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Complexity,
            Performance Management
                                                                 &
       Global Corporate Citizenship
    The Gaiamap™ and Meshworks™ for high performance and systemic change




Contents
Key Points ......................................................................................................................... 2 
Tools for Global Corporate Citizenship ............................................................................. 2 
Meshworks ........................................................................................................................ 2 
The Gaiamap .................................................................................................................... 3 
Complexity, Global Impact and Global Corporate Citizenship .......................................... 3 
Complexity and what is emerging ..................................................................................... 4 
The 7 Step Meshwork Process ......................................................................................... 4 
Drivers of Performance Transformation ............................................................................ 5 
Learning from Healthy Living Systems .............................................................................. 6 
The Gaiamap – Including People, Organisation and Whole System ................................ 7 
Mapping Strategy within a Complex System..................................................................... 8 
Gaiamap example ............................................................................................................. 9 
Resilience – being prepared for the unexpected............................................................. 10 
Measuring Values ........................................................................................................... 10 
Emergence, Opportunity and Global Corporate Citizenship ........................................... 12 
Transformation DNA ....................................................................................................... 13 
Conclusions: Solutions for Global Corporate Citizenship................................................ 13 

                                                      DRAFT 1.10
                                                    Morel Fourman
                                                  Gaiasoft International
                                                    November 2009
                                                   www.Gaiasoft.com


1        Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Key Points

    •    Global Corporate Citizenship is the emerging business strategy to achieve
         sustainability, resilience and green prosperity in times of turbulence and change.
    •    Simultaneous crises demand a systemic approach: financial crisis; ecosystems
         collapse; climate change; peak oil and the human consequences of all of these.
    •    Meshworks provide the organizing process and structure for systemic change –
         across departments, supply chain partners, stakeholders and sectors.
    •    The Gaiamap™ provides a way to strategize, scenario plan, govern and manage
         for global corporate citizenship – taking account of relationships between
         performance, transformation and leadership for individual employees, an
         organization and the whole system.
    •    “Transformation DNA” stores the change templates for an organisation to
         transition, transform and improve as a global corporate citizen.

Tools for Global Corporate Citizenship

With accelerating and simultaneous challenges, some perceive the global economy as
precariously close to melt down, while others see a system being forced to make a state-
change to new model of performance.

Businesses are being forced to up their game by the challenges of change and the
demands of stakeholders. Some are choosing to leapfrog demand and necessity to
become fit-for-purpose as resilient, sustainable, prosperous contributors to a resilient
global economy which works for all its stakeholders and the planet.

Global Corporate Citizenship requires new tools born of a systemic perspective and
collaborative mindset. This paper introduces the Gaiamap as a tool for strategy,
scenario planning, management and governance and Meshworks as an approach to
systemic collaboration.

Meshworks

Today, business units, informal networks, supply chains and trade associations work
with government and regulatory counterparts to grapple with unprecedented challenges.
Innovation and agility are becoming survival skills as the tectonic plates of the global
economy creak, shift and move. Every functioning organization has formal and informal
human networks which enable working across geographies, business units and
departments. People, networks and communication systems connect in an
organizational brain. These networks spark and fire like brain synapses in a storm of
activity as the organization registers and responds to change.

The word meshwork originally described the mesh of neuron connections in a brain. In
this paper, the word meshwork describes the collective brain which enables an
organization, or cross-sector collaboration to think, decide and work together. In this
context, a meshwork is a social process and communications infrastructure for systemic
collaboration. A meshwork aligns people and resources, supply chains and
stakeholders, to achieve a common purpose consistent with shared principles. A
meshwork is a fractal structure which works at multiple levels of scale simultaneously. A
meshwork may develop for a global industry sector or a local market. Developing a


2       Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
meshwork builds resilience through relationship. Meshworks overlap and interpenetrate.
High performing meshworks are strong and agile, balancing structure and fluidity. High
performing meshworks can achieve radical change and develop surprising innovations
which are beyond the capability of any participant. Without a meshwork structure and
process, an industry sector or stakeholders may spend years in conflict, positioning and
posturing, frustrating the good intentions of everyone involved. A high performance
meshwork is characterized by certain criteria. A traditional network or industry
association, a public-private-partnership, or national economy can be measured against
these criteria and considered as a maturing meshwork. This paper describes meshwork
tools to enable rapid transition and high performance in times of change.

The Gaiamap

This paper introduces the Gaiamap, a Governance, Accountability, Implementation,
Alignment strategy mapping tool, which facilitates a systemic approach to scenario
planning, strategy development governance and performance management. A Gaiamap
provides for the managing of values and culture alongside business performance for an
organization as a part of a whole system.

Because creating a Gaiamap highlights the connectivity and interdependence of
organizations and supply-chains, using a Gaiamap helps to develop organizational and
systems resilience. Developing a Gaiamap makes an organization aware of the
meshwork on which its strategy implementation, resilience and success depend.

Complexity, Global Impact and Global Corporate Citizenship

Turbulence has replaced the stable conditions for which most of our organization
systems and tools were developed. Change is accelerating and complexity is
increasing. A business must be able to develop and implement its strategy in the
context of its supply chain, stakeholders and larger world.

The decisions that businesses make have far reaching and often un-expected effects.
With increasing controls on corporate governance and impacts of consumer activism, to
avoid unacceptable corporate risk and personal risk to executives, the planet and
society must be considered as stakeholders.

As organizations and markets become truly global, strategies and actions shape the
global system. Developing strategy for a business without taking into account the whole
system is at best risky for the business and at worst risky for the global system of which
it is a part.

As change in the global system accelerates, every organisation is impacted by the
intersecting waves of cause and effect. Business strategy, business plans and
management must deal with new levels of complexity.




3     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Complexity and what is emerging

In complex systems multiple factors interact leading to unexpected performance. The
simple thinking of A causes B is not sufficient. The business environment is becoming
increasingly complex and that complexity can lead to instability. The popular example
from complexity theory states that: “If a butterfly flaps its wings in China, it can cause a
storm in the USA.” While complex systems cannot be effectively modelled and
understood with simple ‘A causes B’ thinking, systems theory provides tools for
understanding and working with complex systems.

                                                         Associated with the idea of a system is the
                                                         principle of emergence. From the mutual
                                                         interaction of the parts of a system
                                                         characteristics or attributes arise which can
                                                         not be found as characteristic of any of the
                                                         individual parts. By working with what is
                                                         emerging business leadership has the
                                                         potential to ride the wave of change.

