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Are you a sprinter who can run the 100 in a flash or are you a long-distance
runner with your eye on pacing yourself? If you are slow to leave the block or
never enter the race, you will not survive.
Let the Race Begin
Are you up to the challenge?
Only you can decide!
Workshop Objectives
• Where are we?
• Make no mistake, we are all affected
both personally and corporately by the
Global Economy
• Who is saying what?
• Are they right?
• Where are we going?
• Up up and away…or so we hope
• As long as everyone plays nice
• What do we need to do to get there?
• Open our doors, make friends, we are not alone anymore
• Get to know our family, friends and neighbors
• Will we succeed?
• We will if we embrace our strengths and acknowledge our weaknesses
• We have to tell the truth and start the dialoged at the top
• Collaborate and share both internally and externally
Copyright © 2014 by Cyber Defense Resources all rights reserved
What is Top on Executives Minds?
• More than 70 percent of the senior executives have stated that one of
the top three focuses for the next three to five years is innovation.
• The other 30 percent of executives see innovation as key to keeping
pace and possibly jumping ahead in today’s global business
environment.
• The traditional product and service categories will be replaced by
“evolutionary thinking” in business processes, distribution, value
chains, business models, and even the functions of management.
• KEY TO INNOVATION IS collaboration and partner relationships.
• How effective is your company at internal collaboration?
• Do you use external partnerships to enhance your product offering
and/or services?
• Do you know what your customer wants to buy, how to buy it and who
or what makes you the most money?
• If you don’t your competitors will.
• Today’s Competitor may be tomorrow’s friend or family.
Copyright © 2014 by Cyber Defense Resources all rights reserved
“Unless countries come together, to take the right kind of
policy measures, we could be facing years of slow and sub-
par growth; well below the slow sustainable growth needed
to create enough jobs and improve living standards in the
future.” She noted that among major industrial countries,
growth is strongest in the United States. But she said it
would be critical for the Fed to "carefully manage the
gradual withdrawal" of its support for growth.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Bank of America/Merrill Lynch 2014 CFO Outlook Survey
Copyright © 2014 by Cyber Defense Resources all rights reserved
Most CFA Institute members (63%) think the global economy will expand in 2014. This optimistic outlook represents
a significant shift from the previous two years; in last year’s Global Market Sentiment Survey, only 40% of members
expressed optimism about the worldwide economy. This year, members in the United Kingdom are the most
optimistic about the global economy, with 78% expecting expansion. Brazilian and German members are similarly
positive, with 74% and 70%, respectively. Members in China are the most cautious, with only 48% saying they expect
the global economy to expand in the coming year. Even this number, however, is significantly higher than the mere
21% of members in China who expected global growth in 2013.
CFA Institute Global Market Sentiment Survey 2014
Copyright © 2014 by Cyber Defense Resources all rights reserved
• United States averted a possible sever crisis but confidence was
undermined by the governmental shutdown and therefore had a
negative impact economic activity and will have until US rebuilds
trust.
• China Reforms many believe will strengthen economic structure and
provide for continued rapid growth.
• Japan continues to have inflation and positively, Abenomics seems
to be having impact.
• Eurozone has exited from a long and deep depression.
• Major emerging markets status is anyone’s guess. Optimism about
future growth has waned due to internal unrest.
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What external factors will drive and/or impede your companies
performance over the next year?
Deloiite and Tousch CFO Signals 4th Quarter 2013
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Are We Restoring Trust?
Empowered by growing confidence in
the economy and their own company
performance, 94% of CFOs say they plan
to pursue new growth strategies in 2014
with caution.
Employers will be challenged to
attract, retain and develop people in
2014. Organizations will need bold,
innovative talent and human resources
strategies to compete for skills amidst
a global economy recovery. As
retention concerns mount,
organizations will focus on building a
passionate, highly-engaged
workforce.1
Copyright © 2014 by Cyber Defense Resources all rights reserved
Chartered Financial Analyst Institute again is the global association of investment professionals that sets the standard for professional excellence
and credentials. The organization is a champion for ethical behavior in investment markets and a respected source of knowledge in the global
financial community. The end goal: to create an environment where investors’ interests come first, markets function at their best, and economies
grow. CFA Institute has more than 117,000 members in 140 countries and territories, including 110,000 CFA charter holders, and 140 member societies.
For more information, visit www.cfainstitute.org.
How Do We Restore Trust?
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Economic Conditions Snapshot McKinsey & Company March 2014
%ofrespondents
Geopolitics Becomes The Number One Threat To Economic Growth
The Global Economical Threats to GLOBAL Growth?
Copyright © 2014 by Cyber Defense Resources all rights reserved
%ofrespondents
Out of 12 risks that were presented as answer choices in the questions
Developed Asia, Europe and North America
China Developed Markets (i.e. markets in Asia, Africa and the Middle East), India and Latin
America
Economic Conditions Snapshot McKinsey & Company March 2014
The Global Economical Threats to DOMESTIC Growth?
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Bank of America/Merrill Lynch 2014 CFO Outlook
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Bank of America/Merrill Lynch 2014 CFO Outlook Survey
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CFO Outlook 2014 BofA and Merrill
Lynch
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What is Your Company’s Business Focus for 2014
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CFO Outlook 2014 BofA and Merrill Lynch
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CFO Outlook 2014 BofA
and Merrill Lynch
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CFO Outlook 2014 BofA and Merrill Lynch
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In which areas does your finance organization make
a substantial contribution to the business?
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What indicators do you use to monitor the
performance of your financial organization?
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Top Challenges for Implementing Collaboration
McKinsey Global Survey results Building organizational capabilities
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Collaboration is at the Heart of Modern Business Process
• Close to 80% of the senior executives surveyed said that effective
coordination and collaboration across product, functional, and
geographic lines was crucial for growth.
• Only 25% said their organizations was "effective" at sharing knowledge
across boundaries.
• Falling communications costs, globalization, and the increasing
specialization of knowledge-based work have made collaboration
within and among organizations more important than ever.
• “Tacit" interactions and socialization methods of communication
increase the complexity of management.
• Implementing and Managing Collaboration is not easy.
• Task Oriented Linear, process-based tools such as activity-based costing,
business process reengineering, and total quality management ARE NOT
EFFECTIVE at providing information on invisible employee networks and
interactions that help employees get things done across functional,
hierarchical, and business unit boundaries.
Copyright © 2014 by Cyber Defense Resources all rights reserved
•We need to map and analyze the collaborative value
created (or destroyed) deep within employee
networks.
•Most complex employee network analysis tools today
focus on individual effectiveness i.e. communications,
workflows, and resource exchange not on the
interactions they create.
•Today, executives’ focus needs to be on the revenue
and productivity benefits that collaborative
interactions generate, the costs such interactions
impose, and opportunities to improve connectivity at
the points that create the greatest economic value.
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Collaboration is at the Heart of Modern Business Process
Shift hiring practices to those who are more collaborative
Collaborative Leadership plays a key role
Mapping the Value of Employee
Collaboration-McKinsey and
Company
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Employee Network Analysis
1. Identify the functions and activities where connectivity
seems most relevant.
2. Map relationships within those priority areas.
• Options for obtaining the necessary information
• Track E-mail
• Social Media
• Twitter, LinkedIn, Facebook, Pintrest
• Observing employees by using existing data
• Time cards , Project charge codes, team
assignments
• Administer a short (5- to 20-minute) questionnaire
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Quantifying Costs and Benefits of Collaboration
• ANALYSIS: Compare the time employees spend on interactions of various
types as well as the savings and sales contributions of specific
collaborations.
• INPUTS: Fully loaded compensation figures for network participants and
detailed survey results
• Questions are posed bidirectional: if Joe says he was helpful to Jane, but
she says she doesn't know him, his claim is disregarded. With the
information in hand, companies can use standard software to create
network maps illustrating relationships
• Examples:
• "How much time did working with employee X save you?" or
• "On how many deals in the following revenue bands did you work with
employee Y?").
• "Whom do you ask for advice before making an important decision?"
• "With whom are you most likely to discuss a new idea?“
Copyright © 2014 by Cyber Defense Resources all rights reserved
Copyright © 2014 by Cyber Defense Resources all rights reserved
Mapping Individual Performance
• GOAL: Boost a non-profit’s fund-raisers' productivity
• PLAN: Identify and target specific types of donors and their motivations
for their donation, execute a step-by-step sales process with measurable
results in a defined sequence, and tailored donor interests as the
benchmark. Note: Only some high performers followed few of these
practices; Most low performers embraced them all.
• ANALYSIS: Network analysis gave insight into individual, team, and
organization-wide performance issues. High-performing fund-raisers not
only had strong relationships with donors but also accounted for a
disproportionate share (25 percent) of the connections within the fund-
raising group. Tenure and experience were key reasons for the high
performers' strong networks. Low-tenure fund-raisers got stuck on the
fringes of both their internal and external networks and became
dissatisfied, and quit before they became productive.
• SOLUTION: By helping new fund-raisers rapidly replicate the high
performers' networks, the nonprofit expected to increase its revenue
from employees with no more than two years' tenure by nearly 200%.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Mapping Team Performance
• GOAL: Boost efficiency and productivity of a large global
construction company.
• PLAN: Find out what the difference between the strongly
performing sales offices and the poorly performing ones.
• ANALYSIS: a key distinction between the strongly and poorly
performing offices was the percentage of collaborative time
with customers. 68 percent for the stronger performers and
50 percent for the poorly performing performers. Deeper
analysis revealed that hierarchy, organizational design and
project management processes differed from the strongly
performing and the poorly performing.
• SOLUTION: The construction company replicated the network
orientation of high-performing offices in poorly performing
ones.
