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By Vernon Prior
'For
hundreds of years, one of the central planks of a decent education
was being taught how to find information. In barely a half-dozen
years, the Internet has made this all but obsolete. Suddenly, it's
sorting information that's become crucial - learning to
identify flecks of gold among the hectares of bullshit. Critical,
sceptical, analytical thinking has never been more important.'(1)
Matt
Price is absolutely right to emphasise the value of ‘critical,
sceptical, analytical thinking' (a basic tenet of competitive
intelligence). But, as a journalist, he would be well aware that the
‘flecks of gold' are rarely found in published sources. After
all, unless they are particularly stupid, companies go to
considerable lengths to keep their secrets secret.
But
organisations comprise many people (the ultimate sources of soft
information), both inside and outside the company. That gives us the
means to find those ‘flecks of gold', and it doesn't
necessarily have to be through direct communication.
Early
in 1992, a well-known wine and spirit retailer and his son had a
serious difference of opinion concerning the management of the
company. As a result, the son decided to establish his own business
in the same line. Some time later, a local journalist, on his early
morning ramblings, observed the son sifting through containers of
empty bottles (deposited outside peoples' homes for recycling) and
taking notes. The bemused journalist asked what was going on. The son
replied that he was, ‘getting a feel for what the locals are
drinking before opening my new store'.
By
September 1994 turnover in his, now, several outlets had increased
more than eight-fold in only his second year of operation, and that
same individual had traded in his Porsche for a Ferrari. Soft
information had made the crucial difference.
Despite
numerous reports of similar success stories, hard information is
generally preferred because it is widely available and easy to
retrieve. Unfortunately, routine published information is usually of
limited intelligence value. The more colourful parts of your
intelligence puzzle are typically gleaned from soft information; that
is, rumour, suggestion, opinion, gossip, hints, and speculation.
Elicitation
Soft
information often provides insight and perspective; it can help to
identify potential business opportunities, new markets, and potential
threats; and it can stimulate innovation by raising awareness of new
ideas and technologies that may be adopted with advantage.
Hence,
intelligence practitioners are avid users of soft sources. And their
preferred means for acquiring information is through elicitation; a
technique which depends for its success on the use of subtle,
apparently innocent conversations, frequently involving the use of
disarmers or flattery. Yet, unless you are completely tactless or
insensitive, elicitation may be used with impunity.
Gaining
maximum value from elicitation is virtually assured if you have
access to a knowledge map (or contacts database) incorporating
personal information. Introducing such details into a conversation
implies an interest in that individual, and will encourage your
correspondents to provide information they may not otherwise
disclose.
Elicitation
also relies upon the fact that we all wish
to appear well-informed and, as a result, we tend to reveal more than
we should. Most of us are keen to be regarded as honest and
trustworthy; we welcome praise or sympathy; and we dislike adverse
criticism. These are all human frailties that may
be exploited to advantage.
Direct
observation
Direct
observation, another popular information-gathering technique, can
reveal the identities of vendors, suppliers, contractors,
consultants, and other visitors to a site. It can help to confirm the
number of employees, the length of shifts and changeover times, the
volume of product, the level of morale, whether or not construction
work is being undertaken, even the financial health of the company
(take a look at executives' cars!). Where possible, make a note of
the nature or content of any training material, and the identities of
the trainers.
Note
well, however, that observers at outside events (trade shows,
networks) should not be too obvious. They should be plain, neither
tall nor short, neither fat nor thin, and dressed appropriately. In
the words of Patrick O'Brian (2):
Intelligence-agents
should have turnip faces, indistinguishable one from another;
their
height should be the common height; their complexion sallow; their
conversation prosy,
commonplace, unmemorable.
Being
well aware of this fundamental rule, the former head of Woolworths
Australia would occasionally don an old cardigan and push a shopping
trolley around his competitors' premises - checking on prices,
layout, and new promotions; as well as gathering useful ideas and
chatting to customers.
Indeed,
soft information is highly regarded by decision makers, more
especially that concerning change of any kind. Change invariably
results in an increased flow of information. Hence, what you should
be looking for is the unusual, deviations from the norm, or the
extraordinary. Note what doesn't fit, and keep asking why. Even
something as simple as unusually large quantities of fast food
delivered to a company late at night can suggest that something very
important is going on.
Naturally,
collecting soft information has its problems. It is often hard to
find, and usually has a short life. Curiosity, inspiration, patience,
imagination, and serendipity may all play a part in its location and
evaluation. And, as with any skill, practice in using elicitation
techniques is vital. You can increase your effectiveness by deploying
your colleagues as observers and collectors, and by arranging a
programme of training in elicitation techniques and observation.
Handling
meetings
We
all have to attend meetings - some more than others. And the
techniques you employ are vital in an intelligence context. Use them
as an opportunity to gather information and to collect individual
contact details. Accomplish this latter by exchanging business cards.
Enhance the value of those cards by annotating them (as soon as
possible, and without causing embarrassment to the giver) with
relevant details. You might, for instance, usefully record:
- the
date and venue of the occasion on which it was received;
- subject
expertise, professional activities, and membership of influential
groups or committees;
- other
pertinent personal information, such as interests and hobbies,
involvement in sports or other pursuits, and the names of close
relatives.
When
used in the right context (during a subsequent telephone
conversation, for example), the notes you made will act as very
effective disarmers - and will almost certainly guarantee a
sympathetic ear.
Take
notes throughout a meeting. After the event, reduce the notes to key
points and link them to related topics of interest to your company.
Incorporate appropriate recommendations and pass them to the most
suitable individuals for action to be taken.
This
technique is based on the long-standing military practice of
identifying news items that may have a bearing on current operations.
In most military headquarters, the Duty Operations Officer (or
equivalent) is required to scan major daily newspapers and other mass
media overnight, seeking to identify relevant items. Brief reports
are then produced relating these items to existing files and current
activities, and recommending appropriate action.
These
three essential techniques will allow you to exploit the many sources
of soft information that are available to you. These will be
described in Part 2 of this article.
References
- Price,
Matt; Best leave the young to their own devices; In: The Weekend
Australian, 26-27 August, 2006.
- O'Brian,
Patrick; The Yellow Admiral:
London; Harper Collins; 1997; p83.
View Part 2 of this article »
Related
FUMSI Resources:
FUMSI Folio on
Competitive Intelligence
By Vernon Prior
Over
the past 20 years Vernon Prior (operating as Prior
Knowledge) has presented training programmes in competitive
intelligence (CI) and knowledge management (KM) in Australia, Brazil,
Brunei, Hong Kong, India, Japan, Malaysia, New Zealand, the
Philippines, Singapore, Thailand, and the United Arab Emirates.
Vernon
has a post-graduate Diploma in Librarianship and Information Science
(DipLib), is a Fellow of the Society of Competitive Intelligence
Professionals (FSCIP), and Founder of the Society of Knowledge and
Competitive Intelligence Professionals Australia (SCIPAust).
His
comprehensive
glossary of terms used in CI and KM is widely available
online,
including at the following sites: www.knowledgeboard.com,
www.markintell.com,
www.adler-ls.com,
www.quantumiii.co.uk,
www.quantum3.co.za,
www.mindshifts.com.au,
www.intellonet.com,
www.scip.org,
and www.swisscia.org.
FUMSI articles by Vernon Prior »
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