Deloitte advocates companies hire a Chief Value Officer

Thanks to Chris Jones of PA Consulting Group in Great Britain for passing this along.

Apparently, Deloitte has a newsletter, The Value Habit. Volume 9 has an article, Help Wanted: Chief Value Officer: Creating value is a full-time job.

It’s an excellent article, and we believe, an even better idea.

The genesis of this idea was from discussions with Paul Kennedy and the late Paul O’Byrne (sorry, I still choke up writing it that way), of OBK.

They made a comment that really stuck with me on a flight back from visiting them in 2004.

They were one of the first firms to have formed a pricing council, probably back in 2001-2002.

After running this council for a year or so, they said that they were becoming too focused on price, and value was being ignored.

I could see how this could happen, and since value determines price, maybe we needed to focus more clearly on the ultimate objective.

I knew there existed among large companies Chief Pricing Officers, Chief Revenue Officers, Yield Management Groups, Revenue Management Groups, even BMW had a Chief Experience Officer.

But I couldn’t find any company, anywhere, that had a Chief Value Officer.

Then in 2005, I presented to a firm (Ward Wilson) in New Zealand, strongly advocating they appoint a CVO.

They did later that year, Brendon Harrex, who now has his own firm.

In my book, Pricing on Purpose, I profile Brendon as the world’s first CVO, since I couldn’t find one anywhere before this time.

The idea caught legs, and now we know of probably a dozen firms that have appointed a CVO.

Who’s in charge of value in your firm?

Oh, and here’s a question for Deloitte: Do you have a CVO?

If so, why do you still think that time = value?

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