                                                         To survive turbulent times as a part of a
                                                         complex system, businesses, particularly
                                                         large ones, must become better at
                                                         managing complexity, harnessing
                                                         emergence – like the pilot who rides a jet
                                                         stream rather than being buffeted by
                                                         passing across it.

A caterpillar may never become a bird, but given the right conditions, it will become a
butterfly…

While a business may appear to be buffeted by unexpected change on every side, from
a systems point of view, all of the buffeting may be understandable as a part of the
pattern that is emerging. To work with what is emerging, a business must understand
and take into account the impacts of the global system on the business and the impacts
of the business on the global system

In summary, to work with complexity, the strategy development process must be
designed to take account of “what is emerging” in the business and in the system of
which the business is a part.

The 7 Step Meshwork Process

Gaiasoft’s meshwork process is designed to develop a high performance meshwork,
with clear purpose and suitable structure. The meshwork process facilitates emergence
of collaboration communities and structure. Meshwork facilitation accelerates innovation
as well as defining and implementing meshwork goals. The meshwork process was
developed from experience of facilitating and implementing strategic governance and
management frameworks for large enterprises and governments, from working with
business associations, supply chains and also with grass roots organisations,
particularly in developing countries.



4     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
The meshwork process serves both as a framework for consulting and facilitation and
delivers an online meshwork collaboration platform. Meshwork consulting and
facilitation is a train the trainer process provided by specialist partners. The process
can be cascaded through large organisations or replicated across business units and
supply chains.

Drivers of Performance Transformation

At every level organizations are being forced to transform. Some of the transformation
drivers forcing change are tabulated below.

Driver                                Description
Financial Crisis                      Impacts of the global financial crisis on the business
                                      for example availability of credit, loss of trust and
                                      collapsing markets.
Climate Change                        Impacts of climate change, for example through
                                      pressures on energy use, consumer activism and the
                                      demands of employees and partners.
Regulation & Compliance               Regulation like Sarbanes Oxley, labor, diversity and
                                      corporate social responsibility laws and guidelines.
Competition                           Competition on every side. What used to be profitable
                                      is not profitable any more.
Globalization                         Countries are now specialist suppliers. What we do is
                                      cheaper to do elsewhere. Our business model is no
                                      longer sustainable with the new global environment,
                                      cost and market. We must become global to
                                      compete.
Digitization                          Business no-longer works the way it did. Digital
                                      technologies have changed the business environment.
                                      Automation and integration of processes is required.
                                      Use of the Internet and mobile technologies is a driver
                                      of globalization.
Security                              We increasingly have to protect our data, our
                                      infrastructure, our organization from previously
                                      unexpected risks and threats.
Burnout                               We need to drive individual improvement, but the
                                      motivation is gone. We’ve got no more personal
                                      energy to put in.
Transparency                          Customers, suppliers, employees and stockholders
                                      see everything we do… and they don’t accept some of
                                      what we do.

Government legislation affects usage of resources. Resource usage affects the land,
air, sea and weather pattern. A single hurricane can affect the global oil price. The
interdependency of businesses, governments, society and our planetary biosphere are
becoming increasingly clear.




5     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Learning from Healthy Living Systems

As speed of change and turbulence increases, businesses are exploring and adopting
systems-theory approaches to strategy, planning and change. Here are some
definitions and observations from Systems Theory.

The word ‘holon’ describes a whole which is itself made up of parts. A holarchy is a
hierarchy of such holons. From a systems theory point of view, an organization is a
holon containing people. The global economy is a holon containing organizations.
Systems Theory provides specific guidelines for the sustainability of a healthy system.
Bidirectional information flow between a holon and its parts is essential, as is
bidirectional information flow between the parts within a holon. When a part within a
living system ceases to take into account the needs or instructions of the whole system,
the stability of the system as a whole is compromised. Cancer in a living organism is an
example of where a part ceases to behave according to the needs of the whole. In
conclusion, we can say that parts within a whole must act according to their roles,
responsibilities and authorities.

Organizations are embedded in the global system and are influenced by and influence
the global system. An organization ‘contains’ people and is influenced by and influences
the people within it. Information flows bidirectionally between people and organization
and between organization and global system. When the bidirectional information flow
breaks down the system begins to break down. When businesses fail to recognize their
dependence on people and their responsibility to the organizing authority of society &
the planet the whole system begins to break down. Much of the turbulence that we now
see within organizations and within the global system can be related to the wholes and
parts not recognizing their respective roles, responsibilities and authorities.

In biological systems, homeostasis is the continual process of bidirectional information
flow, feedback and correction that operates at every level from organism to sub-cellular
structure. In business, performance management, the process of measurement and
feedback, provides a key element of the homeostatic process that maintains the
business.

By reference to the needs of healthy living systems, we recognize that organizations
must also practice homeostasis – through bidirectional information flow with the larger
system. The content of these information flows and the degree of feedback and
correction will determine the health of the system overall. By reference to healthy
biological systems organizations must manage their activities to meet the needs of the
whole system, to play a positive, healthy, sustainable role in the larger system. To
create a resilient system of organizations within the global system and people within the
organization - there must be bidirectional information flows, feedback and correction at
all levels. The information flow contents must be designed to ensure that the needs of
organization, employees and the larger system are met.

This provides a test for business as a part of a healthy whole system, to achieve
resilience: strategy, plans and performance management systems must measure,
feedback and drive actions to ensure that the needs of organization, employee and
whole system are met. As a minimum, our strategic map and our scenario plans must
take into account three levels of system: employee, organization and whole system.



6     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
The Gaiamap – Including People, Organisation and Whole System

In the book ‘Presence’ which describes the development and use of the U-Process in
detail, Jaworski et al identify the need for business strategy to consider the whole
system, the planet and society as well as the needs, culture and values of people within
the organization. Driving business performance from values & culture and the idea of a
strategy that delivers for all stakeholders are not the default standard in business. As a
part of a complex system a global business shapes and is shaped by the global system
and its people.

Gaiamap provides a framework for systematically considering and tracking the
relationships between person, organisation and system. The quality movement
transformed global business and the global economic landscape in 50 years. A key
insight of quality management is that paying attention to HOW things are done is
essential to improving WHAT gets achieved. ISO9001, for example, is intended to
ensure that business processes work as a system to produce intended outputs. The
standard provides a common ‘DNA’ for good practice shared by thousands of
businesses around the world. This or an equivalent level of attainment is a requirement
of any global business in the 21st Century.