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Mapping Organization-wide Performance
• GOAL: Increase Sales and eliminate bottlenecks within the sales
process in an engineering company that recently had experienced
growing pains through an international expansion.
• PLAN: Align objectives across the teams of construction managers who
focused on cutting costs and engineers who focused on technical
solutions.
• ANALYISIS: Overall, the company's culture and linear view of the
construction process that emphasized tasks performed by each group
and the handoffs between seemed to be efficient enough. Through an
analysis of one of the engineering company's high-performing groups a
small number of highly specialized construction managers and
engineers had accounted for 35% of all the collaboration occurring
within it. Due to this internal mapping of specialized talents, this
collaboration dramatically enhanced the group's ability to deliver
expertise.
• SOLUTION: Identifying and building connectivity between specialists in
other groups helped the firm to raise its construction revenue to $275
million, from $80 million, in a single year.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Sales and Generating Revenue
• Everyone Must Have Collaboration Goals as a Part of their Job
Description including Finance
• How does knowing from where the money comes from and where the money goes help?
• Everyone needs to know where their paycheck is coming from and overall how their job
contributes to the P&L.
• A network view often uncovers "hidden" people whose contribution to cross-selling or
closing deals is far greater than individually focused performance metrics might imply.
• Are customers paying on time or early?
• Who is buying what and how often?
• Are there any possibilities for collaboration with our vendors to increase our customer
base?
• What other services do our partners offer that might help create additional offerings?
• It can also suggest where to replicate collaborative behavior, when to draw in valuable
experts from the network's fringe, and how to eliminate obstacles to collaborative sales
efforts.
• obstacles that include time, skills, personalities, incentives, and ignorance of which
colleagues have expertise.
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Example of Improving Cross-Selling
• GOAL: Increase sales by increasing responsiveness to customers at a
leading technology company during market shifts.
• PLAN: Find out where collaboration affects the generation of revenue and
where it affects key players roles.
• ANALYSIS: The company broke out collaborative contributions by bands of
revenue and learned that the most and least valuable interactions (those
generating more than $2,000,000 and less than $250,000, respectively)
invariably involved different people. What's more, a network perspective
helped the company identify which colleagues knew about one other's
expertise but didn't draw on it.
• SOLUTION: Replicate the major contributors' behavior and provide
adequate training for key salespeople as well as others to understand how
collaboration could make them more successful. The high-performing
collaborators showed specific traits that the company believed help make
them successful: they were accommodating, more responsive to requests,
flexible, amenable to constructive criticism, enthusiastic team players, and
effective conflict managers. The companies incentive program and training
programs were changed in an effort to build collaborative skills throughout
the sales network.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Enhancing Career Paths
• GOAL: At a global consulting firm, increase revenue through identifying
and creating more efficient workflows with partners and through
collaboration create additional opportunities for growth. Also, identify
and measure the role the partners play in overall success.
• PLAN: Use employee network analytic tools to analyze the sales efforts
80 partners
• ANALYSIS: Through performance management process review that
recognized individual revenue production, the company identified 2
crucial categories of people who weren't being recognized.
• SOLUTION: The company identified 10 partners who supported
collaborative efforts by making joint sales calls yielding 60% of this
group's revenue; the top 5 accounted for 38 % A completely different
subset of partners were identified that made an enormous contribution
to the execution of projects by helping others to save time and generate
high-quality work; this second group, for example, contributed
expertise on the problems of clients, visited them, and helped with
analyses. The contributions of these partners, too, were highly
concentrated: the top 10 people were responsible for 48% of the value
generated through time savings, and the top 5 for 32%
Copyright © 2014 by Cyber Defense Resources all rights reserved
Boosting Productivity
• Employee Network analysis can show that through collaboration they
can generate savings by facilitating the transfer of advice and
information from colleague to colleague.
• In other cases, an employee network perspective isolates unseen
collaborative inefficiencies resulting from poor job design, an
ineffective allocation of the right to make decisions, and outdated role
definitions, process steps, or organizational designs.
• The specific issues and interventions vary considerably across
industries. But some general themes emerge. Often, companies that
operate without a network perspective allocate resources inefficiently,
manage talent blindly, and experience large disparities in the
effectiveness of collaboration within and across units.
• Scrutinizing the time savings that relationships generate helps
companies to isolate what's working; to decide what, where, and how
to invest in additional connectivity; and to redefine roles and staffing
levels. Examples from three very different industries illustrate the range
of possibilities.
Copyright © 2014 by Cyber Defense Resources all rights reserved
The Neuroscience of Leadership Development –John Kotter
Barriers to Collaboration: Hierarchical structure is ideal for creating economies of
scale in pursuit of quality through standardization. Hierarchies also introduce layer upon
layer of barriers to communication and cooperation resulting in silos of thought and the
defense of symbolic, if only imaginary, turf. Years of downsizing and cost cutting has
exacerbated these barriers as associates keep their heads down and dig in their heels with
their peers and direct reports.
Copyright © 2014 by Cyber Defense Resources all rights reserved
The Neuroscience of Leadership Development-John Kotter
Hierarchies have been the dominant structure
and is the standard form for large companies.
Once upon a time, in 1855, a bottom up tree like
structure was created by an executive for the
New York and Erie Railroad. The board of
directors are represented at the roots and
executive management moves up into the trunk
while line managers branch out along the
various front lines of the railroad. This places
leadership at the base and reflects a perspective
of senior leadership’s role in nurturing and
providing strength for the growth of the
corporation, empowering front line
management with the authority to make
immediate decisions in real-time. This was no
small issue when trains ran in two directions on
the same tracks. Any miscommunication, in the
age of the telegraph, would result in horrific,
head-on collisions. Not good for the paying
customers or the shareholders, to say the least.
Copyright © 2014by Cyber Defense Resources all rights reserved
John Katter's Strategy Accelerator
SOLUTION: Design a 2nd Operational System to create and implement strategy, that is agile
also a network structure its own set of processes. PLAN: To continually assess the business,
the industry, and the internal society, and react with greater agility, speed, and creativity
than the existing one. It complements the traditional hierarchy, thus freeing the it to do what
it’s optimized to do. Enterprises are easier to run and strategic change happens rapidly. Both
systems must operate in concert with each other.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Copyright © 2014 by Cyber Defense Resources all rights reserved
So…How Do We Do This?
The Neuroscience of Leadership Development-John Kotter
Open networks are those with “structural diversity”; where the people you know are not
all connected to each other. Leaders with open networks are more likely to hear new
information from disparate sources, be able to merge dissimilar ideas in a new creative
thread and be able to capitalize on possible unseen opportunities. They tend to perform
better, are promoted more rapidly, enjoy greater career mobility, and adapt to change
more effectively (Burt, 1992; Cross, Thomas, & Light, 2008).
Good Employee Networks are Open
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Good Employee Networks are Diverse
•Many of the same advantages of open networks
•Leadership involves working across vertical,
horizontal, stakeholder, demographic, and
geographic boundaries for group and organizational
success (Yip, Ernst, & Campbell, 2009; Ernst &
Chrobot-Mason, 2010).
•Individual leader’s network connections form the
bridges that span these boundaries and allow for
collective action (Cross, Ernst, & Pasmore, in press).
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Good Employee Networks are Deep
• Estimated to be 4 X the predictor of performance than other network
predictors (Cross & Parker, 2004).
• When leaders invest strategically in transparency, diversity and deeper
bonding, they develop more complete, creative, and unbiased views of
issues.
• More likely to yield new resources and crucial information.
• Relationships will need to adapt over a Leaders career.
• A critical skill is to know when and how to activate relationships – and
when and how to back away from or dial down relationships.
• Active networks consist of 2-way relationships where individuals have
demonstrated reciprocity in working together, helping each other, and
offering resources.
• With that foundation of reciprocity, the level of trust grows.
• Reciprocal, trusted relationships that are regular and ongoing are a
leader’s most active network.
Copyright © 2014 by Cyber Defense Resources all rights reserved
STEPS TO NO MORE SILOS
1. Identify high-performing networks of employees.
2. Replicate these networks by forming collaboration
groups.
3. Promote specific interactions that help generate revenue
and boost productivity.
a. Targeted action is dramatically more effective than
promoting connectivity.
4. Have a broader network perspective.
a. Identify the few critical points where improved
connectivity creates economic value.
b. Be able to cross connect business unit and functional
silos, physical distance, organizational hierarchies, and
a scarcity of expertise.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Validating Effectiveness of Sharing Good Ideas
• GOAL: A leading petrochemical company wanted to determine where their employees
can increase uptime to solve problems from sharing best practices to better utilize
investment in fixed assts.
• PLAN: Increase the ability to solve problems quickly across disciplines such as drilling,
geology, physics, and production through more than 20 employee networks ranging in
size from 50 to several hundred employees. These networks focused on work areas
where people could benefit from sharing best practices.
• ANALYSIS: Network analysis showed that the effort, which previously had been
operating largely on faith, was generating substantial, shareable productivity benefits.
One 60-person network alone contributed $5 million in savings. A typical story involves
engineers and an out-of-commission oil well. Engineers used their network to identify
an expert who had no relationship with the well but did have critical knowledge that
helped them fix it in two days instead of the expected four. Network analysis thus
allowed the company to validate the efficacy of its networks.
• SOLUTION: The most successfully formed employee networks shared with all other
networks best practices to problems previously solved. A knowledge-sharing team
interviewed the leaders of networks to collect and disseminate best practices. The keys
to success included forming networks carefully around focused topic areas closely
related to the way work was actually done, giving network members the leadership and
training for success. In this case, using collaborative tools would have been ineffective
and an investment waste. The key was to continually track and measure success to
encourage participation and inform decision making about when (and when not) to
finance incremental network improvements.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Improving Allocation of Resources
• GOAL: A global financial-services organization want to improve investment decisions on
collaborative relationships and understand fully what the best HR strategy should be.
