The Prometheus Process Creating And Executing Winning Strategies

The Prometheus Process: Creating And Executing Winning Strategies Prometheus Process Parallel Operations venturist® incorporated Strategy For The 21 st Century

The Campaign Process CAMPAIGN Organize And Schedule Orchestrate In Parallel Make Systems Change CARDINAL RULES ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time Value of Action Cost of Operations Competition Begins to React Enemy Has Time To React High Counter Ad Campaign Starts Enemy Counter-Offensive The Ideal Plan: Highly Compressed, Highly Parallel, No Reaction Ps Parallel Domain Low Competition Fields New Product Enemy Begins To Acquire Allies Alternative Products Enemy Employs Special Weapons Market Changes World Opinion Shifts Product Irrelevant Domestic Support Wanes Serial Domain Likelihood of Achieving Objectives Very Short Very Long Time To Affect Relevant Centers Of Gravity ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Serial Sales Overall Probability of Success = < 1 % ® venturist incorporated CEO PS = 50% CFO PS = 50% Purchasing Committee PS = 50% Division Manager PS = 50% Purchasing Agent PS = 50% Plant Manager PS = 50% Secretary PS = 50% Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

System Reaction To Serial Attack ® venturist incorporated Energy Change From Serial/Single-Point Attack Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Parallel Attack Winning An Account 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

Parallel Sales Overall Probability of Success = 50 % ® venturist incorporated CEO PS = 50% CFO PS = 50% Purchasing Committee PS = 50% Division Manager PS = 50% Purchasing Agent PS = 50% Plant Manager PS = 50% Secretary PS = 50% Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

First Round System Reaction To Parallel Attack Energy Change From Parallel Attack ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Serial Perils Sun Tzu – The Art of War • “When you engage in actual fighting, if victory is long in coming, then men's weapons will grow dull and their ardor will be damped. If you lay siege to a town, you will exhaust your strength. ” • “Again, if the campaign is protracted, the resources of the State will not be equal to the strain. ” • “Now, when your weapons are dulled, your ardor damped, your strength exhausted and your treasure spent, other chieftains will spring up to take advantage of your extremity. Then no man, however wise, will be able to avert the consequences that must ensue. ” • “Thus, though we have heard of stupid haste in war, cleverness has never been seen associated with long delays. ” – “There is no instance of a country having benefited from prolonged warfare. ” ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Serial vs Parallel 50 Targets In 12 Months: Manageable 150 Targets in 24 Hours: System Goes Into Shock ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Parallel Attack--Iraq Results In Days—Not Months or Years Low Cost in Blood and Treasure System Elastic Limits Broken No Competent System Response ® venturist incorporated Parallel Attack Results Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time • Time Is The Enemy Of Enterprise • The Accuracy Of Prediction Falls Exponentially Over Time • Success Is Most Likely In The Short Term ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Time Value Of Action And The Future Picture re ter f so en C ese e ng his a Ch ve T t s u chie M y it To A v a r re tu Fu tu Pic G Th Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Time Value Of Action To Future Picture With Single Parallel Phase Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Time Value Of Action To Future Picture With Single Parallel Phase Today ® venturist incorporated Business Examples Model T Ford Intel x 86 Processors 1 2 3 4 Time 5 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved 6 7 Strategy For The 21 st Century

Progress Toward Future Picture Second Level Strategic Measurement In Single Phase Operations Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Time Value Of Action To Future Picture With Serial Operations Today ® venturist incorporated 1 2 3 4 Time 5 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved 6 7 Strategy For The 21 st Century

Time Value Of Action To Future Picture With Serial Operations Progress Toward Future Picture Motorola: Iridium 1988 -1999 Satellites Idea Phones Marketing and Sales Bankrupt! Today ® venturist incorporated 1 3 5 7 Time 9 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved 11 Strategy For The 21 st Century

