Archive for category 01 Why Built to Thrive
From risk to uncertainty and the pace of innovation
Posted by jay in 01 Why Built to Thrive, 04 Ecosystems on March 24, 2008
Thomas Homer-Dixon wrote a piece on the 19th of March 2008 called “From Risk to Uncertainty”. He reasons that the current problems in the world economy are systemic, and I agree with him. There are three major reasons, all happening at the same time, that pushed the envelope of the current reasoning about capitalism and global financial systems.
1. Sheer productivity gains of modern capitalism – The world’s businesses are on a treadmill focusing on increased productivity, innovation and execution ability. There is almost an obsession by businesses to reduce costs, and focusing on flooding markets with products and services. Factories must stay busy, people (and their skills) must be world class, practices applied must be lean and all inefficiencies removed from the business system. And then on top of this focus, credit is/was available at low cost as financial institutions explore new markets and drive growth plans.
2. In the last three decades there has been a focus on developing a “neoconservative ideology” that influenced the thinking of global financial thinking. Individual global opinion leaders had an overly powerful impact on the movements that influence big businesses today. I will discuss some of Sumantra Ghoshal and Gary Hamel’s work at a later occasion; they reason that businesses are in trouble because practices and business concepts are copied and used universally.
3. Technology innovation has pushed the limits of human social capital and speed of financial transacting to levels never thought possible before. Hardware, software, and communications technologies like fiber-optic allowed people to conduct financial transactions instantaneously and independently of the complexity of the underlying financial system. So, how do you define money in a modern world? Is the Linden dollar, Neopoint or Everquest platinum pieces (and others like these) more important than the US dollar?
Watch this video on neoconservatism and you can relate the concepts to some of our challenges today.
We need to find a new way to think about business ecosystems and human reasoning about business (built to thrive in an emergent ecosystem). Consider this; military strategy is about risk, human oriented strategy is about uncertainty.
Making sense of Built to Thrive
Posted by jay in 01 Why Built to Thrive on March 4, 2007
I spend a fair amount of my time trying to understand how people see and use innovation as a concept to drive new forms of business value. Yup, it’s the silver bullet that going to solve all those business challenges that surface over and over again. Innovation is sold as the mechanism that will get new life into the business that will get people to be invigorated, offerings to be re-articulated in order to be competitive, and cure all those ailments that will make the business successful in the future.
With all of this in the background, you have to deal with the hundreds of titles on innovation, creativity, and any other word that will make the sale of your intellectual output saleable. And now, yet another view on innovation?
In Collins and Porras’s ground breaking book, Built to Last (and followed by Good to Great), a number of characteristics of how companies outperform their competitors are unpacked. The intention here is not to invalidate their work, but to question some of those sacred business topics that have caused us to amplify our situation trap. Competing from a “core†is not the way in which modern business are transforming themselves. Living by the code, or the “core”, is not the thinking that will prevail going into the future.
Built to Thrive, for me, is about the signs that I’ve noticed on the business landscape. Its about the ecosystem shifts that have happened right under our noses, because we’re too busy focusing on the “coreâ€. We’re obsessed with executing something, anything, as long as we’re doing things. Landscaping and business ecosystem thinking has shown us that the world has changed. Changes that have been executed and implemented by a generation, not understood by current corporate citizens. Social orders and networks have created a new order of reasoning about what’s its like to be in business.
Built to thrive is trying to unpack those drivers that we have noticed, but cannot place in our existing vocabulary. Without a place to store it in our already contaminated mental states, its easier to ignore the signs. The journey over the last couple of years has opened up the proverbial pandora’s box. My mind has opened to a new and fresh way of seeing things in their new setting, utilizing old and new theories in new contexts with different environmental characteristics.
Life is one major experiment…
Welcome to the Built to Thrive blog…
Posted by jay in 01 Why Built to Thrive on November 19, 2006
Welcome to the Built to Thrive Experiment. This blog is for those who want to rethink the future of business and its purpose. I will explore the research journey and validate the ten key constructs in the Built to Thrive collective.