Software Engineering, Project Management, and Effectiveness
“Rather than love, than money, than fame, give me truth.” -- Henry David Thoreau
Values are the ultimate lightening-rod. They bring people together, or divide them apart.
If you don’t get how much values shape a company, from the people they hire to the people they fire, check out Video interview with Simon Sinek about the Golden Circle.
When you do great work that makes your soul sing, it’s usually because you have a strong values alignment. When you combine values with a clear vision, and a powerful mission, it’s the ultimate key to unlocking greatness, in yourself, others, and the company or arena you’re in.
Here is a sampling of values from some companies you’ve probably heard of. You’ll notice some patterns across, but you’ll also notice some distinctions. It’s the distinctions that can tell you things like whether a company is innovation-centric, or social-centric, or consumer-centric, or information-centric, etc.
Here are the Microsoft values:
As a company, and as individuals, we value integrity, honesty, openness, personal excellence, constructive self-criticism, continual self-improvement, and mutual respect. We are committed to our customers and partners and have a passion for technology. We take on big challenges, and pride ourselves on seeing them through. We hold ourselves accountable to our customers, shareholders, partners, and employees by honoring our commitments, providing results, and striving for the highest quality.
Here are the Amazon Leadership Principles:
Here are the Google Values:
Here are Apple’s Core Values according to CEO Tim Cook:
And here are the Apple Values in the Apple Employee Handbook, circa 1993:
Apple Values are the qualities, customs, standards, and principles that the company believes will help it and its employees succeed. They are the basis for what we do and how we do it. Taken together, they identify Apple as a unique company.
These are the values that govern our business conduct:
Here are the 5 Facebook Values:
Here are IBM’s Values (as determined by 319,000 IBMers around the world that engaged in an open "values jam" on IBM’s global intranet):
Keep in mind, the fastest way to know the values is to know the leader, since values flow down (and people tend to hire people like themselves.) Also, remember that values are not what you say, but what you do, since actions speak louder than words.
The Microsoft Story
Microsoft Explained: Making Sense of the Microsoft Platform Story
Microsoft Secret Stuff
Tell Your Story and Build Your Brand
The First 11 Employees of Microsoft
This is a guest post by Graham Doig on Value Realization applied to Enterprise Social software projects. You can think of Value Realization as simply the value extracted from a process or project.
Graham is a Business Strategy Consultant (BSC) at Microsoft. He helps Microsoft’s global customers to realize their investment in Microsoft products. He does that by working with them to align their business and technology strategies and achieve successful adoption. Graham works with both customer business and IT groups to help them develop a strategy to realize change and drive productivity within their organizations.
Graham holds an MBA and PhD from Loughborough University. He is a regular presenter at conferences and contributor to the academic press. He also regularly lectures on a range of information technology topics to MBA courses at leading UK universities.
I’ve asked Graham to share some of his key insights and lessons learned in the art and science of Value Realization from his adventures in the field, across real-world customer engagements.
Without further ado, here is Graham Doig on how to realize value from Enterprise Social software projects …
Today Value Realization is a critical element of any effective IT enabled business change. It consists of the set of activities that are required to ensure the delivery of the value that is expected from a business investment. But before value can be realized some important things have to happen:
Once all of these things have happened then Value Realization can start to take place. The essence of Value Realization is that over a period of time the value being attained from the change is monitored and measured by the benefit owner. The objective is to ensure that the full projected value is attained within the expected timescales.
Social computing has become commonplace in the range of personal communication tools that are available today. Almost everyone who has access to a computer and the internet is familiar with Facebook, Twitter and Linked-In to one degree or another. It is estimated that Facebook now has over a billion engaged users and Twitter has more than 350 million tweets per day. These applications now provide ordinary people with enormous power to communicate, to converse, to comment, and to criticize or praise. So can this capability be transferred to the enterprise and can it be done in a manner that delivers business value? Well the most recent statistics suggest that most businesses believe that it can. In a recent MIT Sloan report the response was that the importance of social business to the organization had increased significantly between 2011 and 2012. This increase was identified in all industry sectors and the increase in importance ranged mainly between 10 and 20 percent. The challenge for all enterprises now is to translate this recognized importance of social computing into uses that deliver business value.
