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Are you Wisdom Economy ready? John Findlay & Abby Straus Maverick & Boutique/Zing.

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Presentation on theme: "Are you Wisdom Economy ready? John Findlay & Abby Straus Maverick & Boutique/Zing."— Presentation transcript:

1 Are you Wisdom Economy ready? John Findlay & Abby Straus Maverick & Boutique/Zing

2 1. This presentation 1.A complex and uncertain future 2.What stage is your organization or school? 3.The pace of innovation has changed. 4.Thinking like a complex adaptive organization 5.Wisdom Economy criteria 6.What next?

3 Leveraging accelerating change, complexity and uncertainty

4 In 1982 John Naisbit identified these major trends…. Industrial EconomyInformation Economy Forced technologyHigh-tech, High-touch National economyWorld economy HierarchiesNetworking Short termLong term CentralizationDecentralization Institutional helpSelf-help Representative democracyParticipatory democracy NorthSouth Either-orMultiple choice

5 Last year it was change, now its complexity ARMONK, NY, - 18 May 2010: According to a major new IBM (NYSE: IBM) survey of more than 1,500 Chief Executive Officers from 60 countries and 33 industries worldwide, chief executives believe that -- more than rigor, management discipline, integrity or even vision -- successfully navigating an increasing complex world will require creativity.IBM

6 Faster, more complex and uncertain… Globalization of relationships. Growth in interconnectedness.. Acceleration and democratization of the knowledge creation process. Divergence and diversity of world views. Increasing complexity and interdependence of systems.

7 Driven by expanding knowledge creation and use EraKnowledge useCharacteristics WisdomWise ApplicationCo-creation and its wise application by most people in society. KnowledgeCo-creationCo-creation by many people in organizations InformationRe-purposingA growing community of knowledge creators and re- users. IndustrialTransmissionCreated by experts, used by the masses

8 Organizations as complex adaptive systems Emergent, self-organizing, fractal (self-similarity at every scale), low level rules of interaction lead to complex outcomes, auto-catalytic, order for free, sensitive to initial conditions e.g. butterfly effect

9 Accelerating change and complexity – the back story

10 During the 20th Century the US workforce expanded US Department of Labor, 2001 This story is repeated across most OECD countries.

11 But now routine jobs are declining and expert jobs are increasing.

12 There have been some radical shifts in 20 th century workforce composition US Department of Labor, 2001, and other sources This story is repeated across most OECD countries.

13 Some Emerging Wisdom Age Jobs Certified ethical hacker Ecological footprint auditor Conversation architect Recycling consultant Brain fitness coach No-waste consultant Complex projects leader Organic food auditor Chief cultural officer Global governance director Rituals designer Mature age wellness manager Human-human interaction consultant Organic farmer Polarity management mentor

14 Of the six waves of transformational change, three have been in our lifetime


16 The drivers: language, tools and brains co- invent and transform each other

17 The pattern to the change EraOnsetPeriodRatio Wisdom2010Emerging Knowledge : 5.0 Information : 5.0 Industrial : 5.0 Agriculture Mining & building 8000BC 1,2001 : 5.0 Agriculture8,5001 : 4.9 Hunter-gatherer50000BC42,0001 : 4.3

18 This pattern to human social and technological development closely approximates the Feigenbaum delta, 4.669*, the ratio of the emergence of successive periods (period doubling cascades) of complex systems such as ecologies and markets.

19 Crisis prior to emergence Saynisch, M (2010). Beyond frontiers of traditional project management, 41(2). (21-37).

20 1. Fractals Self-similar at every scale. Leadership distributed through an organization system. All adhere to the same rules/principles. Complexity Self-organizing system with many degrees of freedom. Shift to more complex order at bifurcation points. such as team formation, the brain, breakthrough innovation. Chaos Small error occurs in a highly constrained system that spins out of control, such as the BP oil spill, sprouts deaths in Europe, A380 engine.

