globalization 3.0
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N. VENKATRAMANBOSTON UNIVERSITY SCHOOL OF MANAGEMENT
IS 837: JANUARY 2008
1Globalization 3.0:Opportunities & Challenges
What’s the focus for the week?
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Strategy & LeadershipGlobal Business OperationsOrganizational ArchitectureIT InfrastructureInnovation & CreativityNetworks & EcosystemsEfficiency & Effectiveness
What’s not our focus for the week?
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Overview of the Week
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New Context: New Opportunities, New Challenges
Multiple viewpoints and insights
Three Strands of Work:
Global Product/Service Innovations
Global Business Architecture
Global Talent Management
Look Back in History: May 12, 1896
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40.94
Fast Forward to 2050: ‘BRIC’
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Globalization (and the role of I.T.)
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We are in an era of global networks…
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Live
ConsumePlay
Work Create
Connect
Or to put it differently…..
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And according to Dilbert…
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And according to popular press..
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The practice is getting more widespread..
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Globalization: Stylized Shifts
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Globalization 1.0
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One of the First Global Corporations…
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Globalization 2.0
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Globalization 2.0 Infrastructure
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Globalization 2.0 Infrastructure
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Globalization 2.0: Management ideas originated from..
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‘the industry of industries’ -- according to Peter Drucker the laboratory for the major management ideas
that we know today
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Globalization 3.0
Three Technology Laws….
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What’s the impact today? What’s the likely impact in 2010? 2015?
Globalization 3.0 is about IT-enabled work
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Engineering
Legal
Medical
Software
BPO
Call CentersTech Support
??
R&D
Analytics
??
??
Services
Design??
Where’s it designed? Where is it manufactured?
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Globalization through digital networks..
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Remote, Connected Work
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Globalization 3.0:Early observations…. But not prescriptions
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Remember Lessons from the Global Motorcycle Sector?
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It’s not all about accent neutralization!
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Globalization 3.0: Early Experimenters
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Globalization 3.0: Positioning it in the Strategic Agenda
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1. What’s our business scope?
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StrategicImportance ofCapabilities Core
Necessity
Support
“Best”“Good”“Weak”Relative Position
Sourcing Logic
2. Where’s our global footprint?
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Shoringdecisions
3. How’s the governance distributed?
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[Sourcing]
“In”
“Out”
“On” “Off”
[Shoring]
4. How to architect global work?
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What’s the design logic for work? Transactional
Transformational
Tacit
Source: McKinsey
4. How to architect global work?
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How is the work best designed? Sequential work
Reciprocal work
Pooled work
(A) (B)
(A) (B)
(C)
Embarking and Embracing Globalization 3.0
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ThreeProcesses
ThreeCases
Learning Approach
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1. Explore an emerging, important management theme
2. Apply the ideas in the context of one case problem
3. Develop your own points of view
4. Identify key readings and links to track for your own reference
5. Examine how this could evolve in the future…
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