Measurement In Serial Phases Progress Toward Future Picture • Strategic Measurement Not Possible Until End Of Process at which point the results are either Yes/No, 0/1, True/False • Only Interim Measurement Is Tactical Which Provides Little Useful Indication Of Strategic Outcomes Satellites Idea Today ® venturist incorporated 1 3 5 Phones 7 Time Marketing and Sales 9 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved 11 Strategy For The 21 st Century

Progress Toward Future Picture Time Value Of Action To Future Picture With Well Executed Parallel Phases In Each Phase, Sell Something And Make A Profit! Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time Value Of Action To Future Picture With Well Executed Parallel Phases Progress Toward Future Picture Microsoft – 1980’s - 2005 Internet Browser In Each Phase, Microsoft Sold Products And Made Money Windows IBM OS Clone OS Today ® venturist incorporated Integrated Internet Enabled Applications and Suites Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Second Level Strategic Measurement With Multiple Phases $ $ $ Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Second And Third Level Strategic Measurement Within Phases Progress Toward Future Picture $ Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Parallel Information & Energy Needs • In Serial Operations, Having The Right Information About A Target Is Imperative – Attacking The Wrong Place At The Wrong Time May Be Fatal • In Parallel Operations, Importance Of Information On Any Given Target Is Less – Because The Goal Is Systemic Effect Versus Single Point Effect • Effort Applied To Parallel Operations Will Normally Have Significantly Higher Payoff Than The Same Amount Of Energy Applied To Serial Operations – Because The “Enemy Is A System, ” Failure To Operate At A System Level Necessitates Multiple Serial Efforts, Which Allow Competent, Unwanted System Response ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Master Effects Plan Phase Concept Action Units ® venturist incorporated Phase 1 Phase 2 Phase 3 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Phase 1 -3 Strategy For The 21 st Century

Strategic Centers Of Gravity Gulf War I Action Units Saddam Hussein Ministry of Defense Baath Party HQ National Communications Electrical System Weapons of Mass Destruction Program Bridges Railroads military officers Air Defense military enlisted Air & Missile Offense Intelligence Organizations ethnic groups Petroleum System Republican Guard Iraqi Army ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Master Effects Plan Hypothetical Phase Concepts Action Units Saddam Hussein National Communications Bridges Ministry of Defense Electrical System Railroads Baath Party HQ Weapons of Mass Destruction Program Military Officers Air Defense Military Enlisted Air & Missile Offense Ethnic Groups Intelligence Organizations Petroleum System Republican Guard Iraqi Army ® venturist incorporated Phase 1 Phase 2 Phase 3 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Building A Multi-Phase Plan Progress Toward Future Picture Using The Desired External And Internal System Effects, Describe The Situation That Will Exist Just Prior To Realization Of The Future Picture Work Backwards From The Future By Building The Systems That Would Have To Exist To Achieve Each Phase. Put Start And Stop Times On Each Phase And Name Each Phase External and Internal System Effects If The First Phase Exceeds Resource Capabilities, Break It Into Sub. Phases With Shorter Time Periods Phase 1 2006 -2007 Phase 2 2007 -2009 Today ® venturist incorporated Phase 3 2010 -2011 Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Progress Toward Future Picture Hypothetical Disneyland Master Effects Plan Phase 2 1954 -55 Construction Completed Phase 1 1950 -53 Workforce Trained New Technologies Proven Park Opens On Schedule Generating Profits Ownership and Financing Firm Investors Happy Community Support Achieved Global Interest Building Public Awareness High Phase 3 1956 -60 1950 ® venturist incorporated 1960 Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Building A Multi-Phase Plan Progress Toward Future Picture Beginning With First Phase, Allocate Centers of Gravity From Both Systems Necessary To Achieve Desired Effects To Each Phase External and Internal System Effects Phase 1 2006 -2007 Phase 2 2007 -2009 Today ® venturist incorporated Phase 3 2010 -2011 Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Second And Third Level Strategic Measurement Within Phases Progress Toward Future Picture $ Today ® venturist incorporated Future Picture Time Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time Value of Action For Preplanning Operations Cost To Affect COGs Return If Successful High Ps Time To Affect COGs Ps Market Reaction Timing Market Reaction Begins Return In $$$ Cost In $$$ Return If Successful Low Ps Cost To Affect COGs Time To Affect COGs Today ® venturist incorporated ? ? ? Future Picture Time Required To Affect Centers of Gravity (For Overall Future Picture, A Product Introduction, Or A Project) Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Does The Probability of Success Justify The Cost? Does This Cost? Justify This Return? At This Probability of Success? ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Ps And Market State Negative Market Reaction • Alternatives • Insufficient enthusiasm/uptake • Stock price failure • Financial backers withdraw • Channel reaction Market Growth First Mover Parallel Attack On Centers Of Gravity Positive Market Reaction • Lower Prices • Higher Quality • More Functionality • Better Channels Parallel Attack On Centers Of Gravity By Late Entrant Serial Attack On Centers Of Gravity By A First Mover Today ® venturist incorporated 1 2 3 4 Time 5 Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved 6 7 Strategy For The 21 st Century

