Brian Hettrick

Organic Innovative Systems

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Anna

With all the talk about technology, big data and digitization I wanted put a human face to all this creativity and innovation stuffLook at the pure joy and wonderment!2

Purpose of PresentationTo smooth the transition

1970

Peter Merrill couldnt have set me or the innovation track any better that what he did!Look at the cool book cover eh?3

TransformationsAgricultural RevolutionIndustrial RevolutionInformation RevolutionDevelopment and distribution of information has now become the central productivity and power activity of the human race.The Third Wave - 1980

I have to say Jane Keathley and I must be kindred spirits because in her talk yesterday she dove into a few words to really understand what they meant. Think about the word revolution.4

Revolution forcible overthrow of a government or social order [or industry] in favor of a new system

Synonyms: Rebellion, revolt, insurrection, mutiny, uprising, rioting, insurgence NOT - Chicken Soup for the Soul

ThenNow

Explorehistory.com

Anyone from Pittsburgh? This was taken about 1906 pretty nasty lookingI grew up with the night skies lit up by the blast furnaces, but all that changed almost overnightPittsburgh at night beautiful and the other amazing thing is I took it with my phone who would have thought 20 years ago

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Most livable city six times since 2000 (Economist, Forbes and Places Rated Almanac)

On 200 best lists including 40 Prettiest Cities in the World (Huffington Post)

Most Entrepreneurial City in America (Inc.)

Best Places in the World to Visit (National Geographic)Accolades

Not bad eh?What do you think the cost was of this transformation?7

Youngstown, OH Youngstown Sheet and TubeTransformation

1. Anecdotal evidence on the impact of transformations8

The company abruptly closed its Campbell Works and furloughed 5,000 workers on September 19, 1977 a day remembered locally as Black Monday. The Brier Hill Works closed in 1979 as part of a continued wave of steel mill closings that devastated the Youngstown economy.

When such an industrial juggernaut falls, it truly takes a team effort to kill it! Articlejust the way it is

Not just 5,000 think of families and all the support industries affected construction, food, clothing 40 years later Youngstown is starting to recover from Black Monday meantime, a whole generation has suffered Juggernaut falls lets come back to that laterDave Ramsey talking about debt - well always have a car loan, cant go to school without a school loan thats just the way it is

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Peter Senge - revisited

CEO Microsoft: We have these profound questions and issues in front of us, Nadella said. Is technology empowering people, or is it displacing us? Is technology helping us preserve our enduring values such as privacy, or is it compromising it?

IBMs CTO Rob High urged the audience to consider how artificial intelligence will shape lives.

Bill Gates recently cautioned that AI will have profound consequences on society.

Stephen Hawking's "The development of full artificial intelligence could spell the end of the human race."

Tell story of Peter Senges car10

will fall in loveex machina

wired.com

Not just in movies recent article by one of Japans leading roboticists predicted that humans and robots will fall in love with each other.11

School and ThanksgivingLetter to the EditorYou can count on it

Dave Ramsey - Who knew Things are going to happen you can count on it

Museum hr north of here in Lowell12

Blockchain what bitcoin runs onMajor financial firms are putting a lot of $ into this technologyNasdaq create a more secure, efficient system to trade stocksDocuSign joint idea with Visa to track car rentals and reduce paperworkMicrosoft will unveil details about its smart contracts venture

Futurist Amy Webb states:As computers become smarter, we no longer need humans as intermediariesProfessions whose basis is in transactions will be disrupted by machines there is no question. And it will happen fast

David Axson Managing Director of Accenture Strategy 40%

30% of Bank Jobs Under Threat

30% from a recent Citibank report digital disruption is turning finance on its headHow many know what Blockchain is?

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Silos, Stovepipes, whatever!

Legacy

Vast Majority of companies look like on the left and they look like silos to meCross-functional processes are often just silos on their sidesDocumentation, HR perf mgt systems, KPIs all work to keep silos intactPlus (secret weapon) Embedded within these silos are legacy systems that further strengthen, but with ETL data smorgasbord

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Either a drive or drag (enabling or restricting flow)What is the ROI?DocumentationMeetingsAudits

Managing Director of an ISO registered company said never been asked

Why wasnt he? and more importantly why didnt he ask?

Never Been Asked

Stuck

Companies strugglingManagement teams tired Answer is not to work harder or more hoursBarriers we dont realize exist

Going Against the Flow

Working againstNatural flow or Order

feel the frustration and effort

What is the natural flow or order for you company?17

The Digital DivideAnother Transformation?

By Deirdre Fernandes Globe Staff March 29, 2016

Definition of insanityWe have to start looking at our world differentlyBottom-line whats going to happen to our jobs!

Organic [ Management] SystemsManagement is the Entirety of the organizationInnovation means throughout the whole of the organizationNot just R & D or marketingAccounting example

Whats it all mean?

1. We have to start looking at the world differently or were going to fall into the same cycle2. Hesitate to put Management in 19

Digitization of CompaniesBy Euan MacDonald Organization of the Future InterrelationshipsNew Language

Stove pipes/silos and structure dissolving into small bits and bytes or should I say(show video)Shown this around the world what did you see? Ant, art, and living organism Showed it to a KPMG audit partnerRisk Management (1000 eyes), Never saw a collision, social order, Did you see them stop to innovate, or did you see any pink slips?Flow 24/7 LinkedIn GodMathematical analysis of flock dynamics show how each starlings movement is influenced by every other starling and vice versa. It doesnt matter how large a flock is, or if two birds are on opposite sides. Its as if every individual is connected to the same network.

