Live poll - When will we see an economic recovery? I'm doing a keynote for a leading global loyalty management company on Thursday; I'll be incorporating several live text message polls into the talk, in order to have a truly interactive experience on the stage -- this is something I do quite often.
In advance, I'm running a brief test of the polling service I use. Please participate in this poll to help me ensure I've got things scaled correctly.
POLL NOW CLOSED; THESE ARE THE FINAL RESULTS!
Simply use your cell phone to send in a text message to 99503, with the text response (i.e. ONEYEAR) in the body of your message (no charge for the poll from me!) or go to http://poll4.com on your Web browser and type in the one word response.
Keep an eye on this blog entry, as the results should update dynamically.
N.B. The chart is small; we've contacted tech support to see if we can scale it!
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Video - "The time to invest in the future is now!"
Enough said. Get over it. Get out and innovate.
Think growth!
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A conscious decision - don't take part in this recession!
I led a small workshop last week after an event, focused on the issue of "how can we establish opportunities for growth during an economic downturn."
The cover of my handout was titled, "It's January 15, 2020: What did we do to move through the great recession of 2009." Inside, I presented a number of scenarios that challenged the participants to think about innovation strategies that could be pursued right now, in order to provide that growth.
The concept resonated extremely strongly. All around me, I see opportunities for growth in a wide variety of industries. And what is becoming obvious is that some organizations are aggressively adopting strategies that involve "aggressive innovation" to change their direction now, rather than later.
Since last year, when the recession began, I've seen some of the best and worst approaches to how organizations are dealing with the challenges in the economy. And I go back to a previous blog post, in which I identified a list of 10 more things that smart, innovative companies do to create an overall sense of innovation-purpose. It's still a great list, and is worth repeating.
- Heighten the importance of innovation. One major client with several billons in revenue has 8 senior VP's who are responsible for innovation. And the fact is, they don't just walk the talk -- they do it. The message to the rest of the company? Innovation is critical -- get involved.
- Create a compelling sense of urgency. With product lifecycles compressing and markets witnessing fierce competition, now is not the time for studies, committee meetings and reports. It's time for action. Simply do things. Now. Get it done. Analyze it later to figure out how to do it better next time.
- Ignite each spark. Innovative leaders know that everyone in the organization has some type of unique creativity and talent. They know how to find it, harness it, and use it to advantage.
- Re-evaluate the mission. You might have been selling widgets five years ago, but the market doesn't want widgets anymore. If the world has moved on, and you haven't, it is time to re-evaluate your purpose, goals and strategies. Rethink the fundamentals in light of changing circumstances.
- Build up experiential capital. Innovation comes from risk, and risk comes from experience. The most important asset today isn't found on your balance sheet -- it is found in the accumulated wisdom from the many risks that you've taken. The more experiential capital you have, the more you'll succeed.
- Shift from threat to opportunity. Innovative organizations don't have management and staff who quiver from the fear at what might be coming next. Instead, they're alive from breathing the oxygen of opportunity.
- Banish complacency and skepticism. It's all too easy for an organization, bound by a history of inaction, to develop a defeatist culture. Innovative leaders turn this around by motivating everyone to realize that in an era of rapid change, anything is possible..
- Innovation osmosis. If you don't have it, get it -- that's a good rule of thumb for innovation culture. One client lit a fuse in their innovation culture by buying up small, aggressive, young innovative companies in their industry. They then spent the time to carefully nurture their ideas and harness their creativity.
- Stop selling product, and sell results. The word solution is overused and overdone, but let's face it -- in a world in which everything is becoming a commodity and everyone is focused on price, change the rules of the game. Refuse to play -- by thinking about how to play in a completely new game.
- Create excitement. I don't know how many surveys I saw this year which indicated that the majority of most people in most jobs are bored, unhappy, and ready to bolt. Not at innovative companies! The opportunity for creativity, initiative and purpose results in a different attitude. Where might your organization be on a "corporate happiness index?" If it's low, then you don't have the right environment. Fix that problem -- and fix it quick.
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Where's the growth? Rethinking long term opportunity
I wrote this PDF report last spring, before the recession set in. Yet I still think it makes for a lot of powerful arguments as to where we will see industrial and market growth in the future.
From the introduction: Gloom has set in on global markets. Volatility rages. Some organizations have gone into a mode of "aggressive indecision," deferring action while they try to figure out "what comes next." A pretty lousy strategy that is doomed to fail in the longer term.
Future oriented leaders understand the reality of growth. They know that we live in a time in which opportunities for growth abound. They've aligned the mission of the organization so that they are capitalizing on real opportunity, not short term economic challenges.
Growth is everywhere
It's easy during a time of economic volatility to lose sight of where the global economy is really headed. Yet while stock markets might rock, innovation thrives.
New ideas continue to be explored, markets grow, and industries emerge. A variety of trends indicate that opportunities for growth continue to surround us.
- Global food production must double in the next twenty years to match population growth. There's nothing but upside in agriculture!
- New industries and markets continue to emerge as advancements in the science behind energy, infrastructure, connectivity and health care drive fascinating new areas of growth.
- Many simple and obvious trends drive growth. Generational growth drives the rapid emergence of new markets: by 2020, 17% of the global population will be 65 years or older. Someone will sell a lot of phones with really big buttons!
Think growth. Think opportunity. Innovate for future, don't stagnate with the past.