• PLAN: Map and calculate the time its key employees saved by sharing information and resources
across groups and with their colleagues.
• ANALYSIS: Better results were realized when executives were allowed to improve the skill sets of
the networks and to weigh anticipated returns against the costs. After recognizing that a set of
key brokers occupied central positions in the network, for instance, the company realized that
connecting all of these people with each other and with just one person on the network's fringe
would yield $140,000 a year in savings within business units and $865,000 across them.
• ANALYSIS: One division's global network of technical project managers generated monthly savings
of 3,383 hours, roughly $215,000 by uncovering that about 70% of these savings resulted from
collaboration within divisions and reduced redundant efforts, and to promote the exchange of
expertise in project-management tools, methodologies, and technologies. Executives were better
able to direct investments through aggregating results by business units, roles of responsibility,
projects and stakeholder representation.
• SOLUTION: The company replicated the pilot company wide that should yield savings that
ultimately will dwarf the initial results. By revealing the relational value created by people,
executives were better able to measure and manage talent. Key contributors were now seen as
playing an active role and therefore were financially rewarded where they had been overlooked
before. Ultimately, the company redefined roles and performance metrics to promote
collaboration, and built in compensation accordingly. Training programs were started to
encouraged knowledge sharing.
Copyright © 2014 by Cyber Defense Resources all rights reserved
The Neuroscience of Leadership Development
Missing from the above diagrams is how IT Infrastructure (technology) facilitates and
enhances collaboration in a cost effective approach. Utilizing tools like SharePoint, box,
drop box, LinkedIn, etc. will help cross organizational barriers to communication and
collaboration while sparking engagement (especially with Gen-X and Gen-Y), authentic
inclusion of diverse ideas, and the significant productivity gains necessary to stay
competitive in the New Economy.
Copyright © 2014 by Cyber Defense Resources all rights reserved
CANWEALL
AGREEThatWEare
NOTinKansas
Anymore?
Copyright © 2013 by Cyber Defense Resources all rights reserved
Possible Collaborative Technology Tools
Copyright © 2014 by Cyber Defense Resources all rights reserved
Respondents in
the largest study in
the new peer-to-
peer economy
reported that they
plan to double in
next 12 months.
Brands must
develop a strategy
in this new market
and avoid being
bypassed from
peer-to-peer
economic models.
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The New Collaborative Economy
Over 80 leading
brands have joined
this peer-to-peer
Collaborative
Economy, tapping the
crowd as a partner.
http://www.web-
strategist.com/blog/20
13/02/26/collaborative
-economy-brand-
edition/
Copyright © 2014 by Cyber Defense Resources all rights reserved
How Major Brands Are Pursuing the Collaborative Economy
Over 9000 startups
where put into a single
diagram by five families,
eleven classes, and a
sample of district
startups.
As companies were disrupted
by social media, they
adapted. Companies
disrupted by this new peer
economy called The
Collaboration Economy are
also adapting. We’re at the
start of another ten year run.
There are Entrepreneurial
organizations being run by
consultants for big brands
like myself only to help them
get involved, learn, and lead.
Copyright © 2014 by Cyber Defense Resources all rights reserved
So when did this
all begin?
Although we think
that collaboration
has been here a
long time, notably
we think it started
in 1938. At least
that is as far back
right now that we
are prepared to go.
Copyright © 2014 by Cyber Defense Resources all rights reserved
Copyright © 2013 by Cyber Defense Resources all rights reserved
Disruptive Technology Description Example
Proximity Based
Communications
Devices that capture and analyze a set of sensors,
providing intelligence based on context of people,
place, and time in a detailed manner
Mobile devices that use Indoor
Positioning Systems IPS, NFC, RFID,
mobile/social data, and Wi-Fi
networks can identify a consumer as
they move through a showroom floor,
down to the inch.
3D Printing
Technology that empowers manufacturing of 3D
objects and production anywhere.
MakerBot, 3D systems, Affinia,
Formlabs, Stratasys, and now
replicator technology quickly scans,
and copies a 3D item.
Collaborative Consumption
Web and mobile apps that enable users to share,
rent, borrow, and gift products and services
with low friction transactions.
AirBnb, Lyft, Uber, see my list of 200,
and brand examples.
Gesture Based Interfaces
Technology that senses movement, and causes
digital systems to respond. Computer interfaces
and sensors will emerge causing keyboards and
mice to fade away.
Leap, Kinnect and other technologies
give path to a minority report
experience. Eye tracking software
such as Tobbi and retina tracking
software even in store emerge.
Augmented Reality
A layer of information is placed on top of our
reality plan, using digital glasses, empowering
users to access and transmit real time digital
information.
Google Glass will emerge and
empower consumers to access Google
interfaces as they traverse world.
Index:2013 What Are The Disruptive Technologies?
Copyright © 2014 by Cyber Defense Resources all rights reserved
Index 2013: What Are The Disruptive Technologies?
Disruptive Technology Description Example
Virtual Reality
Reality=an immersive experience across many senses
that digital replicates sight, sound, feel.
Oculus Rift, Stanfords VR Lab provide
immersive headsets that simulate a
complete new world.
Quantified Self
Wearable computing=body reading sensors harvest,
analyze, and provide insight to how our bodies are
working.
Body API, Nike Fuel Band, Nike+,
Fitbit, Garmin, Runkeeper, most
mobile devices track our movements.
Quantified World,
Internet of Things
Technologies that capture data from around the world,
cities, and nature to analyze and predict future
patterns.
Nest thermostat, Telematics in cars
and thousands of other sensors are
actively collecting data and altering
our world. Open data economy, data
in mobile networks and mobile
devices.
Digital Screen
Experiences
There are evolutions happening to digital screens, from
flexible screens that can morph to anything, to digital
output devices everywhere, and 3D technology.
4k resolution (higher res than HDTV),
3D TVs, flexible OLED screens
Power Everywhere
Wireless power, solar power, and efficient power
sources enable transportation, devices, enable more
computing, sensing, and information spread.
Powermat, Powertrekk, eCoupled
provide wireless power
Drones and
Automated Robots
Technology is empowering for humans to man aerial
drones to also create self-driving cars, warehouse
robots, and more. The impacts to business, technology,
government, privacy, and warfare are just starting to
surface.
ARDrone (I owned version 1), Google’s
self driving car, and Amazon’s robot
warehouse are just the start of the
automated planet.
Copyright © 2014 by Cyber Defense Resources all rights reserved
WE MUST ACCEPT WE HAVE A DIGITAL WORLD AND
TECHNOLOGY PLAYS A MAJOR ROLL TO OUR
OPERATIONS AND SURVIVAL
SUMMARY
• Both internal and external collaboration is a means for our
survival.
• How fast we can continually map, measure and implement
strategies based on collaboration is key for our survival.
• Transformation and innovation MUST consider disruptive
technologies.
• How proactively we supply our customer demands using
their preferred buying styles will determine our longevity.
• We must establish trust with our customers and partners.
• If we don’t our competitors will.
Copyright © 2014 by Cyber Defense Resources all rights reserved
"Creativity, as has been said, consists largely of rearranging what
we know in order to find out what we do not know. Hence, to think
creatively, we must be able to look afresh at what we normally take
for granted."
— George Kneller
"It isn't the incompetent who destroy an organization. The
incompetent never get in a position to destroy it. It is those who
achieved something and want to rest upon their achievements who
are forever clogging things up."
— F. M. Young
Copyright © 2014 by Cyber Defense Resources all rights reserved
"Please understand my friend, that where you find yourself
tomorrow is a function of the decisions and actions you take
today."- Akin A. Awolaja
Copyright © 2014 by Cyber Defense Resources all rights reserved
Questions?
Robin Austin, President
Cyber Defense Resources
robin@cyberdefenseresouces.com
469-474-3062
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April 25 speaking 2

  • 1. Are you a sprinter who can run the 100 in a flash or are you a long-distance runner with your eye on pacing yourself? If you are slow to leave the block or never enter the race, you will not survive. Let the Race Begin Are you up to the challenge? Only you can decide!
