Why do some companies flourish while others wither away? I have been looking and some of the most effective companies in the world and these are 7 habits and patterns I have seen over and over again.

1. The Seven Habits of
Highly Effective Organisations
Erwin van der Koogh
Principal Consultant
evanderkoogh

2. We are in a bit
of a mess..

3. The World is Changing

6. Topple Rates Have Tripled

7. The World is Changing

8. Not just

9. We have a device in our pocket
that can access the entirety of
human knowledge

10. "Cat March 2010-1" by Alvesgaspar - Own work. Licensed under CC BY-SA 3.0

11. Image by XKCD

14. Number of startups valued at $1B+
Jan 2014 45
Jan 2015 79
Aug 2015 115

16. Hilton
Founded 1919
Rooms ~680,000
Hotels 4112
Countries 91
AirBnB
Founded 2009
Rooms 1,500,000+
Cities 34,000+
Countries 190

17. The World is Changing

18. So what is
different?

19. Massive increase in
Uncertainty,
Unpredictability &
Complexity
Image © Will Ockenden

20. Complicated
Complex

21. “An environment where cause and effect
are only obvious in hindsight, with
unpredictable, emergent outcomes.”
Complex Environment:

22. From Scaling Efficiency
Image © https://www.flickr.com/photos/guysie/

23. To Scalable Learning

24. Our current organisations

25. Anti-fragile

27. “The only competitive
advantage left in the 21st
century is adaptability.”

28. The World is Changing

29. - William Gibson
The future is already here.
It is just not very evenly
distributed

30. 7 Habits

31. People

32. 1Trust People

33. Do you get to decide…
Where you work?

34. Do you get to decide…
When you work?

35. Do you get to decide…
How you work?

36. Do you get to decide…
With whom you work?

37. Do you get to decide…
On what you work?

38. Do you…
Have a Company Credit Card?

39. ?Why not?!

40. Valve Software
One of the most profitable businesses/employee

42. Morning Star

43. Recommended Reading

44. 1 Trust People

45. 2Tolerate Embrace Failure

46. I have not failed.
I have just found 10,000
ways that won’t work
Thomas Edison
Image © https://www.flickr.com/photos/besz/

47. I've missed more than 9000 shots
in my career. I've lost almost 300
games. 26 times, I've been trusted
to take the game winning shot and
missed. I've failed over and over
and over again in my life. And that
is why I succeed.
Michael Jordan
By Diegoestefano97 (Own work) [CC BY-SA 3.0]

48. Anyone who has never made
a mistake has never tried
something new
Albert Einstein

49. Failure Cake @ Spotify

51. Recommended Reading

52. 1 Trust People
2 Embrace Failure

53. The Organisation

54. 3Be Brutally Honest
with yourself

55. First Digital Camera
Invented by Eastman Kodak
In 1975

56. VS.

57. VS.
Mail DVDs Streaming

58. VS.
Mail DVDs Streaming

59. Consumers value the simplicity
Netflix has always offered and we
respect that. There is a difference
between moving quickly — which
Netflix has done very well for
years — and moving too fast,
which is what we did in this case.
Reed Hastings

60. &

61. Recommended Reading

62. 1 Trust People
2 Embrace Failure
3 Be Brutally Honest

63. 4Allow Autonomy
At All Levels

67. The tactical result of an
engagement forms the base for
new strategic decisions because
victory or defeat in a battle changes
the situation to such a degree
that no human acumen is able to
see beyond the first battle.
Helmuth Moltke the Elder

68. “A military doctrine where commanders
give subordinate leaders a clearly
defined goal instead of a detailed order.”
Auftragstaktik:

69. Alignment)&)Autonomy)
Alignment
False dichotomy!
Do what
I say!
Autonomy
Do
whatever
Source: Stephan Bungay. Image © Hendrik Kniberg
X

70. Alignment)enables)Autonomy)
High
Alignment
High Autonomy
Build a
bridge!
Micromanaging
organization
Indifferent
culture
Entrepreneurial
organization
Chaotic
culture
Authoritative
organization
Conformist
culture
Innovative
organization
Collaborative
culture
We need to
cross the river
Figure out how!
We need to
cross the river
Low
Alignment
Low Autonomy
Hope someone is
working on the
river problem…
Source: Stephan Bungay. Image © Hendrik Kniberg

72. Svenska Handelsbanken is
one of the best
banks in the world

73. Svenska Handelsbanken is
one of the most efficient
banks in the world

74. Svenska Handelsbanken is
one of the most profitable
banks in the world

75. Svenska Handelsbanken has
the most loyal customers of
the banks in the world

76. But..

77. Svenska Handelsbanken has no
budgets

78. Svenska Handelsbanken has no
sales targets

79. Svenska Handelsbanken has no
bonuses

80. Svenska Handelsbanken has no
matrix structure

81. Svenska Handelsbanken has
only 3 levels of management

82. Jan Wallander - Former CEO of Svenska Handelsbanken
The Branch is the Bank

83. Recommended Reading

84. 1 Trust People
2 Embrace Failure
3 Be Brutally Honest
4 Create Autonomy at all Levels

85. 5Think Big, Stay Small

86. Kodak had a market cap of $30B
with 150,000 employees

87. When Instagram was sold
for $1B it had 11 employees

88. When WhatsApp was sold
for $19B it had 55 employees

89. W.L. Gore & Associates

92. Recommended Reading

93. 1 Trust People
2 Embrace Failure
3 Be Brutally Honest
4 Create Autonomy at all Levels
5 Think Big, Stay small

94. What you do

95. 6Simplify All the Things

96. Simple Rules
Complex Behaviour
Expense policy at Statoil

98. CONSUMERS
iMac
iBook PowerBook
PowerMac
PROFESSIONALS
LAPTOPDESKTOP

99. 8000+ Nurses
800+ Teams
45 Admin
1 Manager (CEO)

100. Recommended Reading

101. 1 Trust People
2 Embrace Failure
3 Be Brutally Honest
4 Create Autonomy at all Levels
5 Think Big, Stay small
6 Simplify all the Things

102. 7Relentless Customer Focus

103. Audience Participation
Q: What are typical customers of Facebook?
A: Advertisers
Q: What does that make us?
A: The Product

106. Recommended Reading

107. 1 Trust People
2 Embrace Failure
3 Be Brutally Honest
4 Create Autonomy at all Levels
5 Think Big, Stay small
6 Simplify all the Things
7 Relentless Customer Focus

108. Now what?

109. The World is Changing

110. I should estimate that in my
experience most troubles and most
possibilities for improvement add
up to the proportions something
like this:
94% belongs to the system
(responsibility of management)
W. Edward Deming

111. There are no recipes…

112. No 5 steps to Enlightenment

113. Not even ‘Best Practices’

114. Deal with ambiguity, uncertainty & complexity?

115. Cynefin

117. Create leadership at every level?

118. Intent Based Leadership

119. Continuous learning & improvement?

120. Lean

121. Theory of Constraints

122. Just in time investment?

123. Create a networked organisation?

124. Beyond Budgeting

125. Create products people love?

127. Human Centred Design

128. Collaboratively solve complex problems?

133. The World is Changing

135. Books: http://21stcenturymba.com/7habits
Slides: http://bitly.com/7OrgHabitsGen
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