I have always believed a successful company must have a customer/marketplace orientation and a strong marketing organization. That’s why my second step in creating a global enterprise had to be to fix and focus IBM’s marketing efforts.

Our wonderful technology was whipped by a product that was merely okay, but supported by a company that truly understood what the customer wanted. For a “solutions” company like IBM, it was a bitter but vital lesson.

However, Watson’s sensible connection to the customer was forgotten, and the dress code marched on. When I abolished IBM’s dress code in 1995, it got an extraordinary amount of attention in the press. Some thought it was an action of great portent. In fact, it was one of the easiest decisions I made—or, rather, didn’t make; it wasn’t really a “decision.” We didn’t replace one dress code with another. I simply returned to the wisdom of Mr. Watson and decided: Dress according to the circumstances of your day and recognize who you will be with (customers, government leaders, or just your colleagues in the labs).

Nothing can stop a cultural transformation quicker than a CEO who permits a high-level executive—even a very successful one—to disregard the new behavior model.

Perhaps the greatest mistake I’ve seen executives make is to confuse expectations with inspection.