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Learning to Grow empowering teams to implement
innovative business models
Klaus North Wiesbaden Business School, Germany
www. dynamic-sme.org
2
Many firms die not because they do the wrong things, but because they keep doing the right things too long“ Prof. Yves Doz, INSEAD
3 Source: http://de.slideshare.net/thegaragegroup/new-approaches-to-business-model-innovation
How to implement Innovative business
models?
Source: http://www.capgemini.com/blog/capping-it-off/2013/08/how-to-implement-innovative-business-models
Changing business models is a learning process
SENSING new opportunities New or changed
business
model
SEIZING opportunities
MANAGING THREATS /
TRANSFORMING
Individual & organizational
learning
The development of the „Learning to grow“ methodology
2009 Survey of 124 innovative German
SMEs with above average growth rates:
Identification of growth factors
2010-11Action research with 13 + 13 SMEs
to develop „Learnig to grow methodology“
Since 2011: Aplication of methodology and
trainig of „growth“ coaches in Germany,
Spain, Argentina,Brazil, Peru
Today: aprox. 70 Learning to grow projects
BMBF project
Wachstum
Lernen
EU project
Dynamic SME
and
regionally
funded
projects
Statement Significance
„Our employees show in their daily activities, that they support
firm‘s aims of growth and innovation.“ 0,000 High
„Our firm is characterized by the ambition to continous
improvement and looking for new solutions“ 0,001 High
„The relations between the members of our firm are characterized
by mutual respect and trust.“ 0,001 High
"Our employees share the firm’s visions." 0,009 High
„Our employees engage strongly for the needs of our customers“ 0,018
„Employees in our firm are strongly success- and achievement-
oriented.“ 0,028
„We realize improvement based on ideas of our employees all the
time.“ 0,039 Weak
"Transfer and sharing of knowledge goes well even between
departments and different professions." 0,054 Weak
„Our firm is characterized by entrepreneurial thinking and action of
employees.“ 0,078 Weak
Activating Employees is key for success Independent Variable: „Competence-based Management“ - (Factor analysis, Oneway ANOVA)
The “Learning to grow” methodology
1. Analysis of growth capabilities and deficits by means of a “wheel of growth”
carried-out by management team assisted by a “growth coach”
Four Challenges
for growth-management
Project-based learning
as method to get things
moving
Eight Growth-levers
as starting point for a
targeted development
project
The “Learning to grow” methodology
2 the owner/manager supported by a “growth coach” defines (a) strategic growth project(s) that has/have a short to medium term impact on business performance and in parallel serves to learn new roles and behaviours.
Implementation & learning projects Implementation & learning projects Implementation & learning projects Implementation &
learning projects
Implentation of knowledge
management
Improvement of recruitment
Remuneration by results
Development of new
business unit
Delegation of responsibilities in
order processing
New business model:
Development of internet
sales platform
Establishment of a middle
management level
new concept for better alignment of
work and familiy life
Improve R&D effectiveness
Procedure to sistematically gain
new clients
Development of continuous
improvement
Business process optimization
Development of new career and
remuneration system for
professionals
Empowerment of teams in sales
Participative strategy development
for new businesses
„Learning to grow“ - some project examples
Development of
new product lines
New business model:
From manufacturing to
services
The “Learning to grow” methodology
3. the project is handed over by the owner/manager to a team of employees who define their learning objectives to be accomplished and carry-out the project conceived as a learning journey over a period of 6 to 9 months.
4. The whole process is supported by a coach (approx. 12 half days of intervention) who has been trained in the methodology.
Defining learning objectives and assessing competencies of project team with the competence matrix:
Competen-
ces/skills Maria Jim Horace Anna
Market
analysis
Project
management
Systematic
problem
solution
French
language
High
competence
Basic knowledge medium
competence
The “Learning to grow” methodology
5. The “Learning to grow” methodology is used in a network of about 10 SMEs whose teams meet to exchange experiences and run joint learning sessions.
Results of “learning to grow” projects
• More open communication
• Acceptance of responsibilidades
• Proactive behaviour
• Management by objectives
• Structuring and solving problems
• Effectiveness of collaboration
• Systematic problem solving
• Results orientation
• Project management
• Delegation of responsibilities
• Improved participation
Freeing managers
from opera-tional tasks
Invividual competence development
Better Communication
Improved Team work
Achievement of specific business goals ( p.e. capture new markets)
¿What has changed in your firm due to the Learning to grow project?
Improvement of internal communication
New procedures introduced
New responsa- bilities defined
Better implementation of changes
More open firm culture
Improved profitability
to a great extent significantly to some extent a little nothing
Resources if you are interested to learn more
about the methodology
• Hardwig/Bergstermann/North (2011): Wachstum Lernen – eine Handlungsanleitung für kleine und mittlere Unternehmen. Wiesbaden. Gabler
• RKW Deutschland,Ed (2012). Management des Wachstums – Wie Unternehmen Wachstum lernen. Sternenfels. Verlag Wissenschaft und Praxis
• Spain (Basque Country) manual and video with results of basque enterprises :
• http://www.uggasa.com/index.php?option=com_content&view=category&layout=blog&id=35&Itemid=96&lang=es
• Video: http://www.youtube.com/watch?v=8aHxdhriZoI ,
• Brasil:
• http://empreendedor.com.br/artigo/metodo-ensina-empresas-ganharem-dinamismo-para-abrir-portas-certas
• Paper: vencendo os desafios do crescimento: o método “aprender a crescer” para pequenas e médias empresas brasileiras http://navus.sc.senac.br/index.php/navus/article/view/100
•
• Project “Dynamic SME”: www.dynamic-sme.org
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