Making Business Sense of Whatrsquos Next

Marketing Research Conference

Ravi Parmeswar Managing Director

Global Consumer and Marketplace Insights Citigroup

Come with me to the Emerald Citi

2

Life was good

3

Then the tornado hit

Housing crisis Banking crisis Global economic crisis

4

Uniquely qualified to talk about change

5

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

Come with me to the Emerald Citi

2

Life was good

3

Then the tornado hit

Housing crisis Banking crisis Global economic crisis

4

Uniquely qualified to talk about change

5

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

Life was good

3

Then the tornado hit

Housing crisis Banking crisis Global economic crisis

4

Uniquely qualified to talk about change

5

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

Then the tornado hit

Housing crisis Banking crisis Global economic crisis

4

Uniquely qualified to talk about change

5

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

Uniquely qualified to talk about change

5

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

6

Sub-prime lending and credit crisis led to

a global equity market collapse in 2008hellip

Jan-2009

Market value

$ trillionsAnnual Change

Percent

SampP Global 1200 Index

Source Standard amp Poorrsquos

bull SampP Global 1200 index

captures 70 of the

worldrsquos capital market

bull Declines by ~42

( $11 646 trillion)

bull Reversed almost all

of the gains since

2001

205899

162262

180256

220652

262423

278724

0

5000

10000

15000

20000

25000

30000

2003 2004 2005 2006 2007 2008

(500)

(400)

(300)

(200)

(100)

00

100

200

300

400

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

00

20

40

60

80

100

120

140

160

180

200

Jan-72 Jan-76 Jan-80 Jan-84 Jan-88 Jan-92 Jan-96 Jan-00 Jan-04 Jan-08

Federal Reserves Fund Rate 1972-2008Percent

Source Federal Reserve Board

bull Federal Reserve abandons

its official target rate of 1

bull Fed fund rate now stands

reduced to an

unprecedented 0 to 025

bull Has indicated a shift in its

finance policy to

lsquoquantitative easingrsquo in an

attempt to revive the

economy

bull Near zero rate is expected to

help stabilize housing prices

bull However this could also

weaken the US dollar

US has reduced its Fed fund rate to near zero and

announced a shift in its finance policyhellip

7

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

8

Start of World

War I

Russian Revolution

begins

Great Depression and

economic crisis sets in

World War II

begins

United Nations

established

European Economic

Community effective

Oil Crisis began

Fall of Soviet

Union

Early 2000

recession

Subprime and the

credit crisis

Unprecedented in its scale the current crisis will likely result in

generation marking event

1914 1917 1929 1939 1945 1958 1973 1991 2001 2007

Jan-2009

hellip as it together with countries worldwide have

responded with stimulus packages to ease the crisis

and jump start economic growth

9

US ~ $850B

UK $297B

China

$586B

Australia

$74B

South Korea

$113B

Mexico

$58B

Sweden

$18B

Netherlands

$76B

Spain

$14BItaly $8B

India $4B

Japan

$105B

Note As of Dec 18 2008 except US and Germany Information captured is not exhaustive - Expected

France

$33B

Germany

$69B

bull Governments worldwide respond

with a nearly $17 trillion dollars

economic package

bull US is planning a stimulus package of

as much as $850 billion that hopes to

create an impact by favoring long-

term infrastructure and job creation

projects

bull China aims to spend almost $600

billion over the next two years with

the EU pushing a package of around

$250 billion

Source Wall Street Journal news articles

Hungary

$69B

Jan-2009

We represent a strange new land

Welcome to the New Normal

10

Could we have foreseen this

magnitude of change

11

And what will the future hold

12

13

The experts didnrsquot agree thenhellip

Jun lsquo09

Jun lsquo10

Jun lsquo11

Jun lsquo12

ldquoOn average expect the downturn

to conclude in June 2009rdquo

Wall Street Journal (Dec-2008)

ldquoThere is a reasonable probability of

the US economy starting to recover at

the end of 2009 or the start of 2010rdquo

Dominique Strauss-Kahn MD

International Monetary Fund

(Dec-2008)

ldquoThe likely duration of the financial turmoil is difficult to

judge and thus the uncertainty surrounding the

economic outlook is unusually large hellipEconomic

conditions will probably remain weak for a timerdquo

Ben S Bernanke Chairman

Board of Governors of the Federal

Reserve System (Dec-2008)

ldquoGDP rising just 15 in the fourth quarter of

2009 Do not see a resumption of anything

close to trend growth before 2010rdquo

Goldman Sachs (Nov-2008)