Parallel Vs Serial Development Time And Costs Financial Investment Classical Development (Serial) Development Cost Savings Early Higher Costs Accelerated Development (Parallel) 6 Months 2 Years Time 4 Years 6 Years See page 15, ACCELERATING TECHNOLOGY TRANSITION , Bridging the Valley of Death for Materials and Processes in Defense Systems: Committee on Accelerating Technology Transition, National Research Council, 2004. venturist® incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Parallel Vs Serial Development Returns Financial Investment and Return Extended Time To Break Even Classical Development (Serial) Accelerated Payback Classical Payback Accelerated Development (Parallel) 6 Months 2 Years Time 4 Years 6 Years See page 15, ACCELERATING TECHNOLOGY TRANSITION , Bridging the Valley of Death for Materials and Processes in Defense Systems: Committee on Accelerating Technology Transition, National Research Council, 2004. venturist® incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Concurrent Engineering/Concurrent Product Development Benefits of CE and CPD include 30% to 70% less development time, 65% to 90% fewer engineering changes, 20% to 90% less time to market, 200% to 600% higher quality, and 20% to 110% higher white collar productivity. National Institute of Standards & Technology, Thomas Group Inc. , and Institute for Defense Analysis, Business Week, April 30, 1990. Copyright 2001 -2004 Society of Concurrent Product Development, Inc. “Outside the world of Disney, the typical landscape or area development plan follows the design of a building. Space is allotted for its eventual installation, but types of landscape materials are not even considered until after construction is completed. We do just the opposite at Imagineering. Our landscape plan is designed concurrent with the development of an overall idea, never as an afterthought. ” Walt Disney Imagineering: A Behind the Dreams Look at Making the Magic Real by The Imagineers. Hyperion: New York - Copyright © 1996 Disney Enterprises, Inc. - ISBN: 0 -7868 -8372 -3 - Pages 156 -157 ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Time Value of Action High Serial Costs Competition Begins to React Enemy Has Time To React Counter Ad Campaign Starts Enemy Counter-Offensive The Ideal Plan: Highly Compressed, Highly Parallel, No Reaction Ps Parallel Domain Low Competition Fields New Product Enemy Begins To Acquire Allies Alternative Products Enemy Employs Special Weapons Market Changes World Opinion Shifts Serial Domain Parallel Costs Product Irrelevant Domestic Support Wanes Likelihood of Achieving Objectives Very Short Very Long Time To Affect Relevant Centers Of Gravity ® venturist incorporated Copyright Venturist®, Inc. 2001 -2006 – All Rights Reserved Strategy For The 21 st Century

Prometheus Process Parallel Operations Insights and Discussion Photo Credits: ( venturist® incorporated Strategy For The 21 st Century