[Challenge:Future] One Gesture System

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[Challenge:Future] One Gesture System

  1. 1. ONE GESTURE SYSTEM. REAL PROBLEMS – REAL SOLUTIONS<br />Bucharest, Romania, 2010<br />BOGDAN CODREANU<br />DRAGOS DANCAU<br />Team Yggdrasil <br />
  2. 2. Agenda<br />Problem Definition<br />World Moving Trends<br />Solution<br />Conclusion<br />1<br />
  3. 3. Agenda<br />Problem Definition<br />World Moving Trends<br />Solution<br />Conclusion<br />2<br />
  4. 4. The core problem of our society spins around the sustainable creation of wealth and the adequate distribution of it<br />“Thousands of candles can be lighted from a single candle, and the life of the candle will not be shortened. Happiness never decreases by being shared”– The Buddha <br />How to create wealth? How to adequate distribute it?<br />The problem of Differentiation (“deliberately choosing a different set of activities to deliver a unique mix of value“ ) at the Corporate-Strategic level and that of human beings suffering tremendously over the lack of resources for basic needs of existence, at the Social level, are flips of the same coin – The Creation and Distribution of Wealth<br />*<br />Corporate-Strategic<br />Dimension<br />Social <br />Dimension<br />How can a corporation provide a sustainable unique value proposition? <br />How can more resources be transferred in an efficient manner to those who lack water, food, healthcare and education in under-developed countries? <br />Michael Porter, What is strategy?, Harvard Business Review, p. 64, November – December 1996<br />*<br />3<br />
  5. 5. Agenda<br />Problem Definition<br />World Moving Trends<br />Solution<br />Conclusion<br />4<br />
  6. 6. Corporations find ever more challenging the strategic objective of relevant distinct positioning in the market <br />Level of Differentiation<br />Experiences<br />Companies are forced to compete on price because, in the mind of the purchasing customer, their products and services are perceived as being similar, if not identical – this trend, known as Commoditization, is ever more present <br />Services<br />Commoditization<br />Products<br />Commodities<br />Level of perceived value<br />Customers are moving from the search for products and services towards the search for experiences that can enrich their lives. The desire fulfillment mediator represented by products and services is replaced by the genuine quest for gratification. So, in order to survive and prosper, companies must adapt<br />5<br />
  7. 7. The Mergers Endgame analysis conducted by A.T. Kearney reveals the long-term need for alliances between companies <br />*<br />Stage1<br />Opening<br />Stage 2<br />Scale<br />Stage 3<br />Focus<br />Stage 4<br />Balance & Alliance<br />Industry Concentration<br />CR3<br /><ul><li>Defense
  8. 8. Automatic controls
  9. 9. Tobacco</li></ul>Industry Consolidation Cycle<br />After deregulation, an industry will evolve through four stages of consolidation, with companies growing or disappearing <br /><ul><li>Distillers
  10. 10. Shoes
  11. 11. Shipbuilding
  12. 12. Aircraft OEMs
  13. 13. Soft Drinks
  14. 14. Aerospace suppliers
  15. 15. Truck builders
  16. 16. Rubber& Tire Producers
  17. 17. Toys
  18. 18. Food
  19. 19. Automotive OEMs
  20. 20. Steelmakers
  21. 21. Restaurants & Fast foods
  22. 22. Pulp & Paper
  23. 23. Railway
  24. 24. Chemicals
  25. 25. Automotives suppliers</li></ul>CR3<br />The level of concentration is given by the combined market share of the largest 3 companies in the industry ( based on A.T. Kearney’s Value-Building Growth database of 25 000 companies)<br /><ul><li>Drugs
  26. 26. Telecom
  27. 27. Airlines
  28. 28. Services
  29. 29. Utilities
  30. 30. Insurance
  31. 31. Banks</li></ul>Time<br />*<br />Graeme Deans, Fritz Kroeger, Stefan Zeisel, Winning the Mergers Endgame: A Playbook from Profiting from Industry Consolidation, McGraw-Hill, 2002<br />6<br />
  32. 32. The World is under the influence of new and powerful trends <br />Moving towards a Multi-Polar World<br />The mentality of every individual is suffering important changes as it is driven forward by the desire for cooperation, generosity and sustainability, in a world that is more and more interconnected<br />The birth of new emerging powers and the trend of moving towards a Multi-Polar World, offers an unstable but full of opportunities environment<br />Connectivity<br />Generosity Generation<br />The World becomes flatter and flatter and the reactions of individuals have a higher and higher level of consecutiveness <br />More and more individuals are finding fundamentally rewarding the process of sharing their material wealth with those around them <br />New<br />Consumer Mentality<br />Cooperative Mind<br />Sustainability Vision <br />People are realizing that is more fruitful to share the work, the success, as well as the potential failure, with other human beings<br />We are starting to remember the vision of the Native-Americans that were always thinking of the 7th future generation. The human specie is not running a 100m race, but a marathon<br />Aging Population<br />*<br />Thomas Friedman, The World is Flat, Farrar, Straus & Giroux, 2005<br />7<br />
  33. 33. Agenda<br />Problem Definition<br />World Moving Trends<br />Solution<br />Conclusion<br />8<br />