More information:
- Read Where's the growth : global innovation opportunities for the long term
- Read Infrastructure is the new plastic
- Read 7 Things to Do Right Now as the Upturn Begins
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The Internet economy: How it will drive recovery
From my May CAMagazine column.
As we worry and wonder about the state of the global economy, we should remind ourselves that one thing is certain. At some point in the future,newspapers will run banner headlines featuring the words "Economic Recovery."
The challenge with this particular downturn is that every single event -- downsizing, layoff, missed earnings target or corporate bankruptcy -- is now repeatedly examined in depth on 24-hour news channels. As a result, it's easy to lose sight of the following key trends, which will help lead us into economic recovery.
Infrastructure:: There is no doubt there will be a significant national economic stimulus due to infrastructure spending, but I believe we're entering the era of smart infrastructure, which will involve more than shovels and buckets. For example, roadworks projects will use smart-highway technology, such as the linkage of spatial databases (think Google Maps) to GPS technology embedded in cars. It won't be long before you can put your car on autopilot, so to speak, carefully keeping up with traffic flow as measured by highway-embedded sensors. Science fiction? I don't think so. Put it this way: every bit of new infrastructure will be integrated with the Internet, and that will provide for some fascinating opportunities.
Healthcare: The ramp-up in healthcare spending that will occur as boomers age will be staggering, and this will perversely drive job growth at the same time it strains the budget. In the US, healthcare spending could equal 60% of gross domestic product in some states within 10 years. Such stark realities are driving furious rates of business model, technological, structural and other innovations in healthcare, much of which will involve sophisticated Internet technologies. For years, I've been talking about the potential for bio-connectivity devices: smart home-based medical monitoring technologies doctors can use, via the Internet, to monitor noncritical-care patients. Such innovations will drive a variety of growth-oriented markets.
Environment: Despite the slowdown, there is no pullback in major efforts to deal with challenging issues, which means ecological spending will continue to drive growth markets. McDonald's is investing in a new company-wide intelligent energy infrastructure management system to deal with annual energy costs of US$1 billion. It expects to reduce overall costs by 20% by having the ability to remotely manage and monitor fryers, air conditioning, water usage and other devices throughout thousands of its restaurants. This will involve using the Internet as a backbone to a sophisticated global energy management system.
Industry reinvention: Similarly, connectivity will play a key role in the reinvention of products and industries. There is a lot of talk about the concept of Car 2.0, which involves a fundamental reinvention of current transportation mind-sets. There is a strong belief that we will see a reinvention of the auto industry, particularly as Silicon Valley begins to laser-aim its focus at the next generation of automotive business model. The next-generation automobile, if it emerges from the land of high-tech, will have "connectivity" as its middle name.
The change agenda of Generation Y: As I described in last month's column ("They'll spice up your systems," p. 14),the members of this technologically aggressive, entrepreneurial generation will completely reshape the fundamentals of every industry, driving economic growth.
All in all, my view is that beyond a three- to six-month horizon, we will start to realize areas of economic growth, and the Internet will continue to play a key role.
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10 Things You Need to Do to Innovate in a Recession
Business Week ran an article in January, "10 Worst Innovation Mistakes in a Recession."
It's easy to point out mistakes. It can be harder to indicate what you should be doing.
I've been out speaking to organizations about trends, the future, innovation and creativity for fifteen years. Since last year, when the meltdown began, I've been keynoting events worldwide, rapidly adjusting my theme to one of "how you can innovate during a recession." I've had the opportunity of seeing first hand quite a few very innovative strategies from CEO's and others in a wide variety of events, and I keep modifying my message at rapid speed to incorporate a vast variety of ideas.
So I just took a few minutes to post a comment to the Business Week site, and I'll post my quick thoughts here too. Here's a list of 10 off the top of my head:
1. Focus your team -- relentlessly -- on growth. I keynoted a global organization in Las Vegas in February. The CEO got on stage before me -- and spoke about the recession for one minute. He then spent 19 minutes speaking to the growth opportunities that the organization could pursue. That's what everyone needs to do right now. There are growth opportunities in every industry. Focus on them!
2. Respond faster. When I keynoted a food industry summit in New York, we spoke of the need to respond faster to the fact that consumer preferences were changing more rapidly than ever before. More people eating at home, sensitive to dollars, looking for food-comfort. Reformulate new brand and product options faster. Just do it. Don't study -- do.
3. Invest in the brand. Brands can become weaker in a recession, particularly as consumers scramble for value. Decide where you want to reposition your product/brand, and act fast to do it rather than studying it to death.
4. Mix it up. Don't assume that worked before the recession will work now. Try out a lot of ideas, particularly around value. “I'm experimenting rapidly with price points and product mix."
5. Invest in experience. Lots of your staff will be down in the dumps, and are spinning their wheels. Get a message out that NOW is the time to invest in experience. Try things out, to build up the collective experience of your team.
6. Kill off the innovation killers. Reframe your team, so that they are thinking "what a great idea," rather than viewing with suspicion any new ideas. Remember -- everyone is worried about being laid off, and paranoia sucks the life out of innovation faster than anything else.
7. Collaborate within the industry. When I keynoted the American Nursery and Landscape Association recently, I stood in awe of the blog they were running that was offering practical, on the ground, easy to implement ideas that retailers could put into their stores NOW.
8. Seek ideas. Go knowledge farming once a day, looking for ideas on customer service, operations, IT strategies, and just about anything else. There's a flood of ideas out there -- now's a great time to chase them down and do things.
