there ae 2 types of change

reality
percetion
There is a difference between creatvity and Innovations
Creativity---- skill of somebody who can change his perception
Innovation----- The capacity of a company to change realty by working on
it
To change is to change Twice(Both creativity and Innovation) , eg Xerox-- they h
ad creativity to introduce mouse to world, but never innovated on it
You have t change twice, and rules are completely different
For Innovation for example you need Budget, Planing, Team , manage problems etc.
For Creativity- its about thinking , brain storming etc.
So we have two types of changes, they are completely diff although:
Perception: called creativity, require thinking, is a challenge for individual,
discontinuous process, takes an instant, envision a new system
Realiy
: called Innovation, requires action , is a challenge for a team
,
contionuous process , takes long time , delivers something new to system
The world is changing , we need to change our perception:
Perception is always simplification , In other words we need to move from one si
mplification to other
there are only two possibilities then:
Being victim of change --- u might realize u r wrong and didn't change ur percep
tion on time
being Driver of change --- or u do , eureka, wow, m gonna do this
although possibilities are similar cognitively, its sudden change
look at cross in graph, shows not a single good idea was good at its bir
th,
If you really want to achieve a great new IDEA , you need to reset the new steps
(* thing)
# Imagination: you break existing stereotypes, you break existing rules, you don
't dream about being winner
eg, at Edison's time you need to burn something to get light, his idea w
as to get light without burning [now ths is diff ], but this was day
of New Idea not New Good Idea,
the air is at same time the problem of world as it s resistance
but also condition of flight, This is a good metaphor for creativity
so Bad idea should not always be avoided, Bad Idea is thus like
air, it is condition for Good Idea, without fail there will be no Good idea
YOU HAVE TO OBEY FORCES YOU WANT TO COMMAND
eg, If you want to be better on change you have to obey laws of change,(
like to better or change thinking, obey laws of thinking)
YES-BUT Syndrome (This should be replaced by YES-AND)
we need two brains(creative/imagiative and judgemental), but not at same
time

The new idea (not new good idea) should be given at least another chance
as with some change perception for it may change(*)
This is respecting rules of thinking, as we shouldn't rely only on one b
rain or use bot at same time
You need to know you are man of perception or reality, and should work w
ith some one who completes, you need both but not at same time,
but can work together at diff times in company
SO THE BEST WAY TO HAVE GOOD IDEA IS TO HAVE MANY IDEA, as this respect
thinking laws and thus success chances can be higher
There are THREE type of NEW IDEAS:
# Discovery : which is not new,is necessity , explainable, no intellactu
al protection,eg.find idea now like law of gravity but it was already there
# Creativity: Which is new,is not necessity, not explainable, intellectu
al copy rights eg. Eiffel Tower
# Invention: Which is new, , is necessity, is explainable, this is MAIN CH
ALLENGE of company, how can we find something that is not but that
will come, and how an we find it before competitor
INVENTION:
it is mostly about reorganizing perception,
eg, lets think about steam machine, steel existed, wood existed,
but what happened in inventor mind was sudden reorganization of peception
LECTURE:2
If you want to change the world Act, if you want to change the perception then T
hink.(both are req at diff times)

We need a better understanding of what it is to think.

In Creative Thinking: key word is to THINK not creativity
Eg. If a CEO say he is thinking about his client he is wrong, as
he can not think about 2 million clients at same time
so he has to forget 99.99 % of clients at that time , actual
ly he us making concepts or categories of customers
and we need to understand the process of it.
So STEP 1 of Thinking or to give judgement is to Forget,
like to judge or share your views on a movie, u need to forgot a lot of movie
--- You dont control what to forget eg. part of
movie
--- Diff person will forget diff things
eg about a movie as one who love guitar may remember Guitar scene
So, to change world or think about it we need to also forget a l
ot of it
Where does thinking happen? Between you an world and you, In brain
Eg.
World is to be understood like in terms of it has some concepts may be marketing
, we can say it like it is in front of us
--- It can have some elements like facts, data etc., so how do we look at world
is important
In business world for example, what is in front is like magazine, analysis etc
.,

