A framework for keeping both minds and culture open as a regular practice - 5% of the time - with the other 95% dedicated to ongoing execution. This presentation was created for a 30-minute round robin session for Human Resources Executive Forum, 05.25.10
Tremendous challenges: economy, demographics, energy, etc. that are real, structural, deep get ready! But greatest challenge is preparing for increasing complexity and rate of change while managing overwhelming pressures to deliver now
GE’s L.I.G. program: The eternal management challenge of balancing the short term and the long term— or simultaneously managing the present and creating the future—was explicitly addressed. Immelt: As he explained in the company’s 2007 annual report, the program’s aim was “to embed growth into the DNA of our company.” By that he meant getting the teams leading the businesses to think about organic growth day in and day out—to be constantly on the look out for opportunities and to create inspirational strategic visions that would enlist their troops in the cause. He wanted them to weave innovation and growth into every aspect of their businesses.
CHANGE: Take it! Take all of it! Make the most of it! 1 ST : Understand the systems, how things work 2 nd : Ask BIG questions (find intersection of trends with your interests/I.P./emerging opportunities) 3 rd : Choose and act, choose, and act, choose and act CHOOSE! You can choose to be patient or impatient…Fearful or courageous…Resistant or enthusiastic…
The 4 Forces of Change are Predictable Constant Universal
Short-term gains always have the upper hand. Need to “make sense” of the future!
Problem-solving, creativity, insight , “knowing” are the same phenomenon, neurologically Our imagination is constrained by two things: Quantity and diversity of memories Associative fluency Antidote: POUR & STIR
Design processes to support dominant functions and modalities of the two hemispheres Meetings are the best tool for reports and updates, but ill-suited to problem-solving Ideation = Left brain; solution-driven Innovation = Right brain ; inquiry-driven
ALL progress is iterative!! Continued refinement of questions and of exploration reveals better material over time. Don’t get stopped waiting to ‘figure it out’ first. It’s an innovation-killer. Beware of Best Practicide!
Market and cultural trends occur at the surface and reveal more about how we’re currently adapting to change. By the time you’re tracking them, the window of opportunity for innovation is nearly gone.
The four forces = 4 pillars of human society: Resources (naturally-occurring assets) Technology (tools for extracting value from assets, and inventing new forms) Demographics (composition and size is a major determinant of group’s sustainability Governance (rules of law and markets; social constructions for distributing and managing assets within the group)
Critical thresholds in food, land, water, energy, environment, climate Acute and potentially dramatic tipping points
Extending our capabilities in every realm. Enormous challenges to our values and world views. Merging capacities in G.R.I.N. technologies: Genetics Robotics Information Technology Nanotechnology
One of the biggest challenges, dismayingly absent from most strategic discussions
Rules of law are generally reactive; markets are better at leading. The two work together to shape our future, and is how/where we can effect change.
Pour & Stir!!!!
Discovery = don’t know what you’re going to find. Lead with “Like That!” exercises and play to see what emerges
Problem Solving KNOW: Study structural and systemic factors Define issue in those terms Determine your Best Question NEW: Explore Invent DO: Execute 5% Factor
If you’re not busy creating the future, you’re just busy! A terrible waste of your most precious resources: time and talent
Short-term = Duh! Mid-term = Love it!! Long-term = OMG!!!!
Built-in efficiencies among intellectual property, product development, markets, etc. Get it tight into quarterly outcomes and deliverables.
5% New is the key to anticipating and leading change within your organization
Worked for these guys… Also public utilities, universities, NGOs, Silicon Valley start-ups