The story of HUGE change affecting us all and few BIG SHIFT things you can do to make today's changes work for your business and your life.

1. SHIFT Happens
Barbara Shannon
GreatChangeBox.com
Including)insights)from)John%Hurley;%John%Seeley%Brown;%Lang%Davison;%Deloi7e%Center%for%the%Edge;%Robert%J.%Gordon;%Tomas%Sedlacek;%Daniel%Pink;%Richard%Florida%

2. You$can’t$run$this$business$by$the$le2,$intellectual,$
analy4cal$side$of$the$brain.$We$are$in$the$arts$and$
entertainment$business,$and$we’re$pu<ng$a$huge$
emphasis$on$crea4vity$and$world?class$design.$
GM$Vice$Chairman$Bob$Lutz$$

3. At$Nike$we$go$beyond$process$efficiencies.$Clear$goals,$
great$people,$empowerment$and$trust$move$faster$and$
beKer$than$too$much$process.$$
Nike$CIO$–$Roland$Paanakker$

4. &Global&Business&Transforma:on&Summit&
TOMAS&SEDLACEK&

5. &Global&Business&Transforma:on&Summit&

6. GROWTH)IS)KILLING)BUSINESS!)

7. &&BUT&THAT’S&UNAMERICAN!&

8. YES!)

9. Autonomy!)
Learning!)
Making)a)Difference!)

10. CONNECTION
COMPUTING&POWER&
Digital&Storage&
Bandwidth&
The%ShiG%Index%2011%

11. CONNECTION
INFRASTRUCTURE&
Internet&Users&
Wireless&Subscrip:ons&
&
The%ShiG%Index%2011%

12. 5X&
2X&

13. CONNECTION
ECONOMIC&FREEDOM&
$
The%ShiG%Index%2011%

14. FLOW
PHYSICAL&FLOW&
Migra4on$to$crea4ve$ci4es$
Travel$volume$
Movement$of$capital$
The%ShiG%Index%2011%

15. VIRTUAL&FLOW&
Inter?firm$knowledge$
Wireless$ac4vity$
Internet$ac4vity$
$
FLOW
The%ShiG%Index%2011%

16. FLOW
The%ShiG%Index%2011%
AMPLIFIERS&
Worker$passion$
Social$Media$

17. IMPACT
COMPANIES&
Asset$Profitability$
ROA$Performance$Gap$
Firm$Topple$Rate$
Labor$Produc4vity$
The%ShiG%Index%2011%
The%ShiG%Index%2011%

18. ROA$for$US$Companies(1965$–$2010)$

19. FIRM$ROA$TOPPLE$RATES$(1965$–$2010)$
Topple$rate$for$companies$>$100M$increased$40%$over$firms$<$100M$
>$100M$Sales$

20. Labor&Produc:vity*&
Sta4c$
Decrease$
ROA$
Increase$
Low&Increase&
Moderate&
Increase&
High&Increase&
*%Output%of%
goods%and%
services%per%%
labor%hours%
required%to%
produce%
that%output%

21. ROA$of$US$companies$=$¼$of$what$it$was$in$1965
$
$
Topple$rate$of$big$companies$accelera4ng$at$3X$rate$of$smaller$firms
$
$$
$
$
Average$tenure$in$S&P$2011$=$10$–$20$years$VS$50$–$100$YRS$in$1965
$
$
Employees$want$meaning$over$money!
$
$
$

22. But$what$drives$
FLOW?$

23. PASSION
When$people$engage$
passionately$with$their$
work,$they$seek$ways$to$
connect$with$others$who$
share$their$passion$and$
who$can$help$them$
improve$faster.$
DeloiTe&ShiU&Index&
Deloi7e%Passionate%Workforce%Study%2011%%

24. MORE SMALL MORE PASSION
Passionate$
Engaged$
Passive$
Disengaged$
1$–$99$
100$–$999$
$
1000$–$4000$
$
! 5000$

25. What To Do?

27. BE SMALL!

28. CONNECT!

29. SHIFT to the Right

30. MIND THE GAP

31. NOW!&
THEN&
SMALL&IS&BIG&
BIG&IS&BIG &
Too&big&and&too&fast&fails&
Seek&Sustainability&
Organic&Growth&+&Thoughul&Acquisi:on&
Bigger&is&beTer&
Seeking&Growth&
Acquire&to&Grow&
&
ACCELERATE&THROUGH&RELATIONSHIPS$
ACCELERATE&THROUGH&EFFICIANCY
Structure&to&Scale&Talent&
Customer&Driven&Customiza:on&
Pull&
Partnerships&and&Trust&
Sharing&for&Value&&
Innova:ng&from&the&Core&&
Meritocracies&
Purpose/Mastery/Control&
Structure&to&Scale&Efficiency&
Product&Driven&Standardiza:on
Push
&
&
Transac:ons &&
Protec:ng&IP &
&&
Innova:ng&on&the&Edge &
Hierarchies&
Performance&Targets&
&
&&
&
HIGH&VALUE&SKILLS&
HIGH&VALUE&SKILLS
&
&
Tacit&Knowledge&
Explicit&Knowledge
Pursuit&of&Excellence
&
&
&&
&&
Performance&Reviews
&
&&
&
&&
&&
&
Passionate&quests&
Real&Time&Feedback&
$