The continuing stagnation of the market, a hypothesis advanced by us in unsuspecting times, is proving to be the bold reality with which the real players of today’s economic system, that is, entrepreneurs, must confront each other.
In fact, during the ‘hengi4you’ of last June 16, the synthesis reached to create the consolidated expansion in such market trend is to realize more and more the enterprise as a socio-economic system. It is clear that the concept ofsocio-economic system may appear or as a mere theory, with which one can only agree but which, admittedly, results as a difficult and inconvenient objective and therefore impossible, or how the collective challenge that this economic scenario poses to all of us to grow in a context where making a difference is indispensable.
The company has two characteristics that make it most useful and unique in the reference market, both known and unknown. The first, the social one, rests on foundations such as collective intelligence, that is, the competence of the organization to think strategically together, and profit, as the value of creating well-being for all. the second, the economic one, instead, is based on radical ambition, on the collective choice of continuous improvement by the whole organization for each and every level, and on prosperity, since profit is not only for everyone, but in continuous ascent on both intangible and tangible factors, in simultaneous symbiosis with the planet.
From the scheme it is evident that, in the relationship between sociality and economy, the cyclical synergy between motivation and productivity leads the company to live the union in the values of leadership and partnership. The leadership, that is the decision of maximum internal utility of the organization, naturally results in the partnership, that is the decision of the internal organization to be maximum uniqueness towards the suppliers and the customers.
It is from this natural consequence that the company creates the aesthetic from the ethics. Become the partner system most highly desirable economic is the connotation necessary to respond to the demand of the market of strong identity and persistent recognizability and to activate the exchange in abundance in growing the collective perspective. Without the realization of the company aesthetic, being indifferent in the market becomes the incomplete and bankrupt result of the enterprise.
Not to realize the socioeconomic enterprise today means to be without ideas in the market of ideas.
This market is defined as the market of ideas.
In what sense? How did you move from a product and service market to an ideas market?
The ideas market has the priority of evolving the corporate culture andthe human quality of the results as a principle to counter and avoid the tragic sub-market price.
At this time and increasingly for the future, the market is rewarding players who have ideas, that is, who decides the strongest belief in their decisions. Without ideas, the uncontrollable variables of the market are problems and not opportunities. This belief, however, must lead to creativity, that is, to the ability to create the conditions for maximum usefulness and uniqueness. Simple “make” is no longer synonymous with success and productivity. This avoids falling into the trap of the demotivated performer, rather to say of a sterile collaborator who tends to “always do the same”; because uninhabited to think about the motivation of improvement and be innovation and not become, even unknowingly, resistance to corporate change.
The comparison with the result, able to generate itself in the continuous thinking strategically together, is the stable datum that must generate growth. Without collective growth the result is incomplete, that is, an end in itself and no longer highly desirable, it dangerously reduces the company’s aesthetic and, as already seen, its usefulness and uniqueness. The consequence of growth is change, that is continuous improvement as a true product that the market expects as a structural condition for evolution and prosperity.
Not only, therefore, achieve growth results, but continuously improve these results for continued growth and the perspective of the enterprise and its partners, in a system that self-motivates in cyclical productivity widespread.
The ideas market creates the newly designed context: in such a climate the socioeconomic enterprise realizes and evolves the well-established expansion.
The enlightened entrepreneur has a clear ethical principle essentialto give productivity and motivation to the enterprise. The smartest and most ambitious organization must grow. Intelligence is the logical comparison with reality for change, while ambition is the declaration of maximum altruism expressed by people.
Intelligence is the fundamental value to activate in the enterprise system the cycle of the4 i. This cycle states that intelligence, in fact, allows confronting the change (reality) to stimulate the ingenuity of people. Putting genius into play allows anyone to make their own emotional contribution to the improvement of the corporate utility; every actor in the corporate system has his own “because” important for others which must manifest itself in effective results for the growth of the community. The opportunity that people have to realize the usefulness of their productive tangibility prevents them from blurring into neurosis such as frustration, demotivation and nervousness, resulting in low self-esteem.
