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Next generation enterprise

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What should be the the Next-Generation Enterprise?

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Next generation enterprise

  1. 1. Next-Generation Enterprise Tania Boyajieva, TAB 1
  2. 2. What is the business environment for the Next-Generation Enterprisе? 2
  3. 3. Changes happen faster than managers can predict 3
  4. 4. It took 9 months for Facebook to reach 50 million people It took radio 38 years to reach 50 million people It took TV 13 years to reach 50 million people It took computers 4 years to reach 50 million people Unprecedented speed of change 4
  5. 5. Fast development of technology 5
  6. 6. Explosion of information and practically unlimited access to it 6
  7. 7. Total connectedness – of clients, employees, everybody 7
  8. 8. Of Internet users say that client referrals are the most reliable advertising %
  9. 9. Almost full transparency 9
  10. 10. World globalisation 10
  11. 11. Distributed and diverse work force 11
  12. 12. What is Next-Generation Enterprisе (Enterprise 2.0)? 12
  13. 13. First – what is Previous-Generation Enterprisе (Enterprise 1.0)? 13
  14. 14. Enterprise 1.0 is designed rather like machine* Characteristics of a machine: • Is designed to be driven by driver or operator • Does predetermined movements • Needs maintenance and repairs • It is difficult to change it • It becomes obsolete with time *Ideas on this and next slides are inspired by the book “The connected company” 14
  15. 15. Enterprise 1.0 is usually very hierarchical 15
  16. 16. Problems with Enterprise 1.0 • Value is created far from management where important decisions are taken • Does well in stable environment but does not adapt well to fast changing environment • It is based on standard processes, rules, KPIs • It assumes that main knowledge is explicit – in manuals, handbooks, etc. • People are mostly extrinsically motivated by “carrots” and “sticks” methods 16
  17. 17. Some things do not change 17
  18. 18. What should be 2.0 • Requires new business model, better suited for fast changes and hyper-competition • It should rather resemble a live organism then a machine • It should have “sensors” for changes in environment and to adapt • Decisions should be fast and closer to clients • True knowledge in companies is mostly tacit – it is difficult to describe it in a formalized way • Needs initiative, creativity, collaboration and knowledge sharing of people - “carrots” and “sticks” methods are not satisfactoy 18
  19. 19. ПОВЕРИТЕЛНО Most important – the focus is where value is created! - 19 - Value is created at the interaction with client Profit is consequence of maximizing value for client shareholders
  20. 20. Enterprise 2.0 – The connected company It has decentralized (podular) structure , with many autonomous, self-managing units (pods), to which objectives are set via Service Level Agreements. They are related and communicate in real time. They have common platform (backbone), providing internal services, innovations, consulting. Hierarchical, non-adaptive organization Adaptive organization 20
  21. 21. Enterprise 2.0 • Communicates closely with clients and experiments with new ideas – innovation is “build in the DNA” of the company 21
  22. 22. Enterprise 2.0 Companies should be: Close to clients and predicting and answering to their needs Internal processes provide information about clients in real time Voice of the client needs to be heard in the whole company, not only in Marketing 22
  23. 23. Enterprise 2.0 • Has strong mission and healthy organizational culture and main goals, but without rigid, cascaded down tasks and KPIs • Leaders work on clarifying visions, mission and main goals and on strengthening the culture • Managers are part of a support platform 23
  24. 24. Enterprise 2.0 Main goals of leaders: Removing tight control, establishing direction and support instead Creating of “play-grounds” – places for experimenting and innovations Creating sharing culture where people belong and with which they identify 24
  25. 25. Enterprise 2.0 How the new model looks like: 25
  26. 26. Enterprise 2.0 uses WEB 2.0 • Mobile devices - BYOD • Cloud technologies • Corporate social networks • Real-time feedback 26
  27. 27. Enterprise 2.0 uses WEB 2.0 in order to achieve Openness Sharing Diversity Collaboration 27
  28. 28. Enterprise 2.0 uses Marketing 2.0 • „The voice of the customer“ is listened by everybody in the organization • Every employee is trained to use a “tool-box” for studying the thinking of the client and for innovations (like gamestorming) and uses them all the time 28
  29. 29. 29
  30. 30. Enterprise 2.0 uses R&D 2.0 • Everybody in the company is R&D, all are innovators • There are autonomous units where innovations are experimenting and risks are accepted 30
  31. 31. Enterprise 2.0 uses HR 2.0 • Self-organizing and self-managing teams • 360 degree feedback in real time • Gamification – playful elements in work • Stimulation of intrinsic motivation by  Strong mission, purpose  Autonomy  Learning and development • Knowledge exchange, mutual couching and mentoring • Everybody in the company is considered as a talent • Reward is fair, no more 31
  32. 32. New paradigm for management - Мanagement 2.0 • Management is mostly consultative and support function • Encourages innovations, tolerates reasonable risks, accepts pilot trials • Promotes openness, transparency • Communicates closely with clients and front-line employees 32
  33. 33. Change is accelerating 33
  34. 34. END Tania Boyajieva ТАB Neo-Management www.tab-bg.com/gb tania@tab-bg.com +359888450813 34

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