The Gaiamap addresses the HOW of transformation. It also addresses the potential
blind spot of leadership, culture and values. The Gaiamap framework explicitly
recognises that leadership drives transformation projects and programs which in turn
drive performance. The way that businesses do leadership, culture and transformation
will be as important to business in the 21st Century as quality management was in the
20th Century. Interdependent value chain partners will increasingly need to performance
manage the ‘DNA’ of leadership, culture, transformation and performance across
interfaces.




The Gaiamap™




7     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Mapping Strategy within a Complex System

With today’s unprecedented complexity, turbulence and speed of change traditional
models for strategy and implementation are failing. Two issues are particularly relevant:

Systemics – the impact of the global system on the business and the impact of the
business on the global system. Global businesses are getting bigger and the global
system is getting smaller. Factors such as oil price rises and climate change are
increasingly important. Meanwhile, a top global business, for example an oil company or
retailer, has a sizable role in global resource usage and resulting emissions. A strategy
that ignores these systemic issues is likely to ignore key risks and opportunities.

People and Culture – Meanwhile, human values and organisational culture are at the
root of key business drivers like good corporate governance, reputation, good project
management, process management and the ability to transform. Behind the so-called
‘war for talent’ is the human need to find meaning, to work towards a vision, to be
aligned with purpose, to live by values and ethics. While the war for talent continues in
earnest, the best people increasingly gravitate towards organizations which align to their
purpose, vision and values. The vision, mission and values of employees and the
culture of an organization are vital drivers of success. Just as the Balanced Scorecard
provided a model that extended strategic thinking beyond financial issues, 21st Century
business needs a strategic model that takes into account human values and
organization culture alongside impact on the system and social responsibility.

The Gaiamap provides a way to visually map and ‘scenario plan’ the cause and effect
relationships between levels of a system: Individual, Organization and Whole System. It
recognizes that each of these has an inner state that drives its actions resulting in outer
performance and results. This is
summarized as:
   • Individual: A shift in personal                      Be
                                                      (Leadership)        Do
                                                                   (Transformation)
                                                                                         Have
                                                                                    (Performance)
       belief changes our actions
       driving results.
   • Organization: A shift in
                                           Individual
       organization culture, changes
       actions to drive performance.
   • Whole System: A shift in
                                                    Organisation
       societal culture, changes
       actions to change the system.

The Gaiamap below emphasises the                      Whole System

relationship between Leadership,
Performance and Transformation and
the connections between the individual, the organization and the whole system.
Ultimately, transformation begins with the ‘Be-ing’ of an individual, which impacts the
‘Do-ing’ and results in ‘Have-ing’. A shift in personal purpose, vision, values, and beliefs
drives a shift in behaviours and actions. A shift in personal behaviours and actions can
drive a change in organization culture. A change in organization culture impacts
organizational actions and transformation which in turn impacts results. The Gaiamap
above shows the healthy flow of change from individual leadership to societal outcome.




8     Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Gaiamap example

                                                                             Now let’s see how this works in practice with a Gaiamap
                 Be
             (Leadership)           Do               Have
                                                                             example.
                             (Transformation)   (Performance)
                                                                             A corporation responds to globalization by taking production
                                                                               off-shore (A). The intention is to drive improved margins,
                                                                                   profits and share price (B). Simple!
Individual
                                                         A: Cost cutting goal
                                                          Drives off-shore
                                                            manufacture
                                                                                               That was the theory. In reality, the result of the cost
                                 Culture           Actions                           Results
                                                                                                  cutting goal (A) is that manufacturing is moved
         Organisation                                                                              offshore damaging people and communities (B).

                                                                        Increasing transparency means that consumers
                                                              B: Improved margins
                                                                drive profits and

                                                                            become aware of the sweat-shop
                                                             Increased shareholder
                                                                      value


                    Whole System
                                                                            employment conditions in an off-shore factory
                                                                            (C). The business’ global reputation, brand
                                                                          (C) and sales (D) are damaged. At the same
                 time key employees become cynical when they see their organization is behaving
                 unethically (E). Their work
                 loses meaning their
                 actions are ineffective
                 (F) and productivity                  Be
                                                   (Leadership)                       Do                                Have
                 declines (G). They                                        (Transformation)                      (Performance)
                 experience being
                 burned out.
                 Their loss of
                 productivity                                              F: Employee cynicism
                                                                                                                    G: Employee
                                                                                                                behaviour reflects in
                 reduces the            Individual
                                                                             negatively impacts
                                                                                 behaviour
                                                                                                                reduced performance


                 productivity                                                                                                                     H: Reduced employee performance
                 of the                                                                                                                              reflects in negative business
                                                                                                                                                                 results
                 organization
                 undermining
                                                                                                 D: Decrease in brand
                 results, profits and            Organisation
                                                                                                Reputation and public
                                                                                                perception undermines
                 share price (H). A                            E. Negative brand reputation        sales, revenues,                   A: Cost Cutting Goal
                                                                                                      share price                       Drives Off-Shore
                 simple cost cutting                                 creates cynicism
                                                                    among employees                                                       Manufacture

                 initiative taken right
                 from the strategic plan                                                                                         B: Factory conditions
                 has impacted the brand value                                                                                        damage people
                                                                                                                                    and communities
                 and human capital in ways                  Whole System
                 that the original business
                 case never predicted. What                                                                                             C: News of factory
                 looked like a successful play                                                                                              conditions
                                                                                                                                        undermines brand
                 now looks like a career failure.                                                                                      reputation and public
                                                                                                                                            perception
                 No one thought of this when they signed off the Balanced
                 Scorecard or the Business Plan. The newspapers call it a crisis of leadership and
                 ethics.

                 Everything is connected. Questioned by family and friends about principles and values,
                 executives wonder how they made the decision they did. It seemed so simple at the
                 time. No-one has gained. No one went out of their way to do a bad job. The situation
                 was too complex for the strategy, planning and decision making process. This simple


                 9          Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
example shows how vulnerable our leaders and businesses are to the complexities of
21st Century business. By providing a way for an organization to ‘see’ itself, a
performance measurement system creates the reality by which an organization judges
its performance. With a process of analysis, action-taking and learning, performance
measurement becomes performance management. Where there are blind spots in the
measurement system, there will be blind spots in management and the potential for
failure. Single-minded focus on financial results may undermine the customer loyalty on
which long-term success depends.

The Balanced Scorecard has helped businesses to understand the cause and effect of
Learning & Growth results, driving good Processes, driving happy Customers,
resulting in good Financial results. The approach of Strategy Mapping has helped
leadership teams to understand the interrelations of different success factors and how
success factors lead to financial success. For over a decade, the insight of the
Balanced Scorecard and strategy mapping added value to many businesses, helping to
fundamentally shift the thinking of business from simple financial focus to a more
complete, whole and insightful view.