The first challenge that is encountered when trying to identify how social computing can be used to deliver business value is that Enterprise Social does not take the form of a traditional app that supports the day to day operation of the business. Neither does it deliver the capabilities required for measuring the performance of the business. On the face of it you could conclude that there is no clear role for social computing to play that can directly deliver value to a business organization. This would be wrong! Although identifying the value that Enterprise Social can deliver might be harder that with more conventional IT apps, business value can still be identified if you look in the right places.
Today there are two major forms of Enterprise Social emerging. The internal view which focuses on Social Productivity and topics such as Employee Engagement and Team Collaboration, and the external view that is focused on Social Marketing such as Marketing Campaigns and Social Media Monitoring. Both Social Productivity and Social Marketing have the potential to deliver business value. Being linked more closely to more mature business activities such as marketing and CRM, Social Marketing provides clearer opportunities for generating business value. This can include increasing the speed of customer adoption of new products and delivering increases in customer satisfaction. Being less mature, the opportunities for Social Productivity to delivery business value are harder to identify but they do exist. Social Productivity can lead to value being realized such as reduced staff attrition rates, and improved speed to market with new products.
So if business value can be generated by the use of Enterprise Social how can this value be identified, quantified, measured and realized? This is arguably the biggest question of all. A key tool that is available for addressing this challenge is the ACME model:
By applying the four steps of the ACME model business value can be identified and Value Realization can then be used to track the attainment of this value. The first step in the ACME model is Activate; a social network must be activated before anything can be done to generate or realize value. Activation assumes identifying and defining a purposeful network i.e. the network has to support a recognizable community that share a common interest, pain or need. Effective activation means that the community adopt and use the social network and that they participate by engaging in quality interaction. It is the interaction that takes place in the social network that generates mineable information.
The second step, Cultivate is a critical activity that must be undertaken to ensure the growth and success of the social network. A poorly subscribed and underutilized social network is unlikely to produce very much mineable information and is not likely to deliver much business value. A network requires a critical mass and level of activity before it will attract and grow new members. Without sufficient activity so as to be useful, the network will wither and collapse. A social network that can deliver business value thus must be active and vibrant and this can only be achieved through active cultivation.
The next two steps in the ACME model are the two that are most crucial for value identification and Value Realization. Step three is Mine; the information that flows from the social network must be mined effectively. It is possible to mine all the information that is being generated by a social network in an attempt to generate insights and whilst this is an acceptable approach it is very dependent on luck. An enterprise that adopts this approach for mining information from a social network is hoping to get lucky! An arguably more effective approach for mining this information is to focus on information that is relevant to the enterprise. Relevant is all about measuring the right thing, not everything. The right thing for every enterprise will be different but there is a standard set of information categories that can usually be considered. These standard information categories typically include:
By being relevant and focusing on these types of information categories an enterprise is no longer hoping to get lucky; it knows what it is looking for. A critical enabler for effective mining is social analytics, undertaking appropriate analytics on the information flowing from social networks is a paramount activity required to unlock the potential value from Enterprise Social. It is the analytics that generate the insights that are the seed corn for value. These insights could include gaining a better understanding of customer needs, identifying what consumers think about our product compared to a competing product, or finding out what citizens really think about a government policy. However, gaining insights is not enough, the fourth activity of the ACME model, Execute, has to take place for the potential value to be realized. The action can be executed by an individual, a team, or the organization as a whole but without something changing, an action, the insight will be valueless. It is only by executing an action that value can be realized. Typical actions that insights from Enterprise Social can generate might include monitoring and responding to customer complaints faster, responding positively to dissatisfaction being expressed in employee social networks, identifying patterns of exceptions and developing new products from early identification of new trends.
Execution also brings us right back to Value Realization because execution means Change and it is change that delivers business value. The actions that are taken should have clearly defined measurable business benefits; the value of the benefits and how they will be measured needs to be defined; and someone must take ownership of the benefits and the value that will be realized. It is only through effective Value Realization that Enterprise Social will be successful within your customers’ organizations.
Mark Bestauros on Value Realization in MS IT
Business Scenarios for the Cloud
Business Value Generation is the New Bottleneck
This is my roundup of Steve Ballmer quotes.
I wanted to gain new insight into what Ballmer is really about. I find that quotes arranged in meaningful buckets can help tell a story and provide a new lens. In fact, I was actually surprised by what I ended up with. I anticipated a focus on Vision, Business, and Boldness. What surprised me was the themes around Agility, Empowerment, and Innovation.
