2016 entrepreneurs guide to building a disruptive organisation by matthew griffin, 311 institute

THE ENTREPRENEURS GUIDE TO BUILDINGDISRUPTIVE ORGANISATIONS

Matthew GriffinCEO and Chief Advisor311 Institute

311 Institute

© 2016, 311 Institute, Matthew Griffin

YOUR HOST

Described as “The Adviser behind the Advisers”.

Recognised in 2013 and 2015 as one of Europe’s foremost Futurists and industry disruption experts Matthew is an award winning international speaker, founder and writer.

Speaking alongside notaries including Steve Wozinak, MIT’s Andrew Lippscombe and the BBC’s Nick Robinson Matthew helps entrepreneurs, governments, investors, multi nationals and regulators predict, shape and lead new disruptive cultural, industry and societal trends. His clients include Bain & Co, BCG, Bank of America, Dell EMC, Dentons, Deutsche Bank, E&Y, Goldman Sachs, KPMG, McKinsey & Co, Morgan Stanley, PWC, Schroeder's, UBS and the UK’s HM Treasury.

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311 Institute

This presentation, based on the 311 LoneStar Methodology is a first of a kind. This high level presentation aims to provide Entrepreneurs with a guide that will help them to create new disruptive businesses and industries, as well as disintermediate and disrupt incumbents in existing markets.

• Global Mega Trends

• The Mechanics of Disruption

• Industries of the Future

• Building the Disruptive Organisation

WHAT’S IN THIS PRESENTATION

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CHANGING THE

WORLDIS ALWAYSDISRUPTIVE

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Global Mega Trends

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ACCELERATING RETURNSWhen technologies are combined they create new more impactful technologies that help accelerate, enable and underpin new disruptive cultural, industrial and societal trends.

7© 2016, 311 Institute, Matthew Griffin

FUTURE TRENDSIn the next decade new technology enabled trends, from the Internet of Everything to Telehealth will create over $16 Trillion of new value.

Every trend will gift disruptors new opportunities to create and lead new industries.


INDUSTRY 5.0But … we are nearing a tipping point. Humanity is creating, delegating decision making and putting its trust in a new generation of creativeand intelligent machines.

As a consequence the next generation of organisations will be built by Machines not Humans.


The Mechanics of Disruption

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Introducing the

311 LoneStar™Disruption Methodology

THE CHALLENGEWhen executives want to become proactive disruptors they face a common challenge.

With no journey plan or disruption methodologies to follow they call this challenge “Crossing the Chasm”.

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LET’S TALK ABOUTBUILDING THEDISRUPTIONREADY ORGANISATION

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WHAT IS . . . ?

DISRUPTION /dɪsˈrʌpʃn/ noun

“An event that causes an unplanned, negative deviation from the expected delivery

according to an organisations objectives.”

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IT’S DIFFERENTDisruption and Innovation are not the same.

Just because an organisation can innovate it doesn’t mean it can disrupt.

Innovation is one small subset of disruption which is a complex, multi faceted process.

INNOVATION ≠ DISRUPTION

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START WITHTHE COREAND DESIGN AFUTURE READYORGANISATION

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CONTINUAL REINVENTION

Organisations must be willing to not just innovate, but reinvent themselves and their industry on an increasingly regular basis

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OPERATIONAL EXCELLENCE

Serial disruptors strive for excellence and differentiation at every stage

1. Vision2. Culture3. Discovery4. Build5. Execution

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CONSUMPTION MODELS

Disruptors leverage new consumption models to their advantage

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CONSUMPTION MODELS

Disruptors leverage new consumption models to their advantage

EMERGING TECHNOLOGIES

Disruptors leverage and combine emerging technologies to their advantage

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ADVANCED MANUFACTURING 8

BIOTECH 32

DIGITAL CONNECTIVITY 15

ENERGY 17

GEOENGINEERING 4

MACHINE SYSTEMS 18

MATERIALS 23

ROBOTICS 6

SECURITY 12

SENSORS 14

USER EXPERIENCE 18

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178 TECHNOLOGIES . 11 CATEGORIES

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Machine Systems

The emerging technologies in this category, such as Artificial Intelligence, Blockchain, Cognitive Computing, Quantum Computing and Software Bots are accelerating the pace of innovation and disruption in every other category and industry.

1. 3D Chips2. Artificial Intelligence3. Blockchain4. Cognitive Computing5. Computational Semantics6. Containers7. Deep Learning8. Machine Learning9. Machine Vision10. Memrisistor11. Procedural Storytelling12. Quantum Computers13. Sentient Software Systems14. Sidechain15. Silicon Photonics16. Smart Contracts17. Software Bots18. Swarm Intelligence

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Industries of the Future

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There are countless new industries hiding in plain sight on the Radar.