The Gaiamap adds a whole systems dimension to the performance measurement
capabilities of the Balanced Scorecard, and the success factors revealed in Strategy
Maps by showing the cause and effect relationships between the Individual, the
Organisation and the Whole System.

Resilience – being prepared for the unexpected

In a turbulent environment, business continuity and sustainability demands resilience.
Resilience is the robustness of the organization in the face of all risks and disruptions
from all causes.

Addressing resilience means systematically addressing:
  • Climate change, peak oil and water supply
  • Compliance standards such as SOX, Quality and Environmental standards
  • Market drivers such as globalization and competition
  • Talent drivers such as burnout and meaning
  • Areas of risk such as Operational, Market, Economic, Environmental risks

A resilient business is more able to meet the challenges and take the opportunities of an
increasingly turbulent business environment. The Gaiamap can be used as a framework
to map risks and resilience by identifying risks in each of the 9 hexagons of the map and
by identifying interdependencies between hexagons.

Measuring Values

In using the Gaiamap and as a part of a whole systems approach, the values of
individuals, the culture of business and of the whole system must be taken into account.
One of the most frequent questions is: can culture really be mapped, managed and
measured? Culture and leadership are frequently referred to as ‘intangibles’ which
means ‘not measurable’. With intangibles contributing about 75% of market value, it is
essential to measure and manage these intangibles.




10    Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
A culture survey using the Seven Levels of Culture model provides a way to measure
values & culture, identify cultural strengths & weaknesses. Different versions of the
same survey can be used for individuals, businesses, business units, supply chain
partners as well as stakeholders. The survey results provide a way to quantitatively
answer questions like:

     • Am I an authentic leader? Am I living my values and walking my talk?
     • Is this a stressful place to work?
     • Are employees engaged or just going through the motions?
     • Can this culture achieve safety?
     • Can this culture make a profit?
     • Will this culture perform well in an emergency?
     • Will people in this culture resort to blame or fix problems when they arise?
     • Can this culture manage projects and programs?
     • Can this culture focus and deliver performance?
     • Could this culture give rise to an Enron?
     • Has this culture moved beyond efficiency to effectiveness?
     • Can this culture collaborate with its supply chain and across organizational
       boundaries?
     • Is this culture capable of good corporate citizenship?

The Seven Levels survey is used to analyze the values that make up the culture. The
model gives an insight into the strengths of different aspects of a culture as follows:

Level of Culture Model               Relevant Capability
Service                              Ability to create and operate from a vision of service.
Collaboration                        Ability to collaborate across organizational boundaries.
Commitment & Trust                   Ability to collaborate within the organization.
Innovation                           Ability to improve and transform.
Efficiency                           Ability to focus and operate efficiently.
Relationship                         Ability to sustain good communication and relationships.
Profit & Safety                      Cultural focus on the bottom line, safety.

Culture surveys based on the Seven Levels model provide a way to assess the
operating culture of an organization and compare the current culture with the need of the
organization to be efficient, to learn and to collaborate etc. By including cultural
measures in the bidirectional performance management between organizations in a
value chain, the quality, effectiveness and resilience of relationships can be improved.

Appreciative Inquiry, an approach that builds on what is working, can be used to identify
the behaviors that support a desired culture. For each intended or espoused positive
value in the culture, there are behaviors which support that value. Here is an example of
behaviors that support the value of Accountability.

The figure below shows how the strengths of organization culture can be represented in
a scorecard.


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SERVICE & SOCIAL
         RESPONSIBILITY                             7

         PARTNERSHIPS &
         COLLABORATION                              6

         COMMITMENT &                               5
         TRUST

         EMPOWERMENT &
                                                    4
         INNOVATION

         PERFORMANCE &
         EFFICIENCY                                 3

         LOYALTY &                                  2
         RELATIONSHIPS

         PROFIT &
         SAFETY
                                                    1
                      © Cultural Transformation Tools, Richard Barrett & Associates, 2005 – www.valuescentre.com



Performance Management of Culture

Value                      Behaviors
Accountability             I take responsibility for my actions.
                           I admit my mistakes, learn from them, and take corrective action.
                           I do what I say I will do and live up to my commitments.
From “A Whole Systems Change Approach to Cultural Transformation” by Richard Barrett.


360-degree feedback based on an individual’s behaviors provides a way to measure and
manage personal transformation and to support people to align their behaviors with their
intentions and their intentions with the needs of the organization, value chain and whole
system.

Emergence, Opportunity and Global Corporate Citizenship

From living systems we learn that parts of a system naturally develop the capabilities
required by the whole system. Organs within a healthy body are perfectly fit for purpose.
By developing strategy based on what is needed and what is emerging, a global
business can turn economic turbulence into transition opportunity. Throughout this paper
we have referred to the impact of global business on the global system and the impact of
the global system on each business. Today, because of complexity, because of
transparency, because of the war for talent, a systemic approach to performance and
resilience is right for the shareholder, right for the stakeholder and right for the global
system.

Global Corporate Citizenship builds on Corporate Social Responsibility to incorporate
good governance. It describes the commitment & culture of a global business to
proactively deliver for the global system and in the process to leverage opportunities of
the 21st Century business environment. Just as the quality standards of the 20th Century
were developed collaboratively, Corporate Citizenship will be standardized
collaboratively. In the 20th Century, the nations and organizations that drove quality
became the global leaders. So in the 21st Century, the nations and global businesses
that drive and implement Global Corporate Citizenship, systemic management and
resilience will be the global leaders of the future.



12      Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
Transformation DNA

The growth of standards and outsourcing is a natural response to complexity in the
global economic system. The long-term performance of a 21st Century business
depends on the ability to develop and collaborate in strategy implementation across its
value chain which, means across organization boundaries. Summarising earlier
sections: to be resilient, value chains must have bidirectional information flows,
performance management, at all interfaces within the system. The sustainability and
resilience of 21st Century business will depend on governance, accountability and
alignment of these interfaces.

In the 20th Century, many global businesses grew by deploying quality and standards
across a global matrix organization. In the 21st Century the key will be to codify, improve
and deploy the leadership, culture and transformation ‘DNA’ of business alongside other
quality and governance standards. Transformation DNA refers to a general approach to
codifying, storing and re-using measures of WHAT and HOW for systemic change.

