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Stories & Strategies. Iisalmi 14.11.2003 Mika Aaltonen Ph.D., Development Director.

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stories strategies

Stories & Strategies

Iisalmi 14.11.2003

Mika Aaltonen

Ph.D., Development Director

slide2
”Kaikkien ihmisten sääntönä on oltava, että valitaan hyvä ja vältetään paha. Sen takia moraalifilosofit ovat antaneet viisaudelle kolminkertaisen silmän: muistin, jolla se tarkastelee menneisyyttä, ymmärryksen, jolla se tarkastelee nykyhetkeä ja huolenpidon, jolla se tarkastelee tulevaa."
  • Michael Wexonius, De Prudentia, 1642
slide3
Introduction
  • 1) Megatrends
  • 2) The Dialogue between Everyday Leadership and Visionary Leadership
  • 3) Stories and Strategies
finland futures research centre
Finland Futures Research Centre
  • An international futuristic think tank of 40 people
  • Member of the Roman Club, Millennium Project, World Futures Federation, World Futures Society, European Foresight Academy...
  • The main partner of the Finnish Academy in future studies
  • Focal activities
    • Foresight and innovation research and development
    • Development of futures learning environments
    • Building of portals of multifaceted and well structured futures knowledge
    • Developing indicator systems as tools for the analysis of the relationships between environmental and social development
    • Visionary leadership, complexity management, emergence, sensemaking, storytelling…
from determinism to determination
Three Kinds of People:

People who wonder what happened

People who watch things happen

People who make things happen

Five Possible Attitudes:

Passivity

Reactivity

Proactivity

Preactivity

Foresight

From Determinism to Determination
presumptions in strategy
Presumptions in Strategy
  • Presumption of order: there are underlying relationships between cause and effect in human interactions and markets which are capable of discovery and empirical verification. It is possible to design models and design interventions to achieve goals.
  • Presumption of rational choice: faced with a choice between one or more alternatives, human actors will make a ”rational” decision based on either minimising pain or maximising pleasure, consequently people can be managed.
  • Presumption of intentional capability: the acquisition of a capacity indicates an intention to use that capability, we assume every ”blink” we see is in effect a ”wink” and act accordingly.
emergence
Emergence!
  • Complex adaptive systems consists of a large number of agents, each of which behaves according to its own principles of local interaction.
  • No individual agent, or group of agents, determines the patterns of behavior that the system as a whole displays, or how those patterns evolve, and neither does anything outside of the system.
  • Emergence is therefor not the consequence of non-average behavior, emergence is the consequence of local interaction between agents.
  • Novelty, instead, means coherent pattern that has never existed before. Diversity and conflicting constraints are essential to the emergence of true novelty.
in control or not in control
Intended, selected, planned

Goal, target, vision

Detecting, correcting

Forming

Known

Predictable, stable

Order, consensus

Clarity

Conscious

Evoked, emerging

Exploring, searching

Amplifying

Being formed

Unknown

Unpredictable, uncertain

Disorder, irregular pattern

Confusion

Unconscious

In Control or Not In Control?
slide9

COMPLEX

Pattern management

Probe – Sense - Respond

KNOWABLE

Analytical/Reductionist

Sense – Analyse - Respond

KNOWN

Legitimate best practice

Sense - Categorise - Respond

CHAOTIC

Enactment tools

Act – Sense - Respond

The New Dynamics of Strategy?

Snowden 2002

1 megatrends

1970

2020

“More and better out of less”

“More and different in different ways”

“More out of more”

The present information society is a short transition period between two longer periods

Postindutrial transition phase

POSTINDUSTRIAL RATIONALITY

Industrial society

Information society

Global network society

1) Megatrends

INDUSTRIAL RATIONALITY

vital abilities
Vital Abilities
  • Speed – ability to react and foresee
  • Conceptualization – ability to conceptualize things
  • Links – networks & partnerships
  • Images – to interpret abstract development paths
  • Technology – ability to apply new technology
  • Uncertainty – ability to create tensions and lead processes
population over 65 years
Population Over 65 Years

%

World Development Indicators 2001

maslow s hierarchy of needs
Maslow’s Hierarchy of Needs

Traditional

Modern

Self realisation

Recognition

Social needs

Security

Physical needs

reasons for working

Yesterday

Tomorrow

  • Work is part of life
  • Integrate hard fun and family
  • Selling results
  • Retire? No, rewire!
Reasons for Working
  • Work is bad, thus shorter hours
  • Selling life - part of it
  • Finance family life
  • Early retirement
my company and me
My Company and Me

My company gives an idea of what I am like

The industrial society 2001

from control management to value management
Control Management

Metaphor - machine

Control

Time studies

Taylorism/Fordism

Shareholder value

Efficiency and control

Value Management

Metaphor: tribe

Motivation + measuring results

Team Work

Stakeholder value

Storytelling

From Control Management to Value Management
kunde s brand religion
Kunde´s Brand Religion

Involvement

BRAND HEAVEN

BRAND CULTURE

CORPORATE CONCEPT

CONCEPT BRAND

PRODUCT

Value

reality engineering
Reality Engineering

Product placement

Themed restaurants

Sensory marketing

Reality engineering

Brand communities

one way or two way street
One-way or Two-way Street?

