Pentascope Keynote Cooperrider

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David Cooperrider's talk in the Netherlands at the Pentascope conference

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  • Pentascope Keynote Cooperrider

    1. 1. Advances in Appreciative Inquiry Theory & The Collaborative Design of Positive Institutions How to Magnify Human Strengths Through Appreciative Inquiry’s “Whole System” Approach to Sustainable Value Creation David Cooperrider, Fairmount Minerals Professor and Chair Center for Business as an Agent of World Benefit Case Western Reserve University Author Appreciative Inquiry: A Positive Revolution in Change
    2. 2. My “Peter Drucker Moment” The source of my two threads today! <ul><li>“ Every social and global issue of our day is a business opportunity in disguise” </li></ul><ul><li>****************************** </li></ul><ul><li>“ The task of leadership is to create an alignment of strengths…making a system’s weaknesses irrelevant” </li></ul>
    3. 3. Points of Departure <ul><li>Idea of Positive Institutions </li></ul><ul><li>Strengths-Elevating—positive psychology’s shift </li></ul><ul><li>Strengths-Combining/Magnifying </li></ul><ul><li>Strengths-Extending Organizations </li></ul><ul><li>Design Thinking—Learning With Designers </li></ul><ul><li>Question of Change at the Scale of the Whole? </li></ul><ul><li>Collaborative Configurations Matter </li></ul><ul><li>“ Everyone designs” --Herb Simon </li></ul><ul><li>New Horizons in Appreciative Inquiry Theory </li></ul><ul><li>The Sustainability Revolution </li></ul><ul><li>Why new “design attitude” matters so much </li></ul><ul><li>Blessed unrest and business & society innovation </li></ul>Image Placeholder What a Time to Be a Student of Change Leadership
    4. 4. A Story: The Most Exciting Project I Have Ever Worked On
    5. 5. Business as an Agent of World Benefit --More Than 2,000 Interviews --100s of Published Profiles “Positive Institutions” --s ee www.worldinquiry.org “Awe is What Moves Us Forward”
    6. 6. Sustainable Value —From Obligation to Design Mindset Stake- holder Value ¹ Shareholder Value Unsustainable (Value Transfer) Unsustainable (Value Transfer) Unsustainable (Lose/Lose) Sustainable Value ¹ absolute standards or relative to competitors Clean energy vehicles Fossil fuel ICE
    7. 7. Positive Psychology Encyclopedia of Human Strengths Peterson and Seligman (2006)
    8. 8. Positive Institutions Defined Organizations That Elevate, Connect & Magnify, and Refract Our Highest Human Strengths into the World. <ul><li>1. Wisdom and Knowledge </li></ul><ul><li>curiosity/interest </li></ul><ul><li>love of learning </li></ul><ul><li>judgment/critical thinking </li></ul><ul><li>originality/ingenuity/creativity </li></ul><ul><li>perspective </li></ul><ul><li>2. Courage </li></ul><ul><li>valor </li></ul><ul><li>industry/perseverance </li></ul><ul><li>integrity/honesty </li></ul><ul><li>zest/enthusiasm </li></ul><ul><li>3. Love </li></ul><ul><li>intimacy </li></ul><ul><li>kindness/generosity/nurturance </li></ul><ul><li>social intelligence </li></ul><ul><li>*VIA Encyclopedia of Human Strengths </li></ul><ul><li>4 . Justice </li></ul><ul><li>citizenship/duty/loyalty/ teamwork </li></ul><ul><li>equity/fairness </li></ul><ul><li>leadership </li></ul><ul><li>5. Temperance </li></ul><ul><li>forgiveness/mercy </li></ul><ul><li>modesty/humility </li></ul><ul><li>self-control/self-regulation </li></ul><ul><li>prudence/caution </li></ul><ul><li>6. Transcendence </li></ul><ul><li>appreciation of beauty/awe </li></ul><ul><li>gratitude </li></ul><ul><li>hope/optimism </li></ul><ul><li>humor/playfulness </li></ul><ul><li>religiousness/sense of purpose </li></ul><ul><li>Peterson and Seligman (2005 ) </li></ul>
    9. 9. BUSINESS AS AN AGENT OF WORLD BENEFIT MANAGEMENT KNOWLEDGE LEADING POSITIVE CHANGE
    10. 10. AI at the UN World Summit With Business and Industry CEOs and Civil Society Leaders
    11. 11. UN Global Compact AI Summit Results—and Surprises <ul><li>Innovations : Dow, Novartis, BP, Ericcson, Tata, Royal Dutch Shell, Cemex, Telephonica, etc. </li></ul><ul><li>Many Prototypes—eg. PRI Project : Goldman Sachs and Other Investment Firms, Representing $10 Trillion in Assets </li></ul><ul><li>Who Cares Wins — data-based eclipse of “the great tradeoff illusion” </li></ul>
