Yves Morieux Smart Simplicity

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How do companies create value and achieve competitive advantage in an age of great complexity? This is a question we constantly ask ourselves as we go about our work of helping chief executives and …

How do companies create value and achieve competitive advantage in an age of great complexity? This is a question we constantly ask ourselves as we go about our work of helping chief executives and their leadership teams build successful businesses.

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  • 1. Smart Simplicity Yves Morieux Stockholm – November 21st, 2013
  • 2. 1Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. Organizing for competitive advantage Strategy, success factors Structures, Processes... Growth Current performance Functional Expertise Maintaincoherenceacrossproducts Efficiency Innovation Geography B Geography A Geography... Geography C Global scale Local responsi- veness Finance HR IT Finance HR IT ... Speed Reliability Simplicity Choice ... Area1Area2 Shared services develop synergies Custo- mization Standar- dization Source: Y. Morieux (2011), 'To Boost Productivity, Try Smart Simplicity', BCG.Perspectives, July. Available at: https://www.bcgperspectives.com/content/podcasts/strategic_planning_people_management_human_resources_morieux_yves_key_to_boosting_productivity/
  • 3. 2Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. Leadership • Managerial value-added + + Cooperation • Each one's behavior increases the effectiveness of others ++ Engagement • Value-adding execution + Beyond the skeleton, need the nervous system Source: Y. Morieux (2011), 'Management: a Sociological Perspective'. In: From Taylor to Today: The Multimedia Encyclopedia of Organization Theory, Erhard Friedberg (coord.), Research & Organization.
  • 4. 3Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. Effect on performance Resources Cooperation Over-consumption of resources • Time, delays, equipment, inventories, stock, waste, mistakes, accidents, teams, extra pressure on the individual... Freeing resources for value- adding activities Source: Y. Morieux (2011), 'Management: a Sociological Perspective'. In: From Taylor to Today: The Multimedia Encyclopedia of Organization Theory, Erhard Friedberg (coord.), Research & Organization.
  • 5. 4Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. Expand the shadow of the future • Duration • Frequency • Inversion Smart rules Source: Y. Morieux (2011), 'Smart Rules: Six Ways to Get People to Solve Problems Without You', Harvard Business Review, volume 89, n°9, September: pp78-86 Improve knowledge of others • Their work, strengths • Management to re- cognize performance Reinforce integrators • Removing rules • Refusing escalation • Delayering Increase total quantity of power • To give all actors enough cards to play a more collective game Enlarge the domain of reciprocity • Rich objectives • Cut resources • No internal monopoly Modify the pay-off matrix • Make those who don't cooperate bear the cost Explanations available at: http://www.youtube.com/watch?v=irRQOWAaABk
  • 6. 5Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. Advantage by simplifying the organization to better manage business complexity Less structures No bureaucracy More capabilities Engagement Leader- ship + + Cooperation + + + Out- source Pool IT-infrastructure Elimi- nate Stan- dardize Source: BCG Navigator, available at: http://www.bcg.com/expertise_impact/BCG_fellows/organization/yves_morieux.aspx
  • 7. 6Healthcare Leadership Academy-Smart Simplicity-21Nov13-YM-kk-Was.pptx Copyright©2013byTheBostonConsultingGroup,Inc.Allrightsreserved. More on this topic Forthcoming book: Six Simple Rules – How to Manage Complexity Without Getting Complicated, Harvard Business Review Press Available at: http://www.amazon.com/Six-Simple-Rules-Complexity-Complicated/dp/1422190552