Campaign To Win Organize To Win Prometheus Process

Campaign To Win: Organize To Win Prometheus Process Design the Future Target for Success Campaign to Win Finish with Finesse Attack in Parallel Align the Organization Orchestrate Operations venturist® incorporated Strategy For The 21 st Century

The Business Strategy Process Right External System Previous External Entertainment System Black And White Mouse Cartoons Future Picture Previous Internal Disney System ® venturist incorporated Right Internal System TIME Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

ng idi Gu es of M eri t Prometheus Process Me ts Legal Marketing Finance Sales Legal Sales Outlets ep asu r c Pre CEO Human Relations Sales Outlets Sales Organization Structure COG Operations Marketing Overseas Marketing Finance US USMarketing Operations Regional R&D Operations R&D Strategically Aligned Organization Succeed ® venturist incorporated Start Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Fail Strategy For The 21 st Century

Why Organizations Must Change Competition Duration Difficulty of Entry Product Cycle Times Information Life Span Velocity of Information Dissemination Customer / Opponent Knowledge Time ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Principles Of Organization • Match Company To Market • Make The Organization A Lens To Focus On The Future Picture • Have An Organization That Optimizes Internal And External Information Flow • Be Organized For Strategic Constancy And Tactical Flexibility • Develop An Organization To Manage Sustaining And Disruptive Innovation • Organize For The Future, Not For The Past • Emphasize That Organization Is A Tool ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organizational Change New Market System Existing Market System Evolving Market System Old Organization Doesn’t Adjust ® venturist incorporated Organization Optimized To Market Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved New Organization Created To Deal With New Market Strategy For The 21 st Century

Organization And The Future Picture • Organization Will Have A Big Impact On Move To Future Picture – Business Areas: Eliminate Legacy Divisions; Give New Business Areas A Home – Innovation: Should Have A Place In The Organization – Corporate Culture Future Picture: Match The Structure With The Words ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organize For Knowledge Growth Must Learn More Information Needed to Prosper New Organization Must Learn Differently 2015 2010 2005 2000 1995 1990 Old Organization ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organize For Change New Objectives New Situation Try To Make Old Organization Work ® venturist incorporated New Technology Disruption Create New Organization For Example: • French 1930’s • Germans 1930 s • US Army 1942 • Lockheed Skunkworks • US Auto Industry 1970 s • HP Inkjet Printers Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Problem Old (Traditional) Solving Organization Designed For President Curriculum Integration President Dean Instructors B Beam A Beam Instructor Block 1 A Instructor Block 1 B Instructor ® venturist incorporated Dean Curriculum Administration Dept Head Military History Instructor Dean Education Block 1 C Personnel C Beam Personnel Dept Head International Relations Block 2 A Dept Head Budgeting Supply Block 3 A Budget Block 2 B Block 3 B Block 2 C Block 3 C Dept Head Logistics Supply Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Budget Strategy For The 21 st Century

The Organization Change Process Overview • Use Fractal Methodology To Develop Or Refine An Organization Structure • Develop An Organization Structure Future Picture That Flows From The Overall Grand Strategy • The New Organization: – – – ® venturist incorporated Expedites Realization Of Future Picture Facilitates Parallel Operations Increases Personal Productivity Speeds Innovation Leads To Reduced Cycle Times Makes Work More Rewarding For All Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organization And Disruption • The Presence Of Disruptors (Offensive Or Defensive) May Raise Organization Structure To The Level of Life Or Death Importance – Management Of Defensive Or Offensive Disruption From Within The Old Sustaining Organization Is Difficult To Nearly Impossible • For Offensive Disruption, Create An Autonomous Unit And Let It Develop Its Own Grand Strategy – But Demand Quick Profit (Impatient Capital) • For Defensive Disruption, Changing Internal Structure And Incentives Are Minimum Requirements ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organization And Measurement • Strategic Measurements Have Long Timeframes • Tactical Measures Complement And Flow From Strategic Measures – Some Measurements That Are Not Strategic Are Driven By Outside Requirements And Must Continue • Be Careful That They Don’t Consume The Organization ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organization And Internal System Centers Of Gravity • Start Thinking About Organization In Internal System Center Of Gravity Terms – Focus On The Future—Not On Existing Centers Of Gravity (If Applicable) – Recall Desired Internal System Effects – Determine The Internal Centers Of Gravity Needed To Realize Desired Internal Effects • Use The Generic Organization System Centers Of Gravity As A Guide ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Generic Internal (Organization) System Centers Of Gravity Leadership Processes Infrastructure Population Action Units Chairman-BOD Communications Organizational Structure gender Outlets Board Of Directors Ideation Installed Base professional Maintenance and Security Chief Executive Officer Commercialization Physical Facilities customers Vendors Chief Operating Officer Production Operating Instructions technical Divisions Vice Presidents Purchasing manual Evangelists Chief Finance Officer Distribution salaried Brand Image Owners/Partners Selling hourly Outsourcers Key Stockholders Financing language/ethnic Purchasing Groups Major JV Partners Staffing management Union Leaders Quality clerical Executive Committees & Councils Collaboration consultants Informal Leadership Strategic Planning Peripheral Leaders Driving Customers ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organization And Parallel Operations • Parallel Operations Require A Significantly Different Kind Of Organization Than Would Be Needed For Serial Operations • Organization Change Is Most Successful When New Organization Centers Of Gravity Are Affected In Parallel ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Parallel Attack Organizational Change Leadership Processes Infrastructure Population Action Units Chairman Communications Organization Structure professionals Retail Outlets CEO Ideation IT Installed Base technical Vendors manual Divisions Executive Committee Commericalization Physical Facilities Informal Leaders Financing Transportation Net management Purchasing Agents Key Investors Staffing Protocols and Standards customers Outsourcers Driving Customers Quality ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Concentrate For Success Enemy Forces Roman Legions ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Defend All—Lose All Don’t Structure For Failure Enemy Forces Roman Legions ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

The Organization Process Summary 1. Plan And Operate In The Open 2. Create An Organization In Consonance With Future Picture And System Dictates 3. Break Connections With The Past 4. Use Parallel Attack To Create Or Modify New Organization And Put It Into Effect Quickly ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Know Thyself: Risk, Energy And Commitment Scale Risk Short Term Treasuries Commodity Speculation Energy Pick Up Fallen Fruit Climb Mt. Everest Commitment Free, No Losses ® venturist incorporated Mortgage The House Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time Value of Action Organization Change Cost of Change Operations Internal Opposition Builds High External Opposition Appears Theoretically Perfect Plan Open Planning Competition Fields New Product Money Diverted High Velocity Environment Changes Change Agent Fired Probability of Achieving Objectives Low Very Short Very Long Time Required To Affect Key Organization Centers of Gravity and Complete Change Campaign ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Organization Injunctions The Structures Of The Past Rarely Fit The Exigencies Of The Future New Circumstances Require New Approaches ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Prometheus Process Organize To Win Insights and Discussion venturist® incorporated Strategy For The 21 st Century