From Explotation of Resources to Unfolding of Human Potential

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Presentation by Franz Roosli at Stoos Connect 2013

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From Explotation of Resources to Unfolding of Human Potential

  1. 1. STOOS CONNECT JANUARY 25TH 2013From Exploitation of Resources to Unfolding Human Potential FRANZ RÖÖSLI Franz Röösli / BBRT January 25th 2013 Slide 1
  2. 2. Stoos Communique … that organizations can become learning networks of individuals creating value and that the role of leaders should include the stewardship of the living rather than the management of the machine.Franz Röösli / BBRT January 25th 2013 Slide 2
  3. 3. Some Findings about Human Nature BEHAVIOURAL SCIENCE ECONOMICS Striving for excellence is Human nature assumptions based on the hereditary of classical economics have disposition of humankind. to be revisited. Irenäus Eibl Eibesfeldt Ernst Fehr NEUROBIOLOGY ANTHROPOLOGY To motivate people from The core of humankind is outside is braintechnical cooperative. nonsense. Michael Tomasello Gerald HütherBased on: Hans A. Wührich, The Universität der Bundeswehr MünchenFranz Röösli / BBRT January 25th 2013 Slide 3
  4. 4. Purpose of a Company Profit maximization is meaningless and even dangerous because it elevates profitability to a myth. The purpose of a company lies outside of itself, it lies in the society, because a company is an organ of the society. Peter DruckerFranz Röösli / BBRT January 25th 2013 Slide 4
  5. 5. Roots of today’s prevailing Management Model Important assumptions (F. W. Taylor, Scientific Management 1911): •Separation of planning from doingCENTRALIZED •Work is based on detailed and precise instructions HIERARCHY •Division of labour / excessive use of specialisation •Monetary incentives Target Important assumptions (J. O. McKinsey, Budgetary Control, 1922): Budgetary Control, as an axiom of the FIXED Fixed Performance present day philosophy of business administration, is PROCESSES Contract urgently needed for two purposes: = Budget 1. As a basis for centralized executive control Control 2. As a means of coordinating the activities of the various functional departments.Source: BBRT Franz Röösli / BBRT January 25th 2013 Slide 5
  6. 6. Transforming a Management Model means Paradigm Shift “Centralized hierarchy” “Decentralized network” Leadership / Organisation Decentralisation of Decisions (6 Principles) Paradigm Shift towards: Self-Organization and Servant Leadership TRANSFORMATION “‘Fixed’ process” IS A CULTURAL JOURNEY “Adaptive process” Adaptive Management- Target Self-adjusting, Processes (6 Principles) relative Goals Management-Processes Paradigm Shift towards: Relative Goals and Adaptive Processes Fixed Performance- Contract Adaptive Processes Control Franz Röösli / BBRT January 25th 2013 Slide 6
  7. 7. From Exploitation of Resources to Unfolding Human Potential New Paradigm Traditional Paradigm New Paradigm (non-living asset management; (non-living asset management; (stewardship of the living; unfolding (stewardship of the living; unfolding exploitation of resources) exploitation of resources) human potential) human potential) • • Money making machines Money making machines • • Sustainable living systems Sustainable living systems • • Centralized hierarchies Centralized hierarchies • • Decentralized networks Decentralized networks • • ‘Hero’ leaders ‘Hero’ leaders • • ‘Servant’ leaders ‘Servant’ leaders • • Command and control Command and control • • Freedom to act Freedom to act • • Employees as costs Employees as costs • • Employees as value creators Employees as value creators • • Centrally driven initiatives Centrally driven initiatives • • Continuous improvement Continuous improvement • • High gearing High gearing • • Strong balance sheets Strong balance sheets • • Low credit ratings Low credit ratings • • High credit ratings High credit ratings • • Short life expectancy Short life expectancy • • Long life expectancy Long life expectancy • • Roller coaster performance Roller coaster performance • • Sustained high performance Sustained high performance Based on: Joseph H. Bragdon (2006) ‘Profit for Life: How capitalism excels’Franz Röösli / BBRT January 25th 2013 Slide 7
  8. 8. JOINT FORCES ENCOURAGEMENT INSPIRATION MUTUAL SUPPORT Lets Stoos be a movement ofmovements for a dialogue to facilitate a TIPPING POINTFranz Röösli / BBRT January 25th 2013 Slide 8

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