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Instant-Action Enterprise
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4. Customer Events Aren't Mass Customization. All the processes are executed for a
single customer.
In a kinetic enterprise, the elements of customer events happen simultaneously in an
organized, continuous, well-practiced flow of ideas and actions. Workers cope with
unexpected customer demands and gain new skills and insights; these in turn become
part of the knowledge base, which becomes available to all.
This organic, cooperative model yields another benefit - by providing customers with
unprecedented products, services, and relationships, the kinetic enterprise is inventing
the future, creating the unpredictable demands the competition will have to meet.
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Sometimes all it requires is a quick trip to a coworker to get another person's opinion.
Sometimes a problem requires an ad hoc team. Collaboration allows workers to get the
help they need to execute events -integrating workers from all departments of marketing,
sales, manufacturing, distribution, finance, and service. Teams appear and dissolve as
needed. Everyone understands they lend their expertise all towards the customer's
benefit.
Encourage huddling.
"Interdisciplinary teams help people see the integration of different parts of an
organization. The huddle concept of getting specific knowledge or input gives
employees a lot of flexibility and allows them to move quickly."
-Wendy Leebov, Associate Vice President, Albert Einstein Healthcare Network
Workers Learn as They Go
Case in point: Chevron
Veteran workers serve as "process masters", in charge of figuring out techniques in oil
refining to improve quality, save time, and reduce costs. Workers look to them for advice
and innovation.
Billy Williams, a veteran worker, innovated using a "pig" or abrasive rubber cylinder,
rethinking the traditional cleaning technique of Chevron's Richmond crude unit, and
creating a more cost-effective technique. Traditionally pipes were cleaned every 4 years
by burning of coke deposits, the new pig technique saved the company $1 million per
cleaning.
"If an institution wants to be adaptive, it has to let go of some control and trust that
people will work on the right things in the right ways ."
-Robert Shapiro, President and CEO, Monsanto Co.
Through the full use of communications networks, via email, Lotus Notes, voicemail,
annual conferences, and regular meetings, kinetic-minded organizations can develop
and nurture collaboration.
Example:
K'Netix, a company knowledge-sharing network, is one such collaboration tool at
Buckman Laboratories, allowing an immediate response to requests for
information-sharing among hundreds of employees across eighty countries.
Chapter 5 Be the Unpredictable
Tap Everyone's Abilities
Like the members of a basketball team, in a kinetic enterprise, everyone is a worker,
prepared to play a role at any time. The workers understand the game plan or the
strategic purpose, but they get the job done on their own, relying on each other's skills.
Managers actively participate on the front line. There is a mix of blue and white-collar
workers all rolling up their sleeves and making things happen. At Microsoft, Bill Gates
spends hours in programmers' offices brainstorming about the best approach to
constructing code for new software products.
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coworkers the kinetic worker increases the company's ability to profit from
unpredictability.
The Experiments of Kinetic Workers
3M's Genesis Grants provide up to $75,000 seed money for projects even when no
large market potential is evident. Its how the company comes up with innovative new
ideas.
The Rules and Kinetic Workers
Don't tell people how to do their work.
"When people get a chance to accomplish something themselves, they just come to
life."
-Anthony Rucci, Chief Administrative Officer, Sears, Roebuck & Co.
Successful Failures
Leaders must be willing to allow workers to break the rules, and accept occasional
failure as the price of success. You can't stumble if you aren't moving.
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industry, the business is not to go beyond this strategic purpose. At Sears, the clearly
defined target market, the female shopper from age 25 to 54 is where the strategic
purpose lies, any efforts focusing on the outside of this boundary are frowned upon.
Champion Market and Customer Events
Kinko's CEO travels around the US explaining his philosophy to his frontline workers
while their managers handle customers at the stores. The communication between the
CEO and the workers is direct using a voice mailbox. Idea exchange is the company
culture.
Make Decisions in Real Time
There is no time to "sleep on it". In order to respond as rapidly as the market or
customer event happens, kinetic leaders must have sufficient confidence to decide
quickly. They have to stay on top of things, constantly gathering information about
ongoing projects. Kaiser Permanente's CEO uses Lotus Notes to inform workers,
acknowledge, and keep them focused on Kaiser's strategic purpose and where the
company is headed.
Leaders need to truly accept the risks inherent in the kinetic system.
Chapter 7 The Second Path
Build the Right Workforce
Hire Kinetic
Kinetic organizations search for candidates with innate talent rather than track record.
Their attitudes and personalities must match the corporate culture.
Past experience is less relevant to future performance. Any skills missing can be
learned. Mind-sets are harder to absorb.
Microsoft's workers must rapidly absorb new ideas and skills in the process of
simultaneously producing new solutions. That takes outstanding intelligence and
creativity, qualities Bill Gates calls "relatively innate", and he believes they are best
found in fresh graduates. Other qualities sought are the ability to ask insightful questions,
to see connections between disparate domains of knowledge, and to collaborate with
colleagues. They must be well versed in programming code that they comprehend long
printouts in an instant. Salaries are lower than competing companies, but stock option
packages yield huge payouts. They have the ownership and responsibility for the
company's future, they are willing to take the risk.
Southwest Airlines look for people with a good sense of humor, those who don't take
themselves too seriously, and a good dose of unselfishness. The sense of humor is
required in an extremely stressful and competitive environment. Workers are expected
to take risks and make decisions on their own, without fear of retribution if something
goes wrong. Profit-sharing plans also fuel its high-energy workers.
Insight: Hire for innate talent.
Microsoft looks for IQ and creativity. Other kinetic enterprises emphasize a willingness
to take risks, big-picture thinking, resilience under fire. In an unpredictable world, the
ability to operate in chaos is a talent. Everything else can be learned.
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(Summary) . Book Review
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