The Age of Heretics:

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The Age of Heretics:

  1. 1. Webinar Deck February 24, 2008 The Age of Heretics: Lessons from Three Generations of Management Thinkers Art Kleiner editor-in-chief strategy+business Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and strategy+business
  2. 2. The Age of Heretics: Lessons from Three Generations of Management Thinkers is based on the book The Age of Heretics: A History of the Radical Thinkers Who Reinvented Corporate Management by Art Kleiner (San Francisco: Wiley/Jossey -Bass, 2008) and on a series of “Creative Mind” and “Culture and Change” articles originally written for strategy+business. Art Kleiner is editor-in-chief of strategy+business, the quarterly executive magazine published by Booz & Company. He is a writer and speaker specializing in business management, interactive media, corporate environmentalism, scenario planning, and organizational learning. His books include Who Really Matters: The Core Group Theory of Power, Privilege and Success (Doubleday, 2003). He is also the editorial director of the best-selling Fifth Discipline Fieldbook series, co -authored with Peter Senge. For more information, or to subscribe to strategy+business, see the web site: http://www.strategy-business.com Copyright © 2009 Booz & Company and Art Kleiner No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of the author. This document provides an outline of presentation and is incomplete without the accompanying oral commentary and dialogue. These materials are licensed for use by one individual only and only in connection with the course in which the materials provided. You can contact Art Kleiner at art.kleiner@booz.com. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  3. 3. Imagine that the year is 1953, and you are the producer of a convivial, sophisticated, health-affirming product…. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  4. 4. Imagine that the year is 1953, and you are the producer of a convivial, sophisticated, health-affirming product…. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  5. 5. Do you tell the truth to the public at large? Or do you hide it from the public and yourself? Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  6. 6. The pressure on the individual to avoid the truth is immense…. Real world consequences feedback Trial experiment feedback Social feedback Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  7. 7. The pressure on the individual to avoid the truth is immense…. Real world consequences feedback Trial experiment feedback Social feedback Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  8. 8. The pressure on the individual to avoid the truth is immense…. Real world consequences feedback Trial experiment feedback Social feedback Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  9. 9. The pressure on the individual to avoid the truth is immense…. Real world consequences feedback Trial experiment feedback Social feedback Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  10. 10. What does it take for an organization…. to systematically make it easier…. for people to make the kinds of decisions…. that will lead to better outcomes for the world…. and the organization itself…. in the right timeframe? Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  11. 11. We know more about the answer than we think we do. “Management is in the same state today that the natural sciences were in before the discovery of the circulation of the blood.” -- Elliot Jaques Joos van Craesbeck (1608- circa 1654/1662) is a Flemish painter. He shows us here, preserved in a private collection, the interior of a barber-surgeon’s office. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  12. 12. We know more about the answer than we think we do. “Management is in the same state today that the natural sciences were in before the discovery of the circulation of the blood.” -- Elliot Jaques There are a lot of barber -surgeons out there, “fixing” organizational problems… Joos van Craesbeck (1608- circa 1654/1662) is a Flemish painter. He shows us here, preserved in a private collection, the interior of a barber-surgeon’s office. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  13. 13. We know more about the answer than we think we do. “Management is in the same state today that the natural sciences were in before the discovery of the circulation of the blood.” -- Elliot Jaques There are a lot of barber -surgeons out there, “fixing” organizational problems… But there’s also a body of knowledge emerging, as the industrial world reconfigures itself… Joos van Craesbeck (1608- circa 1654/1662) is a Flemish painter. He shows us here, preserved in a private collection, the interior of a barber-surgeon’s office. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  14. 14. Many of the most valuable management ideas of today started out as countercultural: Self-managing work-teams “Management by walking around” (ie direct observation) Human beings are essentially capable The future can’t be predicted… …but it can be anticipated (ie scenario planning) A corporation’s fate is deeply entwined with the fate of its community, employees, suppliers, and customers And most of all…. Business is personal Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  15. 15. A brief history of business: For centuries, it was so slow it had to be personal. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  16. 16. But as the technology allowed the speed of transactions to accelerate…. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  17. 17. Industrialists could leave behind the vernacular of village and family and become “robber barons…” JD Rockefeller Jay Gould Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  18. 18. They could create “scientific” organizations with “one best way” of managing the work…. Frederick Taylor Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  19. 19. They could build far-flung giant organizations with calculations like ROI that compared human efforts across continents…. Donaldson Brown Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  20. 20. And they could foster a culture where a deal was “nothing personal… it’s just business…” Otto (“Abbadabba”) Berrnam Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  21. 21. After World War II, amidst the rise of the “organization man,” a quiet yearning began for the spirit of community to return to the corporation…. …and a growing body of practice, and a set of heretical ideas, suggested that the most powerful way to govern an enterprise was with its spirit of community intact… Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  22. 22. A heretic (in business) is a person who sees a truth that contradicts conventional wisdom and remains loyal to both entities: the organization and the truth… Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  23. 23. 1946: Kurt Lewin and the founders of NTL The “experts” are the people closest to the insight. Kurt Lewin, Frank Simpson, and an unidentified man at the Connecticut Workshop Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  24. 24. People are basically trustworthy…. Early NTL session - Lee Bradford, Alvin Zander, Ken Benne, Ron Lippitt, around 1954 Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  25. 25. Small groups hold the key to beneficial change…. Warren Bennis, U. of Cincinnati, around 1974 Jane Mouton, around 1964 Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  26. 26. 1969: Lyman Ketchum and Ed Dulworth in Topeka, Kansas Self-managing teams in a well-designed operation are far more productive than command and control. Ketchum Dulworth Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  27. 27. Many people in such an operation, if it’s well-designed, become committed to the future of the enterprise. Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  28. 28. To make it work requires a systematic redesign of the whole organization, away from “controls,” “ROI as purpose,” “expectations,” toward intrinsic “joy in work.” W. Edwards Deming Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  29. 29. Both sides have gotten more sophisticated; the numbers culture and the vernacular culture now coexist…. Tom Johnson Robert Kaplan Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  30. 30. What does it take to be an effective heretic? What does it take to create an organization in which people can be effective heretics? How can we tell the difference between merely countercultural ideas -- and ideas which make enough of a difference… that we can stop being barber-surgeons? Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  31. 31. Q&A Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company
  32. 32. Additional Resources To read more about Art Kleiner’s book, “The Age of Heretics: A History of the Radical Thinkers who Reinvented Management,” please use the following link: http://www.well.com/user/art/AofHtext.html Slides and recording: A recording of the event will be posted at: http://www.strategy-business.com/webinars/archive Heretics-Webinar-v5.ppt Copyright ©2009 Art Kleiner and Booz & Company

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