Transformation DNA can be developed, categorised and catalogued using the Gaiamap,
to ensure that Global Corporate Citizenship strategies and scenario plans are robust and
complete. This framework can provide a basis for CSR reporting as well as voluntary
reporting for example based on the Global Reporting Initiative and Carbon Disclosure
project. Transformation DNA translates the objective of Global Corporate Citizenship
into a practical, measurable, actionable framework. Transformation DNA provides a
framework for meshworking, aligning measures, knowledge and people in support of the
mission of the organisation.

Conclusions: Solutions for Global Corporate Citizenship

Gaiasoft is supporting a growing movement with software platform and processes for
systemic governance and meshworking. Gaiasoft’s platform provides tools to define and
embed Global Corporate Citizenship in strategy, governance and management
processes. The Gaiasoft platform is used to capture, improve and re-use
Transformation DNA. The platform aligns performance, transformation and leadership to
achieve systemic change, resilience and business sustainability.

Global Corporate Citizenship is a practical response to extreme complexity and
accelerating turbulence. It provides a strategy for business sustainability, resilience and
green prosperity. The business, its strategy, governance and management are
designed to play a positive and useful role in the transition to a sustainable, resilient and
prosperous future global economy. A new generation of governance, collaboration and
management tools is required to implement Global Corporate Citizenship. The Gaiamap
provides a 21st Century framing for business strategy and performance management.
Meshworking provides a high performance solution to collaboration within and between
large enterprises, industries and supply chains. Gaiasoft’s partners provide consulting,
facilitation and information technology services to support Global Corporate Citizenship.
Client projects implement performance management systems and meshworks which
deliver measurable and sustainable results through systemic change.

Gaiamap is a trademark of Gaiasoft IP Ltd. “Meshwork” – as it relates to a social process is a trademark of CHE
Netherlands on behalf of CHE Global and the word “meshwork” as it relates to a technology platform is a trademark of
Gaiasoft IP Ltd.




13      Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.

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Complexity Performance Management Global Corporate Citizenship 091105 Draft 1.10

