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The story of HUGE change affecting us all and few BIG SHIFT things you can do to make today's changes work for your business and your life.
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Including)insights)from)John%Hurley;%John%Seeley%Brown;%Lang%Davison;%Deloi7e%Center%for%the%Edge;%Robert%J.%Gordon;%Tomas%Sedlacek;%Daniel%Pink;%Richard%Florida%
SHIFT Happens
Barbara Shannon GreatChangeBox.com
You$can’t$run$this$business$by$the$le2,$intellectual,$analy4cal$side$of$the$brain.$We$are$in$the$arts$and$entertainment$business,$and$we’re$pu<ng$a$huge$emphasis$on$crea4vity$and$world?class$design.$GM$Vice$Chairman$Bob$Lutz$$
At$Nike$we$go$beyond$process$efficiencies.$Clear$goals,$great$people,$empowerment$and$trust$move$faster$and$beKer$than$too$much$process.$$Nike$CIO$–$Roland$Paanakker$
TOMAS&SEDLACEK&
&Global&Business&Transforma:on&Summit&
&Global&Business&Transforma:on&Summit&
GROWTH)IS)KILLING)BUSINESS!)
&&BUT&THAT’S&UNAMERICAN!&
YES!)
Making)a)Difference!)
Learning!)
Autonomy!)
COMPUTING&POWER&Digital&Storage&Bandwidth&
The%ShiG%Index%2011%
CONNECTION
INFRASTRUCTURE&Internet&Users&
Wireless&Subscrip:ons&&
The%ShiG%Index%2011%
CONNECTION
5X&
2X&
ECONOMIC&FREEDOM&$
The%ShiG%Index%2011%
CONNECTION
PHYSICAL&FLOW&Migra4on$to$crea4ve$ci4es$Travel$volume$Movement$of$capital$
The%ShiG%Index%2011%
FLOW
VIRTUAL&FLOW&Inter?firm$knowledge$
Wireless$ac4vity$Internet$ac4vity$
$
The%ShiG%Index%2011%
FLOW
AMPLIFIERS&Worker$passion$
Social$Media$The%ShiG%Index%2011%
FLOW
The%ShiG%Index%2011%
COMPANIES&Asset$Profitability$
ROA$Performance$Gap$Firm$Topple$Rate$Labor$Produc4vity$
IMPACT
The%ShiG%Index%2011%
ROA$for$US$Companies(1965$–$2010)$
Topple$rate$for$companies$>$100M$increased$40%$over$firms$<$100M$
>$100M$Sales$
FIRM$ROA$TOPPLE$RATES$(1965$–$2010)$
Low&Increase& Moderate&Increase&
High&Increase&Increase$
Sta4
c$De
crease$
ROA$
Labor&Produc:vity*&
*%Output%of%goods%and%services%per%%labor%hours%required%to%produce%that%output%
ROA$of$US$companies$=$¼$of$what$it$was$in$1965$$
Topple$rate$of$big$companies$accelera4ng$at$3X$rate$of$smaller$firms$$$$$
Average$tenure$in$S&P$2011$=$10$–$20$years$VS$50$–$100$YRS$in$1965$$
Employees$want$meaning$over$money!$$$
But$what$drives$FLOW?$
Deloi7e%Passionate%Workforce%Study%2011%%
When$people$engage$passionately$with$their$work,$they$seek$ways$to$connect$with$others$who$share$their$passion$and$who$can$help$them$improve$faster.$DeloiTe&ShiU&Index&
PASSION
1$–$99$ 100$–$999$$
1000$–$4000$$
! 5000$
MORE SMALL MORE PASSION Passionate$Engaged$Passive$Disengaged$
What To Do?
BE SMALL!
CONNECT!
SHIFT to the Right
MIND THE GAP
BIG&IS&BIG & & &&Bigger&is&beTer&Seeking&Growth&Acquire&to&Grow&
ACCELERATE&THROUGH&EFFICIANCY &&Structure&to&Scale&Efficiency& & &&Product&Driven&Standardiza:on &&Push & & & &&Transac:ons &&Protec:ng&IP & &&Innova:ng&on&the&Edge & &&Hierarchies&Performance&Targets&
HIGH&VALUE&SKILLS & & &&Explicit&Knowledge & &&Pursuit&of&Excellence & &&Performance&Reviews & &&
&& &&
SMALL&IS&BIG&Too&big&and&too&fast&fails&Seek&Sustainability&Organic&Growth&+&Though\ul&Acquisi:on&&ACCELERATE&THROUGH&RELATIONSHIPS$Structure&to&Scale&Talent&Customer&Driven&Customiza:on&Pull&Partnerships&and&Trust&Sharing&for&Value&&Innova:ng&from&the&Core&&Meritocracies&Purpose/Mastery/Control&&
HIGH&VALUE&SKILLS&Tacit&Knowledge&Passionate&quests&Real&Time&Feedback&$
NOW!& THEN&