9. Partner up. Sure, resources are scarcer during a recession. That's why you can speed up innovation with anything -- from advertising, to customer service, business model implementation, IT strategy, opportunities for operational excellence or just about anything else -- by seeking partners to help you out. That will help you achieve key goals faster.
10. Get over it. Lots of organizations are still stuck in the anger and denial phase of the Seven Steps of Economic Grief. Make a decision to get into the acceptance stage, and move on. This will recession will pass, just like every other one.
There are dozens more.....
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"Opportunities 2009" - the workforce of 2020! I was the opening keynote speaker yesterday for Opportunities 2009, a conference in Ontario, Canada, that was focused on workplace trends to 2015.
The keynote description went like this:
What Comes Next: And What Should We Do About It?Is there a future out there? Definitely yes, but a constant drumbeat of negative news can cause people and organizations to lose sight of what will happen with careers and jobs in the future. That's where Jim Carroll comes in -- this noted international futurist, trends & innovation expert spends his time with globally innovative leaders. He's gained keen insight into some of the key trends which will impact industries, organizations and careers in the next few years to come, in a wide variety of industries from health care, to technology and manufacturing, to the skilled trades. Jim is a passionate believer in the reality that every career and profession is in the midst of a transition, and that additional, new careers are being born before our very eyes.
Jim Carroll will challenge you to focus on the opportunities of today and tomorrow, rather than the challenges of the past. Jim will provide an outline of how the economy will evolve from this point out -- and how we should be planning and acting in order to innovate in career development ahead of fast-paced events. He'll provide us a look at "what comes next, and what we should do about it.
"
In the coming weeks and days, I've got a lot to blog about this keynote: I took a good hard look at emerging careers, transitioning careers, and how existing careers are changing as a result of ever-increasing velocity.
The talk was extremely well received -- probably because I focused the 700+ people in the room on the opportunities of the future rather than the current economic muck of today.
What was interesting was that for the first time, one of my keynotes was tweeted from the room - you can read the thread here.
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When do you innovate? The New Yorker has a great article out, "Hanging tough," about how some companies choose to ensure that they stay innovative in recessionary times.
That's the theme I've been focused on for the last 8 months on stage. Here's a clip from a recent Las Vegas event for a global organization, addressing the theme, "Innovators get out in front of the recession"
People seem to be catching on to the idea that now is not the time to hunker down, but to push forward, innovate, change and adapt. More information
- New Yorker article, "Hanging tough"
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"Thriving in turbulent times " - interview on Cognos Radio
IBM's Cognos division has put up an interview with me on their BIRadio site, which focuses on business intelligence.
The key theme of the interview: "Author and Innovation Consultant Jim Carroll explains how avoid "aggressive indecision" and why now is the perfect time to forge ahead with new ideas".
Here's an excerpt:
Kelsey Howarth: You write that the danger is an idea recession, or innovation paralysis. Do you think companies are still in that shock phase?Jim Carroll: They're like deer in the headlights. They're so focused on the headlines, they're so focused on, you know, every single twist and turn of what's going on with the economy and if you sit back and you think about the industry you're in, there's probably lots of potential for growth. What we've got to do is we've got to get people beyond this paralysis and get them focused on the future again. You know, I coined the phrase a few years ago when we had the last downturn after, you know, the dotcom collapse. I said that people were going into a state of aggressive indecision. You know, they just decided to not to make decisions about anything. You know, they just, sort of everybody went on pause and I think we have to recognize we've got to get beyond the pause button. We've got to press the play button and start doing things. We have to keep moving forward."
More information
- Access the BI Radio show: Thriving in turbulent times
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Inspirational video clip - "Innovating during a recession" I received the DVD of my closing keynote for the World Healthcare Innovation & Technology Congress today. It was a barnburner of a speech!
The attendees had just encountered three wonderful days covering all the fascinating new ideas, technologies, methodologies and change that is coming to the world of health care.
I spoke to them on how to ensure that they pursued all the innovative ideas they heard about. There's a number of clips that I'll put up.
In this particular clip, I'm providing a bit of guidance on "setting bold short term goals" and avoiding "aggressive indecision" ; I talk about the seven stages of economic grief -- and how you need to move beyond anger and denial to innovation.
More information:
- Innovation and the "Seven Stages of Economic Grief?"
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Strategy for early 09 - Set bold short term goals
Some day, the graph at the right wont' seem like something weird.
Maybe today it does seem out of place.
Yet I continue to notice that there are a significant number of executives out there who are "moving beyond the meltdown" stage and are pursuing active strategies to keep their team or group focused on innovating and opportunity. They keep phoning me, and bookings continue to be very strong well into 2009.
My role in many of these events: get people beyond the "anger and denial stage"; see opportunities from a longer term perspective; and start thinking about actions that we can begin now to transition out of the mindset which has settled in.
I just concluded a keynote in Washington, DC, and spoke to this trend and the need for action. My advice to this particular crowd included a slide:
SET BOLD SHORT TERM GOALS
Think about that. The economic news can literally smother the drive and enthusiasm of a team. Every day, folks are being beaten down by a surreal swarm of negative headlines. There's a smothering cloud of economic doom out there. People are dispirited, demoralized, and frankly, are coming in to work every day without any drive, initiative, and inclination to change.
