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Understanding growth

Understanding growth. September 20 th 2013 – Montreal. Maturity. Growth. Startup. Organizations have a limited natural life span. Impact. Time. Healthy organizations renew across three horizons. Horizon 3. Create viable options for the future. Horizon 2. Build emerging opportunities.

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Understanding growth

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  1. Understanding growth September 20th 2013 – Montreal

  2. Maturity Growth Startup Organizations have a limited natural life span Impact Time

  3. Healthy organizations renew across three horizons Horizon 3 Create viable options for the future Horizon 2 Build emerging opportunities Horizon 1 Extend and improve core activities

  4. How healthy are your horizons? Horizon 1: • Delivering against mission? • Sustainable cost structure? • Stable or growing revenue? • Reasonably safe from external shocks? ? Horizon 2: • Initiatives that could become as big as current core? • Initiatives gaining momentum? • Attracting talent? ? Horizon 3: • Leadership dedicating real time to new opportunities? • New ideas markedly different than last year’s list? • Ideas started in concrete, measurable first steps? ?

  5. Six unhealthy (but common) patterns • Under siege • Losing the right to grow • Running out of steam • Ideas but not building business • Inventing a new future • Failing to seed for the future

  6. Overcoming inertia • Earn the right to grow • Achieve operational excellence • Cut out distracting/low potential activity • Build confidence of stakeholders • Build the resolve to grow • Gain senior team commitment • Set higher aspirations • Remove organizational barriers • Search for new opportunities • Create expansive mindset by redefining who you serve and how • Explore “seven ways to grow”

  7. Building momentum • Staircases to growth • Build new ventures in small measured steps • Assemble or acquire new capabilities with each step • Active adaptation • Adapt the organization model as new ventures are launched and rolled out • Cocooning • Protect and nurture emerging new ventures

  8. Staircases to growth Aspiration Existing capabilities New capabilities Required future capabilities Organization capabilities

  9. One key is identifying your growth talent Horizon 3 Horizon 2 Horizon 1 • Operators (Horizon 1) • Analyze, plan, control • Minimize risk • Focused on current operations • Think linearly • Inside-out; product-based • Determine why things won’t work • Sustain current position • Growers (Horizon 2 & Horizon 3) • Do it, try it, fix it - experiment • Take risks • Create a whole new budget • Think laterally • Outside-in; market-based • Understand how to make it work • Sustain growth

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