and this i most of time in front of you simplification of somebody else, we ca

n call that is REALITY.
Now we can look our side, that is within us, We never have in brain what is ou
t there, we only have simplification
Simplification can also be said models or may be boxes
So, data , facts etc what we see are simplification of reality
Nothing is really SIMPLE, we need to SIMPLIFIED
world is like diverse(we have models like segments) , uncertainity(wee have mode
ls like scenarios),for market we have segments,
but these models are not reality but simplification although these are efficient
So each characteristic of world forces us to have different type of models.
There are two ways of thinking DEDUCTION(easy, our simplification of world, like
we have concept of microsoft,which is simplification,
as we cant live with unstable models, so we simplify)
and INDUCTION (complex, making new concepts of world, the other way to think, we
build hypothesis, concepts etc.)
To think is mostly using and producing mental models.DEDUCTION AND INDUCTION .
Eg. # An Example of a car is ====> Fiat, Volvo etc. This is INDUCTION
# Car is an example of ======> This is DEDUCTION, (first guess is old)
You can have perfect deduction like with algorithm, But Never Perfect INDUCTION(
as there are infinite possibilities, this may explain many
ideas might be required , and not all ideas are good but we need to find.)
World of Deduction is world of LOGIC ---- not easy,
World of Induction is world of----ANALOGY [ Black Swan can be symbol] (analogy i
s easiest way to induce but there are many other ways also to induce,
analogy brings new Idea never certainty )eg. previously there was assumed to b
e one moon, but Gallelio by
analogy mentioned moon of Jupiter, and hence moons was now a concept, thus kin
d of induction using analogy
Its not rational to be 100% rational. (eg. if we want to buy a car we cant consd
er rev all around world, so thatas way of working,we dont receive
uncertainty. )
Whatever we do , we do in models, like theories in science are models,
A possible way of analysing models.
+
Knowledge
Judgement
Theory
Strategy

U
N
D
E

PERMA

R
+

NENT-

O
Belief
Values
Stereotype

N
T
R
O
L
-

Upper Left: Models you decide to implement, they are there for a long period of
time, its called Knowledge,eg. what we study
Lower Left: Strong, resistant, really permanent, but you never decide really to
implement
value is an Idea you have that something should
Bottom Right: Not permanent and not undercontrol, Eg. Representation(very fragil
e mental model, to explain to ourself what is in front of us
These models come suddenly and disappear. Eg. we try to judge/explain stranger
around us, eg. news is some company aquired, you immediately think why it was
aquired etc.)
Upper Right: its IDEA quadrant, that is were we process, we think, we try, world
of finding, its like working area, we test, Its like a lab for new
models, its a LAB , and goal is to give a concept which every body
accepts.
Models are very important when it comes to cognitive biases , its like a piece o
f reasoning which is assumed to be strong but it is not
A CEO need to think:
# What s next big thing
# When to move from Old idea to new Idea
LECTURE 3:
LECTURE 4:
When we see world we may want to organize it.
MENTAL MODEL: A construction that exists in your mind , in which reality in fron
t of you is simplified in order to be apprehended in a useful way,
according to a given objective. It is an abstraction from present
and sometime a base to build future.
DEDUCTION : a form of thinking involving application of an existing box, such
as framework of world in front of you ,testing box's capacity to
interpret them
INDUCTION : a form of thinking involving moving from fragmentary detail (parti
culars) observed in world in front of us to a connective view of
situation, a binding principle which eventually forms a theory , a
working hypothesis, a box.
THNKING
: To think is mostly using and producing mental models.DEDUCTION AND
INDUCTION .
CHANGE is easy to perceive, but what remains SAME?
A Model s never good and never Bad, only relevant question about it is IS IT USE
FUL?

A CEO need change n perception and thus new boxes:

For COMPETITVE STRATEGY----he needs STRATEGIC VISON
For UNCERTAINITY ----------he needs SCENARIO 1, SCENARIO 2 etc.
to simplify things
STRATEGIC VISION: Is an ambitious image of future state that is radically prefer
able to the curent state, according to those who develop it.
It is a box that becomes reference for a compa
ny, and thus serve as a guide allowing each employee to approach work more effec
tively
= It has to be built on values, has to be visibl
e, credible, feasible, has to be communicated credibly to outside world as
vision is built inside but perceived from outs
ide.
Not a single strategic vision is good forever
MEGATRENDS: Is something that happen whether you exist or not, big change,a bit
slow, predictable, that gona happen and one day will effect you
business, eg. population etc.
MEGATRENDS is someone else's simplification where we hav
e to INDUCE strategy not deduce(Induced from world to you)
but there is freedom in way to Induce also.
UNCERTAINITIES: # You know what you don't know----------------try to make foreca
st
# You don't know what you don't know----------try to be robust a
nd prepared at least more than us
SCENARIO: A Story about possible future, it has a beginning, an end, which are
possible , scenarios are extreme situation and company can use to
test robustness. Also, like to chose candidates in short list.

STEPS: 5 :
1. DOUBT: doubt your all mental models as they might not be reality, only your p
erception of it.
--- To be effective reformulate question so that it is specific and not ver
y broad.
2. EXPLORE: Once you doubt explore diff possibilities
3. DIVERGE: curiosity, doubt, Quantity
4. CONVERGE: Chosse, quality of ideas matter here
So Doubt, ask good questions,
ask some good what-if question like, what f we c
an get a few engineers or technology from NASA or ISRO.