Professional Documents
Culture Documents
ATT
Apple
Kodak
RIM
SSIH/Asaug
Lego
Blockbuster
Britannica/Encarta
Ciba-Geigy
U.S.Steel
Nokia/Motorola
NYPD
Polaroid
Siebel
RR Donnelley
IBM
Xerox
Nike
ATT
Apple
Kodak
RIM
SSIH/Asaug
Lego
Blockbuster
Britannica/Encarta
Ciba-Geigy
U.S.Steel
Nokia/Motorola
NYPD
Polaroid
Siebel
RR Donnelley
IBM
Acer?
Havas/V&S?
NASA?
Subtitle
Sources: Rubber Manufacturers Association, Tire Shipments by Construction, Tire Industry Facts
(Akron, Ohio, 1990); Firestone Tire & Rubber Company, Sales Forecasts, Corporate Archives
(Akron, Ohio, 1980).
Citation:
Sull, Donald. The Dynamics of Standing Still: Firestone Tire & Rubber and the Radial Revolution, Business History Review, 1999, pp. 430-464.
9
2.5
Market
Size
Prairietek, Quantum,
Conner, Western Digital
3.5
5.25
8
Shugart, Micropolis,
Priam, Quantum
14
Control Data, IBM, Memorex,
Diablo, DEC, Ampex
1976
1981
1986
1991
1996
10
Source: Timothy James, Resource development in firms: New product development and organizational change in the Japanese brewing
industry, University of Washington, 1992: table 5.8. Nikko Weekly.
11
12
13
14
15
16
17
18
19
Goals
1.Enable corporate
capacity to build 300
stores per year
2. Deliver 1st 1,000 stores
20
Wal-marts World
August 1, 2006
21
1935
1955
1975
1995
2005E
22
23
OK Go Goes Viral
25
26
Bell Labs
27
28
Deadline
Proj
Rms
Sub
Award
Date
Award
Amount
174
22
5/7/2010
$11,000
564
95
5/14/2010
$20,000
579
11
5/13/2010
$30,000
LRC
2/27/2010 4/26/2010
423
37
GRC
5/17/2010 7/27/2010
365
56
5/27/2010 7/27/2010
229
18
9/20/2010
$10,000
5/27/2010 7/27/2010
598
108
9/21/2010
$7,500
Ctr
JSC SLSD
JSC EA
Posted
29
30
Ad Agency Video
31
Lego
Self organized brick design
Mindstorm: components and software
32
Disruption
Brick Systems
1990
1995
2005
2010
Antorini, 2008
Schultz et al. 2005
33
Ball Corporation
$5B
$4B
1998
Plastic
Metal
$3B
Aerospace
John Fisher, 42
$2B
1996
$1B
Glass
1880
1910
1940
1960
1970
1980
1990
2000
35
Charles Darwin
37
WRONG STRATEGY?
WRONG TECHNOLOGY?
STUNTED EXECUTION?
BAD LUCK?
38
Execution
Marketplace
Insight
Talent
Market
Results
Critical
Tasks/Tasks/
Critical
Business
Design
Strategic
Intent
Interdependencies
Interdependencies
Formal
Organization
Gap
Innovation
Focus
Culture
Values Values
Strategic Insight
40
Strategic Execution
Performance
Opportunity
41
42
Strategy
Fit
Performance
43
Conduct multiple
levels of analysis,
e.g., unit, interunit, organization
Power/politics
Key roles
44
45
TRANSLATE THE
STRATEGY
DEVELOP THE
STRATEGY
Strategy Map /
Themes
Measures /
Targets
Initiative
Portfolios
Funding / Stratex
Mission, Values,
Vision
Strategic
Analysis
Strategy
Formulation
6
3
Strategy Map
Balanced
Scorecard
Stratex
performance
measures
Profitability
Analysis
Strategy
Correlations
Emerging
Strategies
results
Operating Plan
PLAN OPERATIONS
Key process
improvement
Sales planning
Resource capacity
plan
Budgeting
Sales Forecast
Resource
Requirements
Dashboards
Budgets
results
EXECUTION
Process
Initiative
performance
measures
Strategy
Reviews
Operating
Reviews
SMO
Principles of TQM
1. Customer focus
Ensure that
customers drive
quality
4. Aggressive
improvement goals
Defect reduction
Cycle time reduction
Customer satisfaction
5. Build in quality
from the start
Tanguchi methods
Robust design
6. Solve problems
using facts and data
Common measurement
system
The tools of TQM
8. Creation and
diffusion of success
stories
Start a critical
few TQM projects
48
49
Organizational
Growth and
Success
Internal
Forces for
Stability
50
Fit
Success