Analyst Expectations of Recovery

Jan-2009

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

We represent a strange new land

Welcome to the New Normal

10

Could we have foreseen this

magnitude of change

11

And what will the future hold

12

13

The experts didnrsquot agree thenhellip

Jun lsquo09

Jun lsquo10

Jun lsquo11

Jun lsquo12

ldquoOn average expect the downturn

to conclude in June 2009rdquo

Wall Street Journal (Dec-2008)

ldquoThere is a reasonable probability of

the US economy starting to recover at

the end of 2009 or the start of 2010rdquo

Dominique Strauss-Kahn MD

International Monetary Fund

(Dec-2008)

ldquoThe likely duration of the financial turmoil is difficult to

judge and thus the uncertainty surrounding the

economic outlook is unusually large hellipEconomic

conditions will probably remain weak for a timerdquo

Ben S Bernanke Chairman

Board of Governors of the Federal

Reserve System (Dec-2008)

ldquoGDP rising just 15 in the fourth quarter of

2009 Do not see a resumption of anything

close to trend growth before 2010rdquo

Goldman Sachs (Nov-2008)

Analyst Expectations of Recovery

Jan-2009

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Could we have foreseen this

magnitude of change

11

And what will the future hold

12

13

The experts didnrsquot agree thenhellip

Jun lsquo09

Jun lsquo10

Jun lsquo11

Jun lsquo12

ldquoOn average expect the downturn

to conclude in June 2009rdquo

Wall Street Journal (Dec-2008)

ldquoThere is a reasonable probability of

the US economy starting to recover at

the end of 2009 or the start of 2010rdquo

Dominique Strauss-Kahn MD

International Monetary Fund

(Dec-2008)

ldquoThe likely duration of the financial turmoil is difficult to

judge and thus the uncertainty surrounding the

economic outlook is unusually large hellipEconomic

conditions will probably remain weak for a timerdquo

Ben S Bernanke Chairman

Board of Governors of the Federal

Reserve System (Dec-2008)

ldquoGDP rising just 15 in the fourth quarter of

2009 Do not see a resumption of anything

close to trend growth before 2010rdquo

Goldman Sachs (Nov-2008)

Analyst Expectations of Recovery

Jan-2009

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

And what will the future hold

12

13

The experts didnrsquot agree thenhellip

Jun lsquo09

Jun lsquo10

Jun lsquo11

Jun lsquo12

ldquoOn average expect the downturn

to conclude in June 2009rdquo

Wall Street Journal (Dec-2008)

ldquoThere is a reasonable probability of

the US economy starting to recover at

the end of 2009 or the start of 2010rdquo

Dominique Strauss-Kahn MD

International Monetary Fund

(Dec-2008)

ldquoThe likely duration of the financial turmoil is difficult to

judge and thus the uncertainty surrounding the

economic outlook is unusually large hellipEconomic

conditions will probably remain weak for a timerdquo

Ben S Bernanke Chairman

Board of Governors of the Federal

Reserve System (Dec-2008)

ldquoGDP rising just 15 in the fourth quarter of

2009 Do not see a resumption of anything

close to trend growth before 2010rdquo

Goldman Sachs (Nov-2008)

Analyst Expectations of Recovery

Jan-2009

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

13

The experts didnrsquot agree thenhellip

Jun lsquo09

Jun lsquo10

Jun lsquo11

Jun lsquo12

ldquoOn average expect the downturn

to conclude in June 2009rdquo

Wall Street Journal (Dec-2008)

ldquoThere is a reasonable probability of

the US economy starting to recover at

the end of 2009 or the start of 2010rdquo

Dominique Strauss-Kahn MD

International Monetary Fund

(Dec-2008)

ldquoThe likely duration of the financial turmoil is difficult to

judge and thus the uncertainty surrounding the

economic outlook is unusually large hellipEconomic

conditions will probably remain weak for a timerdquo

Ben S Bernanke Chairman

Board of Governors of the Federal

Reserve System (Dec-2008)

ldquoGDP rising just 15 in the fourth quarter of

2009 Do not see a resumption of anything

close to trend growth before 2010rdquo

Goldman Sachs (Nov-2008)