  • 2. Workshop Objectives • Where are we? • Make no mistake, we are all affected both personally and corporately by the Global Economy • Who is saying what? • Are they right? • Where are we going? • Up up and away…or so we hope • As long as everyone plays nice • What do we need to do to get there? • Open our doors, make friends, we are not alone anymore • Get to know our family, friends and neighbors • Will we succeed? • We will if we embrace our strengths and acknowledge our weaknesses • We have to tell the truth and start the dialoged at the top • Collaborate and share both internally and externally Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 3. What is Top on Executives Minds? • More than 70 percent of the senior executives have stated that one of the top three focuses for the next three to five years is innovation. • The other 30 percent of executives see innovation as key to keeping pace and possibly jumping ahead in today’s global business environment. • The traditional product and service categories will be replaced by “evolutionary thinking” in business processes, distribution, value chains, business models, and even the functions of management. • KEY TO INNOVATION IS collaboration and partner relationships. • How effective is your company at internal collaboration? • Do you use external partnerships to enhance your product offering and/or services? • Do you know what your customer wants to buy, how to buy it and who or what makes you the most money? • If you don’t your competitors will. • Today’s Competitor may be tomorrow’s friend or family. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 4. “Unless countries come together, to take the right kind of policy measures, we could be facing years of slow and sub- par growth; well below the slow sustainable growth needed to create enough jobs and improve living standards in the future.” She noted that among major industrial countries, growth is strongest in the United States. But she said it would be critical for the Fed to "carefully manage the gradual withdrawal" of its support for growth. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 5. Bank of America/Merrill Lynch 2014 CFO Outlook Survey Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 6. Most CFA Institute members (63%) think the global economy will expand in 2014. This optimistic outlook represents a significant shift from the previous two years; in last year’s Global Market Sentiment Survey, only 40% of members expressed optimism about the worldwide economy. This year, members in the United Kingdom are the most optimistic about the global economy, with 78% expecting expansion. Brazilian and German members are similarly positive, with 74% and 70%, respectively. Members in China are the most cautious, with only 48% saying they expect the global economy to expand in the coming year. Even this number, however, is significantly higher than the mere 21% of members in China who expected global growth in 2013. CFA Institute Global Market Sentiment Survey 2014 Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 7. • United States averted a possible sever crisis but confidence was undermined by the governmental shutdown and therefore had a negative impact economic activity and will have until US rebuilds trust. • China Reforms many believe will strengthen economic structure and provide for continued rapid growth. • Japan continues to have inflation and positively, Abenomics seems to be having impact. • Eurozone has exited from a long and deep depression. • Major emerging markets status is anyone’s guess. Optimism about future growth has waned due to internal unrest. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 8. What external factors will drive and/or impede your companies performance over the next year? Deloiite and Tousch CFO Signals 4th Quarter 2013 Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 9. Are We Restoring Trust? Empowered by growing confidence in the economy and their own company performance, 94% of CFOs say they plan to pursue new growth strategies in 2014 with caution. Employers will be challenged to attract, retain and develop people in 2014. Organizations will need bold, innovative talent and human resources strategies to compete for skills amidst a global economy recovery. As retention concerns mount, organizations will focus on building a passionate, highly-engaged workforce.1 Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 10. Chartered Financial Analyst Institute again is the global association of investment professionals that sets the standard for professional excellence and credentials. The organization is a champion for ethical behavior in investment markets and a respected source of knowledge in the global financial community. The end goal: to create an environment where investors’ interests come first, markets function at their best, and economies grow. CFA Institute has more than 117,000 members in 140 countries and territories, including 110,000 CFA charter holders, and 140 member societies. For more information, visit www.cfainstitute.org. How Do We Restore Trust? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 11. Economic Conditions Snapshot McKinsey & Company March 2014 %ofrespondents Geopolitics Becomes The Number One Threat To Economic Growth The Global Economical Threats to GLOBAL Growth? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 12. %ofrespondents Out of 12 risks that were presented as answer choices in the questions Developed Asia, Europe and North America China Developed Markets (i.e. markets in Asia, Africa and the Middle East), India and Latin America Economic Conditions Snapshot McKinsey & Company March 2014 The Global Economical Threats to DOMESTIC Growth? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 13. Bank of America/Merrill Lynch 2014 CFO Outlook Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 14. Bank of America/Merrill Lynch 2014 CFO Outlook Survey Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 15. CFO Outlook 2014 BofA and Merrill Lynch Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 16. What is Your Company’s Business Focus for 2014 Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 17. CFO Outlook 2014 BofA and Merrill Lynch Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 18. CFO Outlook 2014 BofA and Merrill Lynch Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 19. CFO Outlook 2014 BofA and Merrill Lynch Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 20. In which areas does your finance organization make a substantial contribution to the business? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 21. What indicators do you use to monitor the performance of your financial organization? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 22. Top Challenges for Implementing Collaboration McKinsey Global Survey results Building organizational capabilities Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 23. Collaboration is at the Heart of Modern Business Process • Close to 80% of the senior executives surveyed said that effective coordination and collaboration across product, functional, and geographic lines was crucial for growth. • Only 25% said their organizations was "effective" at sharing knowledge across boundaries. • Falling communications costs, globalization, and the increasing specialization of knowledge-based work have made collaboration within and among organizations more important than ever. • “Tacit" interactions and socialization methods of communication increase the complexity of management. • Implementing and Managing Collaboration is not easy. • Task Oriented Linear, process-based tools such as activity-based costing, business process reengineering, and total quality management ARE NOT EFFECTIVE at providing information on invisible employee networks and interactions that help employees get things done across functional, hierarchical, and business unit boundaries. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 24. •We need to map and analyze the collaborative value created (or destroyed) deep within employee networks. •Most complex employee network analysis tools today focus on individual effectiveness i.e. communications, workflows, and resource exchange not on the interactions they create. •Today, executives’ focus needs to be on the revenue and productivity benefits that collaborative interactions generate, the costs such interactions impose, and opportunities to improve connectivity at the points that create the greatest economic value. Copyright © 2014 by Cyber Defense Resources all rights reserved Collaboration is at the Heart of Modern Business Process
  • 25. Shift hiring practices to those who are more collaborative Collaborative Leadership plays a key role Mapping the Value of Employee Collaboration-McKinsey and Company Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 26. Employee Network Analysis 1. Identify the functions and activities where connectivity seems most relevant. 2. Map relationships within those priority areas. • Options for obtaining the necessary information • Track E-mail • Social Media • Twitter, LinkedIn, Facebook, Pintrest • Observing employees by using existing data • Time cards , Project charge codes, team assignments • Administer a short (5- to 20-minute) questionnaire Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 27. Quantifying Costs and Benefits of Collaboration • ANALYSIS: Compare the time employees spend on interactions of various types as well as the savings and sales contributions of specific collaborations. • INPUTS: Fully loaded compensation figures for network participants and detailed survey results • Questions are posed bidirectional: if Joe says he was helpful to Jane, but she says she doesn't know him, his claim is disregarded. With the information in hand, companies can use standard software to create network maps illustrating relationships • Examples: • "How much time did working with employee X save you?" or • "On how many deals in the following revenue bands did you work with employee Y?"). • "Whom do you ask for advice before making an important decision?" • "With whom are you most likely to discuss a new idea?“ Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 28. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 29. Mapping Individual Performance • GOAL: Boost a non-profit’s fund-raisers' productivity • PLAN: Identify and target specific types of donors and their motivations for their donation, execute a step-by-step sales process with measurable results in a defined sequence, and tailored donor interests as the benchmark. Note: Only some high performers followed few of these practices; Most low performers embraced them all. • ANALYSIS: Network analysis gave insight into individual, team, and organization-wide performance issues. High-performing fund-raisers not only had strong relationships with donors but also accounted for a disproportionate share (25 percent) of the connections within the fund- raising group. Tenure and experience were key reasons for the high performers' strong networks. Low-tenure fund-raisers got stuck on the fringes of both their internal and external networks and became dissatisfied, and quit before they became productive. • SOLUTION: By helping new fund-raisers rapidly replicate the high performers' networks, the nonprofit expected to increase its revenue from employees with no more than two years' tenure by nearly 200%. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 30. Mapping Team Performance • GOAL: Boost efficiency and productivity of a large global construction company. • PLAN: Find out what the difference between the strongly performing sales offices and the poorly performing ones. • ANALYSIS: a key distinction between the strongly and poorly performing offices was the percentage of collaborative time with customers. 68 percent for the stronger performers and 50 percent for the poorly performing performers. Deeper analysis revealed that hierarchy, organizational design and project management processes differed from the strongly performing and the poorly performing. • SOLUTION: The construction company replicated the network orientation of high-performing offices in poorly performing ones. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 31. Mapping Organization-wide Performance • GOAL: Increase Sales and eliminate bottlenecks within the sales process in an engineering company that recently had experienced growing pains through an international expansion. • PLAN: Align objectives across the teams of construction managers who focused on cutting costs and engineers who focused on technical solutions. • ANALYISIS: Overall, the company's culture and linear view of the construction process that emphasized tasks performed by each group and the handoffs between seemed to be efficient enough. Through an analysis of one of the engineering company's high-performing groups a small number of highly specialized construction managers and engineers had accounted for 35% of all the collaboration occurring within it. Due to this internal mapping of specialized talents, this collaboration dramatically enhanced the group's ability to deliver expertise. • SOLUTION: Identifying and building connectivity between specialists in other groups helped the firm to raise its construction revenue to $275 million, from $80 million, in a single year. