From ideas to execution: The rules for strategic innovators, by V. Govindarajan

Jun 18 2009

Future is now. Future is not about what you do in the future.


  • Strategy is about next practices.
  • For you to be a leader in 2030 your opportunity gap is a lot bigger than your performance gap.
  • We need different methods and capabilities to succeed in the future.
  • Don’t think about best practice think about next practices.

Three box model

  • Box 1: manage the present
  • Box 2: Selectively forget the past
  • Box 3: Create the future

Emerging markets

  • Customers of the future will be fundamentaly different, and will demand fundamentally different companies.
  • An emerging market will transform the corporation trying to adapt to it.
  • Grow up in emerging markets cannot be caught up with box 1 approach.
  • Emerging markets represents a huge discontinuity.

Three reasons why companies find it so hard to use next practices

  • Physical inertia.
  • Psychological inertia.
  • Strategical inertia.

Company dedication to projects

  • How many projects will be in horizon 1?
    Core business. It should be 60%-70% of the efforts.
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  • How many projects will be in horizon 2?
    Adjacent space. It should be 20%-30% of the efforts.
  • How many projects will be in horizon 3?
    Entirely new business model. It should be 5%-10% of the efforts.

Strategy Architecture

Other highlights

  • Because of the though economical conditions, projects are being more conservative today.
  • Simple message: future is now. future is not about what you do in the future.
  • Today I have to do two things: make the business work and invest in the future.
  • The opportunity gap is enormous in the near future.

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Extract by Josep Oriol Ayats and Guillem Mateos.

Making Management Innovation an Integral part of your business strategy, by G. Hamel

Jun 17 2009

“The companies that will win in the future will be the ones that are really focused on human beings”

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  • Management is one of most important technologies human has invented, and we need to reinvent that technology.Management was really invented to solve the problem on how to turn human beings to robots.Somehow we are satisfied with the same management system of middle 1900.

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Gary Hamel’s interview from Hit Barcelona on Vimeo.

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Why has management evolution stopped?

  • Maybe we have solved all the possible problems or maybe we have simply been caught in a paradigm trap, which i think is the correct answer.

The 3 new challenges that face organitzations today are:

First challenge: Change

  • Are companies changing as fast as the world is?
  • A lot of companies have been left behind on the change curve.
  • Product advantages don’t last as long as they used to.
  • The dividing line between a leader and a competitor is usually months only.
  • Change only happens in crisis.
  • Today the challenge is building an evolutionary advantage over time.

Second challenge: Protection barriers

  • The protection barriers companies used to have are falling.
  • We have to be adaptable in a new environment.
  • Innovation is the only protective barrier. There are ways to determine innovation is not a key point in a company.

Third challenge:Ai?? Knowledge is becoming a commodity buying prednizone from canada.

  • We need to integrate knowledge in a creative way.
  • We need a completely different way of thinking about our people.

Other highlights

  • Worker values pyramid: Obedience, diligence, expertise, initiative, creativity, passion.
  • The job of managers is not to get employees to serve the organization, but to build the environment to encourage people to collaborate and contribute.
  • “All commitment is voluntary”.
  • “If you never tell a colleague what to do it will never work with you again”.
  • We have to destroy the notion of the CEO.
  • How do you became a management innovator? You have to be willing to challenge conventional thinking.
  • You have to go to the social revolution on the web to see the future of management.
  • The assumption is that when you get people more freedom they get less disciplined.
  • Involvement drives commitment.
  • The single reason companies get into trouble is when they concentrate responsibility in few people so the organization depends on personal characteristics of that people.

If you had grown up in the internet world:

  • Every idea should compete in equal condition.
  • What matters is your contribution not your credentials.

Management is only on doing to simple things

  • Amplifying human capabilities (the internet has done it)
  • Aggregate those capabilities (we see that through open source)

The irony is we as individual are already adaptable, innovative and interested but our organizations are not as much.