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Convergence - the process or state of converging as in the convergence of lines in the distanceBiology the tendency of unrelated animals and plants to evolve superficially similar characteristics under similar environmental conditionsA location where airflows or ocean currents meet, characteristically marked by upwelling (of air) or downwelling (of water)

FlowVerb (of fluid, gas, or electricity) move along or out steadily and continuously in a current or streamNoun - The action or fact of moving along in a steady, continuous stream

Organizational Convergence and Flow

Convergence technology, software everything is becoming more inter-related. Think about Audits Roger ODonnell , Analytics, IBM & Microsoft plug-n-play 2. Words that companies need to start embedding in their language and culture21

Biomimicry is an approach to innovation that seeks sustainable solutions to human challenges by emulating natures time tested patterns and strategies.

www.biomimicry.org

Genius at work

As computers get smaller and faster, they generally produce more heat, which needs to be dissipated or else the computers will overheat and break. The smaller they are, the more this becomes a problem. Engineers at Oregon State University have developed a fractal pattern that can be etched into a silicon chip to allow a cooling fluid (such as liquid nitrogen) to uniformly flow across the surface of the chip and keep it cool. The fractal pattern above derived from our blood vessels provides a simple low-pressure network to accomplish this task easily.

Fractals whats the big deal?

Part of whats driving the transformation also in fluid mixes, urban planners, commercial antennae (especially in cell phones)Fractal is a never-ending pattern. Fractals are infinitely complex patterns that are self-similar across different scales. They are created by repeating a simple process over and over in an ongoing feedback loop24

Organation (Organic/Organization)

Leadership & Management WSResource WSVisionOnboarding WSServicing WSProducing WSPurpose

1. One celled organism2. Role of leadership and management has to change3. Purpose Why does you company exist? Simon Sinek Golden Circle why how what - most people dont know25

for the ENTIRE organization

Difference between Creativity and Innovation FocusCreativity is about unleashing the mind to conceive new ideas, which manifest themselves in something we can hear, smell, touch or taste

Innovation (Charlie Garland) is the process of creating new value, through the unique use of available resources

How do your organizations grow this symbiotic relationship?Cultivating Creativity & Innovation

Was going to say you have to go to hear Charlies talk to find out 26

Do youFocus on innovation of the management systemHave Core Values for ensuring Creativity and Innovation?Have Creativity and Innovation as Competencies?Focus on innovation of processes not just improvementAre your suppliers, partners, and/or collaborators helping drive innovation?What is your company-wide innovation rate?

Lets ask some more questionsGetting off the ground

Test people on management systems knowledge27

How does Senior LeadershipCultivate an environment of innovation?Create a focus on action that helps create innovation?

How does your strategy development process stimulate and incorporate innovation?

Do you use customer information to improve and identify opportunities for innovation?

More Questions

Knowledge ManagementHow do you use findings from performance reviews to develop opportunities for innovation?How do you assemble and transfer relevant knowledge for use in your innovation process?

WorkforceHow does your workforce performance management system support reinforce intelligent risk taking to achieve innovation?How does learning and development system support innovation?

And More

OperationInnovation Management how do you manage for innovation?Your innovation management process should capitalize on strategic opportunities?ResultsWhat are your current LEVELS and TRENDS in KEY MEASURES or INDICATORS of Innovation?What is your work system rate of innovation?

A few more

Are you always fighting fires or are you innovating? Put a percentage on that 80/20 most organizations have it flippedThrough your learning system can you tell me your organizational potential for innovation?Are the above approaches systematic Systematic approaches are repeatable and use data and information to enable learning. In other words, approaches are systematic if they build in the opportunity for evaluation, improvement, innovation, and knowledge sharing, thereby enabling a gain in maturity.

Final Questions

Agility vs AdaptabilityAgility is a concept that incorporates the ideas of flexibility, balance, adaptability, and coordination under one umbrella.

Adaptability is to embrace changewikipedia.com

Need both Agility and Adaptability32

New words and focus

We need to start smoothing out the transformationsIt begins with you what are you going to do when you leave here?

Innovation ProtrackGreg Stamm KPMGs Audit of the FutureGrace & Byron Modular KaizenCharlie Garland Cognitive BuoyancyCharlie Garland Polarity Thinking Paul Frangoulis IBMs Cognitive Solutions Cognitive NOW!Capstone Panel 2020 Future Shock or Future SuccessGrace, Charlie, Paul and Calin Moldovean & Roger O'DonnellSo What?

Almost done!

Need:A new way of flowing our companiesOrganizing principlesNatural laws and orderGet rid of the baggage i.e., silos, stovepipes and weights

Even though were going to have to transform lets be human about it!

Thank You!

Brian Hettrick 603.896.6700brian.hettrick@somaassociates.comFlowing on

Fractals: The Colors of Infinity Arthur C. Clarke

Brian Hettrick is Principal and Chief Flow Officer of OSITL (Organic Systems Innovation Thought Leaders). His company helps organizations develop high-performance knowledge management systems winning both industry and state quality awards. His current focus is on the convergence and flow brought about by the major advances in technology and how to both mitigate and actually leverage the disruption that often accompanies such. He was KPMG's representative to the US TAG 176 and a former RAB auditor for several registrars. He has spoken at conferences around the world and published articles on quality in different industries. He is active on several boards for both charitable and business causes.

Brians Bio