Buckets aside, Ballmer behind the scenes is very different than Ballmer on stage, or in the media. I hope that this collection of quotes helps show more of that range.
“All of our major businesses can have a short-twitch capability every six to nine months to a long-twitch capability. We can't make customers wait three to four years for things they need every few months.”
“Our goal in making these changes is to enable Microsoft to achieve greater agility in managing the incredible growth ahead and executing our software-based services strategy.”
“These changes are designed to align our Business Groups in a way that will enhance decision-making and speed of execution, as well as help us continue to deliver the types of products and services our customers want most.”
“This is all about having great leaders who can drive agile innovation and agile decision-making.”
“This will be a place with some structure, but structure that aids teamwork, not politics and bureaucracy, ... Nothing solves big company' ills quite like a strong focus on accountability for results with customers and shareholders.”
“We need to improve agility.”
“All in, baby!. We are winning, winning, winning, winning.”
"I love what we’re doing with Windows 8, and it’s a bold bet. We’re reimagining our number one product. That’s cool. But it’s not for the fainthearted. It takes a certain boldness and a certain persistence."
“Our people, our shareholders, me, Bill Gates, we expect to change the world in every way, to succeed wildly at everything we touch, to have the broadest impact of any company in the world.”
"The one thing that I think separates Microsoft from a lot of other people is we make bold bets. We’re persistent about them, but we make them. A lot of people won’t make a bold bet. A bold bet doesn’t assure you of winning, but if you make no bold bets you can’t continue to succeed. Our industry doesn’t allow you to rest on your laurels forever. I mean, you can milk any great idea. Any idea that turns out to be truly great can be harvested for tens of years. On the other hand, if you want to continue to be great, you’ve got to bet on new things, big, bold bets. It’s in our value statement; you go to our website."
“Throughout our history, Microsoft has won by making big, bold bets. I believe that now is not the time to scale back the scope of our ambition or the scale of our investment. While our opportunities are greater than ever, we also face new competitors, faster-moving markets and new customer demands.”
"But Microsoft’s founding was when somebody said, hey, software is a basis for business. That’s what Bill Gates and Paul Allen did. That turns out to have been an amazingly correct and important thing, correct and important for Microsoft and correct and important for many, many entrepreneurs who have come since."
“I do think that there is such a strong interest in demand for improvements in information technology that we will continue to see a pretty strong information technology sector, no matter what happens with some of these global economic factors.”
"I'd say [one of] the things that eat at me the most ... is new business models. Learning a new business model or developing a new business model is so hard."
"Sometimes you are lucky. Ask any CEO who might have bought something before the market crashed (in 2008) ... Hallelujah! Putting everything else aside, the market fell apart. ... Sometimes you’re lucky.”
“The small-business market is the biggest part of the computer market, ... We really need to get after that.”
“You have to cut out parts…react to what the market is telling you. You get into trouble if you assume that you’re going to reach critical mass too quickly—because it’s most likely that you won’t. Through all these trials you can’t lose patience.”
"Ultimately progress is measured sort of through the eyes of our users. More than our investors or our P&L or anything else, it’s through the eyes of our users. We have 1.3 billion people using PCs today. There was a time in the ’90s when we were sure there would never be 100 million PCs sold a year. Now there will be 375 million sold this year alone."
“We had too many products that we were trying to sell to too few customers in the mid-market.”
“Everyone likes to differentiate between business and consumers but I don't see the difference really. Most people are people. I get personal and business mail and I have one set of contacts from my life. I don't want to manage two sets. I want one view of my world.”
"In the year 2000, people were still saying Microsoft would never be an enterprise company. Now a lot of people wonder whether Microsoft is still a consumer company! I mean, really? But I’ve got to tell you we had no enterprise street cred in the year 2000. We were still trying to prove ourselves to enterprise IT managers."
“Accessible design is good design.”
"But if we were trying to write it the original way, I guess it would be a computer on every desk, every pocket, every watch, every data center, every everything. But in a sense technology is a tool of sort of individual choice, individual creativity, individual empowerment, individual access, and mobility sort of just brings that more to the fold."
“Getting the most out of their people is on the mind of every business leader I speak with. (We) are passionate about the idea that the right software can provide the tools to empower workers to become the drivers of business success.”
