business book review presentation to strategic capability network february 21, 2007

Copyright © Business Book Review 2007 ~ 1

Business Book ReviewPresentation to

Strategic Capability Network

February 21, 2007


Presentation ContentPart 1

The BBR Library

Description of Library Categories of Business Books

Criteria for Selection

Part 2Key Concepts from the Best Books on:

Strategic Capability Organization Effectiveness

Leadership in Action


The Business Book Review Library

Over 700 Summaries, 50+ added annually, each containing:

100-word introduction 300-word abstract 600-word abstract Full 4,500-word Summary & Review

Each 4,500-word Summary & Review includes: Summary – Chapter-by-chapter synopsis Key Concepts – Outline. Author/publisher links. Related readings About the Author – Author biography Remarks – Evaluation of the quality and value of the book Reading Suggestions – How to effectively read the entire book Direct link – To www.amazon.com for ease in purchasing


All aspects of business skills development

Business Biographies Business Strategy Customer Satisfaction Economics Entrepreneurship Finance Diversity Global Business Human Resources

IT / Internet Innovation Leadership Major Works Management Marketing Personal Growth Productivity Social Responsibility



Stringent Selection Process

5,000+ business books published annually BBR selects and evaluates 20% Only 2% are chosen as best

Criteria for Selection

Significance to the subject Author’s body of work Advance praise, foreword Meets with the interests and needs of our readers



Strategic Capability Activities with people that drive effective innovation and growth Strategic capabilities of the complete organization

Organization Effectiveness Activities with people that make change management more effective Process improvement, facilitating alignment, sustaining excellence

Leadership in Action Activities that produce more leaders who are effective at all levels Leadership development and the impact of effective leaders

SCN Themes


Strategic Capability

Key Concepts from the Best Business Books

Organization Effectiveness Leadership in Action


Strategic Capability Activities with people that drive effective innovation and growth Strategic capabilities of the complete organization

SCN Theme


“A Growing Growth Gap”

Companies understand why they need to innovate. They don’t know how.

Innovation is - not synonymous with creativity – only implies coming up with

ideas bringing of ideas to life

Increasing number of companies improving how they innovate.


Driving Growth Through InnovationHow Leading Firms Are Transforming Their FuturesBy Robert B Tucker


Innovation Vanguard Companies

Innovation is a comprehensive, enterprise-wide process CEO-driven Supported with goals, metrics, rewards, resources Cultural commitment to bottoms-up innovation

Their 21st Century approach to Innovation involves…

Leading innovation Creating an innovation culture Empowering the Idea Management Process Mining the Future Fortifying the “Idea Factory”

Results - powerful products, growth, commitment




The 5 “Right Things” in building an all-enterprise innovation capacity

1. Design and implement an innovation strategy Establish a common definition of what innovation means Spell out the growth goals to be reached Provide a process in every area of operations for channeling

ideas Outline a plan to overcome barriers Imbed innovation into the culture Identify a leader to be in charge of the process

2. Spread the responsibility for making innovation happen Spell out expectations regarding innovative behavior Publicize and promote the kind of behavior sought Create a “curriculum” of innovation Provide basic training in creativity Provide more advanced innovation training to select groups




The 5 essential “Right Things” in building an all-enterprise innovation capacity

3. Commit resources and decide on levels of risk Allocate time, money, and talent to the innovation process Have a method to decide ideas to fund, people to involve, time

to spend Manage risk to minimize the number of unproductive pursuits

4. Establish innovation metrics Measure the percent of revenue from new products/services Instill metrics that motivate rather than create disunity Measure the number of new and promising ideas in the pipeline

5. Reward innovation Careers on the line must be met with reward and

encouragement




With the right leadership, culture can be reshaped to catalyze the innovation process

Eleven key strategies…

1. Assess where the company is and where it needs to be for growth2. Identify the structural and cultural barriers to innovation3. Assess the company’s current innovation process for barriers to ideas4. Address the “lack of time” barrier5. Institute practices that create openness6. Balance the mix of people for diversity of thinking styles and

perspectives7. Do not segregate mavericks into skunk work units8. Achieve the right mix in creative styles - adapters and innovators9. Don’t underestimate the innovative potential of ordinary people10. Identify and develop champions11. Identify and recruit innovators




Idea Management Systems help firms make innovation a discipline.

And can work only if -

Solicits ideas from everybody Is easy to use Has at least one full-time person to administer Gives people the permission to bypass the chain of command Responds promptly to those who contribute ideas Has innovation experts in place to review ideas Involves the contributor whenever possible Gives recognition for an idea, regardless of outcome




Innovation Vanguard firms continually “Mine the Future”

Monitor global, economic, technological, social, and regulatory change

Leaders create their own personal future-scan systems by

Reading high-quality material Connecting with people Listening to their own intuition




What companies should consider before pioneering a new idea

Are there proprietary technology or designs that can be protected? Can we achieve brand loyalty by going first? Can we enhance our reputation by going first? Do we have a vision of the mass market? Is our management team willing to be persistent over time? Are we willing and able to relentlessly innovate after launch?