Yet, we will one day be returning to a period of economic growth, and the graph seen here will make sense once again. Maybe it is already beginning to happen in some sectors. Maybe it might take some time yet.
Yet you can't let this attitude of pervasive negativity begin to clog up the arteries of your team. That's why you get out in front of this thing and SET BOLD SHORT TERM GOALS, That gives your team concise actions that can be pursued, and goals to achieve.
And it will leave your team well positioned for the economy as it does, inevitably, emerge from this current period of contraction.
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CEO insight: "We've got the survival thing down. Now we're into phase two."
I was in a conference call yesterday with the CEO of a global organization ; I'll be doing a leadership session with them this winter. It's one of several pre-planning calls that I'll do with this client as I shape my remarks for their meeting.
I love the clarity of the CEO mind. At one point early in the call, he stated how quickly they're transitioning through fast-paced economic events.
"We established three strategic priorities. Number one, survive. Number two, innovate. Number three, grow. We've got the survival thing down. Now we're into phase two."
Phase two is the reason why they are having this leadership meeting, which has just been pulled together over the last several weeks. My role is that I'll provide them with an overview of key trends to think about; how I see other organizations dealing with fast paced economic change, not to mention my fundamental insight on "innovating in the high velocity economy."
The comments of this particular CEO certainly outlines the stark reality of the speed of the global economic pullback.
Yet, it also offers up some evidence to my theory that some organizations are going to come out of "this thing" quicker than most people think. Organizations that focus on innovation can act faster than they did in previous recessions. They've learned how to be more collaborative; they can share ideas and insight faster; they can react and re-react based on fast paced trends. The result is that they can try out a variety of strategies to re-align their business for new realities.
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"I'll pay you a premium if you can save me money!"
That's the new value proposition for today, and you'll do well to think about the phrase as you look to grow or maintain your top line.
The number one concern for many organizations today (beyond mere survival for some) is cost reduction.
If you can give them the chance to do this quickly, they'll be willing to pay you a premium to do so.
This line of thinking came to line when I spent time two weeks ago in Silicon Vally. I was there to speak to a group of CIO's from throughout the hi-tech industry.
I met a client from a few years back in the hotel lobby while checking in. He's now involved in a different IT venture. While catching up on things, I realized that this was the exact value proposition that his new organization was selling.
They've got a solution that, when implemented, can help organizations save quite a bit of money on their overall technology spend, Given the scope of the potential savings, and the fact that this company has maintained growth despite economic turmoil, they've got a key innovation strategy nailed.
You can learn from this line of thinking. The key things to think about:
- how can you partner up with your customers to help them achieve cost savings with what they do?
- how can you help them quickly achieve those cost savings : faster, say, than in the alternate economy of a few months past? Remember, faster is better.
- are there changes that you might make to your product/service line that can help to accelerate cost savings?
- can you innovate like mad -- thinking about what you do and how you do it -- to generate cost savings for those who rely upon you? you do it -- to generate cost savings for those who rely upon you?
Think about it in the context of any industry. If you are in travel/hospitality, and you offer cost savings with what you are selling, you've got a leg up on the competition. If you are selling a service, get the potential cost savings that the service provides out front, and clearly defined -- highlight them. If you are selling an industry solution, re-examine the cost savings that your solution provides -- and see what you can do to make them bigger.
Think about the phrase, and look for opportunity in it.
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10 fundamental trends that don't change with the meltdown
You and I know that the headline on the left is going to run in newspapers and mainstream media one day. The BIG question is when.
So what are the trends that will drive future growth? Off the top of my head, there are several:
- growth markets will continue to emerge. Back in the 19th century, the head of the US Patent Office stated that "everything that can be invented has been invented." Such silliness. Right now, there are hundreds of thousands of new products, markets, industries and ideas being built and explored. The future isn't over. It's arrival has just slowed to a degree.
- leaders in existing markets will grow through innovation. My own gut feel is that there are a lot of organizations out there approaching this recession differently. They're innovating in their markets; they're working on customer retention; they're investing in customer service in order to keep competitive; they're talking about how to grow in a down market. I'm certainly seeing this given my advance bookings going forward. People want to talk about innovation and the future. That's a great sign that the recovery is underway.
- health care will see significant transformation, not to mention spending: health care is transitioning to a system of predictive medicine. This is a huge, long term, 20 year trend, but has big implications with the emergence of new careers, industries, professions, and companies -- DNA based medicine is a massive change. On top of that, the mere level of spending that is going to occur in managing the looming health care crisis will drive all kinds of growth, though the funding part of the equation will remain a big problem. The result? Lots of innovative thinking as to how to solve huge problems with unique solutions.
- green and energy will continue have more momentum. Some argue that the meltdown will defer everything having to do with these two efforts. I disagree; I think the corporate sector has discovered the cost benefit that comes from green projects, and so they will continue to invest, which will drive innovation. And I think globally, we've passed the point where people and their leaders believe that doing the same old thing as the past is going to continue in the future. I don't see leading edge research into solar, wind, and other alternatives slowing down any time soon. And the fascinating thing is that there is a lot of backyard, garage tinkering going on right now, and that's where the next product/market breakthroughs will come from.
- technology will continue to hyper-innovate: I've got six generations of Blackberry's that span about six years or less. They've got a slew of new products coming out just this month : they've got a very fast innovation culture. Likewise, iPhone's have become the coolest fashion statement on the planet for the younger demographic. The Internet-enabled thermostat I have in my home and chalet is the first step in a huge wave of pervasive connectivity. I don't see hi-tech innovation and R&D slowing down. Indeed, during the last recession, some of the biggest innovations -- the iPod -- emerged from the minds of those inventing the future. There are a lot more billion-dollar markets still to emerge.