21 At what stage is your business or community?

22 INDUSTRIAL AGE ( ) MetaphorMachine TechnologiesTractors, trucks, motor, telephone, radio, railways, aircraft, electricity. Productivity gainAutomates manual work, the work of farmers, miners, artisans, animals. Rate of changeTransformational change in 12 generations. Agriculture lasted 400 generations. Knowledge useKnowledge telling e.g. lecturer, instructor, supervisor RolesManager-worker, employer-employee, supplier-customer. Production methodsCentralized mass production, Standardized. No variety. Strategic focusDecision making by senior mangers or owner. Inventors turned business owner. Co-ordinationInstructions, orders, directives, rules, laws, regulations Organization structureHierarchy. Central control. CommunicationsFormal meetings led by chairperson. Emphasis on monologue (instructions) and debate (formal).

23 INFORMATION AGE ( ) MetaphorComputer TechnologiesSoftware e.g. spreadsheets, word processors, television, photocopier, mobile phone, fax machine. Productivity gainsAutomates routine cognitive work, e.g. secretarial, clerical, numerical. Rate of changeTransformation in two generations. Knowledge useKnowledge reproduction, e.g. on-line learning RolesTeam leader-team member, trainer-trainee. Supplier-agent or representative. Production methodsDistributed production closer to customer. Local customization of mass production. Expanding choice. Strategic focusDistributed, national and global. Longer term focus, e.g. five years. Do-it-yourself. Co-ordinationExpert procedures & methods. eg. systems engineering and project management. Expert know-how eg. doctors/nurses, Organzation structureDistributed, autonomous, matrix, cross -unctional reporting. ComunicationsInformal discussion, information seeking/giving. quality circles.

24 KNOWLEDGE AGE ( ) MetaphorThe network TechnologiesInternet, I-phone, voice response systems, expert systems and processes, automatic trading, lasers, software as a service, multiplayer games, CRMs, data mining, mesh services, eg. zip cars. Productivity gainsAutomates knowledge and relationships work, eg. The work of professionals, middle managers, travel agents, etc. Rate of changeTransformation in one generation Knowledge useKnowledge creation RolesServant leader, co-creator, facilitator-contributor. Production methodsCustomized. Customer involved in the design/delivery. Strategic focusLong term focus. Vision for years informs short term. Co-ordinationCross-functional teams using shared databases and complex decision processes and facilitation techniques. Organization structureNetwork, short-term teams come together for a purpose, dissolve and reform as new teams. CommunicationsFacilitated meetings, creating knowledge via dialogue (empathic). dialectical (integrative) and sense-making.

25 WISDOM AGE (2010-) MetaphorComplex adaptive system, eg. Ecology, market or brain TechnologiesNanotechnology, biomimicry, advanced energy, tools for expanding consciousness and relationships eg. social media, and complex adaptive learning environments Productivity gainsAutomates scientific, judicial, leadership or wise expert work. Rate of changeTransformational change is less than a generation to something bigger. From unconscious to conscious Knowledge useWise application of knowledge RolesOrchestrator-interactor, challenger-designer/creator, inspirer- activist, researcher-discoverer, prod-users. Production methodsAgile, adaptive, high value-add, high precision. Rapid prototyping. Customizable by customer, anticipates your needs. Strategic focusTranscend and include. Whole system, multiple generation, paradigm and cultures. Shift from boundaries to horizons. Co-ordinationSimple local rules/principles > desired complex global activity & behavior. Facilitate what emerges. Simulation, improvisation. Organization structureMulti-flex, shape shifting. Uses many kinds of structures for maximum efficiency AND creativity and agility CommunicationDialectical discourse (win-win-win, does it work for everyone).

