This is about how to create growth in business. Financial markets relentlessly pressure executives to grow and keep growing faster and faster. Is it possible to succeed with this mandate ?? GROWTH IN BUSINESS IS INNOVATIONS
Inside the innovations box We cannot say, just by looking at the results of the process, whether the process that created those results is capable of generating predictable outputs. We must understand the process first!
The Objective Lesson 1,2,3,4,5,6 75,28,41,26,38,64 What’s the next two digits ??
Looks Predictable! 1,2,3,4,5,6 The next numbers should be 7 and 8.
Looks un-predictable A very postcard like look….!! 75,28,41,26,38,64….2, 122 !!! If you were following Michigan’s upper Peninsula, Sault Ste.Marie, Ontario to Saxon and into Wisconsin ?? YES YES YES, its just 2 and 122 clicks, on the map …. Sault Ste.Marie, Ontario to Saxon! Mommmmmmyyyyyyyy…. I need the bathroom, NOW !!
Predictable or Unpredictable ? The answer lies in the process by which the ideas get shaped. It’s the “Medici effect™” which supports and carry ideas, either predictable or unpredictable, such that growth imperative is met.
So what, is the Growth Imperative ? Growth is sustained, by those understanding these forces and learning to harness them. Successful, new-growth business then become more consistent. Understand =Forces : Learning =Harvest
Cliché#1 802.11 –Analog to Digital Disrupting local area wire lines networks.
Cliché#2 Amazon.com Disruption to the traditional bookstore concept.
Gets Better… Cliché#3&4 together E-mail –Disruptive Postal services eBay – Pursed a new-market driven disruptive strategy
Cliché#4 – R U hearing me?? Toy’s ‘R U Disruption of full-service and discount department stores.
What is all this blah blah stuff ??? “ A numbers of companies that were faced with disruption have succeeded by addressing disruption and in becoming leaders in the wave of disruption coming to them” -The Innovator’s Dilemma HBS-2003
The Question in Play? <ul><li>What products should we develop as we execute strategy ? </li></ul><ul><li>Which market segments that needs focusing ? </li></ul><ul><li>How can we know, for sure – that we are on the value pathway ? </li></ul>
… .But I’m also stuck. I have a dilemma virus too!!! ScareTacticsVx.0 – turning your back on what makes sense, yet greatly increasing the odds of scoring !!! Its scary, you could win and yet loss. Quantification Mechanic - our Crapshoot for whatever does not work, or how customers and markets work.
I stand tasked! What about U ??. I have a dilemma, do you have a solution ?? There is no demographic or psychographics profile set for a given population of consumers.
Nonetheless! Its an infatuation. We want customers who have long wanted our product but were unable to get one, until We arrived on the scene. Nonetheless, on this quest, these are the kind of customers that you will find !! Do whatever, come hell , go hell !! Everyone, will always want that, just a little bit more. Its a Value network.
What causes the failure? How can we know, for sure – that we are on the value pathway ? <ul><li>When there is no value to the customer. </li></ul><ul><li>Functionality, reliability. Not good enough </li></ul><ul><li>Excellence in responsiveness. </li></ul><ul><li>-Speed and flexibility. Not fast enough. </li></ul>
Position offering!! Formulate pervasiveness in and between all management tires. Find those seeking to build new growth business and for those seeking to keep current business robust. Business needs to watch vigilantly in the right places for trends of processes.
R V Ready ?? Capabilities requirements Every one’s primed!! Can we engage ?? Is our structure and strength's ready for growth ?? How can we create new capabilities ?
Whew…..hold on!!!! What’s the risk ?? <ul><li>Opportunities can be missed – $$ missed. </li></ul><ul><li>Opportunities can be wasted - $$ Lost </li></ul><ul><ul><li>However high is the potential innovations offering, if placed in the wrong context or not suited to the task, it will be the cost of getting it wrong. </li></ul></ul>
A deju vu- The Medici Effect!! “ Medici Effect ” - like Champagne, tickling the nose, customers from the outside. A pleasant experience, with all the higher virtues of life, the offerings …. flowing upwards from the bottom. Employee’s shooting the crap and always goes all the way to the top !!
Points of leverage Executive Leverage –Effective and appropriate executives will generate innovative processes. Find the right customers – Executives will create the “memos from the Executive Office” –which means being there, in the customers face!! Accelerate Emergent Innovations – We’ll do that tomorrow. Tomorrow you toast, do it today concept!!
The Theater curtains Fold or Unfold ? Is is a Folding or an Unfolding paradigm ?? Simply seeking to have the right strategy doesn’t go deep enough. We need to know, when to fold and unfold strategies. It’s a very deliberate and emergent process.
The deliberations process Can it be measured ? Does it make sense The Quantitative dilemma of executives; “ In the Men’s 100m Final, four athletes finished in less than 9.90 seconds, but it was USA’s Justin GATLIN who won gold medal with 9.85.” -Aug 22 nd 2004 Daily Athens Reports . The difference between, the best of the four best is .05sec!!
Aha!!! A Zen Philosophy at last!! Because of the perverse dynamics of the death spiral form inadequate growth, achieving growth requires an almost Zen like ability to purse growth, when even seemingly not necessary.
So ?? Is the idea predictable or unpredictable? Because of the perverse dynamics of the death spiral form inadequate growth, achieving growth requires an almost Zen like ability to purse growth, when even seemingly not necessary. Emergent innovations begins…..
Your being meddled. Now, go meddle others. !!! The situation is that companies need capability to change, when they can’t even see what innovations are needed, let alone decide which one merits investment.
The end of the beginning! Rules of engagement Rule#1 : Actively coordinate action and decisions when no process exist to do the coordination. Rule#2:Break the grip of established processes so when a team is confronted with new challenges, that requires new patterns to sustain Rule#1. Rule#3:Always take a step back and ensure that the right resources, processes, and values are applied in the right situation.
Passing the Baton…. Emergent innovations begins….. … ..If you start from a good place, then the choices that lead to success will look like the right choices. Doing what made sense leads to a next set of attractive choices. The initial conditions under which the innovation occurs, will change.
Innovations Manifesto!! “The Medici Effect” Given the existence of principles but no precedent, we have simply done our best to suggest how a growth engine can be created, for the “ Medici effect”. The Medici effect “ the breeding ground for breakthrough ideas ” – Harvard Business School- Johansson 2004.” /pd