    12. 12. Results (cont.) <ul><li>10 Stock Exchanges & Climate Change Initiative </li></ul><ul><li>43 Local Networks…China </li></ul><ul><li>100% Growth in Members by 2007 Summit </li></ul><ul><li>Companies Calling for Management Schools to Get in the Game </li></ul><ul><li>Vision of the BAWB Global Forum (PRME) </li></ul>
    13. 13. Appreciative Inquiry Summit Method at the UN Global Compact With 500 CEOs
    14. 14. Appreciative Inquiry Involves a Shift <ul><li>“ No problem can be solved from the same level of consciousness that created it. We must learn to see the world anew.” </li></ul><ul><li>“ There are only two ways to live your life. One is as though nothing is a miracle. The other is as though everything is a miracle.” </li></ul><ul><li>– Albert Einstein </li></ul>
    15. 15. Theory AI: Positive Change as Co-elevation of Strengths <ul><li>Elevate-and-Extend </li></ul><ul><li>Spirit of Inquiry & Ethos of Appreciation </li></ul><ul><li>Resonating Patterns of Positive Emotions </li></ul><ul><li>High Quality Connections </li></ul><ul><li>Broaden-And-Build </li></ul><ul><li>Pro-fusion of Strengths </li></ul><ul><li>Magnification (analysis, synthesis) </li></ul><ul><li>Savoring (ritual, story, meaning) </li></ul><ul><li>Establish-and-Eclipse </li></ul><ul><li>Generative Imagination and Energy </li></ul><ul><li>Doing & Undergoing (“undoing”) </li></ul><ul><li>Upward spiral </li></ul>
    16. 16. Fairmount Minerals Story Birth of the “Sustainable Design Factory”
    17. 17. Multi-stakeholder Large Group Designing <ul><li>External Stakeholders: </li></ul><ul><li>Customers </li></ul><ul><li>Suppliers </li></ul><ul><li>NGO’s </li></ul><ul><li>Neighbors/Communities </li></ul><ul><li>Board of Directors </li></ul><ul><li>Imagine 300—Three days Stakeholders—designing new products, services. </li></ul><ul><li>Internal Stakeholders </li></ul><ul><li>Operations </li></ul><ul><li>Administration & Corporate Services </li></ul><ul><li>Customer Service </li></ul><ul><li>Engineering </li></ul><ul><li>Logistics </li></ul><ul><li>Quality </li></ul><ul><li>Sales </li></ul><ul><li>Technical Support / R&D </li></ul>Sustainable Designing & Innovation of Multiple Realities
    18. 18. Images of the Sustainable Design AI Summit
    19. 19. Next Generation Ai Summit: The Sustainable Design Factory <ul><li>Discovery </li></ul><ul><li>Appreciative Inquiry </li></ul><ul><li>Analogous storytelling </li></ul><ul><li>Poeticizing Capacities </li></ul><ul><li>Dream </li></ul><ul><li>Anticipatory Images </li></ul><ul><li>Visualization & </li></ul><ul><li>Enactment of Future </li></ul><ul><li>Design </li></ul><ul><li>Deep Dive </li></ul><ul><li>Rapid Prototyping </li></ul>Destiny Co-emergent arising Improvisational learning Distributed reflexivity Affirmative Topic Framing
    20. 20. Highlights <ul><li>40% Annual Growth in Earnings Past Two Years </li></ul><ul><li>2007 US Chamber of Commerce’s #1 Corporate Citizenship Award </li></ul><ul><li>A Culture of Community Partnership and Innovation </li></ul><ul><li>New Employee Owned Businesses, New Markets </li></ul><ul><li>Emerging as Top Rated Star in the Industry </li></ul>
    21. 21. Sources of Business Value Levels of Design Focus Business & World Context Brand/ Culture Market Product Process Risk Business and society value created Anticipating regulations, going beyond legal requirements Reducing energy, waste & process costs—future of totally renewable energy Sustainable-value, green products New stakeholder relationships, new markets Brand story, promise, customer experiences Designing industries, policy contexts, better world
    22. 22. Fairmount Started with Appreciative Inquiry in 1990 With a Focus on Empowerment 40% CAGR Past Four Years
    23. 23. Barely Scratching the Surface <ul><li>Sustainable value is a huge creative opportunity </li></ul><ul><li>Interactive design in configurations of the whole </li></ul><ul><li>brings out the best in human beings </li></ul><ul><li>High Engagement + Purpose + Creative Designing = </li></ul><ul><li>Flawless Implementation at Scale of the Whole </li></ul>
    24. 24. New High Engagement Turbocharger A Question for You: <ul><li>Which organization will help save more lives in the next five years than any other— children, women, and men—who are picking cotton in toxic and chemically treated fields all over the world—fields that are so toxic that when you touch the cotton it feels like an electric jolt around your fingers? </li></ul>