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 32. Sales and Generating Revenue • Everyone Must Have Collaboration Goals as a Part of their Job Description including Finance • How does knowing from where the money comes from and where the money goes help? • Everyone needs to know where their paycheck is coming from and overall how their job contributes to the P&L. • A network view often uncovers "hidden" people whose contribution to cross-selling or closing deals is far greater than individually focused performance metrics might imply. • Are customers paying on time or early? • Who is buying what and how often? • Are there any possibilities for collaboration with our vendors to increase our customer base? • What other services do our partners offer that might help create additional offerings? • It can also suggest where to replicate collaborative behavior, when to draw in valuable experts from the network's fringe, and how to eliminate obstacles to collaborative sales efforts. • obstacles that include time, skills, personalities, incentives, and ignorance of which colleagues have expertise. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 33. Example of Improving Cross-Selling • GOAL: Increase sales by increasing responsiveness to customers at a leading technology company during market shifts. • PLAN: Find out where collaboration affects the generation of revenue and where it affects key players roles. • ANALYSIS: The company broke out collaborative contributions by bands of revenue and learned that the most and least valuable interactions (those generating more than $2,000,000 and less than $250,000, respectively) invariably involved different people. What's more, a network perspective helped the company identify which colleagues knew about one other's expertise but didn't draw on it. • SOLUTION: Replicate the major contributors' behavior and provide adequate training for key salespeople as well as others to understand how collaboration could make them more successful. The high-performing collaborators showed specific traits that the company believed help make them successful: they were accommodating, more responsive to requests, flexible, amenable to constructive criticism, enthusiastic team players, and effective conflict managers. The companies incentive program and training programs were changed in an effort to build collaborative skills throughout the sales network. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 34. Enhancing Career Paths • GOAL: At a global consulting firm, increase revenue through identifying and creating more efficient workflows with partners and through collaboration create additional opportunities for growth. Also, identify and measure the role the partners play in overall success. • PLAN: Use employee network analytic tools to analyze the sales efforts 80 partners • ANALYSIS: Through performance management process review that recognized individual revenue production, the company identified 2 crucial categories of people who weren't being recognized. • SOLUTION: The company identified 10 partners who supported collaborative efforts by making joint sales calls yielding 60% of this group's revenue; the top 5 accounted for 38 % A completely different subset of partners were identified that made an enormous contribution to the execution of projects by helping others to save time and generate high-quality work; this second group, for example, contributed expertise on the problems of clients, visited them, and helped with analyses. The contributions of these partners, too, were highly concentrated: the top 10 people were responsible for 48% of the value generated through time savings, and the top 5 for 32% Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 35. Boosting Productivity • Employee Network analysis can show that through collaboration they can generate savings by facilitating the transfer of advice and information from colleague to colleague. • In other cases, an employee network perspective isolates unseen collaborative inefficiencies resulting from poor job design, an ineffective allocation of the right to make decisions, and outdated role definitions, process steps, or organizational designs. • The specific issues and interventions vary considerably across industries. But some general themes emerge. Often, companies that operate without a network perspective allocate resources inefficiently, manage talent blindly, and experience large disparities in the effectiveness of collaboration within and across units. • Scrutinizing the time savings that relationships generate helps companies to isolate what's working; to decide what, where, and how to invest in additional connectivity; and to redefine roles and staffing levels. Examples from three very different industries illustrate the range of possibilities. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 36. The Neuroscience of Leadership Development –John Kotter Barriers to Collaboration: Hierarchical structure is ideal for creating economies of scale in pursuit of quality through standardization. Hierarchies also introduce layer upon layer of barriers to communication and cooperation resulting in silos of thought and the defense of symbolic, if only imaginary, turf. Years of downsizing and cost cutting has exacerbated these barriers as associates keep their heads down and dig in their heels with their peers and direct reports. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 37. The Neuroscience of Leadership Development-John Kotter Hierarchies have been the dominant structure and is the standard form for large companies. Once upon a time, in 1855, a bottom up tree like structure was created by an executive for the New York and Erie Railroad. The board of directors are represented at the roots and executive management moves up into the trunk while line managers branch out along the various front lines of the railroad. This places leadership at the base and reflects a perspective of senior leadership’s role in nurturing and providing strength for the growth of the corporation, empowering front line management with the authority to make immediate decisions in real-time. This was no small issue when trains ran in two directions on the same tracks. Any miscommunication, in the age of the telegraph, would result in horrific, head-on collisions. Not good for the paying customers or the shareholders, to say the least. Copyright © 2014by Cyber Defense Resources all rights reserved
  • 38. John Katter's Strategy Accelerator SOLUTION: Design a 2nd Operational System to create and implement strategy, that is agile also a network structure its own set of processes. PLAN: To continually assess the business, the industry, and the internal society, and react with greater agility, speed, and creativity than the existing one. It complements the traditional hierarchy, thus freeing the it to do what it’s optimized to do. Enterprises are easier to run and strategic change happens rapidly. Both systems must operate in concert with each other. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 39. Copyright © 2014 by Cyber Defense Resources all rights reserved So…How Do We Do This?
  • 40. The Neuroscience of Leadership Development-John Kotter Open networks are those with “structural diversity”; where the people you know are not all connected to each other. Leaders with open networks are more likely to hear new information from disparate sources, be able to merge dissimilar ideas in a new creative thread and be able to capitalize on possible unseen opportunities. They tend to perform better, are promoted more rapidly, enjoy greater career mobility, and adapt to change more effectively (Burt, 1992; Cross, Thomas, & Light, 2008). Good Employee Networks are Open Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 41. Good Employee Networks are Diverse •Many of the same advantages of open networks •Leadership involves working across vertical, horizontal, stakeholder, demographic, and geographic boundaries for group and organizational success (Yip, Ernst, & Campbell, 2009; Ernst & Chrobot-Mason, 2010). •Individual leader’s network connections form the bridges that span these boundaries and allow for collective action (Cross, Ernst, & Pasmore, in press). Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 42. Good Employee Networks are Deep • Estimated to be 4 X the predictor of performance than other network predictors (Cross & Parker, 2004). • When leaders invest strategically in transparency, diversity and deeper bonding, they develop more complete, creative, and unbiased views of issues. • More likely to yield new resources and crucial information. • Relationships will need to adapt over a Leaders career. • A critical skill is to know when and how to activate relationships – and when and how to back away from or dial down relationships. • Active networks consist of 2-way relationships where individuals have demonstrated reciprocity in working together, helping each other, and offering resources. • With that foundation of reciprocity, the level of trust grows. • Reciprocal, trusted relationships that are regular and ongoing are a leader’s most active network. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 43. STEPS TO NO MORE SILOS 1. Identify high-performing networks of employees. 2. Replicate these networks by forming collaboration groups. 3. Promote specific interactions that help generate revenue and boost productivity. a. Targeted action is dramatically more effective than promoting connectivity. 4. Have a broader network perspective. a. Identify the few critical points where improved connectivity creates economic value. b. Be able to cross connect business unit and functional silos, physical distance, organizational hierarchies, and a scarcity of expertise. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 44. Validating Effectiveness of Sharing Good Ideas • GOAL: A leading petrochemical company wanted to determine where their employees can increase uptime to solve problems from sharing best practices to better utilize investment in fixed assts. • PLAN: Increase the ability to solve problems quickly across disciplines such as drilling, geology, physics, and production through more than 20 employee networks ranging in size from 50 to several hundred employees. These networks focused on work areas where people could benefit from sharing best practices. • ANALYSIS: Network analysis showed that the effort, which previously had been operating largely on faith, was generating substantial, shareable productivity benefits. One 60-person network alone contributed $5 million in savings. A typical story involves engineers and an out-of-commission oil well. Engineers used their network to identify an expert who had no relationship with the well but did have critical knowledge that helped them fix it in two days instead of the expected four. Network analysis thus allowed the company to validate the efficacy of its networks. • SOLUTION: The most successfully formed employee networks shared with all other networks best practices to problems previously solved. A knowledge-sharing team interviewed the leaders of networks to collect and disseminate best practices. The keys to success included forming networks carefully around focused topic areas closely related to the way work was actually done, giving network members the leadership and training for success. In this case, using collaborative tools would have been ineffective and an investment waste. The key was to continually track and measure success to encourage participation and inform decision making about when (and when not) to finance incremental network improvements. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 45. Improving Allocation of Resources • GOAL: A global financial-services organization want to improve investment decisions on collaborative relationships and understand fully what the best HR strategy should be. • PLAN: Map and calculate the time its key employees saved by sharing information and resources across groups and with their colleagues. • ANALYSIS: Better results were realized when executives were allowed to improve the skill sets of the networks and to weigh anticipated returns against the costs. After recognizing that a set of key brokers occupied central positions in the network, for instance, the company realized that connecting all of these people with each other and with just one person on the network's fringe would yield $140,000 a year in savings within business units and $865,000 across them. • ANALYSIS: One division's global network of technical project managers generated monthly savings of 3,383 hours, roughly $215,000 by uncovering that about 70% of these savings resulted from collaboration within divisions and reduced redundant efforts, and to promote the exchange of expertise in project-management tools, methodologies, and technologies. Executives were better able to direct investments through aggregating results by business units, roles of responsibility, projects and stakeholder representation. • SOLUTION: The company replicated the pilot company wide that should yield savings that ultimately will dwarf the initial results. By revealing the relational value created by people, executives were better able to measure and manage talent. Key contributors were now seen as playing an active role and therefore were financially rewarded where they had been overlooked before. Ultimately, the company redefined roles and performance metrics to promote collaboration, and built in compensation accordingly. Training programs were started to encouraged knowledge sharing. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 46. The Neuroscience of Leadership Development Missing from the above diagrams is how IT Infrastructure (technology) facilitates and enhances collaboration in a cost effective approach. Utilizing tools like SharePoint, box, drop box, LinkedIn, etc. will help cross organizational barriers to communication and collaboration while sparking engagement (especially with Gen-X and Gen-Y), authentic inclusion of diverse ideas, and the significant productivity gains necessary to stay competitive in the New Economy. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 47. CANWEALL AGREEThatWEare NOTinKansas Anymore? Copyright © 2013 by Cyber Defense Resources all rights reserved