“IBM says we have a team of consultants and we can help you innovate. But at the end of the day, unlocking people potential is better. Having people collaborate to make the right decision is more productive.”
"It’s always great when you get a lot of people pushing themselves to do better, be better, invent better, better serve, better lead customers in new directions."
“Our company has to be a company that enables its people.”
“The number one benefit of information technology is that it empowers people to do what they want to do. It lets people be creative. It lets people be productive. It lets people learn things they didn't think they could learn before, and so in a sense it is all about potential.”
“Look at the product pipeline, look at the fantastic financial results we've had for the last five years. You only get that kind of performance on the innovation side, on the financial side, if you're really listening and reacting to the best ideas of the people we have.”
“So, I think the output of our innovation is great. We have a culture of self-improvement. I know we can continue to improve. There is no issue. But at the same time, our absolute level of output is fantastic.”
“The lifeblood of our business is that R&D spend. There's nothing that flows through a pipe or down a wire or anything else. We have to continuously create new innovation that lets people do something they didn't think they could do the day before.”
"The truth of the matter is it’s hard to invent anything. It’s hard to invent a new thing, and it’s just as hard to invent another new thing. I think we’ve been pretty successful, but it’s hard. It is hard."
“We're about to kick-start a new growth engine for the mobile industry. To grow, the wireless industry needs to provide end-to-end solutions and innovative services. We're creating great new tools to do just that.”
“Eventually the Internet will be accessed by PC, television, and wireless devices.”
“More of what we do will live on the Internet, ... Nobody will have software products in 10 years. Everyone will have products and services. It will be hard to tell the difference between software products and services.”
“There will be this kind of quantum leap forward in the way people use the Internet over the next several years. There will be ushered in a next generation Internet user experience. That will be marked not only by the introduction of additional devices that take advantage of the Internet, but it will be marked by a whole new set of ways for programs to work together, for users to share data with one another and with programs, and basically, almost a whole new user interface model of the world.”
“We have an incredible opportunity...to revolutionize the Internet user experience. We need to deliver our next generation services platform in order to do that. And we need Bill Gates 100 percent focused on helping architect that.”
“We need to deliver a breakthrough version of Windows that allows PCs and servers to support these next-generation services and host them out there on the Internet."
“All companies of any size have to continue to push to make sure you get the right leaders, the right team, the right people to be fast acting, and fast moving in the marketplace. We've got great leaders, and we continue to attract and promote great new leaders.”
“Bill brings to the company the idea that conflict can be a good thing."
“Great companies have high cultures of accountability, it comes with this culture of criticism I was talking about before, and I think our culture is strong on that.”
"Leaders really do need to hit the exact right balance on what I'd call the optimism realism curve. If you're not realistic, you lose respect from customers, partners, shareholders, press, employees, if you're not realistic. But if a leader can't be optimistic, if a leader can't say, life is going to be better, we're going to take share, we're going to improve this situation, if you can't sort of handle being optimistic and realistic at the same time, I think it [will be hard for you] to be a great leader."
"The key isn't to quibble with the style that somebody uses or the approach. The key is to grade the results."
“We realized we needed to give our core leaders deeper control and accountability in the way they run their businesses, while at the same time ensuring strong communication and collaboration across business units.”
“And we learned an important lesson: Today's business software doesn't look enough like today's businesses."
“IBM is increasingly a services company ... and we are, at the end of the day, a software company.”
“We are still not getting in the manufacturing industry, ... We will provide the infrastructure that lets those in the manufacturing industry do their jobs.”
“We will make our products work out of the box.”
“At Microsoft, we're investing heavily in security because we want customers to be able to trust their computing experiences, so they can realize the full benefits of the interconnected world we live in.”
“By bringing together the software experience and the service experience, we will better address the changing needs of our customers' digital lifestyles and the new world of work.”
"My kids will never understand that it used to be kind of hard to access and find things, and know what the world knows and see what the world sees. Yet it becomes easier and easier every day."
“There are a variety of different things that fall under the social banner. We’re adding what I’d call ‘connectivity to people’ into our core products, The acquisition of Skype is big step down that path toward connecting with other people.”
“Under Ray's technical leadership and weaving together both software and software-based services, I see incredible opportunity to better address the changing needs of our customers' digital lifestyles and the new world of work.”