The third “i” is the consequence of ingenuity. Innovation represents the competence of the organization to bring new ideas to achieve greater utility and uniqueness, namely to become change in change, improvement in improvement, individual growth in collective growth. Here is that entrepreneurship is the premium of the company that decides to be pro-active in the market to be increasingly able to create conditions and become a reference for market opportunities. The choice of the companies leading to the collapse of the bankruptcy. Not to change in a market of accelerated change is a suicide not justifiable for the quality of life of people who believe and interact with and in the organization.
The leader, the human engineer, at the present time must decide to think strategically with his own internal and external organization in the “imperfect storm of the market”.
The strategic thinking
Is to order ideas to define the ability of the organization to determine what is best achieved today to ensure the challenging corporate vision. The key principle is “what to achieve” and not “how to do” to give space to people’s creativity to put into play the maximum value for the company’s final quality result, understood as people’s responsibility in terms of role, individual productivity and collective expansion.
Is the first decisive step to face with economic positivism (sure perspective to condition the events positively for the future through stable, readable and evaluable data, in the optical of the conscious improvement from the members of the organization) the bold challenge of the enterprise economic, that is, the greatest usefulness and uniqueness.
Today’s market rather than being, as is too commonly understood, a “perfect storm”; it is, instead, a situation of “imperfect storm”
Let’s analyze what it is. The expression “storm perfect” is attributable to the economist Nouriel Roubini, who used it in the summer of 2012 to prophesy the imminent end of Euro. This is a mix of financial conditions, leading to a market crash. Although apparently surpassed by the recovery of the eurozone, the perfect storm returns to speak in early 2016, coinciding with investor concerns about the stock market crisis, linked to the poor dynamics of the global economy.
It is clear that there is an instrumentalised tendency to make the economy always dependent on external marginal economic factors such as financial conditions or world stock exchanges, but this is not the case and it can no longer be so. The economy depends exclusively on the real players who make it up, those who are able to make“”profits; like enterprises and not subordinates who live by them.
The entrepreneurial fabric must refuse to be conditioned by those who are not economics, such as finance and states, and take up with greater awareness their role as protagonists in creating conditions of productivity, profit, prosperity and perspective for the planet.
Unfortunately, Keynesian and monetary post-economy, the daughter of the last century and capable of bringing the world to the irreversible crisis of 13 September 2007, research the causes of a lasting and stagnant crisis of recent years in exogenous phenomena disconnected from the real entrepreneurial economy. Nobody can understand that the real reasons for the block of world economic growth are to be found in the continuous alienation of the driving force of profit, relatively associated with the enterprise.
Not recognizing the value of the entrepreneur as the only value capable of improving the world’s economic fortunes represents the umpteenth mistake of economists and statisticians of the planet.
This is why for the entrepreneur it becomes basic and strategic to analyze the 4 successful drivers of the enterprise system.
area of intelligence corporate culture and strategy
area of intelligence
organizzazione strategica aziendale
area of ambition
productivity and quality of the business method
area of ambition
the quality of the final farm result
The 4 drivers become the pivotal points on which to focus at the same time because their socio-economic enterprise strengthens the pro-activity towards the market of the ideas, which requires continuous improvement as the most highly desirable final quality product.
They shall be:
1. The strategicthinking
2. The selection and strategic growth of people
3. The light thought
4. Planning and monitoring
1. The strategic thinking
We have already talked extensively about strategic thinking and it is evident that it is the driver “prerequisite” for the orderly occurrence of the remaining three.
The strategic thinking, located in the area of intelligence, is based on involvement in the corporate culture, on sharing the consequent strategic priorities and determines the cycle of the 4 c. As it was said, being able to think collectively your code of ethics for the maximum utility and the strategic code for the maximum uniqueness is the cornerstone for the organization to define a strong identity. This allows the organization to be constantly recognized to motivate itself to improve productivity and create and grow profit as a corporate ethic.
From this driver the organization manifests its strong social attitude (deciding the highest level of usefulness for people).
area of intelligence
company culture involvement
2. The selection and strategic growth of people
In companies today, the selection and growth of people almost never follow a clear, defined, shared and in line with the vision.
