Rejuvenating the Mature Business: Seeking and Securing Competitive Advantage

This is an exciting and well written book. It argues persuasively that maturity is not cast in stone - it is a state of mind. It is possible to turnaround and sustain success in mature markets. The key theme is that firms, and in the end managers, are the key engine of success not the industry in which one competes. As the authors note, the average profitability of an industry is not the same as the individual firm. An industry may perform badly because on average firms are failing to add real value to the customer. In this environment the innovative firm can sweep aside the competition and be highly profitable. The authors show the reader how this is possible!The authors draw their argument from rich case examples both from the USA and Europe. Their industry foci are diverse, encompassing the services and manufacturing sectors, and firms who compete in both consumer and industrial markets. Examples of sectors drawn upon in this book include Retail Banking (Banc One), Mass Fashion (Benetton), Kitchen Knives (Richardson Sheffield), Fibres (Courtelle), Industrial Pumps (Edwards) and Domestic Appliances (Hotpoint). From these cases the authors argue that the key to competitive success is innovation in both business processes and products or services. The most powerful contribution of this book is to offer guidance on how senior management can shape a rejuvenation programme. The Crescendo Model of Rejuvenation is the centre piece of the book. The model advises that the process of rejuvenation moves from galvanising the top team, simplify the tasks that the business addresses, build organisational capabilities and leverage to maintain momentum. Interestingly, important in this process is small scale experimentation, rather than grandiose 'bet the company' projects. Practical cases and advise guide the reader through the process.The book is excellent both in terms of content and writing style. I strongly recommend it both to practising managers and students of management.