  34. 34. The One Gesture System delivers a viable solution to the sustainable creation and distribution of wealth, while bringing together different interests <br />End Beneficiaries <br />The One Gesture System should be perceived as an organic mechanism, with all its parts being in constant interaction. The manner in which customers change their mentality, triggers evolutions at the corporate level, that carry forward their desires. This initial impulse propagates through renown NGOs to those in need, in under-developed countries. The shifts in their standard of living creates a strong feedback that moves back to the NGOs, then to the companies and then to the customers, that put in motion yet another cycle<br />9<br />
  35. 35. The One Gesture Card hasthe power to create a new type of connection between customer and corporation<br />As Is<br />To Be<br />Company A<br />End of process<br />Shop<br />Customer1<br />Discount<br />Company B<br />Customer3<br />Company A<br />Company B<br />Common Gesture Account<br />Customer1<br />Shop<br />Shop<br />Company C<br />Donation<br />Customer2<br />End of process<br />Customer1<br />Customer3<br />Discount<br />Customer4<br />Discount<br />Customer2<br />Feedback<br />Feedback<br />Company C<br />End of process<br />Shop<br />Customer3<br />By using The One Gesture Card when acquiring different products, a customer will receive a discount represented by a percentage of the purchase, while at the same time, a donation of the same size will be made by the company into the Common Gesture Account. The card can be used at distinct companies that have previously formed an alliance, which will win in customer base and volume of sales, because of the newly created competitive advantage. Customers will gain personal fulfillment by donating while buying<br />10<br />
  36. 36. Assisted by world renown NGOs, the Gesture Managing Department will ensure a lean drive of resources from the companies to those in need<br />To Be<br />Common Gesture Account<br />NGO1<br />Under-developed country1<br />Food<br />Donation<br />Under-developed country2<br />NGO2<br />Water<br />Under-developed country3<br />Gesture Managing Department <br />Resources<br />Under-developed country4<br />NGO3<br />Feedback<br />Health<br />Under-developed country5<br />.<br />.<br />.<br />.<br />.<br />.<br />Feedback<br />Education<br />In order to develop an adequate coordination of all the resources collected into the Common Gesture Account, as well as to provide full transparency, a Managing Department (in which each company will have a representative) is going to be established <br />Based on results, know-how and reputation but also on needs, a set of NGOs will be selected to maximize benefits using the available resources (e.g.: UNICEF, The Red Cross, World Food Program, etc)<br />Field level of contribution<br />Water& Food<br />Health <br />Education<br />Time<br />11<br />
  37. 37. The SWOT analysis provides a clear vision of the entire One Gesture System<br />Strengths<br />Weaknesses<br />As the SWOT analysis reveals, The One Gesture System has a real potential, with the Strengths being more significant and numerous that the virtual Weaknesses<br />Moving in the direction of the Opportunities presented by the Global Market, without real potential Threats, the One Gesture System shouldbe perceived as a realistic option for implementation <br /><ul><li>Ability to connect very distinct interests, markets and values
  38. 38. Interdependency between interested parties
  39. 39. High impact benefits for all System participants
  40. 40. Potential difficulties in System coordination
  41. 41. Innovative
  42. 42. Possible problems in alliance forging</li></ul>Internal perspective<br /><ul><li>Clear revenue model
  43. 43. Fast growing concept
  44. 44. Virtual inconveniences regarding the growth strategy of partner companies in entering distinct markets
  45. 45. Relative low resources needed for implementation
  46. 46. Easy to duplicate</li></ul>Opportunities<br />Threats<br /><ul><li>Growing concern towards sustainability
  47. 47. Upward evolution of generosity trend
  48. 48. Raising importance of cooperation between individuals and corporations
  49. 49. Unknown reaction of customers and market</li></ul>External perspective<br /><ul><li>More problematic creation of unique value propositions
  50. 50. “Flatter” World </li></ul>12<br />
  51. 51. Agenda<br />Problem Definition<br />World Moving Trends<br />Solution<br />Conclusion<br />13<br />
  52. 52. When there is a need for change, an opportunity always arises <br />We live in an World in which disparities between human beings are ever more present <br />Significant shifts are taking place in our perception of the World as a living, integrated entity <br />Customers, Corporations, NGOs and those less fortunate should face reality together, in a symbiotic manner<br />In addressing the present and future challenges, the One Gesture System provides a viable solution in merging different interests in one coherent line of thought and action<br />14<br />
  53. 53. Thank you!<br />bogdan.codreanu@gmail.com<br />dragos.dancau@gmail.com<br />For further information, contact us at:<br />15<br />

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