26 At what stage is your school, college or university?

27 INDUSTRIAL AGE FeatureTraditional classroom FocusKnowledge telling Classroom organizationIndividual desks facing the front of the room for listening and control Pedagogical roleInstructor, tester, behavior controller Learner roleNote taker, listener, exercise completer, test taker Types of questionsClosed LanguageDirective, disempowering You will…, You must… ToneSilent, working alone TechnologyBlackboard and chalk, slides, computer, whiteboard, textbooks ConversationMonologue ExpectationsLearners perform prescribed tasks, take in information and play it back

28 INFORMATION AGE FeatureOn-line learning FocusKnowledge reproduction Classroom organizationRows of computers in a laboratory or home computer connected to a server Pedagogical roleInstructional designer, tutor Learner roleInformation finder, reproducer Types of questionsQuestionnaires, true-false, closed to assess progress through the course LanguageDirective, instructive ToneIndependent, remote TechnologyManaged learning environment, e.g. Blackboard, simulations, web pages, , software for word processing design, spread sheets ConversationDiscussions with tutors and peers ExpectationsLearn from on-line resources and repurpose information

29 KNOWLEDGE AGE FeatureClassrooms for conversation FocusKnowledge creation Classroom organizationTables and chairs for conversations Pedagogical roleFacilitator, modeler, questions designer, orchestrator Learner roleParticipant, facilitator Types of questionsOpen/discussable LanguageInclusive, respectful, e.g. Let us…, What if we…? ToneConversation, active TechnologyTeam meeting systems, internet, simulations, blogs, wikis ConversationDialogue ExpectationsResearch (web and library), discuss issues, undertake projects

30 WISDOM AGE FeatureWise application of knowledge FocusCreating boundary conditions for emergent knowledge Classroom organizationMultiple activity spaces using all learning modalities Pedagogical roleInspirer, setter of initial conditions for viral/contagious learning, designer of infinite games Learner roleCo-creator of learning activities, facilitator, leader Types of questionsRich question and activity sequences to develop models, theories, decisions and explore ethical dilemmas LanguageTranscends and includes, plays with many world views TonePlayful, integration of all intelligences, shift from boundaries to horizons, both/and thinking TechnologyTools for expanding relationships and consciousness, multi- player games, collective play, polarity management ConversationEthical dialectical (does it work for everyone?) ExpectationsIntelligent information emerges from the system, we learn to operate in increasingly ambiguous and complex worlds

31 The pace and kind of innovation has changed

32 In slower times incremental innovation was good enough

33 In times of rapid change, breakthrough innovation is essential

34 Words, tools and job extinctions With the horse went the buggy, the buggy whip, the smithy. The saddlery and the harness maker. With the car came the oil and gasoline industry, motels, paved roads, traffic courts, suburbs, shopping malls and fast food restaurants… Stuart Kauffman, complexity theorist

35 Key Wisdom Economy technologies Co-creation and sense making tools Crowd and cloud computing Nanotechnology No-waste systems Multiplayer games and simulations Networks that learn from each other Renewable energy Biomimicry Neural interconnections Self-repairing systems Genetic modification Automation of knowledge and wisdom work. Local product printing Needs anticipation

36 Wise application of knowledge inside

37 New wise application of knowledge products, services and jobs Brainstorm one or more concepts for new products or services which have wise application of knowledge inside. Describe how the product/service/job automatically causes people to behave or operate wisely.

38 The new way to dynamically steer organizations

39 New order emerges in complex adaptive systems when the system becomes richly connected – think brains, communities, markets and ecologies – but not too highly connected….

40 The complex adaptive organization is like an ecology of interdependent species A multi-flex organization of interdependent types include the cost efficient machine bureaucracy, the powering ahead entrepreneurial, the creative innovative as well as the professional, diversified and missionary.

