David OsborneJill Hinsonwww.change-fusion.com
“Creativity and innovation happens in states of disruption; you need to
remain in a state of chaos or disconnection long enough for
innovation to emerge.”
Patricia Shaw
Organizational Agility: How to Thrive in Today’s Business Environment
What core reason brings you to
this topic?
to move quickly,
decisively,
effectively
in anticipatin
g initiating
ANDtaking
advantage of
change
v
How are we defining agility?[ ]ability to quickly bring products to market
internal & external openness
continual reframing and improvisation
exploit disruptions and “jump the curve
adaptive capacity
whose getting it right?[ ]
Agility: Is it for all industries?
Today’s Business Environment
• Global networks transform how resources & ideas are shared (i.e. Open Source Development)
• Social media and online resources increase consumer power to provide instant feedback
• Disruptive technologies transform industries overnight
• Shifting international power dynamics and conflicts influence markets
• Changing population demographics and customer trends call for constant innovation
69% of respondents experience disruptive changes in the last 12 months
• HRI Study 2007
Organization Agility
Flexible Processe
s & Structure
s
Strategic Sensitivit
y
90% of CEO’s reported wanting to become more responsive2004 IBM Global Study
Agile Workforc
e
Constant connection with the external environment
Internal information sharing
Broad understanding of your business
New ideas and identifying evolving customer needs is everyone’s job
Encourage disconfirming information and feedback
Strategic Sensitivity[ ]The ongoing, everyday ability to sense strategically
important changes and opportunities as they emerge; the foresight to notice & act.
Strategic Sensitivity: Spotlight
• Proctor & Gamble: Research and development is no longer a sterile lab - their employees learn alongside housewives
Strategic Sensitivity: Spotlight
• Innovative products that re-invent the way people think about technology
• Rapid colonization of digital music distribution system
• Strategic Partnerships
Staying ahead of the curve; leverage their strengths to introduce disruptive
technology to new markets
Strategic Sensitivity
Ways to Become More Strategically SensitiveWays to Become More Strategically Sensitive
•Shell Scenario Planning
•U Theory
•Strategic Fitness Process
•Reframe & Refocus
Adaptable
Strategic Awareness
Intellectual Flexibility
Innovation
Creativity
Interpersonal
Collaboration
Business Acumen
Results Oriented
Agile Workforce[ ]A workforce that has the capability to change and adapt
rapidly in response to shifts in the strategic direction. Collaborative, innovative, open-minded, effective &
business savvy describe this workforce
Agile Workforce: Spotlight
• Ideas go from brainstorm to product with rapid speed
• Maverick, anti-structure culture - free spirit attitude
• Fluid talent structure and teamwork
• 20% of time is spent on innovations
Fortune, 11/09/06; Shambala Sun 09/09
Agile Workforce
• Continuous improvement at the heart of everything
• Oobeya: “the power of open minds”
“There are no taboos in oobeya. Everyone in that room is an expert. They all have a part to play in building a car. With everyone being equally important to the process, we don’t confine ourselves to just one way of thinking our way out of a problem.”
• Takeshi Yoshida
Agile Workforce
Agile Workforce
WAYS TO ENGENDER A MORE AGILE WORKFORCEWAYS TO ENGENDER A MORE AGILE WORKFORCE
•Simple Rules
•Action Learning & Collaborative Problem Solving
•Trading Places - cross training
Fluid Structures and BoundariesAd-hoc project teamsCross functional connectivity
Knowledge Management & CommunicationShared language
Talent Fluidity
Product development/New Business units
Shared Values & Simple operating Rules
Financial & Goal Setting
Flexible Processes &
Structures[ ]Flexible processes and structures provide the capacity to rapidly adapt to shifts in strategic direction and business
imperatives.
Flexible Processes & Structures: Spotlight
•Advanced network technology
•Complete and disruptive re-organization since 2001
•Networked, distributed leadership- from command and control to a “distributed idea engine where leadership emerges organically”
•Cross functional Councils and Boards take ideas to business in 120 days
• Deep and widespread use of social media to collaborate
Flexible Processes & Structures
EMBEDDING FLEXIBLE PROCESSES & STRUCTURESEMBEDDING FLEXIBLE PROCESSES & STRUCTURES
•Strategic Partnering
•Ad-hoc teams; consulting model
•Dispersed communication: Think Communities of Practice leveraging social media tools
Strategically Sense ?
Relinquish controls?
Enable an Agile Workforce?
How will you........
We provide organizational development support in 3 ways
Consulting by project
24/7 “on call”
Monthly retainer