Without a strategic approach to the front end of innovation, “fast followers” can benchmark and copy what works and steal a “first mover’s” market.




Organization Effectiveness Activities with people that make change management more effective Process improvement, facilitating alignment, sustaining excellence

SCN Theme


Organization Effectiveness

Reinventing StrategyUsing Strategic Learning to Create & Sustain Breakthrough LearningBy Willie Pietersen

Today’s new leadership challenge

Think outside of the box. Move out off comfort zones Create and lead adaptive organizations Change and innovate continuously

Long-term success depends on:

1. Improve processes and products through continuous incremental change

2. Invent better processes/products via discontinuous breakthrough change




The Five “Killer” Competencies

Fundamental competencies that all successful, adaptive businesses must master

1. Insight – the ability to make sense of the changing environment2. Focus – insights translated into intelligent choices for scarce

resources3. Alignment – every element of the firm behind the company’s

strategic choices4. Execution – implementation, to be ready for the next environmental

shift5. The ability to repeat – a continuous cycle of learning and renewal




Strategic Learning Cycle

Insight begins with a Situation Analysis that asks and answers penetrating questions:

Customers Competitors The firm’s own realities Industry dynamics The broader environment

Not ritualized analyses that tend to reinforce existing mental models, but deliberately designed to employ divergent thinking.

Begins with the assumption that discontinuous change is the norm – a conscious effort to recognize, understand, and respond to change for intelligent choice and creation of strategy.





Translate insights into key strategic choices

1. Consolidate situation analysis in a single list. Most important findings2. List major threats and opportunities3. Explore strategic alternatives4. Consider pros and cons of alternatives

The final choices should address three fundamental elements

1. Customer focus – who, why, and with what2. The winning proposition – vision comes after strategic choices are

made3. Ensure resources are focused. Too many priorities will dilute effort.





Creating alignment behind the key priorities

1. Develop a clear, overarching focus2. Identify system-wide gaps and accountabilities3. Align business system to drive the new strategy4. Action plan to overcome resistance and inspire

Without comprehensive alignment, no amount of project management can carry the organization to success.

Selective interventions – the trap of managing things in isolation – hardly ever work.

The key to success lies in orchestrating the right interrelated actions.





When strategy changes, culture must also change

Wrong assumptions about culture -

1. Culture is vague and mysterious2. Culture and strategy are separate and distinct things3. Defining values should be the first step in transforming a culture4. Culture cannot be measured and rewarded5. Leaders must communicate what the culture is6. Culture is the one constant that never changes

Culture expresses itself through specific, observable, everyday behaviors that are as tangible as a company’s cash flow. Must be measured and rewarded.





The drivers of success can be harnessed and aligned

Values must be simple, specific, and directly support strategic priorities

Described as behaviors Gain commitment, not compliance

Behaviors that characterize the adaptive organization include

Teamwork Risk taking and experimentation Continuous learning Knowledge sharing Candor and trust


Built to ChangeHow to Achieve Sustained Organizational EffectivenessBy Edward E. Lawler III and Christopher G. Worley, Foreword by Jerry Porras


The message is simple - change or perish

Nothing is truly built to last

Competitive advantage Valuable human capital Long term success

Stagnation, blind stability, and aversion to transformation, no matter how small, leads an organization’s ideals.




Part I – Why Build Organizations to Change?

1. Speed of change in business2. The number of new businesses

Yet, companies aren’t getting better at adapting

Resistance comes from the belief that stability is the key to performance

Companies institutionalize best practices and freeze operations when something works




Part One – Why Build Organizations to Change?

Before a plan for transformation can even be drawn:

Understand the worth of your human capital The value of knowledge sharing across employment tiers

Old thinking -

Structured business plans, relying on stability, running on rules and regulations Narrow job descriptions and rewarding consistent behavior Employees with narrow job descriptions doing repetitious, mind numbing tasks

Heroic, “savior” leaders rarely succeed in changing organizations.It takes more than vision. It takes involvement and commitment.




Part One – Why Build Organizations to Change?

New thinking -

Employees are seen as problem solvers Organization is structurally fluid and adaptive Knowledge sharing

Workers who see the end result –

Understand that they can make a difference Become vested in their companies performance Stay happy, productive, and with their company longer

“People aren’t resistant to change, they’ve been blind-sided by it in the past,or haven’t been given a reason to see change as an advantage.”




Part Two – The Lexicon of Change

The B2Change Model - a diagram that mimics the atom -

Whose center is IDENTITY – core values, behaviors, and beliefs (A set of assets that should remain mostly constant)

Contains three primary organizational processes –

Strategizing – resulting in strategic intent – a set of rules that govern choices about how an organization creates value and design

Creating value – through competencies and capabilities Designing – Social blueprint that deals with human capital – job

structures, attracting/retaining key people, information systems, training effective leaders, crafting reward systems.

No one can control “environmental scenarios”Unpredictability is reason enough that all businesses should be built to change.




