract provision, specialisation syndication.
Three financial statements are described in this article: balance sheet, income statement, statement of cash flow. Learn more here.
Business plan allows the founder to crystallise business ideas, thinking through the problems that they will face before having to cope with it.
What questions to ask an entrepreneur? Clarify current goals, evaluate strategies for attaining those goals and assess capacity to execute the strategy.
While all of the factors that apply to regular SEO also impact local SEO, local comes with a few unique elements.
How to find opportunities for business? Follow effectuation process, bring the idea to market with close to zero resources, listen to customers.
SEO is effective is in its long-term viability as a low-cost acquisition model. PPC offers instant gratification.
Internet-based marketing research can help determine the influence of a website and related communications on products and services.
Techniques to collect metrics include the collection of site visitor activity data such as that stored in web analytics systems and in site log files.
Organisations define a measurement framework which defines grouping of specific metrics used to access digital marketing performance.
The processes and systems intended to monitor and improve the performance of an organization are based on the study of performance measurement systems.
We will review how affiliate networks can be used to improve the results from affiliate marketing and the main controls on affiliate marketing.
The main benefits of affiliate marketing are: SERPs visibility, responsiveness to marketplace changes, generate awareness.
Affiliate marketing is a ‘pay-per-performance’ method. It’s a commision-based arrangement where the merchant pays when they make the sale or get a lead.
Different forms of partnerships include link building, affiliate marketing, aggregators such as price comparison sites and co-branding. Learn more.
Link building, blogs and blogging, tagging and folksonomies, social bookmarking, photo, video and slide sharing sites, RSS feeds, mashups, widgets.
Learn about the advantages and disadvantages of the public relations techniques which seek to build a buzz around a campaign or gain backlinks.
Do you know the four key differences between online PR and traditional PR identified by Ranchold et al. (2002)?
Public relations is about reputation - the result of what you do, what you say and what others say about you.
Find out the 10 top tips form paid marketing success. First, define your goals and objectives before you start any paid search campaigns.
Search engines have made setting up PPC campaigns really easy. There are plenty of tools to help you establish, monitor, optimise your campaign.
As well as considering the cost-per-click (CPC), you need to think about the conversion rate when the visitor arrives at your site.
What are PPC advantages? First, advertiser is not paying for the ad to be displayed. Also, PPC advertising is highly targeted.
The search engines take relative click-through rates of the ads dependent on their position into account when ranking the sponsored links.
What is PPC? A relevant text ad with a link to a company page is displayed when the user of a search engine type in a specific phrase.
What does on-page optimisation include? Occurrences of search terms in body copy, alternative image text and document meta-data.
What are potential reasons for not gaining complete index inclusion? How can companies check the index inclusion?
How to submit your site for search engines? Most existing companies will be automatically included in search, but it's not the same for new companies.
Generate truly valuable content that other sites will want to link to, let people know your site is the best out there and create your own blog.
The most important principle is to include keyphrases used for searchers within the anchor text of a hyperlink to point to relevant content.
Get tips to boost external links. Identify and create popular content and services, identify potential partner sites and contact them.
Each link to a page is a vote of confidence. The more links that point to an individual page, the higher the collective vote of confidence.