Principle 1: In most businesses, professionals are well-versed in the roles of the CEO and COO, understanding their critical functions. However, there’s an equally significant, yet often overlooked, position that could radically impact a company’s success—the Chief Value Officer (CVO). This role remains largely unrecognized by many organizations, but for any business leader or entrepreneur serious about long-term growth, it is crucial.
Although the title of CVO may not yet exist in most companies, visionaries like Steve Jobs understood its importance. Jobs believed that the true strength of a company lies in the value it delivers to its customers—the overall experience and satisfaction they receive. This focus on value is what propelled Apple to success. Without this role, companies often lose sight of their value proposition in the pursuit of short-term profit. But when customer value creation is at the core, like it was for Jobs, success naturally follows.
Remember: You don’t get paid for the time you invest; you get paid for the value and results you deliver. The ultimate measure of any business leader or manager is the ability to drive performance, achieve outcomes, and execute effectively.
The Role of the Chief Value Officer
No matter the industry you’re in, the most crucial events that impact your business happen outside your company’s walls. These events are tied to what customers experience when they interact with your products or services. As Peter Drucker wisely said, “The true business of every company is to make and keep customers.” Unfortunately, many companies fail to notice the customer’s experience or recognize the impact of their offerings on customer satisfaction. This oversight often leads to missed opportunities in creating true value.
At its core, value can be defined as Value = Benefits – Costs. Whether you’re in product or service sales, your mission is clear: communicate and deliver value. Real value encompasses more than just monetary gain—it includes time, risk mitigation, and knowledge. Importantly, creating value isn’t about what you do or how you do it, but rather the impact it has beyond the sales process.
To consistently create value, focus on three key elements:
- The demand for what you offer
- The ability to deliver consistently
- The difficulty of replacing you
Visualize these three components as overlapping circles. Where they intersect is where true value is created. To ensure value creation, businesses must also consider five key pursuits:
- More – Increasing quantity
- Better – Enhancing quality
- Faster – Improving speed
- Different – Driving innovation
- Cheaper or More Expensive – Adjusting pricing strategies
Value-Added Enhancements
Though still an emerging concept, the role of Chief Value Officer is gaining traction among forward-thinking organizations. The CVO’s focus is on delivering genuine value, not just cutting costs or driving up prices. They are responsible for developing strategies that enhance value for the customer, ensuring that the business thrives in a value-driven market.
It’s time to seriously consider the role of a CVO in your organization—or even step into the position yourself. By embracing a collaborative approach focused on creating greater value for customers, your company can unlock new levels of growth and success.
In today’s competitive landscape, leading with value is not just an option—it’s a necessity.
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© Ben Benson
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