Antwerp, 09.12.2014 Dare Festival @NielsPflaeging
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5 Local markets, high customization
high dynamics

6 Sluggish/dull, low dynamics high
dynamics Spacious markets, little competition Local markets, high customization

7 Sluggish/dull, low dynamics high
dynamics high dynamics Spacious markets, little competition “Outperformers” exercise market pressure over conventional companies Local markets, high customization

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9 Dynamic part of value
creation Solution: Man Formal part of value creation Solution: Machine

10 Dynamic part of value
creation Solution: Man Formal part of value creation Solution: Machine Sluggish/dull, low dynamics high dynamics high dynamics Age of Crafts Manu-facturing Industrial Age/ Age of Tayloristic Industry Age of Global Markets 1850/1900 Spacious markets, little competition “Outperformers” exercise market pressure over conventional companies Local markets, high customization 1970/80 today

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14 Indústry Retail Servicies Government/
NGOs It is possible.

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Periphery
Market
Center

16 1 Impulse 4 Command
3 Decision 2 Information 5 Reaction Center Market Periphery Client Is in charge!

17 1 Impulse 2 Decision
3 Reaction Center Market Periphery Client Serves the periphery, if needed Is in charge!

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19 • Transparency & Improvement
• Comparisons between peers • Comparisons with previous periods • Dialog and Dissent • Social and group pressure • Pay by market value • Results Sharing • … • Fixed, individual targets • Management by Objectives • Budgets and Plans • Performance Appraisal • Hierarchical Pressure • Pay by Position or Performance • Incentives and Bonuses • …

20 Law Beta Alpha §§1
Freedom to act Connectedness not Dependency §2 Responsibility Cells not Departments §3 Governance Leadership not Management §4 Performance climate Result culture not Duty fulfillment §5 Success Fit not Maximization §6 Transparency Intelligence flow not Power accumulation §7 Orientation Relative Targets not Top-down prescription §8 Recognition Sharing not Incentives §9 Mental presence Preparedness not Planning §10 Decision-making Consequence not Bureaucracy §11 Resource usage Purpose-driven not Status-oriented §12 Coordination Market dynamics not Commands

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Under the right conditions, people
are motivated by the desire to realize their own potential 22 Theory X Theory Y Attitude People need to work and want to take an interest in it. Under right conditions, they enjoy it People dislike work, find it boring, and will avoid it if they can Direction People will direct themselves towards a target that they accept Responsibility People will seek and accept responsibility, under the right conditions Motivation Creativity Creativity and ingenuity are widely distributed and grossly underused People must be forced or bribed to make the right effort People would rather be directed than accept responsibility, (which they avoid) People are motivated mainly by money and fears about their job security Most people have little creativity - except when it comes to getting round rules

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Behaviors
Context
Human
Nature

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25 ”Meritocracy“ Org charts Budgeting
Planning Forecasting Control of work hours Job Descriptions Travel policies Competencies Management Holiday applications Performance Appraisal/360° Incentives Individual targets Salary ranges Training budgets Personnel Development Target negotiation ”Personnel Expenses“ Suggestion boxes Assessment Centers Knowledge Management Pay for Performance Paid extra hours Bonuses Sales quotas Dress codes Job titles HR Allocations Cost Management Plan-Actual variances Forecasting MbO Strategic planning Jours fixes SWOT analysis Earnings guidance

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27 3. Fase „beta“ o
“fase de integración“ Transformación tipo 2: “Profundización“ 2. Fase „alpha“ 1. Start-up phase or “Pioneer phase “ Transformación tipo 1: “Burocratización“ Transformación tipo 3: “Transformación Beta“ o “fase de diferenciación“ Young organization Older organization

28 3. Fase „beta“ o
“fase de integración“ Transformación tipo 2: “Profundización“ 1. Start-up phase or “Pioneer phase “ Transformación tipo 1: “Burocratización“ Transformación tipo 3: “Transformación Beta“ 2. Alpha phase or “Differentiation phase“ Young organization Older organization

29 Transformación tipo 2: “Profundización“
1. Start-up phase or “Pioneer phase “ Transformación tipo 1: “Burocratización“ 3. Beta phase or “Integration phase“ Transformación tipo 3: “Transformación Beta“ 2. Alpha phase or “Differentiation phase“ Young organization Older organization

30 1. Start-up phase or
“Pioneer phase “ Type 2 transformation “Deepening“ 2. Alpha phase Type 1 transformation: “Bureaucratization“ Type 3 transformation: “Beta Transformation“ or “Differentiation phase“ 3. Beta phase or “Integration phase“ Young organization Older organization

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Culture

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Formal Structure

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Informal Structure

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Value Creation Structure

35 Compliance, Power Social Work/Value
Creation Formal Structure Informal Structure Value Creation Structure

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www.organizeforcomplexity.com

39 @NielsPflaeging nielspflaeging.com organizeforcomplexity.com betacodex.org
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