  • 48. Possible Collaborative Technology Tools Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 49. Respondents in the largest study in the new peer-to- peer economy reported that they plan to double in next 12 months. Brands must develop a strategy in this new market and avoid being bypassed from peer-to-peer economic models. Copyright © 2014 by Cyber Defense Resources all rights reserved The New Collaborative Economy
  • 50. Over 80 leading brands have joined this peer-to-peer Collaborative Economy, tapping the crowd as a partner. http://www.web- strategist.com/blog/20 13/02/26/collaborative -economy-brand- edition/ Copyright © 2014 by Cyber Defense Resources all rights reserved How Major Brands Are Pursuing the Collaborative Economy
  • 51. Over 9000 startups where put into a single diagram by five families, eleven classes, and a sample of district startups. As companies were disrupted by social media, they adapted. Companies disrupted by this new peer economy called The Collaboration Economy are also adapting. We’re at the start of another ten year run. There are Entrepreneurial organizations being run by consultants for big brands like myself only to help them get involved, learn, and lead. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 52. So when did this all begin? Although we think that collaboration has been here a long time, notably we think it started in 1938. At least that is as far back right now that we are prepared to go. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 53. Copyright © 2013 by Cyber Defense Resources all rights reserved
  • 54. Disruptive Technology Description Example Proximity Based Communications Devices that capture and analyze a set of sensors, providing intelligence based on context of people, place, and time in a detailed manner Mobile devices that use Indoor Positioning Systems IPS, NFC, RFID, mobile/social data, and Wi-Fi networks can identify a consumer as they move through a showroom floor, down to the inch. 3D Printing Technology that empowers manufacturing of 3D objects and production anywhere. MakerBot, 3D systems, Affinia, Formlabs, Stratasys, and now replicator technology quickly scans, and copies a 3D item. Collaborative Consumption Web and mobile apps that enable users to share, rent, borrow, and gift products and services with low friction transactions. AirBnb, Lyft, Uber, see my list of 200, and brand examples. Gesture Based Interfaces Technology that senses movement, and causes digital systems to respond. Computer interfaces and sensors will emerge causing keyboards and mice to fade away. Leap, Kinnect and other technologies give path to a minority report experience. Eye tracking software such as Tobbi and retina tracking software even in store emerge. Augmented Reality A layer of information is placed on top of our reality plan, using digital glasses, empowering users to access and transmit real time digital information. Google Glass will emerge and empower consumers to access Google interfaces as they traverse world. Index:2013 What Are The Disruptive Technologies? Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 55. Index 2013: What Are The Disruptive Technologies? Disruptive Technology Description Example Virtual Reality Reality=an immersive experience across many senses that digital replicates sight, sound, feel. Oculus Rift, Stanfords VR Lab provide immersive headsets that simulate a complete new world. Quantified Self Wearable computing=body reading sensors harvest, analyze, and provide insight to how our bodies are working. Body API, Nike Fuel Band, Nike+, Fitbit, Garmin, Runkeeper, most mobile devices track our movements. Quantified World, Internet of Things Technologies that capture data from around the world, cities, and nature to analyze and predict future patterns. Nest thermostat, Telematics in cars and thousands of other sensors are actively collecting data and altering our world. Open data economy, data in mobile networks and mobile devices. Digital Screen Experiences There are evolutions happening to digital screens, from flexible screens that can morph to anything, to digital output devices everywhere, and 3D technology. 4k resolution (higher res than HDTV), 3D TVs, flexible OLED screens Power Everywhere Wireless power, solar power, and efficient power sources enable transportation, devices, enable more computing, sensing, and information spread. Powermat, Powertrekk, eCoupled provide wireless power Drones and Automated Robots Technology is empowering for humans to man aerial drones to also create self-driving cars, warehouse robots, and more. The impacts to business, technology, government, privacy, and warfare are just starting to surface. ARDrone (I owned version 1), Google’s self driving car, and Amazon’s robot warehouse are just the start of the automated planet. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 56. WE MUST ACCEPT WE HAVE A DIGITAL WORLD AND TECHNOLOGY PLAYS A MAJOR ROLL TO OUR OPERATIONS AND SURVIVAL SUMMARY • Both internal and external collaboration is a means for our survival. • How fast we can continually map, measure and implement strategies based on collaboration is key for our survival. • Transformation and innovation MUST consider disruptive technologies. • How proactively we supply our customer demands using their preferred buying styles will determine our longevity. • We must establish trust with our customers and partners. • If we don’t our competitors will. Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 57. "Creativity, as has been said, consists largely of rearranging what we know in order to find out what we do not know. Hence, to think creatively, we must be able to look afresh at what we normally take for granted." — George Kneller "It isn't the incompetent who destroy an organization. The incompetent never get in a position to destroy it. It is those who achieved something and want to rest upon their achievements who are forever clogging things up." — F. M. Young Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 58. "Please understand my friend, that where you find yourself tomorrow is a function of the decisions and actions you take today."- Akin A. Awolaja Copyright © 2014 by Cyber Defense Resources all rights reserved
  • 59. Questions? Robin Austin, President Cyber Defense Resources robin@cyberdefenseresouces.com 469-474-3062 www.cyberdefenseresources.com

Editor's Notes

  1. IT IS Time to Accelerate,
  2. IMF: The head of the International Monetary Fund  Christine Lagarde warned today that leading nations need to embrace bold policy steps to accelerate a still-modest and fragile global economic recovery. The world still struggles to emerge from the 2008 financial crisis, economies are under threat from tensions involving Ukraine and Russia to inaction in countries that should be driving growth. The European Central Bank, for example, should consider lowering interest rates further and using unconventional policies to support growth and fight inflation. WORLD BANK "The performance of advanced economies is gaining momentum, which will support stronger growth in developing countries. Even battered Europe is on the mend, Eurostat reported on Tuesday that factories in the eurozone ramped up output in November after two months of decline. Industrial production rose 1.8%  from October. The Federal Reserve's slow retrenchment of its economic stimulus campaign - which served to push down interest rates the world over could be a risk BUT "Whatever negative effect the taper might have there will be an offset by stronger growth in high-income countries," Andrew Burns, the lead author of the report, said in an interview. "It's not a doom-and-gloom scenario." He noted that markets responded calmly when the Fed announced its decision late last year to begin cutting its asset purchases, by an increment of $10 billion, from $85 billion a month. Most believe that slower growth might be healthier and more stable, driven by improving economic fundamentals rather than cheap money and financial bubbles.
  3. 5
  4. Turning the corner. CFOS are more positive about the US global economies than they have been heading into any year since the onset of economic recession in 2008. Once again the US economy rated highest, at 53 out of 100, representing a 4-point improvement over the start of 2013, and 9 points higher than 2012. This upward trend mirrors steady improvement in housing, stocks, employment, sales and other key US economic indicators. The global economy reading also rose 5 points year over year, from 45 to 50 and has gained 7 points since 2012.
  5. CHARTER FINANCIAL ANALYST HAS OVER 100K members world wide. In short, we are here to lead, support, and connect all those who want to create a better investment industry.
  6. Abenomics refers to the economic policies advocated by Shinzō Abe since the December 2012 general election, which elected Abe to his second term as Prime Minister of Japan. Abenomics is based upon "three arrows" of fiscal stimulus, monetary easing and structural reforms.[1] The Economist characterized the program as a "mix of reflation, government spending and a growth strategy designed to jolt the economy out of suspended animation that has gripped it for more than two decades."[2]
  7. • North American economies are top growth by 72% of CFOs – well ahead of China (39%) and Europe (25%). All sectors are above 55% for North America except for Technology at 43%. • Industry-specific demand is a substantial growth aid for 61% of companies, driven mostly by positive sentiment in Manufacturing and Energy/Resources. Technology and Services CFOs are the most likely to name this factor a top impediment. • Industry dynamics are a positive factor for 48% of CFOs overall and a negative factor for 20%. Manufacturing and Technology CFOs are the most positive, and Healthcare/Pharma is the most negative. • Technology advancements and capital availability are substantial aids for about 40% of companies. Retail/Wholesale is the anomaly with little boost from either of these factors. Impediments center heavily on government policy: • Industry-specific regulation is the top impediment, cited by 45% of CFOs. Financial Services CFOs (54%), Healthcare/Pharma (67%), and Services (63%) are most likely to name this factor an impediment. • Government spending/budget policy is a substantial impediment for 40% of CFOs overall and for 67% of those in Healthcare/Pharma. • Talent costs are a substantial impediment for 40% of CFOs, especially for those in Healthcare/Pharma and T/M/E.
  8. IT IS THE CONSENSUS THAT RESTORING TRUST HAS TO BE THE TOP GOAL. SHOW FCW MAGAZINE ARTICLE ******** We should include middle market companies too. Middle market companies are increasingly exploring different paths to growth, from creating deeper relationships with existing customers to entering new markets that have great potential. Why now? Economic optimism is the highest it’s been in our annual survey since 2008. Most companies are expecting to increase sales in 2014, while also expanding or maintaining the size of their workforce. In addition, companies continue to actively pursue opportunities to buy, sell and expand globally SHOW FORTUNE MAGAZINE JAPAN ARTICLE. Play BNY VIDEO
  9. Globally, members cite improved regulation and oversight of global systemic risks as the most important action needed in 2014 to build investor trust and market integrity. For their local markets, members say better enforcement of existing laws and stronger corporate governance standards are the steps needed to improve market integrity.
  10. Globally, MOST CFOS have Concerns about geopolitical instability and its implications for global growth have surged, according to McKinsey’s latest survey on economic conditions. 70% of all respondents cite geopolitical tensions as a risk to growth in the global economy over the next year, up from 27 percent in December, as the recent turmoil in Ukraine and Russia has left executives across Europe divided. On average, executives remain optimistic about conditions in both their home countries and the global economy, though sluggish demand still tops their list of domestic concerns. Among non-eurozone respondents in Europe, however, economic expectations have taken a turn for the worse. They cite geopolitical issues most often as a risk to their countries’ domestic growth. Relative to their peers in the eurozone, they are much more negative about current conditions at home and in the world economy—and more pessimistic about economic prospects in the months ahead. SHOW BLOOMBERG FREEZE YOUR EGGS GLOBAL ECONOMICS
  11. Threats to domestic growth differ for developed and emerging markets. So why IS demand low? Executives are divided over the causes. Respondents in emerging markets are nearly 9 times as likely as those in developed markets to cite high inflation, while much larger shares in developed markets attribute low demand to deteriorating household finances and postponed consumption. SHOW FCW MAGAZINE ARTICLE DOOMED TO DYSFUNCTION As in December, emerging-market executives are more worried about asset bubbles. They cite these more often as an overall risk to growth and are twice as likely as developed-market executives to say that over the next six months, asset bubbles will pose a significant threat to growth at home.