Analyst Expectations of Recovery

Jan-2009

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

hellipAnd they donrsquot agree now

ldquoEven though from a technical perspective the

recession is very likely over at this point it is still

going to feel like a very weak economy for some

time as many people still find their job security and

their employment status is not what they wish it

wasrdquo

Ben Bernanke Chairman

Board of Governors of the Federal

Reserve System (Sept-2009)

ldquoTechnically itrsquos not freezing but itrsquos still

pretty darn cold outside and you see

ice everywherehellip The economy has

not improved that muchrdquo

Mark Vitner Senior Economist

Wells Fargo (Sept-2009)

Sources Wall Street Journal Charlotte Business Journals Business Week Salt Lake Tribune

ldquoThere is a long way to go before

the level of output gets back to

where it was Growth rates donrsquot

tell the story itrsquos the levels that

matterrdquo

Mervyn King Governor

Bank of England (Sept-2009)

ldquoWe need more data to see if this

is sustainable or just noise The

income and credit constraints on

consumers remain intense

Ian Shepherdson Chief US Economist

High Frequency Economics (Sept-2009)

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Beware the so-called Wizards

Futurists Pundits Experts

15

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

They have been wrong beforehellipabout the market

Stocks have reached what looks like

a permanently high plateau

- Irving Fisher Professor of Economics Yale University 1929

16

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

They have been wrong beforehellipabout music

We dont like their sound and guitar music is on the way out

- Decca Recording Co rejecting the Beatles 1962

17

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

I think there is a world market for maybe five computers

Thomas Watson chairman of IBM 1943

There is no reason anyone would want a computer in their home

Ken Olson president chairman and founder of Digital Equipment Corp 1977

640K ought to be enough for anybodyldquo

Bill Gates 1981

They have been wrong beforehellipabout computers

18

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

bull Oil crisis in the 80rsquos ndash world out of oil in 2000-2010

bull Microwave revolution ndash change the way the kitchen looks

bull Internet ndash Death of brick amp motor

bull Fast food deadndash Health amp wellness -

19

More predictoons

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Take their Input Then think for yourself

bull Linear extrapolation is dangerous

bull They have been wrong before hellipand probably will be wrong again

bull Pay only some attention to ldquothe men behind the curtainrdquo

bull Be your own wizard Create your future

20

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

21

So wizards what shape will recovery take

V L W U

SCOTT GURVEY NIGHTLY BUSINESS REPORT CORRESPONDENT

Tonights story is brought to you by the letter V or perhaps W maybe L How about

U Were not sure because when you ask an economist to forecast the shape of the

recovery you could get any one of those letters as an answer

The question is where do we go from here

V L W U

Sometimes forecasting the economy is like playing Scrabble

How does R get in here

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

C is the Only Constant

ndash V L W or U Its all About Change

C

We can only predict one thing

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Which way will it roll

23

You can never tell

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

What should companies focus on in the future

As you take small steps down a long and winding road

24

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

A non-linear approach to planning

Old planning rules out Not prescribed steps but scenarios

25Source Ralston Consulting Chart

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

AAA grade to contain risk

Act

Adjust

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

You need a continuous process

Adjust

Act

Anticipate

27

Anticipate

bull More than measuring

bull Continuous sensing

bull Peripheral vision

Act

bull In real time

bull Agility is key

Adjust

bull For market changes

bull Consumer changes

bull The unexpected

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

28

Anticipate

Develop your organizationrsquos peripheral vision

ldquoMost organizations have maverick employees with insights about the periphery

but these individuals are rarely tappedrdquo

George Day amp Paul Schoemaker ldquoScanning the Peripheryrdquo

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Anticipating our new normal at Citi

29

New national survey by Citi reveals

Consumers across all income levels and ethnic groups

have permanently changed their saving and spending habits

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

30

29

63

Spending and saving

will go back to the way it was

Spending and saving

will be forever changed

Anticipating our new normal at Citi

63 said the way they spend and save has been forever changed as a result of the economic downturn