In this section we will highlight how an organisation could combine different emerging technologies together to disrupt an industry or create a new one.

Those organisations with the right innovation and execution strategies could eventually disrupt today’s incumbents and become the next market leaders.

INDUSTRIES OF THE FUTURE

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Drone Economy

• By 2030 companies will be able to deliver goods and services in near real time to any location on Earth

• Economic Impact

$5 Trillion per year

Emerging Technologies Involved

Digital Connectivity (5G, Cognitive Radio, High Altitude Stratospheric Platforms, Mesh Networks, Next Gen BCI, Small Cell Networks), Machine Systems (Artificial intelligence, Blockchain, Machine Vision), Robotics (Control Systems, Drones) and Sensors(Hyperspectral Sensors, Sensor Fusion) categories.

NEW INDUSTRY PREDICTION 1

• Aerospace and DefenseNew global defense paradigm

• Consumer ElectronicsNew products and service models

• HealthcareNew rapid response models

• Media and EntertainmentNew engaging experiences and products

• RetailIncreased accessability and consumption


Space Internet

• By 2035 every person on Earth will have on demand access to wireless 15Gbps anytime anywhere internet connectivity

• CommunicationsNew competitors and business models

• FinanceNew competitors and business models

• Media and EntertainmentIncreased curation and consumption

• RetailIncreased access and consumption

• TechnologyNew competitors and consumption

• Economic Impact



Advanced Manufacturing (3D Printing, 4D Printing), Digital Connectivity (High Altitude Stratospheric Platforms, Small Cell Networks), Robotics (Control Systems, Drones) and Sensors(Hyperspectral Sensors) categories.



The Fully Autonomous Organisation

• By 2040 we will see the emergence of fully autonomous organisations that can innovate, design, build, market, sell and deliver goods and services without the need for people

• Economic Impact

Over $9 Trillion per year


Advanced Manufacturing (3D Printing, 4D Printing, Molecular Assemblers),Digital Connectivity (5G, Cognitive Radio, High Altitude Stratospheric Platforms, Mesh Networks, Small Cell Networks), Energy (Fuel Cells, Wireless Energy), Machine Systems (Artificial intelligence, Blockchain, Machine Vision, Quantum Computing), Robotics (Control Systems, Drones, Robots, Software Bots) and Sensors (Autonomous Sensor Systems, Sensor Fusion) categories.


• Aerospace and DefenseFully autonomous weapons platforms

• Financial ServicesReal time reconciliation and investment

• HealthcareReal time diagnosis and secondary care

• Public SectorReal time service provision

• RetailReal time service provision


Personal Fabricators

• By 2045 consumers will be able to affordably and conveniently print inorganic and organic products including but not limited to clothes, electronics, food, medicines, wares and vehicles

• AgricultureDecreasing demand for products

• LegalIncrease in IP registrations and litigation

• RetailNew competitors and business models

• PharmaceuticalNew competitors and business models

• Economic Impact



Advanced Manufacturing (3D Printing, 4D Printing), Materials (Biomaterials, E-Textiles, Nano Materials, Next Generation Hybrid Materials, Self Healing Materials, Stretchable Electronics) categories.



Extreme Life Extension

• By 2100 Humans will be able to live up to 500 years or more

• ConstructionDemand for housing will increase

• HealthcareNew competitors and business models

• InsuranceChanges to Life Insurance and Pensions

• PharmaceuticalDevelopment of new service models

• Public SectorIncreased demand for services


Advanced Manufacturing (3D Printing, Biomanufacturing), Biotech (Anti Ageing Drugs, Artificial Body Parts, Bioelectronic medicine, Gene editing, Microbiome Medicine, Nano Medicine, Organ Printing, Regenerative Medicine, Stem Cell Technology), Machine Systems (Artificial Intelligence) and Sensors(Biomarkers, Nano Sensors, Sensor Fusion) categories.

• Economic Impact

$9 Trillion per annum



Build your own DisruptiveOrganisation

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GO BACK TO THEBEGINNING ANDSTART WITH THE

BASICS

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ANALYSE VALUE CHAINS

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VALUE CHAINSIf your organisation wants to disrupt it’s advantageous to identify the weaknesses, opportunities, inefficiencies and costs in an industries, an incumbents or a competitors value chain.

* Porters Value Chain combined with the LoneStar Methodology 33

Firm Infrastructure

Human Resource Management

Procurement

Research and Development

InboundLogistics

Operations OutboundLogistics

Sales and Marketing

Service

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20th CENTURYBut … while 20th Century value chains were localised and centralised and predicated on consuming, transforming, moving and supporting physical products and services …


Firm Infrastructure


Procurement


InboundLogistics

Operations OutboundLogistics

Sales and Marketing

Service

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Firm Infrastructure


Procurement


Operations Sales and Marketing

Service

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21st CENTURY… 21st Century value chains are increasingly global, distributed and decentralised and predicated on consuming, transforming, moving and supporting digital products and services.