- agility and flexibility will dominate: In the next several years, the manufacturing industry -- globally and locally -- will learn to do what Honda has done: focus on the rapid assembly and reassembly of capabilities, so as to more quickly change models and products to respond to fast paced consumer demand. As they do so, they'll undergo a fundamental transformation in their thinking, structure and capabilities that will ensure their success.
- the global idea machine will continue to influence innovation. Look, the Internet continues to have a profound impact on everything we do. Scientific discovery is speeding up; new discoveries continue to go forward at a furious pace. Eco-building design concepts are debated, shared, and then go global in an instant. From the global mind comes unprecedented innovation, new products, new companies and new industries.
- the next generation takes over. The boomers are a dispirited bunch right now; there's not a lot of passion and enthusiasm with some of them to change the future, particularly given the status of their 401K's. Some in the younger generation are witnessing their first ever generation, and its' probably pretty terrifying. (This is my 4th, so I'm an old hand at this.) Yet, they're a hardy, entrepreneurial bunch, who have grown up with a mindset that inhales change, pursues multiple different opportunities, and collaborates like nothing we've ever seen before. I think they'll shake things up pretty quickly.
- A faster world happens, well, faster. Simply put, faster news cycles means that people get through difficult periods faster, at least in terms of mindset. Re-read my post about the '7 stages of economic grief' and share it around. Think about whether you think people are moving to the acceptance phase quicker. I believe they are, and I think this faster attitude shift, compared to a slower pace of acceptance in previous recessions, means that innovation will drive us out of this faster than we expect.
More information:
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Moving beyond the meltdown - linking opportunity to innovation Here's a brief clip from a recent event in New York City; I focused on the need to have a forward-oriented strategy given the recent economic events.
Frame of mind -- and the tone set by senior management -- is a critical factor right now. I wrote about this in Ready, Set, Done, in a chapter titled "Key success factors for innovative organizations."
The first point I made is that innovative organizations have a growth orientation. Quoting from the book:
Growth orientation. They've managed to instill a culture that has everyone thinking about what can be done - they are forward oriented. It's a culture in which people are thinking less about the problems that have occurred, and more about the cool strategies that could be pursued. They don’t run 'change-management workshops': they have strategic sessions on 'growing the business.' It’s not an easy task, but innovative organizations have managed to get their people away from 'right now' to 'our next step'.They are focused on the opportunities of the future, not the challenges of the past. They are ready to pursue transformative change, built on top of a share vision. They are not busy examining what went wrong and why it happened -- they've already moved on to the next step.
They've moved beyond the "anger and denial" stage of economic grief, and are already busy, focused on innovation and the next steps!
More information:
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The economy -- what I'm seeing happen RIGHT NOW This is quite unreal.
A month ago, I faced a very busy September and early October, and was out on the road keynoting a wide variety of events - a leadership event for a global law firm; an economic development conference; a symposium on consumer trends; a commercial real estate conference; a leadership session for a major bank and another for a telecom company; an event for a life insurance company; a meeting of pharmaceutical marketing executives; a food services company; a tourism conference; and many others -- all as the economic twists and turns evolved at a furious pace. Tomorrow, I'm off to New York to open a conference for professionals in the field of photography. More on that later.
All of these talks were immediately recast on the spot, to provide an outline of how the economy was going to evolve from this point out -- and how executives within these organizations should be thinking about the future in order to innovate ahead of fast-paced events.
The message has resonated in a huge way -- right now, people are clamoring for insight into the idea of "what comes next, and what should we do about it?" I have been stunned by the discussions post-presentation; I think the message of opportunity, and the necessity to quickly get beyond our economic shock and do things, is resonating in a huge way.
Having said that, my original suspicion during the last month of travels was that I was likely to see a slowdown in my own business, as organizations reacted and retrenched in light of the obvious recession around us.
I can now say that my suspicions were quite incorrect. In the last few weeks, I have seen a substantial - and I mean substantial -- number of queries for events, and a significant increase is confirmed bookings, from organizations who have decided that now is the time to focus on trends and the future, and to focus on how to establish an innovative mindset to get there intact.
There are several sources of new business:
- CEO's running a leadership session, previously planned or just now being scheduled, and who now realize that they need an expert who can focus on "what's really going on with the global economy, and what do we need to do to stay out in front."
- association executives who understand that in 2009, their members need a message of hope and inspiration, with specific, real, concrete guidance on how they can innovate their way out of this thing, and stay ahead of fast paced events
- mid-level managers who understand that now is a critical time to change the capabilities, agility, culture, and attitude of their team in order to maintain customer service excellence, customer retention levels, and other critical measures of success.
- marketing executives who realize that it is actually a good time to get in front of their customers with a clear, unequivocal message about their value, and how they can assist their customers as a partner.
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The seven stages of economic grief - when do you innovate? I was speaking with a client yesterday about an upcoming event in Palo Alto, California. We got to chatting about, obviously, the economic challenges that swirl around us, and the mindset that is quickly enveloping so many organizations.
Here's what I think is going on: there are many organizations entering a state of absolute paralysis. Idea factories are being turned off. The result is that we're not just entering an economic recession -- we're entering another idea recession, similar to what occurred with the last downturn starting in 2001.