  • 1. Complexity, Performance Management & Global Corporate Citizenship The Gaiamap™ and Meshworks™ for high performance and systemic change Contents Key Points ......................................................................................................................... 2  Tools for Global Corporate Citizenship ............................................................................. 2  Meshworks ........................................................................................................................ 2  The Gaiamap .................................................................................................................... 3  Complexity, Global Impact and Global Corporate Citizenship .......................................... 3  Complexity and what is emerging ..................................................................................... 4  The 7 Step Meshwork Process ......................................................................................... 4  Drivers of Performance Transformation ............................................................................ 5  Learning from Healthy Living Systems .............................................................................. 6  The Gaiamap – Including People, Organisation and Whole System ................................ 7  Mapping Strategy within a Complex System..................................................................... 8  Gaiamap example ............................................................................................................. 9  Resilience – being prepared for the unexpected............................................................. 10  Measuring Values ........................................................................................................... 10  Emergence, Opportunity and Global Corporate Citizenship ........................................... 12  Transformation DNA ....................................................................................................... 13  Conclusions: Solutions for Global Corporate Citizenship................................................ 13  DRAFT 1.10 Morel Fourman Gaiasoft International November 2009 www.Gaiasoft.com 1 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 2. Key Points • Global Corporate Citizenship is the emerging business strategy to achieve sustainability, resilience and green prosperity in times of turbulence and change. • Simultaneous crises demand a systemic approach: financial crisis; ecosystems collapse; climate change; peak oil and the human consequences of all of these. • Meshworks provide the organizing process and structure for systemic change – across departments, supply chain partners, stakeholders and sectors. • The Gaiamap™ provides a way to strategize, scenario plan, govern and manage for global corporate citizenship – taking account of relationships between performance, transformation and leadership for individual employees, an organization and the whole system. • “Transformation DNA” stores the change templates for an organisation to transition, transform and improve as a global corporate citizen. Tools for Global Corporate Citizenship With accelerating and simultaneous challenges, some perceive the global economy as precariously close to melt down, while others see a system being forced to make a state- change to new model of performance. Businesses are being forced to up their game by the challenges of change and the demands of stakeholders. Some are choosing to leapfrog demand and necessity to become fit-for-purpose as resilient, sustainable, prosperous contributors to a resilient global economy which works for all its stakeholders and the planet. Global Corporate Citizenship requires new tools born of a systemic perspective and collaborative mindset. This paper introduces the Gaiamap as a tool for strategy, scenario planning, management and governance and Meshworks as an approach to systemic collaboration. Meshworks Today, business units, informal networks, supply chains and trade associations work with government and regulatory counterparts to grapple with unprecedented challenges. Innovation and agility are becoming survival skills as the tectonic plates of the global economy creak, shift and move. Every functioning organization has formal and informal human networks which enable working across geographies, business units and departments. People, networks and communication systems connect in an organizational brain. These networks spark and fire like brain synapses in a storm of activity as the organization registers and responds to change. The word meshwork originally described the mesh of neuron connections in a brain. In this paper, the word meshwork describes the collective brain which enables an organization, or cross-sector collaboration to think, decide and work together. In this context, a meshwork is a social process and communications infrastructure for systemic collaboration. A meshwork aligns people and resources, supply chains and stakeholders, to achieve a common purpose consistent with shared principles. A meshwork is a fractal structure which works at multiple levels of scale simultaneously. A meshwork may develop for a global industry sector or a local market. Developing a 2 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 3. meshwork builds resilience through relationship. Meshworks overlap and interpenetrate. High performing meshworks are strong and agile, balancing structure and fluidity. High performing meshworks can achieve radical change and develop surprising innovations which are beyond the capability of any participant. Without a meshwork structure and process, an industry sector or stakeholders may spend years in conflict, positioning and posturing, frustrating the good intentions of everyone involved. A high performance meshwork is characterized by certain criteria. A traditional network or industry association, a public-private-partnership, or national economy can be measured against these criteria and considered as a maturing meshwork. This paper describes meshwork tools to enable rapid transition and high performance in times of change. The Gaiamap This paper introduces the Gaiamap, a Governance, Accountability, Implementation, Alignment strategy mapping tool, which facilitates a systemic approach to scenario planning, strategy development governance and performance management. A Gaiamap provides for the managing of values and culture alongside business performance for an organization as a part of a whole system. Because creating a Gaiamap highlights the connectivity and interdependence of organizations and supply-chains, using a Gaiamap helps to develop organizational and systems resilience. Developing a Gaiamap makes an organization aware of the meshwork on which its strategy implementation, resilience and success depend. Complexity, Global Impact and Global Corporate Citizenship Turbulence has replaced the stable conditions for which most of our organization systems and tools were developed. Change is accelerating and complexity is increasing. A business must be able to develop and implement its strategy in the context of its supply chain, stakeholders and larger world. The decisions that businesses make have far reaching and often un-expected effects. With increasing controls on corporate governance and impacts of consumer activism, to avoid unacceptable corporate risk and personal risk to executives, the planet and society must be considered as stakeholders. As organizations and markets become truly global, strategies and actions shape the global system. Developing strategy for a business without taking into account the whole system is at best risky for the business and at worst risky for the global system of which it is a part. As change in the global system accelerates, every organisation is impacted by the intersecting waves of cause and effect. Business strategy, business plans and management must deal with new levels of complexity. 3 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 4. Complexity and what is emerging In complex systems multiple factors interact leading to unexpected performance. The simple thinking of A causes B is not sufficient. The business environment is becoming increasingly complex and that complexity can lead to instability. The popular example from complexity theory states that: “If a butterfly flaps its wings in China, it can cause a storm in the USA.” While complex systems cannot be effectively modelled and understood with simple ‘A causes B’ thinking, systems theory provides tools for understanding and working with complex systems. Associated with the idea of a system is the principle of emergence. From the mutual interaction of the parts of a system characteristics or attributes arise which can not be found as characteristic of any of the individual parts. By working with what is emerging business leadership has the potential to ride the wave of change. To survive turbulent times as a part of a complex system, businesses, particularly large ones, must become better at managing complexity, harnessing emergence – like the pilot who rides a jet stream rather than being buffeted by passing across it. A caterpillar may never become a bird, but given the right conditions, it will become a butterfly… While a business may appear to be buffeted by unexpected change on every side, from a systems point of view, all of the buffeting may be understandable as a part of the pattern that is emerging. To work with what is emerging, a business must understand and take into account the impacts of the global system on the business and the impacts of the business on the global system In summary, to work with complexity, the strategy development process must be designed to take account of “what is emerging” in the business and in the system of which the business is a part. The 7 Step Meshwork Process Gaiasoft’s meshwork process is designed to develop a high performance meshwork, with clear purpose and suitable structure. The meshwork process facilitates emergence of collaboration communities and structure. Meshwork facilitation accelerates innovation as well as defining and implementing meshwork goals. The meshwork process was developed from experience of facilitating and implementing strategic governance and management frameworks for large enterprises and governments, from working with business associations, supply chains and also with grass roots organisations, particularly in developing countries. 