The selection of personnel is always left on the fringes of corporate competence or entrusted to false tactical advice, not at all involved in the corporate culture. It is the strategic emergency to decide the insertions and never a design that follows the orderly growth of the enterprise system.
The organigram is entrusted to chance or needs and not in line with the challenging vision, while the organization is based only on knowledge and not on the productivity of roles. Problems of egocentrism and demotivated performers are not analyzed and rarely taken into consideration, creating antagonisms and resistance to change dangerous to the integrity of the company.
We take business organizations into account. The commercial department is left in disarray without considering an organigram strategically studied, without an internal training that leads to giving logic to the business activity and often lacks the quality of the sales method that creates a lasting and winning partnership with the customer.
Making the organization strategic in coherence with the obtainment of the vision is the absolute winning value needed to create the strong commercial attitude (deciding to make a difference for people).
people selection and growth
area of intelligence
consolidated expansion attitude
quantity of the exchange
quality of the exchange
3. Lean thinking
At a certain point, in the 90s entering lean production had become a fashion that could not be undertaken. Had become a little bit like marketing, needed more to write it in the corporate organigram than really understood in its essence and applied correctly to the firm’s consolidated expansion.
Today, lean thinking has undergone an important evolution that aims more to determine the correct attitude of the organization, in every functional field and not only more in the production department, than to specify wastes and processes. In fact, lean thinking is based on two foundations:
- Increase in productivity
- The elimination of waste
In this perspective of continuous optimization, the organization is involved in theautopolitical(self-organizing generative) in which the ability to ascertain the error for the corrective becomes the main competence.
Education to excellence helps to form the company’s final product, which is continuous improvement. Lean thinking creates the decisive economic attitude (deciding the highest level of uniqueness for people).
area of ambition
order of the quantity of results
order of the quality of results
elimination of waste
ascertain the errors
identify the corrective
close the loop
4. Planning and monitoring
The fourth driver is perhaps the most self-referenced or forgotten in today’s organizations.
In fact, few realities have clear the meaning of the numbers in the company finalized to the two essential components of the profit:
1. The quality of the final farm result
2. The budgetary challenge
To be clear, define the company numbers (income and expenses in the time unit) in coherence to the maximum usefulness, maximum uniqueness and high desirability means giving intelligence to the prospect for the company that wants to become excellent in the current market. The numbers are not just a summary to be read: they become an a posteriori analysis to decide, logically, a summary of the continuous opportunity of improvement for and with the organization.
In fact, do not create, replicate and optimize a process that:
A.Indicate which numbers exactly the enterprise must know and know how to measure
B. Provide the exact procedures for extrapolating data relevant for the strategy
C.And that, above all, does not make it readable for a quick realization to decide the continuous improvement
Becomes a dangerous managerial approach that leads to an improvised growth of the organization with mystification of the change necessary for the current socio-economic situation.
Control does not only mean “how much to invoice”, “measure the margin”; and/or “know how much costs”, but it is a competence that is fundamental to create an effective business strategy to get the vision.
The budget in the company is defined and sometimes shared, but it hardly becomes an uncomfortable and constructive confrontation to encourage the organization to continuous improvement through sharing the error for the corrective. This allows you to design, order the challenging goals for growth, plan over time their realization and plan, as a team game, the tactics necessary to obtain and replicate them with improvement.
In this context, planning and control are the endogenous motivation to grow the strong attitude to the change of the organization (deciding the ethical duty of leadership/ partnership).
Finally, in the imperfect storm of the market the socioeconomic enterprise must embrace the provocative and far-sighted challenge of evolving the most highly desirable systemic organization to create and grow consolidated expansion. No more alibi but to allow thehappiness and freedom of people.
Planning and control
area of ambition
quality of the final result
orientation to the budget
comparison continue on challenging goals for the replicability and improvement
attitude to change
Finally, in the imperfect storm of the market, the socio-economic enterprise must embrace the provocative and far-sighted challenge of evolving the most highly desirable systemic organization to create and grow consolidated expansion. With no more excuses but to allow people’s happiness and freedom.