What is so different time is the absolute speed with which ideas are shutting down -- the paralysis in some organizations at the leadership level is absolutely stunning. This got me thinking about the fast paced events of the last few weeks in the context of the seven stages of grief.
I came to realize, things have happened so fast that many organizations still find themselves in the "shock" and "denial" phase. They'll be the innovation laggards.
Then there are the innovation leaders. They're prepared to keep the idea factory running, maybe not at full tilt, but running nevertheless. They know that despite the fact that vast sections of the economy are tanking, there are still growth markets; opportunities to step ahead of your competitors. There are opportunities to attack new markets. To streamline operations, build new brands, grab customer mindshare in new ways.
There are plenty of opportunities to turn ideas into innovation. It all depends on where you want to place yourself on the scale of the seven stages of economic grief.
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It's back! Aggressive indecision! Here's how to kick it out! It's back!
Aggressive indecision! With all the economic turmoil, leaders, executives and staff have the "deer in the headlights" syndrome.
I spoke about this trend extensively on stage during the last recession in 2001-2002. People got into the message, and it restored their enthusiasm for the future and innovation.
In that spirit, I've resurrected the original clip on YouTube.
Take a look around you - at yourself, your co-workers, your organization, and the business world at large. What do you see? People mired in the thick mud of aggressive indecision. They tend to wait for absolutely perfect information which will help convince them that the time is right to make a decision, rather than making decisions based on imperfect information as they had done in the past. They'll take a look at the information they have, decide that it's just too darn risky to make a decision on what they see, and do nothing.Look, organizations that innovate and adapt at high speed, while trying to deal with the harsh new realities that surround them, have a good chance coming out the other side of this thing. On the other hand, if you let aggressive indecision rule your corporate culture, you are probably not going to do well.The result is an economy in which everyone seems to be stuck in a rut, unwilling and unable to move forward. The fact is, our confidence in the future has been shattered. Corporate nervousness has become the watchword, with the result that everyone is taking the easy way out: deal with uncertainty by doing nothing.
An era of "aggressive indecision:" a very dangerous attitude to have, given that organizations must be in a state of continuous innovation in order to cope with the rate of change that now surrounds us.
Share the video, and the original article around. Get out of your funk! Innovate!
More information:
- Read the original article Paralyzed by indecision: Just Do It
- Read Jim's blog entries on the global economy
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Innovation - act fast - empower people!
Empowering staff and partners to make quick decisions is an essential component of innovating in the high-velocity economy.
Particularly given that right now, optics are really important.
RBC Plaza's Grand Opening is on, but, Um, About Those Sky Divers ...Part of my consistent innovation message through the last several years -- "faster is the new fast" -- challenges organizations to think whether they can move at the fast pace required of them in today's high velocity world. Innovation isn't just about new products and design -- it's about challenging yourself as to how you operate, act, compete, change and do things differently to keep up with rapid trends.(from iStockAnalyst)
Oct. 2--RALEIGH -- A big building calls for a big celebration. But when the building is a bank -- and its grand opening comes amid a banking meltdown -- falling bodies send the wrong message. Therefore, the sky divers at today's RBC Plaza opening are canceled. Once again: The fabulous parachuting display is off. "Given the recent market activities, we just didn't think it was an appropriate time to have people jumping off of a bank building," said Jamie Averette Mitchell, a spokeswoman for RBC Bank, which is dedicating its downtown Raleigh headquarters, the 33-story RBC Plaza, today. The parachuters were to be part of a series of grand-opening events. They were to draw attention to the tower --the region's tallest -- at Fayetteville and Martin streets. But RBC nixed the jumpers after a week of Wall Street turbulence, which included the worst drop ever in the Dow Jones Industrial average and the sale of Charlotte banking giant Wachovia to Citigroup for a mere $2.1 billion. The celebratory leap might have reminded some of the bankers and stockbrokers who jumped from buildings during the Depression. They didn't wear parachutes. Mitchell said, "We wanted to be very respectful of our financial partners and Wachovia" -- a name emblazoned on another Fayetteville Street tower.
In this case, what could have been a PR disaster has turned into a smallish news story barely covered anywhere. That's great innovation.
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100 Days of Innovation - Get Out in Front
The last few weeks have seen a variety of keynotes for leadership meetings -- for a telecom company, food services organization, commercial real estate & property management firm, among others. These have involved audiences from 250+ to 800+ executives.
Obviously, the economy weighs heavily into my observations on stage, and in the questions in the Q&A.
The keynotes have been built around my theme of 7 Things You Need to Do Right Now: Aligning The Fast Future to Your Current Strategy.
One of the 7 Things that has stood out - in common with all these organizations -- focuses on the reality that with an economic correction underway, it is critical to keep existing customer/client relationships intact. Indeed, the CEO at the event yesterday noted that "customer retention" was one of the top 6 priorities for 2009.
What's the innovation issue here? There is a big opportunity in solidifying existing relationships by solving customer/client problems before they know they have them. This is BIG.
Think about these issues, and innovate from them in terms of what you do with your customers / clients:
- when times get tough, quality, service and relationships rule: operational excellence is more important than ever.
- focus on a new partnership with the customer, for example: "we've got the latest strategies to help achieve cost savings"
- stay ahead of fast paced change that you can utilize for the customer -- with the attitude being, "we're on top of fast paced developments that impact you, so you don't need to be!"