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

31

Cutting back on everyday expenses

Saving and investing more

Cutting down on credit card purchases

Cutting back on the amount of money you owe

Consumers across all income levels and ethnic groups said they plan

to continue to their adjusted spending habits

Anticipating our new normal at Citi

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Along with tracking yoursquoll need some friends

to navigate the Yellow Brick Road

32

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Make friends

The future is all about collaboration

33

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

bull Companies like Ningcom allow you the opportunity

to create your own social media community

bull One such community Finance 30 connects

almost 18000 members of the financial modeling

corporate finance accounting and financial

management world

bull New social media networks are popping up everyday

covering a full range of interests

Social media now accounts for more web traffic

than any other type of Internet sites

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Listen internally too

Consider the brain trust you have in your own company

35

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Beware of The Wicked Witch

Naysayers Pessimists

36

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Things witches say

bull That hasnrsquot worked in the past

bull No one has done that before

bull That wonrsquot work now

bull Irsquoll get you hellip and your little dog too

37

You must melt them

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Watch out for Flying Monkeys

Seemingly random events coming at you from nowhere

38

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Source Edward N Lorenz The Essence of Chaos

When a butterfly flaps itrsquos wings in Brazil

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Send the monkeys flying

Agility is paramount

bull Old way 5 year plan

bull New way Change course as the market demands

bull Best way Move before the market moves

40

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Act

Long-term planning is dead

41

ldquoStrategy ndash as we knew it ndash is dead welcome to the fast strategy gamerdquo

Yves Doz amp Mikko Kosonen Fast Strategy How Strategic Agility Will Help You Stay Ahead of the Game

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

The world has changed and

the rules of engagement have shifted

Jan-2009

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

43

Adjust

Tweak the plan Completely revamp the plan

ldquoHas an organization ever failed to survive because it forgot something important

More likely is the possibility that organizations fail because

they remember too much too long and persist too often

doing too many things the way theyrsquove always done themrdquo

The Importance of Doubt

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

More than Measuring

Multi-dimensional measures

44

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Citi never sleeps

MoreFeedback

DailyTracking

Real TimeData amp

Insights

FasterDecisions

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Anticipation develop your organizationrsquos

peripheral vision

bull Ask open-ended questions not ldquowhat is our

market sharerdquo

bull Donrsquot determine what happened in the past

determine what lessons learned from the past

can build on the future

bull Scan broadly throughout the entire

organization donrsquot get stuck in the midlevel

groupthink

bull Envision future possibilities for the organization

after digesting past and present information

ldquoMost organizations have

maverick employees with

insights about the

periphery but these

individuals are rarely

tappedrdquo

-George Day amp Paul

Schoemaker ldquoScanning

the Peripheryrdquo

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Agility strategic agility in execution

bull Strategic agility is at premium because

established corporate cultures hinder new

ideas and change the dynamic world is

rapidly picking up the pace and young

startup companies are quickly making a

splash in the market

bull It is most needed in those organizations that

have enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource

Fluidity and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko

Kosonen Fast

Strategy How Strategic

Agility Will Help You

Stay Ahead of the

Game

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Adjustment knowing what to remember and

knowing what to forget

bull The dynamic market requires companies to realize

effective strategy in the past does not ensure

success in the future

bull In actuality volatility and change means a more

effective strategy is likely available with each

passing month

bull Failing to forget often establishes routines that

become entrenched in a companyrsquos culture

fostering a false sense of security and strategic

direction

bull Companies must foster a living strategy that

integrates new business data as well as the impact of

past decisions

ldquoHas an organization ever

failed to survive because

it forgot something

important More likely is

the possibility that

organizations fail

because they remember

too much too long and

persist too often doing too

many things the way

theyrsquove always done

themrdquo

-The Importance of Doubt

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

ACT with Agility strategic agility in execution

bull Strategic agility is at premium because established

corporate cultures hinder new ideas and change

the dynamic world is rapidly picking up the pace

and young startup companies are quickly

making a splash in the market

bull It is most needed in those organizations that have

enjoyed the most success

bull Successful strategic agility requires a balance

between Strategic Sensitivity Resource Fluidity

and Leadership Unity

ldquoStrategy ndash as we knew it

ndash is dead welcome to

the fast strategy gamerdquo

-Yves Doz amp Mikko Kosonen

Fast Strategy How Strategic

Agility Will Help You Stay Ahead

of the Game

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

Summary

Future belongs to those companies with a bias toward fast decisive action and constant re-evaluation with regular real-time feedback loops Flexibility will be key

Act

Adjust

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

You must melt them

Forget the past ndash create a new future

Do something no one has done before

Whorsquos to say what wonrsquot work now

51

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

You canrsquot give up

Turn those threats into opportunities

52

You have had the power all along

53

54

You have had the power all along

53

54

54