David Armano recently posted a thought provoking piece entitled 'What is your DNA?'. It got me thinking. DNA is identity. The manifestation of it is an outward expression of what's within i.e. how the company conducts itself. Armano poses the question 'is it possible to evolve and stay true to your roots?'.
I watched Denis Weil speak at the 2007 Institute of Design Strategy Conference about what was happening at McDonalds.
He was incredibly open and honest about the challenges they face. A lot has changed since Ray Kroc opened the first McDonalds restaurant
in 1955.
Weil made two interesting observations about McDonalds DNA:
- McDonalds has become like a Post Office - a counter with a forbidden view of what's behind. This isn't how they started out.
- They realised that over the years and around the world, they still serve people with a ritual whereby they double fold the paper bag and present it to the customer with the logo facing
The first observation relates to a part of the DNA that was lost over time as the company aggessively pursued growth and efficiency - the kitchens and preparation got hidden. The ritual of bag folding is something that hasn't changed without any effort from McDonalds to keep it that way.
Now McDonalds are trying to reposition themselves as being more than burgers owing to the awareness around the unhealthiness of fast food.
It's an interesting subject - how do companies retain their DNA when they sell themselves to Wall Street? As I wrote about here, Schultz has certainly struggled to retain Starbucks' DNA. DNA is critical but seemingly easily diluted. One company I can think of that has been successful in retaining it's DNA is John Smedley - an English clothing company. An interesting quote on their website sums up their views:
'Of course, looking back should not stop us moving forward. But we stay dynamic by staying put - because it is here in England's traditional knitting heartlands that are found generations of experience and skills in knitting and hand-finishing world-class knitwear. Those unique skills may come at a price. But, carefully nurtured, they ensure the highest quality and innovation. It is they that allow John Smedley to be acknowledged as the best in its class'




