Strategy + Solutions

Enterprise 2.0: A Strategic Shift in Business

Most people who discuss "Enterprise 2.0" get lost on the fact that this is a big strategic shift in the way people will do business in the future and not so much a technology revolution. Yes, this is the hot technology buzz phrase but the real value is in the business uses and applications and how it will transform corporate communication, productivity and provide valuable research and information that will be on demand at your fingertips to create organizational change and opportunities.

People ask me to cite strategic implementations in the field and how Enterprise 2.0 is making a difference for Fortune 500 firms.  Look no further than this case study and you will understand how this phenomena could be implemented in every Fortune5 shop from coast to coast and around the globe.  If you want a true description of what Enterprise 2.0 is read this link by Harvard Business School's Andrew McAfee.

The implications for the small and medium business market will be even more compelling and create a diverse set of tools for SMB's to compete with larger firms.  The strategic business tools that are being produced using Enterprise 2.0 architecture will change the face of business from the largest of blues to the smallest of SMB's competing for a target customer and/or managing their local or global enterprises success using relevant and instantaneous data to be proactive with customers or events that may effect current or future business results.

Strategy+Solutions Book List

People often ask what strategy books we read and recommend at Strategy+Solutions.  While we are no New York Times, we still took time to compile a list of our favorites for the Strategy+Solutions community.  Most are oldies but good for the strategic soul.  The following books made the inaugural Strategy+Solutions Recommended Reading List:

1. The Hidden Power of Social Networks, Rob Crossand Andrew Parker, Boston: Harvard Business School Press, 2004

2. Contemporary Strategy Analysis, Robert M. Grant, New York: Blackwell, 2005

3. The Future of Competition, C.K. Prahald & Venkat Ramaswamy, Boston: Harvard Business School Press, 2004

4. Confronting Reality, Larry Bossidy and Ram Charan, New York: Crown Business, 2002

5. Democratizing Innovation, Eric Von Hippel, Boston: The MIT Press, 2005

6. Deep Smarts, Dorothy Leonard and Walter Swap, Boston: Harvard Business School Press, 2005

7. Seeing What's Next & The Medici Effect, Frans Johansson, Boston: Harvard Businesss School Press, 2004

8. Making Strategy Work, Lawrence G. Hrebiniak, New Jersey: Wharton School Publishing, 2005

9. The Innovator's Solution, Clayton M. Christensen,

10. Enterprise Architecture As Strategy, Jeanne W. Ross, Peter Weill, David C. Robertson: Harvard Business School Press, 2006

Of course, if you are new to reading books about strategy you must start with anything by the great Michael E. Porter.  If you have any books you feel we should include please add your thoughts.  Enjoy reading!

Innovation

Innovation often occurs at the intersection of business and customer needs.  A corporate culture focused on innovation must nurture customer observation, incubate new ideas, celebrate failure and success just the same, and making sure that your team doesn't stifle the very creativity needed to develop the next iteration of your product or service.

The very best companies are built upon a long term strategic vision that also enables them to constantly innovate and reinvent themselves to extract the most value for their customers and maintain the sense of entrepreneurial inquisitiveness that helped them begin the venture in the first place.  Each and every employee must be part of the innovation value chain.

A great starting point to learn more about innovation and ways to implement strategies that will help you and your team embrace it can be found in Peter Drucker's book Innovation and Entrepreneurship.  This definitive work on the strategic innovation process is brilliant.

Peter Drucker shares seven sources of innovation:

1. Unexpected occurrences

2. Perception-reality incongruities

3. Process weakness or needs

4. Industry market and structure changes

5. Demographic changes

6. Changes in public perception and priorities

7. New technology and scientific findings

Most successful businesses will tell you that the most important source innovation is the unexpected and the least important source is new technology.

Creating an environment for innovation WILL result in a high degree of failure.  The key is to learn from that failure and celebrate the fact that you found a way not to do something.  The insights gained from failures will be your most valuable asset on the road to those few successes that will keep your business vibrant and competitive.  As long as you embrace surprises, focus on customer research and metrics, and continue to nurture your innovation mind-set  you will be on your way to assessing innovation opportunities and growing your business.

How is your business creating an environment that fosters innovation?  Please share your thoughts.

Thinking Globally

As the Chinese economy and a host of others explode with growth, tremendous business opportunities will exist for organizations that think through ways to grow their business globally.  Are you strategically positioning your company to think and act globally? 

If not, set aside management team time to discuss what your organization is doing to tap growing international economies for your own bottom line growth now. 

Please share some ideas or ways your organization is achieving this goal.

Boise State Versus Oklahoma Fiesta Bowl

What is your contingency plan when you are down a touchdown and its 4th and 18 with less than a minute to play.  Boise State had a contingency plan to win against its competitor when it faced a most difficult obstacle.  Does your organization have a plan when it is facing obstacles (sales, marketing, operations, IT) and competitive threats to its products and services?  How will you respond and what is in your bag of tricks when you are the underdog to a larger and stronger competitor?

Mission Statement

Unlike the often vague, undefined, timeless vision statement, the mission statement is a series of defined goals that are aimed at the vision. 

An ideal mission has a definitive, actionable and measurable goal and should be measured on a  timeline.  The mission should be inspiring and challenging.  Two good/amusing examples of mission:

"Beat Coke!" ~ Pepsi

"We will crush, squash, slaughter Yamaha!" ~ Honda

What is your company mission in 2007?

Company Vision

What is your company vision for 2007?  Have you thought about it recently?  Does your organization embody the vision you planned?  The following are examples of company vision:

"...to make a contribution to the world by making tools for the mind that advance humankind." ~ Steve Jobs, Apple Computer

"To make people happy." ~ Walt Disney

These quotes appear to represent the true intentions of these organizations.  That's a strategic planning success.