"With Windows 8 we think we usher in a new round, a round of mobility, a round of natural interface. The cloud makes computing in a sense more seamless, more transparent, kind of more every day, more every minute than ever before. I think that’s very powerful."
Steve Ballmer On a Big Vision: To Help People Realize Their Full Potential
What are the most useful CIO Resources you turn to?
Here are a few I know of …
“As we look ahead into the next century, leaders will be those who empower others.” — Bill Gates
Seasoned leaders focus on WHAT, and then HOW.
Smart leaders start with WHY.
So the obvious conclusion is that the right recipe is WHY, WHAT, HOW.
But that’s the surprise.
The most effective leaders know the recipe is WHY, HOW, WHAT.
HOW is the key to success for the long-haul.
HOW is often the difference that makes the difference.
HOW is where execution happens.
HOW is where you figure out sustainable ways.
HOW is where you figure out Operating Principles so you can take on big challenges and nail whatever WHAT that comes your way.
If you master Ability to Execute, you bridge Strategy + Execution.
HOW is especially interesting because it’s where people can shine. If you’ve read The Patterns of High Performance, you know that individuals produce their best results when they use their personal HOW.
It’s the journey and the destination.
WHY is the juice for the journey. HOW is your recipe for the journey. WHAT is the destination. If you master your HOW, you can enjoy the journey, and you’ll be better prepared for any destination you set your eyes on. Of course WHY will filter the destinations you choose.
It’s elegance in action.
The key is to treat HOW as a first-class citizen. Execution is often a differentiator. If you master and mature your HOW, you can move up the stack to take on bigger and better things.
Use your HOW to chop any challenge down to size.
Another way to think of it is, “Masterful HOW” trumps “Ad-hoc HOW” or “Heroic Efforts” time and again. There are exceptions, but it’s not sustainable.
Those that invest wisely in their HOW execute with confidence, can do product line engineering, and create sustainable work-life balance, and use “Ability to Execute” as a competitive differentiator, among the sea of failing and flailing.
For a great video on the power of WHY, HOW, WHAT, check out Simon Sinek: How Great Leaders Inspire Action.
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The Power of Values
"However beautiful the strategy, you should occasionally look at the results." -- Winston Churchill
Competitive advantage is a moving target. Static strategies fail in the long run. Strategy needs to be dynamic.
The challenge never ends.
Strategy is an ongoing game where the playing field changes over time.
In the book, The Strategist: Be the Leaders Your Business Needs, Cynthia A. Montgomery writes about how strategy competitive advantage is a changing thing and how strategy needs to be dynamic.
Montgomery uses the story of Apple to help illustrate how it could be easy to fall into the trap of complacency or get a false sense of security.
“Given the grand transformation, it's appropriate to ask: 'Is Apple there yet? Despite its late-century troubles, does it now have a sustainable advantage?' I often ask EOPers this question when teaching the Apple case. It is tempting to shout, "Yes!," as classes often do, or maybe even retort, 'Do you have to ask?' Apple has reinvented its innovative purpose and, taunting them for their lack of creativity. Case closed?
I think not.
In 2010, Apple's computer market share soared to about 11 percent, but that's hardly the mark of a dominant industry player. Otherwise normal people will camp outside an Apple store for the latest iPhone, but smartphones based on Google Inc.'s Android software substantially outsold the iPhone in 2010, according to NPD Group, a market research firm. Windows-based competitors to the iPad are coming fast and furiously. Such tablets might well become the fourth golden age, replacing the traditional personal computer as the center of the digital hub while becoming products sold largely on price. And there's no guarantee that the iPad, the iCloud ecosystem, or their successors will be the ones that head the pack a couple of years from now.”
Competitive advantage isn’t a durable thing, even though some exceptions might make it appear that way. The greatest advantages show up during the times of the greatest changes.
“Conventional wisdom would say that the goal of strategy is a long-term sustainable competitive advantage. I challenge that view. Such advantages are rare and for good reason. As Schumpeter showed, peaks in market growth and profitability often come from change, not stasis. Henry Ford dominated care sales with a single, affordable model until Alfred Sloan's General Motors beat him with a line of differentiated products. Polaroid owned instant photography until digital imaging shut it out; many broad-service hospitals were monopolies until low-cost focused providers started chipping away at their base; colleges with sprawling campuses owned higher education until community college, for-profit organizations, and distance learning challenged them with different economic models.”
