The "Fourth Option"

Written by Anthony Demangone

I love entrepreneurs.  They refuse to see limits.  They see problems that need to be fixed.  And if they don't see a solution, they create one. 

A recent article by Kaihan Krippendorff really brought this concept home.  When problems arise, as they always do, most people see three options. 

1. I'm a victim.  What can I do?
2. I'll make a choice - accept the problem, or run away.
3. There are options out there. Let me explore what those are. 

While the third option appears the best, Krippendorff says that truly exceptional leaders look for the 4th option.

Creating a solution that didn't exist.  Cutting a new path.

From his article:

For example, software companies all share the same global strategic headache: recruiting capable programmers. There are too few of them and too many spots to fill. Most employers looking to hire capable programmers consider three obvious options: pay more than the competition, outsource to third-party developers, or slow down development. According to Zarko, Telerik considered these options but instead decided to go for a fourth option--they created Telerik Academy, a sort of extension school that is a complement to IT and software development and provides education in the firm’s native Bulgaria. Anyone can register and sign up for intense seven-month IT training. This is not a vacation. All students must pass difficult practical exams and only the best performing students (about 10%-15% of all enrolled students) are certified by the academy. Yet, applicants swarm in. In 2012, 1,000 students attended 35 free courses in 13 different major areas.

Telerik wins with this strategy because not only are they are helping to increase the pool of capable programmers in Bulgaria but they can now also recruit the best programmers. “It is like a seven-month interview” during which Telerik can gain far deeper insights into a candidate’s work and personality than probably any other software company can, Zarko shared with me.

Typically the top 10% of the Academy graduates end up working for Telerik. In a business in which access to great talent is arguably the only real source of advantage, the Telerik Academy provides the definitive edge.

Smart.  Wicked smart.

So let me finish with this.  List your largest problems.  Perhaps that lists includes needing new loans. Or regulatory burden.  Or staff burnout.

Is it possible that you are stuck in a loop of considering the same old solutions to those problems?  Is there a 4th option out there?  

Perhaps yes.  Perhaps no.  But if there is, imagine if your credit union unlocked it?

 Have a good week, guys. 

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If Kaihan sounds like your kind of thinker, consider joining NAFCU in Boston for our annual conference. He'll be our keynote speaker this year.  And if that's not enough, there are always the famous Duck Boats.