4 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 5. The meshwork process serves both as a framework for consulting and facilitation and delivers an online meshwork collaboration platform. Meshwork consulting and facilitation is a train the trainer process provided by specialist partners. The process can be cascaded through large organisations or replicated across business units and supply chains. Drivers of Performance Transformation At every level organizations are being forced to transform. Some of the transformation drivers forcing change are tabulated below. Driver Description Financial Crisis Impacts of the global financial crisis on the business for example availability of credit, loss of trust and collapsing markets. Climate Change Impacts of climate change, for example through pressures on energy use, consumer activism and the demands of employees and partners. Regulation & Compliance Regulation like Sarbanes Oxley, labor, diversity and corporate social responsibility laws and guidelines. Competition Competition on every side. What used to be profitable is not profitable any more. Globalization Countries are now specialist suppliers. What we do is cheaper to do elsewhere. Our business model is no longer sustainable with the new global environment, cost and market. We must become global to compete. Digitization Business no-longer works the way it did. Digital technologies have changed the business environment. Automation and integration of processes is required. Use of the Internet and mobile technologies is a driver of globalization. Security We increasingly have to protect our data, our infrastructure, our organization from previously unexpected risks and threats. Burnout We need to drive individual improvement, but the motivation is gone. We’ve got no more personal energy to put in. Transparency Customers, suppliers, employees and stockholders see everything we do… and they don’t accept some of what we do. Government legislation affects usage of resources. Resource usage affects the land, air, sea and weather pattern. A single hurricane can affect the global oil price. The interdependency of businesses, governments, society and our planetary biosphere are becoming increasingly clear. 5 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 6. Learning from Healthy Living Systems As speed of change and turbulence increases, businesses are exploring and adopting systems-theory approaches to strategy, planning and change. Here are some definitions and observations from Systems Theory. The word ‘holon’ describes a whole which is itself made up of parts. A holarchy is a hierarchy of such holons. From a systems theory point of view, an organization is a holon containing people. The global economy is a holon containing organizations. Systems Theory provides specific guidelines for the sustainability of a healthy system. Bidirectional information flow between a holon and its parts is essential, as is bidirectional information flow between the parts within a holon. When a part within a living system ceases to take into account the needs or instructions of the whole system, the stability of the system as a whole is compromised. Cancer in a living organism is an example of where a part ceases to behave according to the needs of the whole. In conclusion, we can say that parts within a whole must act according to their roles, responsibilities and authorities. Organizations are embedded in the global system and are influenced by and influence the global system. An organization ‘contains’ people and is influenced by and influences the people within it. Information flows bidirectionally between people and organization and between organization and global system. When the bidirectional information flow breaks down the system begins to break down. When businesses fail to recognize their dependence on people and their responsibility to the organizing authority of society & the planet the whole system begins to break down. Much of the turbulence that we now see within organizations and within the global system can be related to the wholes and parts not recognizing their respective roles, responsibilities and authorities. In biological systems, homeostasis is the continual process of bidirectional information flow, feedback and correction that operates at every level from organism to sub-cellular structure. In business, performance management, the process of measurement and feedback, provides a key element of the homeostatic process that maintains the business. By reference to the needs of healthy living systems, we recognize that organizations must also practice homeostasis – through bidirectional information flow with the larger system. The content of these information flows and the degree of feedback and correction will determine the health of the system overall. By reference to healthy biological systems organizations must manage their activities to meet the needs of the whole system, to play a positive, healthy, sustainable role in the larger system. To create a resilient system of organizations within the global system and people within the organization - there must be bidirectional information flows, feedback and correction at all levels. The information flow contents must be designed to ensure that the needs of organization, employees and the larger system are met. This provides a test for business as a part of a healthy whole system, to achieve resilience: strategy, plans and performance management systems must measure, feedback and drive actions to ensure that the needs of organization, employee and whole system are met. As a minimum, our strategic map and our scenario plans must take into account three levels of system: employee, organization and whole system. 6 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 7. The Gaiamap – Including People, Organisation and Whole System In the book ‘Presence’ which describes the development and use of the U-Process in detail, Jaworski et al identify the need for business strategy to consider the whole system, the planet and society as well as the needs, culture and values of people within the organization. Driving business performance from values & culture and the idea of a strategy that delivers for all stakeholders are not the default standard in business. As a part of a complex system a global business shapes and is shaped by the global system and its people. Gaiamap provides a framework for systematically considering and tracking the relationships between person, organisation and system. The quality movement transformed global business and the global economic landscape in 50 years. A key insight of quality management is that paying attention to HOW things are done is essential to improving WHAT gets achieved. ISO9001, for example, is intended to ensure that business processes work as a system to produce intended outputs. The standard provides a common ‘DNA’ for good practice shared by thousands of businesses around the world. This or an equivalent level of attainment is a requirement of any global business in the 21st Century. The Gaiamap addresses the HOW of transformation. It also addresses the potential blind spot of leadership, culture and values. The Gaiamap framework explicitly recognises that leadership drives transformation projects and programs which in turn drive performance. The way that businesses do leadership, culture and transformation will be as important to business in the 21st Century as quality management was in the 20th Century. Interdependent value chain partners will increasingly need to performance manage the ‘DNA’ of leadership, culture, transformation and performance across interfaces. The Gaiamap™ 7 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 8. Mapping Strategy within a Complex System With today’s unprecedented complexity, turbulence and speed of change traditional models for strategy and implementation are failing. Two issues are particularly relevant: Systemics – the impact of the global system on the business and the impact of the business on the global system. Global businesses are getting bigger and the global system is getting smaller. Factors such as oil price rises and climate change are increasingly important. Meanwhile, a top global business, for example an oil company or retailer, has a sizable role in global resource usage and resulting emissions. A strategy that ignores these systemic issues is likely to ignore key risks and opportunities. People and Culture – Meanwhile, human values and organisational culture are at the root of key business drivers like good corporate governance, reputation, good project management, process management and the ability to transform. Behind the so-called ‘war for talent’ is the human need to find meaning, to work towards a vision, to be aligned with purpose, to live by values and ethics. While the war for talent continues in earnest, the best people increasingly gravitate towards organizations which align to their purpose, vision and values. The vision, mission and values of employees and the culture of an organization are vital drivers of success. Just as the Balanced Scorecard provided a model that extended strategic thinking beyond financial issues, 21st Century business needs a strategic model that takes into account human values and organization culture alongside impact on the system and social responsibility. The Gaiamap provides a way to visually map and ‘scenario plan’ the cause and effect relationships between levels of a system: Individual, Organization and Whole System. It recognizes that each of these has an inner state that drives its actions resulting in outer performance and results. This is summarized as: • Individual: A shift in personal Be (Leadership) Do (Transformation) Have (Performance) belief changes our actions driving results. • Organization: A shift in Individual organization culture, changes actions to drive performance. • Whole System: A shift in Organisation societal culture, changes actions to change the system. The Gaiamap below emphasises the Whole System relationship between Leadership, Performance and Transformation and the connections between the individual, the organization and the whole system. Ultimately, transformation begins with the ‘Be-ing’ of an individual, which impacts the ‘Do-ing’ and results in ‘Have-ing’. A shift in personal purpose, vision, values, and beliefs drives a shift in behaviours and actions. A shift in personal behaviours and actions can drive a change in organization culture. A change in organization culture impacts organizational actions and transformation which in turn impacts results. The Gaiamap above shows the healthy flow of change from individual leadership to societal outcome. 