Consumer

Consumer

Company

Message

Channel

Consumer

slide22

Visionary leadership

VISION

Strategic management

T = 0

T = +1

T = +3

T = +5

Tactical management

2) The Dialogue Between Everyday Leadership and Visionary Leadership

foresight implications

Visions, scenarios, strategies, action plans

Planning

Informing and legitimasing action

Sharing visions, exchanging knowledge

Foresight

Networking

Futures

Broadening participation, establishing and reinforcing networks

Futures reports, trends, scenarios, forecasts

Identifying indicators, determining goals

Foresight + Implications
slide26

Pool of Life

Methods

Process

Mental Models

Identity

Power

ORGANIZATION

Double-loop by Ansoff:

Scope filters are observation filters:

-What kinds of targets are given?

-What issues are considered?

-What kind of information is processed?

Process filters are more or less power filters:

-What kind of process is chosen?

-Participation model?

-Methods?

§

hierachy of cognitive frameworks
Hierachy of Cognitive Frameworks

Industry Frameworks (Recipes) Beliefs Among Firms

Within-Firm Level Frameworks (Beliefs shared by a social group) Firm X

Within-Firm Level Frameworks (Beliefs shared by a social group) Firm X + 1

Individual Frame

Individual Frame

Individual Frame

Individual Frame

single loop vs double loop learning

Success

Mental models

Strategy

Action

Failure

Single-loop vs double-loop learning
leadership at three levels

3. Level: Assumptions & definitions

2. Level: Routines & programs

1. Level: Every-day leadership

Leadership at Three Levels
slide30

FORESIGHT

INSIGHT

HINDSIGHT

Reality

State of Art

Possible State of Arts

Possible Futures

floating strategy
Floating Strategy

What drives? What attracts? What prevents? What stagnites? What disgusts?

Students Experts People Companies Organisations

Capital Technology Information Culture

COMPETITIVENESS IS ATTRACTIVINESS TOWARDS FAVOURABLE FLOWS!

slide33

Contagion in Human Networks

Source: Albert-Laszlo Barabasi

remember these stories
Remember These Stories!
  • In the 1960s, Stanley Morgan tried to form a picture of interpersonal connections that link into a community
    • People in Nebraska and Alaska were asked to forward a letter to a stockbroker in Boston
      • CONCLUSION: Six degrees of separation = Everybody on this planet is separated by only six other people!
  • The Oracle of Kevin Bacon
    • 1472, 110 315, 260 123
    • The Degree of Separation 2,896!
  • Erdös number
    • If you have written with Erdös you get number 1, if you have written with someone who has written with Erdös you get number 2, and so on
    • No mathematician had a higher number than 17
    • Most (>100 000) have number 5 or 6
3 stories strategies
3) Stories & Strategies

Emotional

Rational

Narrative

conflicts in order to create meaning
Conflicts - in order to create meaning
  • Man against Man (High Noon)
  • Man against Nature (Moby Dick)
  • Man against Society (Papillon)
  • Man against Machine (Titanic)
  • Man against himself (Citizen Cane)In order to answer the how’s and why’s of life
the actors
The Actors
  • The Protagonist?
  • The Helper?
  • The Antagonist?
  • The Fairy Mother?
  • The Audience?
  • The Goal?
the premisses of storytelling in od
The Premisses of Storytelling in OD
  • The existing anecdotes, stories and discussions represent the underlying values or rule sets that provide the self-organising principles for the communities they represent
    • these simple rules allow the consistent behavior in the face of uncertainty (according to complexity theory)
    • this material provides a vehicle for corporate learning as well as for corporate identity building in the form of living corporate memory
  • Purposefully building a vision, a story of the change at hand together with the employees from the beginning will enhance commitment of the employees, the time of implementation of the change, and will also insecure that all the different aspects concerning the change are taken into consideration
corporate story communication action
Corporate story = communication + action

Company storybook

Templates, documents

Sales support

Unified process

Visual identity + graphic rules

Things we do and things we say

PR, press, sponsorships, seminars…

Recruitment

the springboard story
The Springboard Story
  • “In June 1995, a health worker in Kamana, Zambia, logged on the CDC Web site in Atlanta and got the answer to a question on how to treat malaria”