    25. 25. Collaborative Designing in Unexpected Places A Question for You About the S-Revolution: <ul><li>Which organization will help save more lives in the next five years than any other— children, women, and men—who are picking cotton in toxic and chemically treated fields all over the world—fields that are so toxic that when you touch the cotton it feels like an electric jolt around your fingers? </li></ul>
    26. 26. <ul><li>It employs 1.9 million people </li></ul><ul><li>Its serves 138 million people per week. </li></ul><ul><li>It has approximately $350 billion in sales </li></ul><ul><li>It’s attracting the most brilliant and radical environmental minds e.g. Amory Lovins </li></ul><ul><li>It’s raising many eyebrows </li></ul>
    27. 27. Wal-Mart’s Early Steps Many are Watching. <ul><li>Be supplied by 100% renewable energy </li></ul><ul><li>Create zero waste </li></ul><ul><li>Sell products that sustain the environment </li></ul>
    28. 28. Sustainable Value… Design Networks Energy Waste Products Global Greenhouse Gas Strategy Buildings Design Construction & Maintenance Global Logistics Alternative Fuels Operations & Internal Procurement Packaging Textiles Electronics Food & Agriculture Forest Products (Wood & Paper) Chemical Intensive Products Jewelry Seafood China
    29. 29. The Recent Magazine Summit on Sustainability <ul><li>One of 12 Sustainable Value Creation Networks </li></ul><ul><li>64% of Magazines Put on Shelf Don’t’ Get Sold </li></ul><ul><li>2.6 Billion—are Shredded </li></ul><ul><li>Would Circle the Earth 13 Times </li></ul><ul><li>Amazing AI Summit </li></ul>
    30. 30. Publisher Printer National Distributor Wholesaler Merchandiser Logistics Provider Freight Advertiser Retailer Consumer RDA Consultant Magazine Industry System Map 3,6 1,2,3,4,6 1,2,4,5,6 1,2,3,5 1,2 1 <ul><li>Aligning Incentives </li></ul><ul><li>Metrics for Success </li></ul>3. Print forecasting 4. POS Replenishment 5. Modular Planning 6. Stagger on-sale dates 7. Industry Network
    31. 31. “ Something that’s never happened in 50 years” <ul><li>Results: </li></ul><ul><li>Consensus on 50% improvement in sustainability in 1 st Year </li></ul><ul><li>12 major prototype initiatives from POS data to virtual magazine creating kiosks </li></ul><ul><li>An improvement of 50% is = Saving 443,572 trees </li></ul><ul><li>= 4,640,816 gal. diesel fuel </li></ul>
    32. 32. Each Network Created A Sustainable Pathway Today’s Business Practices Sustainable Business Practices Sustainable Pathway Using competitive forces to create a race to the top <ul><li>A “bigger win” for business and a “win” for society </li></ul>Quick Wins Can be implemented with existing technology and business models Innovation Projects Require technology and/or business model innovations System Change “ Changing the rules of the game” <ul><li>Focused on a “win” for business </li></ul>
    33. 33. Sustainability Index Summit Taking Sustainable Value Creation to 65,000 Suppliers & Millions of Products Saving people money so they can live better July 14-16, 2008 Appreciative Inquiry Summit
    34. 34. Imagine the Impact of Sustainability Scorecard
    35. 35. Mature Phase: (Textiles example) SKU specific questions add greater level of detail and insight into specific product performance Hypothetical and illustrative Emphasis moves to product-specific scoring. Product scores roll up to influence supplier score. (Up to 1 score per SKU; products of the same profile could be grouped in one score) Weight Raw Material Inputs Manufacturing/ Processing Transport/ Packaging/ Sales Product Use End-of-Life/ Recycling Supply Chain Goals Energy and Climate 40% Suppliers track on-farm energy use? (Y/N) Energy use per unit of finished product? (ranges will be provided) Hang tag on energy use during garment care? (Y/N) To reduce the use of non-renewable energy and greenhouse gas emissions. Material Efficiency 20% Uses fibers or irrigation practices that reduce field water use? (Y/N) Water consumption per unit of finished product? (ranges will be provided) Use of recycled materials in fabric production? (Y/N) To maximize efficient use of all materials, minimizing waste and costs. Natural Resources 20% Is the product organic or transition? (Y/N) Use of a restricted substances list for factory practices? (Y/N) Hang tag on use of laundry detergents? (Y/N) To ensure the integrity of ecosystems and a safe, reliable supply of raw materials. People and Community 20% Is product Fair Trade certified? (Y/N) To protect quality of life and safeguard human health.