- make sure your customer understands that you are ahead of the pack in solving their problems.
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Freeze, innovate or panic? Innovation strategies for RIGHT NOW
Given the rapid pace of global economic developments, organizations are faced with a pretty stark choice.
The CEO of a company that is having me speak to an upcoming leadership meeting stated it this way: their choice going forward is to :
- Freeze: do nothing
- Innovate: respond to rapid market change through innovation, particularly with respect to strategies, struture, capabilities, markets, products, activities
- Panic: make rash decisions on structure, markets, investments.
But for others, panic will truly get you nowhere. And inaction - option 1 -- is not a good choice, because markets, customers behavior, cost inputs and just about everything else will change even faster now, and so you need to change faster.
Option 2 -- continuous innovation -- remains the only thing to focus on. Maybe that's why my phone has been quite busy in the last two weeks. There have already been several confirmed new events in October and November, where I will be coming into a corporate leadership meeting as part of an overall objective of keeping a company ahead in the game.
CEO's and executive staff are working hard to align their current strategies with fast paced economic events. I'm providing grist for the grill, with specific insight on how they might innovate within their particularly industry.
It's interesting that a lot of senior executives are all of a sudden looking for someone to bring their team this type of unique motivational innovation message. Two weeks ago, I helped to clarify for a commercial real estate / building management company leadership group where they could continue to find market opportunity right now, and how they needed to ensure they focus on enhancing existing customer/client relationships as a key strategy for going forward. We defined some strategies that they had not thought of; their team was inspired on focusing on opportunity rather than market upheaval, by thinking differently about what they do.
So what should you be doing from an innovation perspective?
I'll starting putting up quite a few new blog posts starting next week, summarizing the many methods to innovate, particularly through any economic correction or downturn. I'm going to call the series "100 Days of Innovation," and while I won't post each and every day, I do aim to have one hundred concise, succinct posts full of unique innovation insight.
In the meantime, if you need a high level, energetic message to get your leadership in the right frame of mind to deal with high-velocity economic change, call me. The details are on my contact page.
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Being an optimist: a keynote on economic development
So I'm in an airport, on my way to keynote a conference on economic development.
And of course, I saw the latest news on the 'bailout', and the plunge in the Dow.
And so I went to look up the definition of being an optimist, to reassure myself:
- Optimist: 1. One who usually expects a favorable outcome.
That's me! And my keynote is being adjusted on the fly before I get on stage tomorrow.
Here's the fascinating thing that is going on: I'm getting far more calls, and a lot of new business, from CEO's and senior executives who have determined that one of the ways to stay in front of this mess is to keep innovating. In other words, innovation -- adjusting business plans, tackling new markets, focusing on opportunity, seeking what to do next -- is now more important than ever before.
That's probably good news for the many folks who read this blog. There continues to be unparalleled opportunities out there. The short term might be rocky, but the longer term is very, very real.
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Financial meltdown? Or environmentally responsible reporting?
I don't want to distract from the seriousness of the events unfolding on Wall Street, but check out these headlines:
- American banks face financial meltdown if their reforms fail.
- Mortage Meltdown!
- Bloody and Bowed --- Money Managers Remain Badly Shaken by the Meltdown.
- Market Cap Meltdown --- Billions in Blue Chip Stock Values Have Been Blown Away.
- Congress caught in a bind over bank crisis.
- Crisis Looming As Realty Slump Becomes Global
- Banks face financial meltdown if their reforms fail, The Times, December 1990
- Mortgage Meltdown, Toronto Star, December 1989
- Bloody and Bowed --- Money Managers Remain Badly Shaken by the Meltdown, Barron's - December 1987
- Market Cap Meltdown --- Billions in Blue Chip Stock Values Have Been Blown Away, Barron's, October 1987
- Congress caught in bind over bank crisis, Independent, November 1990
- Crisis Looming as Realty Slump Becomes Global, American Banker, October 1990
The events as they are unfold are tragic, and there are people losing their jobs. We've yet to see where it will all go.
On the other hand, it needs to be put into the context of previous "meltdowns". We've been here before, folks. And at the end of the day, there will still be banks, insurance companies, investment organizations, and a financial system.
I wrote about this a few months ago, and put together a "Memo to the CEO" that examined the issue of innovation. Maybe it's a good time to resurrect for those organizations that are concentrating on getting through this mess and moving on to the next stage. As we come out of it, it will be those focused on innovating within the new marketplace who will come out on top.
More information
- Read the Memo to the CEO
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7 Things to Do Right Now As the Upturn Begins!
I'm often providing detailed strategic guidance to senior executives and leaders on trends and the future, and certainly the economy has become a big part of what I address today. Much of time is spent putting into perspective the fact that we've always had downturns; there's still plenty of growth opportunities out there; innovation is even more critical now to ensure that you're ready to go as the economy starts firing on both cylinders again (which it will.)
What has become evident is that the most pressing issue for leaders today is focus. While volatility rocks global markets, there continue to be fundamental truths: your industry, products, competition, skills requirements, organizational capabilities, and ability to respond to rapid change will define your future success.
Here's my advice on what you should be doing right now to ensure that you are ready for what comes next, based, in part, on a blog entry I wrote last April!