You can’t count on one competitive advantage to win the ongoing game. Strategies aren’t “fire and forget” and they should not be set in concrete.
“Zeroing in on one competitive advantage and expecting it to be sustainable misrepresents the strategists challenge. It encourages managers to see their strategist's challenge. It encourages managers to see their strategies as set in concrete and, when spotting trouble ahead, go into defensive mode, hunkering down to protect the status quo, instead of rising to meet the needs of a new reality. To be sure, competitive advantage is essential to strategy, and the longer it lasts, the better. But any one advantage, even a company's underlying system of value creation, is only part of a bigger story, one frame in a motion picture. It is the need to manage across frames, day by day, year over year, that makes a leader's role in strategy so vital.”
Whatever is a competitive advantage will change over time. The need to add value will continue to shape it.
“This organic view of strategy recognizes that whatever constitutes strategic advantage will eventually change. It underscores the different between defending a firm's added value as established at any given moment and something far more important: ensuring that a firm continues to add value over time. This is what endures -- not a particular purpose, a particular advantage, or a particular strategy, but the ongoing need to add value, always. The ongoing need to guide and develop a company so that it continues to matter.“
Your products and services need to change with the times, to keep adding value in the changing environment.
“This is not to say that great resources and great advantages are not built by businesses that enhance their core differences over time. But the products and services that embody those differences must evolve and change, as Apple learned, the hard way, their value has to be measured by the present environment, not the one that once was.”
The challenge is building the plane while you’re flying it, or sailing the boat while you’re fixing it. It’s a balance of being in the thick of things, while at the same time, taking a look from the balcony.
“Quite painfully, that may mean that, like the shot of Theseus, the keel may need to be rebuilt or the ship may need to sail in a very different direction. As my executive students like to point out, this challenge rarely happens when you're sitting in a dock. It's a hard realization that the planks have to be changed while you're sailing, while you're also straining to navigate and working hard to keep the ship afloat.”
Staying in the game means the challenge continues.
“On his return to Apple, Jobs had to remake the computer company plank by plank while also keeping it from bankruptcy -- rebuilding not in a rainstorm, but in a hurricane on the high seas. He got it right for the most part, but as even its archrival -- the once undauntable Microsoft – has discovered, the challenge never ends.”
Personally, I’ve been a fan of strategy. After all, as Zig Ziglar said, "People do not wander around and then find themselves at the top of Mount Everest."
But it’s the Agile strategist that helps a venture survive and thrive for the long haul.
And, a ruthless focus on the customer and flowing continuous value is the North star.
High-Leverage Strategies for Innovation
How To Turn IT into an Asset Rather than a Liability
Models for Competitive Advantage
Simple Enterprise Strategy
What Am I Doing on the Microsoft Enterprise Strategy Team?
"Talent wins games, but teamwork and intelligence wins championships." -- Michael Jordan
I've been asked recently about competitive talent acquisition strategies. I'm not a recruiter and I don't play one on T.V., but I thought I would share what I've seen work in the real world.
People are the life-blood of any company. They generate new ideas and find new ways to create value. I’ve seen teams, orgs, and companies grow or die based on the people they acquire, and their talent management strategies. Brain drain, as we call it when top talent leaves, is a very real threat to any otherwise big, bold, goals and initiatives.
Here is my five-minute brain dump on what works when it comes to attracting top talent:
Note, I didn’t plan on 21, but I’m glad I landed there. How lucky.
I now have a life hacks category on Sources of Insight. It includes strategies and tactics for hacking life and how to live a little better. It includes posts on life, life quotes, lessons learned in life, and what is the meaning of life.
My latest addition to my life hacks bucket is 37 Inspirational Quotes That Will Change Your Life (or at least your mind.)
There are more than 120 articles in the life hacks bucket as of today.
Where to start?
If you’re not sure where to start, start with That Moment Where the World Stops.
If you’re feeling ambitious then read 50 Life Hacks Your Future Self Will Thank You For.
If you want to dive deep, read Happy vs. Meaningful: Which Life Do You Want?
Enjoy and in the words of Bruce Lee, “It’s not the daily increase but daily decrease. Hack away at the unessential.”, and “Simplicity is the key to brilliance.”