  12. 3 primary economic concerns remain top-of-mind for CFOs in 2014, which they have cited in varying order for the past 3 years. HEALTHCARE COSTS at 67%. EFFECTIVENESS OF US GOVERNEMTN (62%) a very close 2nd. SHOW AGAIN FCW ARTICLE DOOMED TO DYSFUNCTION BUDGET DEFICIT (57%) not too far behind. 2/3s of all US companies express concerns about the potential impact healthcare costs will have on the economy in 2014, up significantly from 62% in 2013 and 60% in 2012.
  13. Most CFOs report that their labor costs mill rise to cover the costs of the Affordable Care Act. On Average companies are expecting their labor costs to increase 7.4% EMPLOYEES WILL PAY MORE Increasing how much employees pay for healthcare is the number-one way that most company's (77%) plan to offset their escalating labor costs; followed by cutting spending in other areas (75%). Many companies are also planning to implement preventative healthcare programs (71%) and raise prices on their products and services (63%). There are some notable differences between how large and small companies intend to offset their rising labor costs. Large companies with sales between $500M and $2B are significantly more likely than small companies ($25M-$75M) to implement preventative healthcare programs (87% vs. 64%) and to make changes in their Retirement Plan Services (39% vs. 18%). Small companies, in contrast, are more likely than large corporations to be planning to raise prices to offset these costs (65% vs. 52%)
  14. Nine out of 10 U.S. companies are maintaining or increasing the size of their workforce in 2014. Nearly half (47%) are hiring additional full-time employees, 43% will hold current staffing levels and 7% anticipate layoffs. In addition, 8% of companies plan to shift some full-time workers to part-time status and 5% will replace some full-time workers with contractors. Qualified workers in demand The two most cited reasons for outsourcing work to contract employees are a lack of available qualified workers (39%) and uncertainty about escalating healthcare/insurance costs (27%). Counting on employees Despite the projected rise in labor costs, 62% of companies do not plan to outsource work to contract employees in 2014. Among businesses that do plan to outsource work to contractors, most say that it will be about the same amount as in 2013.
  15. IT WILL BE A MISTAKE IF YOU DON’T BUILD IN FAST PACE STRATEGY TO KEEP UP WITH CUSTOMER DEMANDS Companies still mostly focused on growth, but there are signs of rising conservatism and defensiveness: • Executing still over planning: The cross-industry bias shifted toward planning last quarter, but that trend reversed this quarter. Technology and Healthcare/Pharma indicate the highest focus on refining/adapting strategy, but both still favor execution on the whole. • Offense over defense, but defensiveness increasing: Companies still indicate a bias toward “pursuing opportunity” over “limiting risk,” but the margin declined notably and the proportion of those focused on “contracting/ rationalizing” rose. Energy/Resources is again biased toward limiting risk and is among the most focused on contracting/rationalizing (along with Technology). • Equal focus on cost and revenue: After three quarters of a strong revenue bias, there is now a roughly equal focus on revenue and cost. Only Energy/Resources (higher cost focus) and Services (higher revenue focus) deviate substantially from the average. • New offerings over current offerings: The bias is again slightly toward new offerings, led by Technology and Healthcare/Pharma. • Current geographies over new geographies: The bias is still substantially toward current geographies. Services is about evenly focused on current and new geographies; the other sectors are firmly focused on current geographies. • Organic growth over inorganic growth: The bias is still toward organic growth. Healthcare/Pharma and Retail/Wholesale are the most oriented toward M&A. • Direct-cost reduction over indirect-cost reduction: T/M/E again leans the most toward direct-cost reduction; Retail/Wholesale is biased toward indirect costs. • Investing cash over returning it: Companies are biased toward investing cash in operations over raising dividends or buying back shares. Financial Services shows the highest focus on returning cash, but is still focused primarily on investing it.
  16. Collaboration with customers. 94% US companies intend to implement one or more Collaborative growth strategies in 2014 led by selling current customers more existing products and services (82%). Cultivating new customers or markets is the second most popular plan (77%), followed by introduction of new products or services (59%) and acquiring another company (25%) PLANS are to get closer to customers and understand their needs and what other products and services they would like to have that might be an expansion of other products and services already being offered. SHOW CIO MAGAZINE ARTICLE IT’S HERE THE AGE OF THE CUSTOMER. SHOW BLOOMBERG ARTICLE COMPANIES INDUSTRIES PICK UP YOUR ADD IS CALLING.
  17. Starting in familiar territory. EXTEND PRODUCTS AND SERVICES While 64% companies who are pursuing growth strategies in 2014 say the growth will be all domestic, 1 in 5 predict mostly domestic growth with some international expansion. Of the remaining US companies 15% believer that growth will either be geographically balanced or entirely overseas. Extending Product Lines Half of the companies that plan to grow by launching new products and services say their offering will extend an existing product or service line, and 42% report that the new offering will represent both an extension and diversification of their current products and services. Only 7% will be introducing an entirely new product or service.
  18. Acquiring the competition Among those companies planning to make and acquisition in 2014. 85% expect to buy a competitor, while 28% will acquire a supplier and 18% a distributor. This correlates to the focus on growth strategies that enable doing more business with current customers, winning new customers and introducing new products and services. INVESTING IN RESEARCH AND DEVELOPMENT 72% of CFOs report that their 2014 R&D expenses will be about the same as they were in 2013, 19% are forecasting year over year increases and 8% are cutting their company's R&D levels.
  19. The average finance organization makes substantial contributions in seven areas; the strongest contributions are around strategy support, and the weakest are around sales and marketing. THIS HAS TO CHANGE. Key elements are possible partnerships with others or acquisitions to round out product offerings • Scope of support: CFOs in Services and Manufacturing indicate broader average reach at 9 areas, while Financial Services and Retail/Wholesale are narrower at 6. All organizations contribute substantially in at least one of the areas of business strategy, acquisitions/divestitures, shared services costs, or working capital; 60% contribute to all four of these areas, with Financial Services CFOs highest at 83%. • Strategy contributions: Eighty-five percent of finance organizations contribute substantially to business strategy support (only Technology and TME are below 75%), and 66% contribute to competitive strategy. Only 5% of organizations do not contribute to either area of strategy development. More than 83% of organizations contribute to acquisitions and divestitures bottom-line contributions: Eighty-seven percent of CFOs say their finance organizations make a substantial contribution to shared services cost management. Eighty percent of those that support production also contribute to PP&E support. The Services sector contributes the most to service delivery and sourcing. • Balance sheet contributions: Ninety percent of CFOs say their finance organizations contribute to balance sheet management. Eighty-six percent contribute to working capital management, and 63% percent contribute to PP&E support. Organizations in Financial Services contribute the least in both areas. Bottom-line contributions: Eighty-seven percent of CFOs say their finance organizations make a substantial contribution to shared services cost management. Eighty percent of those that support production also contribute to PP&E support. The Services sector contributes the most to service delivery and sourcing.
  20. So why is this slide important? It shows what indicators are typically being monitored by the bulk of the CFOs in the market. SINCE the competition for hiring talent will be fierce in 2014, you might want to rethink increasing your knowledge around your internal customer satisfaction with an eye on affective collaboration within and between all groups of the company. Your roll in how collaboration within the company affects the overall performance can be crucial to your survival in the years to come. About one-third of performance measures are business-level, and the remaining two thirds are specific to finance: • Cost is the most prevalent: About half of all CFOs named cost as one of their top metrics (total costs, total headcount, costs as a percent of revenue, etc.). • Fundamental reporting is the foundation: The timeliness and quality of financial reporting and the close process are among the most-mentioned measures at 27% and 21%, respectively. • Business support is the core: Business support metrics were mentioned more than any other single category, led by internal client satisfaction scores, achievement of plans/budgets, and forecast accuracy (at 24%, 22%, and 21%, respectively). • Bottom-line business performance is a factor: About one- third of all metrics were organization-wide metrics, led by compliance, cash flows, and income statement performance.
  21. Companies also struggle to measure the impact of skill sets and training on business performance: 50 percent of respondents say their companies keep track of direct feedback, and at best 30 percent use any other kind of metric. In addition, a third of respondents don’t know the return on their companies’ training investment. Because companies don’t know the impact of the quality of skills and training, they appear to set their agendas using different measures, including prioritizing by employee role, which may not actually result in the most impact to the bottom line. Executives at companies where training is reported to be least effective, for example, are more likely to invest in training for the leadership team and least likely to spend on the front line—despite this group’s more immediate impact on operations. In contrast, effective companies invest the most in training the front line (Exhibit 4). In addition, although resistance to change is often viewed as a barrier to building new capabilities, almost as many respondents to this survey identified a lack of resources and an unclear vision as barriers (Exhibit 5)
  22. Here is what we have found: If we put a COLLABORATIVE LEADER to interact with teams who have people also with a collaborative mindset. We get High performance. If the leader is NOT a collaborative individual, it doesn’t really matter who else might be collaborative in the team. The team still a low performing unit.
  23. By mapping collaborative performance, we can determine how to put high performing teams together.
  24. What companies need in a collaborative age is the ability to map and analyze the value created (or destroyed) deep within employee networks. Sophisticated network analysis approaches have emerged from the academic world during the past two decades. But they have tended to focus more on individual than organizational effectiveness and on communications, work flows, and the exchange of resources rather than on the value those interactions create.4 To make these tools more useful, executives must reorient them toward the revenue and productivity benefits that collaborative interactions generate, the costs such interactions impose, and opportunities to improve connectivity at the points that create the greatest economic value.