Inertia
51
Examples
Existing
technology
Threat
Response
(percent increase)
Ice
Refrigeration
300%
Gas Lamps
Incandescent Lamps
500%
Telegraph
Telephone
150%
Vacuum Tubes
Transistors
52
53
54
55
Examples
Existing
technology
Threat
Response
(percent increase)
Ice
Refrigeration
300%
Gas Lamps
Incandescent Lamps
500%
Telegraph
Telephone
150%
Vacuum Tubes
Transistors
56
57
58
Innovation Streams
New
Fashion Lens
(Ciba)
Disk Drives
Ciba/Tilt (Wheat)
Knitting (HP)
USAToday.com
Analog Devices(DSP)
MARKETS
Analog Devices
USAToday
ASIC/IBM
Existing
Network Chip/IBM
Continuous Aim Gunfire
HP/Lobo,Condor
Firestone/ Radial
Analog Devices (IC)
Ciba/Tilt (Corn)
Ciba / Seeds
Architectural / Modular
Radical
TECHNOLOGY
59
Executive Team
Multiple strategies
Single vision
Few Core Values
Mgmt. Team
Mgmt. Team
Informal
Organization
Arrangements
Individuals
Mgmt. Team
Informal
Organization
Arrangements
Ciba Vision/Conv. Lens,
Seiko/Mechanical,
USAToday
IBM Network/ ASIC
HP Flat Bed Scanner
Tasks
Individuals
Tasks
Strategic Re-orientations,
Discontinuous Change
Exploitation: Consistency,
incremental change, and
continuous improvements
60
Characteristics of Ambidexterity
Characteristics of
Ambidextrous Forms
Structural differentiation of
explore/exploit units
VISION: # 1 Supplier of
Network Technology chips by
2000
Mfg.
Tactical
Integration
J. Kelley
(Meta Manager)
Group Executive
Chris King
Wireless
(Ambidextrous Manger)
Network Technologies
Senior Team
Targeted integration of
functional resources
Common fate rewards
system
ASIC
Network
Transport
(Exploitation)
(Innovation Manger)
(Innovation Manger)
Exploration
61
Exploitation
[Horizon 1]
Exploration
[Horizon 2]
[Horizon 3]
Variation
Selection
Retention
Examples:
J&J
H-P
CibaVision
USA Today
IBM
P&G
3M
ABB
MettlerToledo
HattoriSeiko
Schwab
Fujikura
62
General Manager
Growth
Exploration
Exploitation
Soft Lenses
Fashion Lenses
Selection
Retention
Examples:
J&J
H-P
CibaVision
USA Today
IBM
P&G
3M
ABB
MettlerToledo
HattoriSeiko
Schwab
Fujikura
63
64
65
Irony IV: Authority dynamics pervade leadership teams and complicate team processes
but members wont talk about them.
Irony V: These dynamics are accentuated the more senior the team.
66
67
Incremental Change
Time
Organization Evolution:
Incremental and punctuated change or Periods of incremental change punctuated by
discontinuous change
General Manager
Exploitation
Growth
Hardware
Exploration
Consulting Services
Life Sciences
Variation
Selection
Retention
Community or Contest
External Selection (eg,
Voting and Approval Contests)
(LuLuLemon; OK-GO)
(Lego, Doritos)
Selection
Knowledge
Concentrated
Narrow
Solution Generation
Knowledge
Broad
Strategic
Partner (s)
High
(Modular)
Open Innovation
Community
Task
Decomposition
Structural
Ambidexterity
Low
(Integrated)
Multi-Firm
Collaboration (eg,
alliances, consortia,
JV, patent pools)
Intra-Firm
Narrow
Broad
Strategic
Partner(s)
High
(Modular)
Community
Apple: Open Source Community
LEGO: AFOL & NXT Hackers,
LEGO MUPS & Ambassadors
Task
Decomposition
Ambidextrous
design
Low
(Integrated)
Multi-Firm
Collaboration
Broad
Common Language
Joint Executive Sponsorship
Growth and Innovation Focused
Intact Teams by:
Country
Business unit,
Functions
Cross-unit
Gaps, Diagnosis, and Action
76
Strategy as dialogue
5k executives
participated in SLFs
Transformation to support
$650M capital investment; 8
sessions, 500 executives
77
Intangible
Research-based approach
79
Extreme Toyota
80
Contradictions
Opposites
Paradoxes
81
Toyotas Contradictions
82
83