As a strategist, I need to stay on top of how the world of business is changing, especially from an IT perspective.
The world of business is changing faster than ever.
Changes are happening in the ways we work, business models and processes are evolving, customers are changing what they value and how they buy, and technology is transforming and shaping the next generation Enterprise.
Likewise, the smart CIOs and IT organizations are significant shapers of the next generation Enterprise. They are doing so by rethinking business models, reinventing the organization, and rewiring operations.
In their whitepaper, Making the Shift to the Next-Generation Enterprise, Cognizant shares 8 future-of-work enablers you can evaluate against to help you build a strategy to future-proof your business.
According to Cognizant, the following are unprecedented, relentless and perplexing challenges that organizations of today face:
According to Cognizant, the following are the 3 R’s of corporate model transformation to future-proof your business:
According to Cognizant, the 8 future-of-work enablers are as follows:
According to Cognizant, you can map the 8 future-of-work enablers to the 3 R’s of corporate model transformation as follows:
According to Cognizant, you can evaluate against a specific set of KPIs within each area of corporate model transformation:
According to Cognizant, there is a prescription for outperforming the competition:
“Tomorrow’s corporate winners have already started to adapt their corporate operating models. Based on a survey of 25 Fortune 500 companies, we have found that, on average, organizations are aware of future-facing concepts and capabilities, and they have begun enabling these capabilities in pockets of the organization. However, the initiatives are inconsistent and not always focused on the strategic business agenda.”
According to Cognizant, CIOs and IT organizations are shapers of the next generation Enterprise:
“Woven into this trend, we are seeing that the most mature adoption is happening at the technology layer of the corporate operating model. This suggests that the IT organization, and perhaps the role of the CIO, are evolving as drivers and shapers of the next-generation enterprise. This is not all that surprising, given that a large aspect of this work is underpinned by technology that powers long overdue business process transformation. We believe the real opportunities will present themselves as the business models are rethought and the operations/ processes are reinvented, along with this trend to rewire the technology.”
6 Steps for Enterprise Architecture as Strategy
Strategy Must Be Dynamic
I'm lucky to have an interview with Irv Rothman, CEO of HP Financial Services.
I’m always happy to learn from CEOs and I especially enjoy the way they look at the world. Edward de Bono has spent a lifetime teaching extraordinary executive thinking skills to ordinary people, and I’m a big believer in learning business skills for life.
Irv wrote a book called Out-Executing the Competition, where we he shares leadership lessons he's learned about surviving and thriving in any economy.
I asked Irv a handful of questions, some about work, some about life.
The most important question I asked him was what’s the most surprising insight you’ve learned about out-executing the competition. Here’s what Irv said:
“That it is not price. The creation of and execution on a genuine value proposition is the true source of sustainable competitive advantage and the best chance of retaining a customer for life…which should be an imperative.”
I think Irv’s right, and that makes perfect sense to me.
I’m a believer in customer-connected engineering. Your customer is a strategic decision. Once you know your customer, you need to know the pains, needs, and desired outcomes. If you have empathy for the pains and needs, and if you know what good looks like, then you have a great shot at taking the lead.
Then it comes down to your ability to execute.
The surprise here is that in order to execute well, you need to innovate in your processes, or you’ll be pushed out to market (too expensive, too slow, too irrelevant.)
The other surprise is how difficult it can be to truly generate new business value. As I’ve said before, business value generation is the new bottleneck. It takes a lot of customer insight, empathy, market awareness, innovation, and agility to know how to generate new business value on a consistent basis. In fact, this is where innovation and agility are crucial. You need an execution capability that supports exploration and new business development.
On a good note, the basics are timeless. As Peter Drucker taught us, "The purpose of business is to create a customer." So if you can get clarity on who you want to serve, figure out a profitable niche of the market where you can compete by playing to your strengths, capture the value in an elegant way, and master generating new value, then you are ahead of the game.
To truly master the game, though, you have to stay on top of trends, and master creating systems, ecosystems, and digitizing core processes.
If you can do these well, then you, too can be the Jedi Knight of strategy, out-execute the competition, and get the compound effect from spending the right time, on the right things, the right way, with the right energy.
That is the challenge.
Higher Profitability, Faster Time to Market, and More Value From Their IT
Mark Bestauros on Value Realization
Graham Doig on Value Realization