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Have a heart

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3D printed

IDENTIFY INDUSTRY CONTROL POINTS

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Firm Infrastructure


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Sales and Marketing

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CONTROL POINTSEvery industry and organisation leverages, maintains and adds value to a number of different Control Points throughout its value chain.

If competitors disturb or re-arrange any of these then the incumbents can quickly find themselves pressured and disintermediated. Alternative Industries

Scope

Strategic Groups

Time

Buyer Group

Emotion

Operations

BUILD OUT YOUR ORGANISATION

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30 DISCIPLINESOrganisations that prosper, persist and out perform combine a thirst for relentless change with energy, leadership, urgencyand vision.

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The worlds most prolific disruptors have 30 disciplines in common

Organisations begin to disrupt competitors and industries when they vigorously out perform the status quo in at least 80% of the 30 disciplines

and create a x10 advantage

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x10 ADVANTAGEDisruption occurs when the right idea is perfectly executed at the right time.

Serial disruption occurs when the right corporate culture and structures align.

START HEREChoose your starting point.

• To build an organisation capable of serially disrupting industries and competitors start from 1.

• To design new disruptive products and services and take them to market start from 3.

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1. VISION 3. DISCOVER 5. EXECUTE

© 311 LoneStar™ Disruption Methodology . 2016, Matthew Griffin

4. BUILD2. CULTURE

AMBITION

Defineyourambitions

COLLABORATION

Analyse, debate, discussand engage

DISCOVERY

Get the insiders edge, experience, explore with impunity

FRAMING

Frame your organisations

purpose, change what you become

INTERSECTING TRENDS

Predict and lead business,industrial and societal trends

TIME FRAMES

Define your time frame,1, 2, 3, 5, 10 or 20 years

1. VISIONCreate and share your vision.

Disruption can be based around a simple vision such as Airbnb’s vision to “Belong Anywhere” or it can be complex such as SpaceX’s mission to “Occupy Mars”.

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ALIGNMENT

Align everything with your goals

BEHAVIOURS

Encourage and foster entrepreneurial behaviours

COMMUNICATION

Accurate, frequent, honest and timely communication

LEADERSHIP

Lead with vision, purpose and

integrity

STRUCTURE

Create organisational structures that encourage reinvention

VISION

Let your vision becomeinfectious

2. CULTUREBuild and foster the right entrepreneurial culture.

With the right organisational culture your first disruptive product needn’t be your last. From driverless cars to life extension and stratospheric global internet programs Alphabet is delivering against its moonshots.

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COLLABORATE

Joint discovery and experience programs

EXPERIENCE

Get the insiders edge. Empathise, experience and observe

IDEATE

Tools and techniques,simplify and consolidate

INTERSECTING TRENDS

Identify intersecting business, cultural

and societal trends

SCENARIO PLANNING

”What If” scenarios

VALUE CHAINS

Identify underserved segments, subsystems and control points

3. DISCOVERDiscover and look for unmet needs with impunity.

Opportunities are everywhere. The opportunity to take something bad and make it better or the opportunity to be the first organisation to create the first intelligent, autonomous robot. You pick.

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APPEAL

Mass or niche consumer appeal

BLACK BOOK

Recruit Beta customers tohelp test and iterate your MVP

DESIGN

Consumer design and customer appeal by default

EXPERIENCE

Connected, frictionless

and personal

PLATFORM

Extensible, full stack andmulti sided by default

VALUE CHAINS

Capture, create and deliver new value

4. BUILDBuild your MVP. Platform it. Test it. Simplify it. Simplify it again. Test it. Iterate it. Repeat.

The epitome of design Apple, along with Alibaba and Nest consistently release new products and services that integrate into a single multi sided platform.

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DECISION RIGHTS

Devolve decisions

ECOSYSTEMS

Create, manage and govern communities and ecosystems

GOALS

Clear, concise, fair and

measurable

GTM

Frictionless and alignedwith organisational goals

RESOURCES

Aligned, informed andmotivated

ALIGNMENT

Align everything with your goals

5. EXECUTEFail to execute and you’ll never realise your full potential.

Uber. Right product. Right time. Continual reinvention. Ruthless execution.

But still easy to disrupt if you know how…

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PUT IT ALL TOGETHER

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PUT IT TOGETHERWhen you leverage and embrace the tools and technologies that are available to you and combine them with innovation, reinvention and operational excellence you can change the world.

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Alternative Industries

Scope

Strategic Groups

Time

Buyer Group

Emotion

Operations

2016 entrepreneurs guide to building a disruptive organisation by matthew griffin, 311 institute

Leadership & Management