- think growth: It's all too easy right now to lose your enthusiasm and sense of purpose. When economies contract, so too does your motivation. Don't let that happen -- now is the worst time to lose sight of the future! Think opportunity: study my "Where's the Growth" document, and think about what it implies
- check your speed: it's the high velocity economy. Markets, brands, products, industries, competition, and globalization are changing faster than ever before. Make sure you've got a team that can operate at the pace of change. Agility is the key word. Search this blog for insight on that!
- immerse in ideas. The global idea-cycle is collapsing. New ideas are launched, analyzed, and developed to concrete product at a speed that is astonishing. Rapid product change is the new norm: I'm dealing with the CEO of one organization that is involved in a rapidly emerging, multi-billion dollar market that will appear, go super-nova, and disapper, over the course of about 18-24 months, before it is superseded by the next generation of product. That's fast, and that's the new reality.
- check your bench strength. After the cutting begins, value goes out the door. Yet your abililty to access ever more scarce, specialized skills will define your future success. It's your ability to establish a fast, agile, quick-to-assembe collaborative team that will define your ability to grab all the opportunity that is emerging out there.
- assess your threats. where could emerging technologies, fast science, radical business models, new industry dynamics, new regulatory macroeconomic, political or social trends impact your bottom line in a way that you hadn't thought of before? Two years ago, China and quality wasn't an issue.
- invest in experience. Experiential capital -- the depth of capability that you have from exploring, taking risks, trying things out -- is the financial capital. It's a precious resource, and might be in short supply if you aren't working to build it up.
- set the tone. If you let the current economic headlines drive your corporate spirit, you're sunk. You have to keep people focused on the future -- otherwise, your team will smell your fear. Leadership is all about keeping your team focused on opportunity and goals, not on ongoing and regular ("new normal" volatility.
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Transitioning the global economy
There are a zillion fast, zippy cool trends out there. And then, there are the big, sweeping, massive transformative trends that change entire economies.
- Global Economic Trends: An Interview with Jim Carroll
- "Where's the growth: Global innovation strategies for the long term"
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Gloom has set in on global markets. Volatility rages. Some organizations have gone into a mode of "aggressive indecision," deferring action while they try to figure out "what comes next." A pretty lousy strategy that is doomed to fail in the longer term.
Future oriented leaders understand the reality of growth. They know that we live in a time in which opportunities for growth abound. They've aligned the mission of the organization so that they are capitalizing on real opportunity, not short term economic challenges.
Growth is everywhere.
It's easy during a time of economic volatility to lose sight of where the global economy is really headed. Yet while stock markets might rock, innovation thrives.
New ideas continue to be explored, markets grow, and industries emerge. A variety of trends indicate that opportunities for growth continue to surround us.
Read this document to get in the right frame of mind for the future.....and think growth. Think opportunity. Innovate for future, don't stagnate with the past.
Download Where's the Growth? Global Innovation Opportunities for the Long Term
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Leading in turbulent times: how to innovate during the recession!
Even as news and financial pundits endlessly debate the question, let's face reality: the US economy is in a recession.
Given this reality, the key question going forward is: what do you do now to ensure that you remain innovative, competitive, and forward-oriented?
Innovate for the upturn! That's the key message I focused on with my clients in 2002-3, and the same message holds true today. And that was the focus of a keynote last week when I spoke to one of the largest US commercial / industrial real estate brokerage groups. There were several bits of insight I shared with them:
Put sub-prime into perspective
One of my first comments for this audience of senior executives? We need to think about the sub-prime mess in the context of a longer term view. In the last ten years, we've been through many economic challenges:
- the 1998 Asian currency collapse
- the 2000 dot.com meltdown
- the 2001 global telecom restructuring
- from 2001 to 2003, the impact of 9-11 and economic uncertainty
- 2007 to 2008, the march to $100 oil
- and now sub-prime....
Keep focused on the longer term view
I tend to be an optimist: that's because I think in a longer term perspective. Think about it: over the next 10 years, there are several certainties:
- scientific discovery will continue to advance at an ever increasing pace, opening new markets, evolving existing markets, and establishing countless new opportunities
- global collaborative knowledge communities will continue to lead to faster innovation in every industry and market
- new products, methodologies, skills, ideas, organizational structures will continue to evolve at a fast pace; agile organizations will continue to come out on top
- the transition of economies in the Mid-East and Asia will continue despite regional economic challenges
- rapidly aging economies in North America and Europe will drive rapid spending, innovation and knowledge discovery in the world of health care
- global energy conciousness will continue to lead to ever more rapid evolution of "green" solutions
- 1/2 of the global population is under the age of 25. They're change aggressive, and will continue to lead to the rapid adoption of new ideas.
- growth in markets is a simple reality: in agriculture, global food production still has to double in the next 25 years to keep up with population trends. Sub-prime has no impact on this reality.
Don't let aggressive indecision take over your thinking
To innovate in the upturn, don't let a short-term vs long-term trend disconnect take over your strategic thinking. Already, I can see the signs of some companies heading into an innovation rut, their staff and executives encumbered by a dangerous state of complacency, while other companies innovate, change, and adapt to the "new normal" that is now our reality.
In the last recession, "aggressive indecision" became a driving cultural and leadership trait. Organizations that fell into this funk fell behind. Innovative companies didn't permit that to happen then, and you shouldn't let this happen now.
More information:
- Read Global Economic Trends: An Interview with Jim Carroll The reality of future trends: grab the What Comes Next trends overview
- Read my 2003 article about "aggressive indecision"
- Read my Credit Suisse interview for my thoughts on "growth"
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