    36. 36. Stories Have Wings
    37. 37. Implications of Packaging Eco- Innovation & People Turned On <ul><li>Prevented millions of pounds of trash from reaching landfills </li></ul><ul><li>Across the supply chain, the initiative will save 667,000 metric tons of carbon dioxide from entering the atmosphere </li></ul><ul><li>Equal to taking 213,000 trucks off the road annually, and saving 323,800 tons of coal and 66.7 million gallons of diesel fuel from being burned. </li></ul><ul><li>“ The packaging is renewable in 90 days instead of 9 million years” </li></ul>
    38. 38. Implications of Packaging Sustainable Value Innovation <ul><li>Broadening this initiative to 255 items in Toys: </li></ul><ul><li>This employee driven initiative saved 3,425 tons of corrugated materials </li></ul><ul><li>1,358 barrels of oil annually </li></ul><ul><li>5,190 trees </li></ul><ul><li>Millions of dollars in transportation costs </li></ul>
    39. 39. Is Sustainability a Passing Fad?
    40. 40. <ul><li>Sustainability is the business opportunity of the 21 st century. It is an innovation engine unlike anything we have ever seen in management-- and it’s a lens which will dominate the management agenda for the next generation of thirty or more years. Even more important, the outcomes will define the next episode in creative capitalism and, ultimately, will determine the well-being of our imperiled planet. </li></ul>
    41. 41. Images of Positive Institutions <ul><li>Strengths-elevating </li></ul><ul><li>Strengths-combining/amplifying </li></ul><ul><li>Strengths-extending organizations </li></ul>
    42. 42. Roadway Express : 65 Ai Summits: Energized, Unified <ul><li>Featured in Fast Company and Forbes. </li></ul><ul><li>Stock Prices rise--$14 to $41 per share </li></ul><ul><li>From 300 to Zero Grievances, e.g. Akron Terminal </li></ul><ul><li>Product Innovations, e.g. Manhattan Project </li></ul><ul><li>New Culture of Leadership </li></ul><ul><li>Powerful Learning Partnerships: Alcoa, Boeing, Cisco, Harley-Davidson, US Navy. </li></ul><ul><li>Roadway Has Done 65 Appreciative Inquiry Summits </li></ul><ul><li>10,000 People Engaged </li></ul>
    43. 43. Why High Engagement? The Business Case <ul><li>Approaches to competitive advantage: </li></ul><ul><ul><li>Low price – less than 60 days </li></ul></ul><ul><ul><li>Operational/technical expertise – less than 3 years </li></ul></ul><ul><ul><li>Fully engaged employees (people think and act like owners) – </li></ul></ul><ul><ul><li>more than 7 years </li></ul></ul>
    44. 44. Corporate Merger of Strength with Appreciative Inquiry Scenes From a $8 Billion Dollar Merger Integration Summit
    45. 45. Merger of Strengths—AI and Huge Follow-Through
    46. 47. Results “A Merger of Strengths” <ul><li>$ 300 million in synergy: done rapidly </li></ul><ul><li>Mobilization of 300 merger “entrepreneurs” </li></ul><ul><li>Tremendous acceleration of trust </li></ul><ul><li>Identification of game changing opportunity </li></ul><ul><li>Speed, scale, strength </li></ul><ul><li>Flawless implementation and execution 1 st 100 days strategy! </li></ul>
    47. 48. WHY is AI Whole SYSTEM APPROACH POWERFUL? Positive Organizational Scholarship <ul><li>Barbara Fredrickson’s Broaden-and-Build Theory </li></ul><ul><li>Jonathan Haight’s Research into “Elevation” </li></ul><ul><li>Wayne Baker’s work on the activation </li></ul><ul><li>of positive energy networks </li></ul><ul><li>Boyatzis on Resonant Leadership </li></ul>
    48. 49. Activation of Inquiry into “What Gives Life?” “ Appreciable World” Advancing Extension of Relatedness & Universal Capacity High Initiating Lo w <ul><li>Theory AI—Stages in Positive Change </li></ul><ul><li>Elevate-and-Extend </li></ul><ul><li>Broaden-And-Build </li></ul><ul><li>Establish-and-Eclipse </li></ul>Elevation and Extension of Inquiry Pro-Fusion of Strengths “ Broaden and Build” Activation of Energy Establish and Eclipse
    49. 50. A question about the future of management education and design: If anything imaginable were possible…?

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