Part Two – The Lexicon of Change

The Virtual Spiral - the “Holy Grail” of organizational effectiveness

Harmony between -

Critical configuration – the junction of identity and strategic intent Dynamic alignment – when design reflects competencies and

capabilities

Virtual spirals are characterized by long periods of perpetual motion performance in which success begets more success.

The goal is to become an organization that can maintain harmony in the midst of environmental change




Part Three – Strategy and Structure for Change

Foundation of a structure of change:

1. An identity that is well-defined and stable2. A strategy – and strategic intent* – that is robust

Having a strong identity depends first on being able to identify it.“If it’s clear who you are, you’ll know who you’ll become.”

Strategic intent – is “visioning competitive advantage” – five elements -

1. The breadth of an organization’s activities2. The aggressiveness of its operations3. The way it orchestrates change4. The features that differentiate its products and services5. Its logic for making profits


Leadership in Action Activities that produce more leaders who are effective at all levels Leadership development and the impact of effective leaders

SCN Theme



The 360-Degree LeaderDeveloping Your Influence for Anywhere in the OrganizationBy John C. Maxwell

Part I: Myths of leading from the middle of an organization

1. Position myth – must have a title to lead. Build relationships. Show achievement

2. Destination myth – can only lead from the top. Learn now3. Position means influence. Influence is earned over time4. Position means control. Control is overrated and overestimated5. Position is a ticket to freedom. Always boundaries, increased

responsibilities6. Can’t reach full potential unless at the top. Greatest impact is from

the middle

99% of leadership occurs from the middle of an organization – not the top

An effective 360-Degree Leader can learn to lead from the side, from above, and from below, and influence people at every level.




Part II: Challenges faced by 360-Degree Leaders

1. Tension – Not sure of where you stand. Learn to communicate2. Frustration – From insecurity. Leadership resources3. Responsibility – Need to do many things well. Do fewer with outstanding

skill4. Ego – Expecting credit deserved. Let being noticed come naturally through

actions5. Greed for position – Right attitude, relationships, desire to win with the

team6. Vision – Align with it. Align others with it7. Influence – To lead others beyond their positions. Become some others

would follow




Part III: Principles 360-Degree Leaders practice

to LEAD UP

1. Lead yourself first2. Help your leader succeed3. Do more than expected4. Think long term5. Connect6. Always be prepared7. Timing is everything 8. Be a team player9. Keep learning





to LEAD ACROSS

1. Help others succeed2. Control peer-competition3. Be a friend rather than find a friend4. Avoid office politics. Leave “The Prince” at home5. Expand outside the inner circle6. Protect creative people’s initiatives, not just your own7. Put away pride. “…let them impress you.”





to LEAD DOWN

1. Connect. Be approachable2. Treat people with dignity and respect3. Develop everyone differently4. Play to their strengths5. Communicate. Inspire6. Praise. Reward


A Leader’s LegacyBy James M Kouzes and Barry Z. Posner

Leadership In Action

Legacies are the result of determined doing, rather than wishful thinking,And are the sum of daily actions

People don’t remember us for what we do for ourselves, but what we do for them

Leadership is a relationship between those who aspire to lead and those who choose to follow

A lasting legacy is built on a firm foundation of principles and purposeThen leadership development is first, self-development

Courage is the virtue that makes all other virtues possible

The legacy you leave is the life you lead




Should every leader want to leave one?

Though all leaders leave a legacy (in spite of themselves), does every leader want to?

Is every decision legacy-based?

Does legacy exclude the perspective that everyone can make a difference?

My legacy, instead of doing the right thing?




Legacy is – Significance

Through Service Leaders who see their role as serving others leaves the most lasting

legacies Putting the welfare of others before their own – customer or employee

Through Sacrifice Seeing beyond ones own needs. Demonstrate that you are not in it for

your own benefit but what you can achieve for others.

As Teachers The best teachers are also the best learners. Teaching trickles down.

A leader’s legacy is the legacy of many. No one every accomplishes anything extraordinary in life alone.




Legacy is – Relationships

Leadership is personal Engage with quality. Quality most determines whether a legacy will

be lasting or ephemeral Become known. People are more likely to trust the individuals they

know Be likeable. People have genuine affection for the leaders they want

to follow

Trust requires Openness Valuing others. listening and respecting their opinions and

perspectives Let go of doing it your way Self-honesty and being honest with others Always keeping commitments Be willing to let others take charge. Trust is the willingness to be

vulnerable




Legacy is – Aspirations

From the inside out Leadership is first and foremost self-development Decide on what matter most before living a life that matters Clarity of values is an essential compass

Envision the future This is the defining competence and the only way to leave a lasting

legacy

Inspire a shared vision First must see what others see. Listening closely Leaders who know their constituents can articulate their vision, and

speak to them in a language that engages them




Legacy is – Courage

Courage provides The energy to move forward The confidence to believe one can make it The strength to sustain one in the darkest hour

Individuals can choose to be courageous, but cannot plan for it

Rosa Parks Moments [RPMs]

Little acts can have a huge impact One person can make a difference Courageous acts flow from one’s beliefs



Key Concepts from the Best Business Books

Organization Effectiveness Leadership in Action

business book review presentation to strategic capability network february 21, 2007

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