  25. Are you stuck in the mud? Are employees disengaged? How do you reignite passion amongst workers? CEOs know they must spark cross-functional, and even cross-organizational collaboration, capturing and leveraging diverse cultural and generational experiences and perspectives in order to maintain their competitive edge and improve productivity. So why is it companies seem to be handcuffed in stasis, unable to break out and innovate in the manner they seek? Much of the inertia comes from the very structure of the organization itself; its hierarchy.  Several years ago I wrote in my book, “How we structure the organization is a reflection of how we perceive function, and once established, how we function is highly influenced by our structure.”   Hierarchical structure is ideal for creating economies of scale and wringing out variability of processes (think Six Sigma) in pursuit of quality through standardization.  But it comes at a price.  Hierarchies also introduce layer upon layer of barriers to communication and cooperation resulting in silos of thought and the defense of symbolic, if only imaginary, turf.  Years of downsizing and cost cutting has exacerbated these barriers as associates keep their heads down and dig in their heels with their peers and direct reports.
  26. Hierarchies have been the dominant structure for so long it may seem this form of organization structure is the de facto, natural form of large organizations.  This hasn’t always been the case.  In fact, a recent discovery of what is quite likely one of the first corporate Org Charts, created by an executive for the New York and Erie Railroad, circa 1855, shows an entirely different perspective.  Instead of the top-down pyramid of hierarchical structure, we see a bottom up organization that resembles a tree.  The board of directors are represented at the roots and executive management moves up into the trunk while line managers branch out along the various front lines of the railroad.  This places leadership at the base and reflects a perspective of senior leadership’s role in nurturing and providing strength for the growth of the corporation, empowering front line management with the authority to make immediate decisions in real-time.  This was no small issue when trains ran in two directions on the same tracks.  Any miscommunication, in the age of the telegraph, would result in horrific, head-on collisions.  Not good for the paying customers or the shareholders, to say the least.
  27. We cannot ignore the daily demands of running a company, which traditional hierarchies and managerial processes can still do very well. What they do not do well is identify the most important hazards and opportunities early enough, formulate creative strategic initiatives nimbly enough, and implement them fast enough. The existing structures and processes that together form an organization’s operating system need an additional element to address the challenges produced by mounting complexity and rapid change. The strategy system has its roots in familiar structures, practices, and thinking. Many start-ups, for example, are organized more as networks than as hierarchies, because they need to be nimble and creative in order to grab opportunities. Even in mature organizations, informal networks of change agents frequently operate under the hierarchical radar. What I am describing also echoes much of the most interesting management thinking of the past few decades—from Michael Porter’s wake-up call that organizations need to pay attention to strategy much more explicitly and frequently, to Clayton Christensen’s insights about how poorly traditionally organized companies handle the technological discontinuities inherent in a faster-moving world, to recent work by the Nobel laureate Daniel Kahneman (Thinking, Fast and Slow, 2011) describing the brain as two coordinated systems, one more emotional and one more rational. Realizing one cannot toss out the baby with the bath water, Professor Kotter recommends creating a concurrent, open network to reside alongside the hierarchy.  One comprised of volunteers and guided by a coalition of cross-functional leaders.  Strategic initiatives are spun out into the network to be acted upon and associates are asked to participate.  This not only sidesteps hierarchical barriers, it provides fertile soil for Next Gen leaders to emerge.  Leaders that influence and inspire through their ideas and actions.  Leaders that can arise from any corner of the organization.
  28. Open networks are those with “structural diversity”; where the people you know are not all connected to each other. Leaders with open networks are more likely to hear new information from disparate sources, be able to merge dissimilar ideas in a new creative thread and be able to capitalize on possible unseen opportunities. They tend to perform better, are promoted more rapidly, enjoy greater career mobility, and adapt to change more effectively (Burt, 1992; Cross, Thomas, & Light, 2008).
  29. Adding the last 2 bullets to the advantages of open networks.
  30. Leaders who build deep, quality relationships with others are able to exchange information, resources, and skills with people from different backgrounds. These deep relationships provide valuable perspective and resources, including social support and camaraderie in the workplace. These leaders usually are 4 times more affective. Maintaining this type of network requires different actions by leaders at different points in their career. New people will be added to the network; others will be disconnected.
  31. Creating relational value The powerful results of identifying and replicating high-performing networks represent only a small part of the potential of network analysis. It's also possible to promote specific interactions that help generate revenue and boost productivity. Targeted action is dramatically more effective than promoting connectivity indiscriminately, which typically burdens already-overloaded employees and yields network diseconomies. A more informed network perspective helps companies to identify the few critical points where improved connectivity creates economic value by cutting through business unit and functional silos, physical distance, organizational hierarchies, and a scarcity of expertise. Generating revenue A network view often uncovers "hidden" people whose contribution to cross-selling or closing deals is far greater than individually focused performance metrics might imply. It can also suggest where to replicate collaborative behavior, when to draw in valuable experts from the network's fringe, and how to eliminate obstacles to collaborative sales efforts—obstacles that include time, skills, personalities, incentives, and ignorance of which colleagues have expertise. The experiences of a global technology company and a consulting firm illustrate how these issues play out in practice. Improving cross-selling. A leading technology company used network analysis during an effort to become more responsive to customers and marketplace shifts. The analysis not only helped the company's leaders find out where collaboration generated revenue but also proved useful for reframing the roles of key players in the network. The company, for example, broke out collaborative contributions by bands of revenue and learned that the most and least valuable interactions (those generating more than $2,000,000 and less than $250,000, respectively) invariably involved different people. What's more, a network perspective helped the company identify which colleagues knew about one other's expertise but didn't draw on it. (Exhibit 2 shows how many people said they were acquainted but saw no possibility of collaborating in a sales effort.) In our experience this very real but usually invisible barrier to cross-selling and account penetration is common in organizations.
  32. the need to add infrastructure to the architecture.  Our open network partner, Democrasoft®, brings innovative, content collaboration and knowledge sharing technology to this organizational design.  It opens up the network for transparent communication, eliminating the dependency on emails for content sharing (knowledge workers spend an average of 81 days per year reading, writing, and searching for information on endless email threads), and capturing tacit knowledge for the support of Big Data and the application of predictive analytics.  In effect, it represents both the telegraph wires and railroad tracks of the New Economy.  It also enables senior executives to see collaboration in real-time.  The structure enables open discussions that tag Great Ideas™ to their initiators, enabling entirely new incentives to be adopted and leveraged to drive desirable, collaborative behaviors.  The platform can also reach outside of the brick and mortar to engage customers and ideas from beyond the walls of the organization.  All while maintaining the day-to-day efficiencies of the established hierarchy. Organizations that adopt this innovative, cost effective approach and supporting technology can quickly sidestep the organizational barriers to communication and collaboration while sparking engagement (especially with Gen-X and Gen-Y), authentic inclusion of diverse ideas, and the significant productivity gains necessary to stay competitive in the New Economy.
  33. Here is a list of possible collaborate technology tools.
  34. Confused about how crowdfunding, maker movement and sharing fit into the larger Collaborative Economy?  This diagram puts all of these trends into one diagram so you can see how the crowd is getting what they need from each other –rather than buying from traditional corporations. If you want to learn more, find out why more than 40,000 people have viewed the the full report “Sharing is the new buying” for the complete work . First, on the far left, there are five distinct families categories by goods, services, space, transportation, and money.  People created, funded, or shared across these major families.  For the most part, this accordantly represents the physical world.  It’s assumed each of these five families are dependent on the first phase, social media. Eleven unique class breakdown more specific use cases, the second to left column indicates specific use cases of company types in this vast market. For example, within services, we broke down professional services vs personal services, as we see two district phyla of company types. Next, thousands of individual species have emerged, respected Lisa Gansky is tracking a whopping 9000+ startups in this space, ranging from around the globe. The startups we selected are just examples, one that we felt would best be understood by the audience but are not limited to the thousands not represented.
  35. Here are the current numbers on those who are participating in the collaborative economy and a little more about who they are. Chief Catalyst at Crowd Companies, Jeremiah Owyang he has uncovered three distinct types of people who participate in the collaborative economy: Re-sharers: Those who buy and/or sell pre-owned goods online (for example, on Craigslist or eBay), but have not yet ventured into other kinds of sharing. Neo-sharers: People who use the newer generation of sharing sites and apps, like Etsy, TaskRabbit, Uber, Airbnb and KickStarter. Age is the explanation for most—though not all—of the modest attitudinal, behavioral and lifestyle differences between neo-sharers, re-sharers and non-sharers: • Generational differences correlate with American neo-sharers’ income and political differences, as well as the greater likelihood that they have kids at home. • Neo-sharers are even more likely to be married, educated, home-owning and politically aware than their age would lead us to expect. • Age is even more strongly linked to the higher levels of online activity among neo-sharers. Affluent people are more likely to be neo-sharers. While up to 25% of the general population in each country are neo-sharers, among Americans with incomes over $100,000, 35% are neo-sharers; among Canadians with incomes over $100,000, 32% are neo-sharers; among Britons with incomes over £60,000, 35% are neo-sharers. And while only 8% of American non-sharers have incomes over $100,000, among neo-sharers, 14% earn that much each year. Non-sharers: People who have yet to engage in the collaborative economy, although many of these non-sharers intend to try sharing services (in particular, re-sharing sites like eBay) in the next twelve months.
  36. PLAY DISRUPTIVE VIDEO
  37. Business leaders should keep their organizational strategies updated in the face of continually evolving technologies, ensure that their organizations continueto look ahead, and use technologies to improve internal performance. Disruptive technologies can change the game for businesses, creating entirely new products and services, as well as shifting pools of value between producers or from producers to consumers. Organizations will often need to use business-model innovations to capture some of that value. Leaders need to plan for a range of scenarios, abandoning assumptions about where competition and risk could come from, and not be afraid to look beyond long-established models. Organizations will also need to keep their employees’ skills up-to-date and balance the potential benefits of emerging technologies with the risks they sometimes pose.