41 Red spot on Jupiter Complex adaptive systems are sustained by energy flowing through them The economyAn ecosystem



44 Different initial conditions (start points) can have radically different outcomes ChaosSteady statePeriodic Pi = , 4.1, 1.5, , 2.6, 6.5, …… 3.3, 3.3, 3.3, 3.3, 3.3, 3.3, 3.3… , , 2.1,1.2,2.1,1.2…. Simple local rule or boundary condition: Starting with different initial conditions, at the next step, delete all numbers to the left of the decimal point and multiply by 10,

45 Attractors can be a powerful driver or limit the development of a system PointLimit cycleStrange Sometimes called a basin or a steady state attractor, that exert s a pull on the system from within the system, e.g. a regular payment, shared value or vision, shape = a basin. Where the system goes through a cycle e.g. the drama triangle and the empowerment dynamic, shape = rim of a hat. A period doubling cascade e.g. waves of change, where new kinds of order emerge, at higher levels according to a broad pattern. Polarities such as decentralize- decentralize, self-other.

46 Wisdom economy operating principles

47 New kinds of rules of interaction PastFuture Develop and pursue strategyCreate waves of possibilities Planned growthRetro-viral, synergistic growth Play finite games (win-lose)Play infinite games (win-win-win) Solve problemsManage polarities Discourage dissentEmbrace diversity Different strokes for different folksFractal (self-similar) relationships Apply expert knowledgeCo -create knowledge Abandon the old for the newTranscend and include Achieve critical massGrow rich connections Monologue, discussion and dialogue. Dialectical ethical dialectical discourse

48 McKinsey technology trends have complex adaptive features Co-creating knowledge across organization systems Engaging with the customer as a co-innovator Tapping into all forms of talent across the world Extracting more value from interactions Expanding automation Unbundling production from delivery Ensuring management processes are more scientific Creating new businesses out of information Machine-to-machine communication

49 Wisdom Economy products and services criteria 1. Wise application of Knowledge inside. The capability of wise experts (mediator, ethicist, scientist, thought leader) is acquired through use. 2. Offers the desirable values of sustainability, natural, low energy, glamour, beauty or good design 3. Is retro-viral. The product or service replicates meaning. It tells a powerful story that the user feels compelled to repeat or embellish with their own story. 4. Automatically maximizes positive externalities (side effects from their use) while minimizing the negative aspects. 5. Anticipates needs and helps people evaluate their choices in the context of the bigger picture or wider community to achieve win-win-win outcomes.

50 Control methods for complex adaptive systems 1. Involve the whole organization system, including those who may be part of your future in the co-creation of attractors at the intersection of what we collectively value. 2. Grow the organization and the communitys global connectedness. e.g. thought and technologies leaders. 3. Develop a set of fractal rules of interaction, powerful local principles, eg retro-viral, generosity of connection, distributed capacity, breakthrough innovation, servant leadership, possibility thinking, polarity management. 4. Apply principles of knowledge creation, sense-making, feedback to constantly co-create new knowledge, convert the new knowledge to products, products or services, 5. Constantly monitor the system. Provides resources to what works. Dampen down or abandon what does not work. 6. At crisis points, involve the whole system in its immediate reinvention to a new and higher level of order.

51 What next?

52 Some of our Wisdom Age tools

53 A complex adaptive learning system for making sense of a Wisdom Age world

54 Ideas from many conversations are generated and shared in real-time, keystroke-by-keystroke to create a shared brain.


56 Every idea is announced and valued. Participants look for the patterns in the ideas that bridge the differences in the room.


58 New knowledge emerges across the boundaries of our world views.

59 Emergent shared knowledge Ideas People

60 Sequences of rich questions are used to reach consensus about strategy, tactics, new theories, etc. through idea integration.

61 Experiment: What happens in our brains when we ask different kinds of questions? Closed, left brain, automaticRich and open, right brain, auto catalytic

62 Emergent learning process using rich question sequences

63 Conversations in pairs, sharing of ideas, and sense-making using a dialectical discourse method achieves consensus, so the best, most richly integrated ideas emerge that are a good fit with the environment/context.

64 Discourse types as rules of interaction


66 Some examples of our suites of meeting and learning applications that replicate the methods of the worlds thought leaders


68 Visit Contact John Findlay, Abby Straus,

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