The document outlines the economic challenges facing Italy and calls for changes to address low productivity and competitiveness. It notes Italy's poor rankings in competitiveness and efficiency surveys. It calls for collaboration between private, public and government sectors to boost productivity among small- and medium-sized enterprises through cultural transformation, innovation, and simplifying business models. Strategic initiatives are proposed to engage all sectors in establishing goals and improving processes, products, and ecosystems through best practices.

1. Call to
Change
Are You Ready? Presentation by
Maureen Kelsey
28 October 2010

2. Call to Change
• Where are We Now?
• Italy ranked #40 by IMD World Competitiveness Yearbook 2010
• Italian work efficiency rating 138 out of 148
• IMD predicts Italian debt relief only in 2060, 30 years after the other
European countries
• 4.5M Italian SMEs, represent 46% of all workers in 2009
• Unemployment 8.5% in 2nd Qtr 2010, increase 1+% over 2009
• Italy Holds the bad record of brain drain to EU zone and US-
Accelerating flight of talented youth.
References:
1. IMD Report: World Competitiveness http://www.youtube.com/watch?v=ZJQAX_Q8EYw
2. ISTAT http://www.istat.it
3. Time, Arrivederci, Italia, Why Young Italians are Leaving:
http://www.time.com/time/magazine/article/0,9171,2024136-2,00.html
4. Brain drain in Italy:
http://www4.soc.unitn.it:8080/dsrs/content/e242/e245/e2209/quad35.pdf/

3. Call to Change
What Do We Need?
Social Business - rethinking innovation, organization and
leadership
http://www.youtube.com/watch?v=3xHFfLTgjJI
• Collaborate and cooperate—a strategic initiative focused on
increasing productivity and product and process innovation for the
engine of the Italian economy—SMEs.
• Strategic approach—leverage our resources and align our
common objective and goals with private, public and government
sectors focusing on “the biggest bang for your buck”.

4. Call to Change
What Do We Need?
•Cultural transformation—achieve highest levels of quality,
performance and innovation by going through the door of culture
and wedding work with spirit.
•Holistic and systematic—utilize timeless best business
performance practices to solve the human and systemic national
crisis without the politics of right vs. left.

5. Call to Change
Where Do We Focus?
"Besides providing powerful incentives for companies to deliver their
traditional products and services more efficiently, the new
environment may make selling productivity—finding marketable
ways to “do it smarter”—the most transformative business model of
the next decade." McKinsey Report October 2010
SME’s Ignore Business Basics At Their Peril
“The future of many small businesses is in jeopardy because their
managers are failing to adopt basic business practices, according to
recent research.” UK SME Business News, September 2010
http://www.smebusinessnews.co.uk/sme’s-ignore-business-basics-at-their-peril/802/

6. Call to Change
How Can We Do It?
Together We Change
Business Organizations
Leadership
We Collaborate
Cooperate
Share Resources
We Rethink
Sales Marketing
R&D
Customers
Products and Services
WE Innovate

7. Call to Change
Management model = Back to productivity
Simplify the business model
- Simpler for customers
- Accessible to customers
“Simplicity is the ultimate
sophistication”
– Leonardo Da Vinci

8. Call to Change
How Do We Rethink?
We change the Mindset
“THINK GLOBALLY, ACT LOCALLY”

9. Call to Change
Human diversity begins with understanding one's constructive
differences with "Self" and "Others" ... as our work lives become
more stratified (layered) and specialized... it is now more
important to recognize one's individual contribution to the larger
global need for creating balance and harmony that lead toward
building "sustainable holistic organisations" through individual
creativity and "stakeholdership“. There is an Art to this new way of
thinking...
Professor Harris Ghersin: International Business
http://www.linkedin.com/in/harrisghersin
Vision

10. Call to Change
How Can We Improve Our Productivity and Sales?
A holistic approach to achieve overall company optimization and
increased sales and productivity:
 Strategy—market based solutions, business case, marketing and
branding, social media and internet integration
 Organization—cultural change, structure, functions, personnel
development and training integrating on-site action learning
 Process and product innovation—BPR, customization of
products to market, supply chain
Vision

11. Call to Change
How Can We Improve Our Productivity and Sales?
 Productivity improvement—baseline and improve KPIs, align all
the above to achieve overall optimization
 Ecosystems—create them where and when possible
An economic web–a community of organizations and stakeholders (players)
operating within a particular environment. Networks of players that go far
beyond traditional competitors, customers and suppliers and comprise
communities of organizations that collaborate and compete in an economic
web of relationships. Example: New Mexico Ecosystem Report
http://www.nmccap.org/files/New_Mexico_Ecosystem_Report_2009.pdf
Vision

12. Call to Change
Engage all sectors
o private
o public
o academia
o government
Who Can Help the SMEs?

13. Call to Change
Utilize best business performance
improvement practices
Establish joint goals and
objectives for improved
productivity—sales, services,
product customization, product
and process innovation and
increased accessibility via
internet.

14. Call to Change
Consider a strategic national initiative
one that leaves no one
and
no region behind

15. Call to Change
Deploy astute commercial professionals with solid
international and domestic market experience
Use a holistic, systematic approach and innovation centers
of excellence methodologies.

16. Call to Change
Centers of Excellence
MIX - Information Management eXchange:
http://www.managementexchange.com/
MIT Center for Organizational Learning:
http://mitsloan.mit.edu/
SoL - The Society for Organizational Learning:
http://www.solonline.org/
INSEAD - INStitut Européen d'ADministration des affaires:
http://www.insead.edu/home/

17. Call to Change
Contact Information
Maureen Kelsey
Skype id: maureen.kelsey1
Cell +1 407 782 2974
mkelsey@gbtsww.com
Contribution to report: ISTAT information by Paola De Vecchi Galbiati
Facebook
Call to Change
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