Why is there no textbook?
Students have occasionally asked me whether there is a textbook for
this class. There isn't. There's no lack of books on the subject;
the Barnes & Noble website says it sells 66 books with "competitive
intelligence" in the title. You could spend more than four thousand dollars
on them. But I haven't found any book I actually like enough to recommend
that everyone buy it.
The main failing of the books is a very pompous attitude about the
importance of the field, with discussions of national survival, and
comparisons with the CIA, which had a somewhat higher reputation when
most of these books were written.
Almost every book on competitive intelligence, for example, quotes
from Sun-Tzu on the Art of War. The line they usually
quote is "what enables the
wise commander to strike and conquer, and achieve things beyond the reach
of ordinary men, is foreknowledge," without telling you that this comes
from the chapter recommending that you hire spies.
The books also frequently include stories about ingenious
ways of getting information that are not realistic for most problems.
For example, two of them admire somebody who measured the amount of
rust on the railroad tracks outside a competitor's plant in order to guess the
rail tonnage coming out and thus the amount of production. Even if
this really happened, it's not something most of us are going to be able to do.
Many of the books are also too old. This field is entirely transformed
by the Web and online searching; anything which doesn't recognize
that is out of date.
Here are some notes and a sample quote from each
of several books:
Steven Shaker and Mark Gembicki,
The WarRoom Guide to Competitive Intelligence,
McGraw-Hill, 1998.
This book treats competitive intelligence as war, comparable to military
intelligence. It has a lot of stories.
“The company's chief strategist camped outside the auction headquarters
in a bus which had been transformed into a mobile war room. In addition
to strategizing in real time, they were able to communicate with their
bidders at the auction site using scrambled wireless telephones. Their
major logistical problem was keeping the parking meter filled with quarters.”
Craig Fleisher and David Blenkhorn,
Managing Frontiers in Competitive Intelligence,
Quorum Books, 2001.
They describe a four stage process: plan, collect analyze, and implement.
The book is made up of scattered essays, with a lot about the defense
of your company and various unethical strategies to be prepared to stop.
“for every new electronic security device that detects, scans or records,
there are three more that connect and send.” (Suzanne Wilshire)
Larry Kahaner,
Competitive Intelligence,
Simon & Schuster, 1996.
This book has a lot of puffery about the importance of the field; it
also has many stories about doing the job but I found many unrealistic.
It does emphasize the role of intelligence in corporations, and the
importance of how people interact, saying
"Most analysis is done to confirm our assertions or theories.”
“Doodles are also windows to a person's personality (fig 7.5). For example,
strong logical planners often sketch geometric shapes ... those who doodle
people and characters are less analytical but may be more visionary.”
George Friedman, Meredith Freeman, Colin Chapman, and John Baker,
The Intelligence Edge, Crown, 1997.
They recommend you rely on telephoning to gain information; networking,
in the personal sense, is their best strategy. To insert my own quote
from Sun Tzu,
"Knowledge of the enemy's dispositions can only be obtained
from other men." Realistically, getting information from people is wonderful
if you are able to do it, but sometimes it will be too slow, and sometimes
you don't have the contacts.
“Now we could have handed in this one page and let it go at that. But clients
don't like to pay five figures for one page. So we padded it out with
really nice tables and charts...”
David Hussey and Per Jenster,
Competitor Intelligence, Wiley 1999.
Again largely about how you would organize a group to handle competitive
intelligence, rather than about what the group should do.
“... when Heinz first suspected that Campbell might be planning to enter the
UK market with a range of condensed soups, they frustrated the move for
many years by launching a range of condensed soup which was clearly
inferior to the traditional canned soups. This established that
canned [sic — meant condensed] soups were an inferior product.”
Leonard M. Fuld,
The New Competitor Intelligence,
Wiley, 1995.
Most of this book is lists and lists of possible sources. It's the
most practical of the books, and again suggests reliance on making
phone calls as the best strategy (despite its many pages of printed
sources). The author says
"less than 1% of all business information will ever find its way to print”
However, this book was written before most of the sources were
online, and it suffers from that.
“Any time you find yourself stumped and believe you've hit an information
cul-de-sac, don't believe it. Take a breath and ask yourself, 'who else
may need the same information'?”
Managing Competitive Intelligence Knowledge in a Global Economy,
John Prescott and Jan Herring, subject experts;
American Productivity & Quality Center, 1998.
This book is actually a recipe for what to do, but the recipe is all
process, not content.
“The competitive intelligence group has developed an expectation among
the sales force members that their questions will be answered within 24 hours.”
Kirk Tyson,
Competition in the 21st Century,
St Lucie Press, 1997.
Most of this book is not about competitive intelligence, but about changes
in industry and society, presented in terms of the wonders of modern
business leadership. It reminds me of Victorian biographies of great
industrialists, with its near-worship of people like "Neutron Jack" Welch
and other CEOs. It was written a little too early for Ken Lay to be included.
“Intelligence should be a balance of historical performance information,
current information, and future scenarios.”
Margaret Metcalf Carr,
Super Searchers on Competitive Intelligence,
Information Today, 2003.
Reversing the view of the previous book,
this one worships at the feet of the competitive
intelligence folks rather than the corporate marketing types they serve. There
are 15 interviews with a resulting scattering of advice, since some of the
experts rely on their paper searching skills and others on their telephone
interviewing. I also got annoyed with the book because one chapter (p. 246)
claims to quote Sherlock Holmes as being a "practicing consultant" and
that phrase is nowhere in the Holmes canon.
“Unfortunately, the senior management didn't want to hear what we were finding
out, because there were disaster warnings all over the place but they had
26 years of seniority to protect.”
(George Dennis).
Richard Combs and John Moorhead,
The Competitive Intelligence Handbook,
Scarecrow Press, 1992.
A summary with lists of other books in the field (at that time), and a
discussion of their strengths and weaknesses. Notes the tension between
collecting information, analyzing it, and presenting the results; with
most of the book about finding odd bits of information. "Information is
where you find it," the authors write, and they emphasize the new and
inchoate nature of the field. They even quote the movie Lawrence of
Arabia saying "nothing is written," although in a context where I'm not
sure whether they are complaining that the world needs more books on
competitive intelligence,
or recognizing that the future is uncertain (the latter is what writer
Robert Bolt meant for Peter O'Toole to say in the movie; the phrase is not
in T. E. Lawrence's book).
“Every discipline, no matter how ancient or recent, has schools of thought,
gurus, cherished beliefs, taboos and so forth. Newer ones simply have
less baggage.”