8 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 9. Gaiamap example Now let’s see how this works in practice with a Gaiamap Be (Leadership) Do Have example. (Transformation) (Performance) A corporation responds to globalization by taking production off-shore (A). The intention is to drive improved margins, profits and share price (B). Simple! Individual A: Cost cutting goal Drives off-shore manufacture That was the theory. In reality, the result of the cost Culture Actions Results cutting goal (A) is that manufacturing is moved Organisation offshore damaging people and communities (B). Increasing transparency means that consumers B: Improved margins drive profits and become aware of the sweat-shop Increased shareholder value Whole System employment conditions in an off-shore factory (C). The business’ global reputation, brand (C) and sales (D) are damaged. At the same time key employees become cynical when they see their organization is behaving unethically (E). Their work loses meaning their actions are ineffective (F) and productivity Be (Leadership) Do Have declines (G). They (Transformation) (Performance) experience being burned out. Their loss of productivity F: Employee cynicism G: Employee behaviour reflects in reduces the Individual negatively impacts behaviour reduced performance productivity H: Reduced employee performance of the reflects in negative business results organization undermining D: Decrease in brand results, profits and Organisation Reputation and public perception undermines share price (H). A E. Negative brand reputation sales, revenues, A: Cost Cutting Goal share price Drives Off-Shore simple cost cutting creates cynicism among employees Manufacture initiative taken right from the strategic plan B: Factory conditions has impacted the brand value damage people and communities and human capital in ways Whole System that the original business case never predicted. What C: News of factory looked like a successful play conditions undermines brand now looks like a career failure. reputation and public perception No one thought of this when they signed off the Balanced Scorecard or the Business Plan. The newspapers call it a crisis of leadership and ethics. Everything is connected. Questioned by family and friends about principles and values, executives wonder how they made the decision they did. It seemed so simple at the time. No-one has gained. No one went out of their way to do a bad job. The situation was too complex for the strategy, planning and decision making process. This simple 9 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 10. example shows how vulnerable our leaders and businesses are to the complexities of 21st Century business. By providing a way for an organization to ‘see’ itself, a performance measurement system creates the reality by which an organization judges its performance. With a process of analysis, action-taking and learning, performance measurement becomes performance management. Where there are blind spots in the measurement system, there will be blind spots in management and the potential for failure. Single-minded focus on financial results may undermine the customer loyalty on which long-term success depends. The Balanced Scorecard has helped businesses to understand the cause and effect of Learning & Growth results, driving good Processes, driving happy Customers, resulting in good Financial results. The approach of Strategy Mapping has helped leadership teams to understand the interrelations of different success factors and how success factors lead to financial success. For over a decade, the insight of the Balanced Scorecard and strategy mapping added value to many businesses, helping to fundamentally shift the thinking of business from simple financial focus to a more complete, whole and insightful view. The Gaiamap adds a whole systems dimension to the performance measurement capabilities of the Balanced Scorecard, and the success factors revealed in Strategy Maps by showing the cause and effect relationships between the Individual, the Organisation and the Whole System. Resilience – being prepared for the unexpected In a turbulent environment, business continuity and sustainability demands resilience. Resilience is the robustness of the organization in the face of all risks and disruptions from all causes. Addressing resilience means systematically addressing: • Climate change, peak oil and water supply • Compliance standards such as SOX, Quality and Environmental standards • Market drivers such as globalization and competition • Talent drivers such as burnout and meaning • Areas of risk such as Operational, Market, Economic, Environmental risks A resilient business is more able to meet the challenges and take the opportunities of an increasingly turbulent business environment. The Gaiamap can be used as a framework to map risks and resilience by identifying risks in each of the 9 hexagons of the map and by identifying interdependencies between hexagons. Measuring Values In using the Gaiamap and as a part of a whole systems approach, the values of individuals, the culture of business and of the whole system must be taken into account. One of the most frequent questions is: can culture really be mapped, managed and measured? Culture and leadership are frequently referred to as ‘intangibles’ which means ‘not measurable’. With intangibles contributing about 75% of market value, it is essential to measure and manage these intangibles. 10 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 11. A culture survey using the Seven Levels of Culture model provides a way to measure values & culture, identify cultural strengths & weaknesses. Different versions of the same survey can be used for individuals, businesses, business units, supply chain partners as well as stakeholders. The survey results provide a way to quantitatively answer questions like: • Am I an authentic leader? Am I living my values and walking my talk? • Is this a stressful place to work? • Are employees engaged or just going through the motions? • Can this culture achieve safety? • Can this culture make a profit? • Will this culture perform well in an emergency? • Will people in this culture resort to blame or fix problems when they arise? • Can this culture manage projects and programs? • Can this culture focus and deliver performance? • Could this culture give rise to an Enron? • Has this culture moved beyond efficiency to effectiveness? • Can this culture collaborate with its supply chain and across organizational boundaries? • Is this culture capable of good corporate citizenship? The Seven Levels survey is used to analyze the values that make up the culture. The model gives an insight into the strengths of different aspects of a culture as follows: Level of Culture Model Relevant Capability Service Ability to create and operate from a vision of service. Collaboration Ability to collaborate across organizational boundaries. Commitment & Trust Ability to collaborate within the organization. Innovation Ability to improve and transform. Efficiency Ability to focus and operate efficiently. Relationship Ability to sustain good communication and relationships. Profit & Safety Cultural focus on the bottom line, safety. Culture surveys based on the Seven Levels model provide a way to assess the operating culture of an organization and compare the current culture with the need of the organization to be efficient, to learn and to collaborate etc. By including cultural measures in the bidirectional performance management between organizations in a value chain, the quality, effectiveness and resilience of relationships can be improved. Appreciative Inquiry, an approach that builds on what is working, can be used to identify the behaviors that support a desired culture. For each intended or espoused positive value in the culture, there are behaviors which support that value. Here is an example of behaviors that support the value of Accountability. The figure below shows how the strengths of organization culture can be represented in a scorecard. 11 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 12. SERVICE & SOCIAL RESPONSIBILITY 7 PARTNERSHIPS & COLLABORATION 6 COMMITMENT & 5 TRUST EMPOWERMENT & 4 INNOVATION PERFORMANCE & EFFICIENCY 3 LOYALTY & 2 RELATIONSHIPS PROFIT & SAFETY 1 © Cultural Transformation Tools, Richard Barrett & Associates, 2005 – www.valuescentre.com Performance Management of Culture Value Behaviors Accountability I take responsibility for my actions. I admit my mistakes, learn from them, and take corrective action. I do what I say I will do and live up to my commitments. From “A Whole Systems Change Approach to Cultural Transformation” by Richard Barrett. 360-degree feedback based on an individual’s behaviors provides a way to measure and manage personal transformation and to support people to align their behaviors with their intentions and their intentions with the needs of the organization, value chain and whole system. Emergence, Opportunity and Global Corporate Citizenship From living systems we learn that parts of a system naturally develop the capabilities required by the whole system. Organs within a healthy body are perfectly fit for purpose. By developing strategy based on what is needed and what is emerging, a global business can turn economic turbulence into transition opportunity. Throughout this paper we have referred to the impact of global business on the global system and the impact of the global system on each business. Today, because of complexity, because of transparency, because of the war for talent, a systemic approach to performance and resilience is right for the shareholder, right for the stakeholder and right for the global system. Global Corporate Citizenship builds on Corporate Social Responsibility to incorporate good governance. It describes the commitment & culture of a global business to proactively deliver for the global system and in the process to leverage opportunities of the 21st Century business environment. Just as the quality standards of the 20th Century were developed collaboratively, Corporate Citizenship will be standardized collaboratively. In the 20th Century, the nations and organizations that drove quality became the global leaders. So in the 21st Century, the nations and global businesses that drive and implement Global Corporate Citizenship, systemic management and resilience will be the global leaders of the future. 12 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.
  • 13. Transformation DNA The growth of standards and outsourcing is a natural response to complexity in the global economic system. The long-term performance of a 21st Century business depends on the ability to develop and collaborate in strategy implementation across its value chain which, means across organization boundaries. Summarising earlier sections: to be resilient, value chains must have bidirectional information flows, performance management, at all interfaces within the system. The sustainability and resilience of 21st Century business will depend on governance, accountability and alignment of these interfaces. In the 20th Century, many global businesses grew by deploying quality and standards across a global matrix organization. In the 21st Century the key will be to codify, improve and deploy the leadership, culture and transformation ‘DNA’ of business alongside other quality and governance standards. Transformation DNA refers to a general approach to codifying, storing and re-using measures of WHAT and HOW for systemic change. Transformation DNA can be developed, categorised and catalogued using the Gaiamap, to ensure that Global Corporate Citizenship strategies and scenario plans are robust and complete. This framework can provide a basis for CSR reporting as well as voluntary reporting for example based on the Global Reporting Initiative and Carbon Disclosure project. Transformation DNA translates the objective of Global Corporate Citizenship into a practical, measurable, actionable framework. Transformation DNA provides a framework for meshworking, aligning measures, knowledge and people in support of the mission of the organisation. Conclusions: Solutions for Global Corporate Citizenship Gaiasoft is supporting a growing movement with software platform and processes for systemic governance and meshworking. Gaiasoft’s platform provides tools to define and embed Global Corporate Citizenship in strategy, governance and management processes. The Gaiasoft platform is used to capture, improve and re-use Transformation DNA. The platform aligns performance, transformation and leadership to achieve systemic change, resilience and business sustainability. Global Corporate Citizenship is a practical response to extreme complexity and accelerating turbulence. It provides a strategy for business sustainability, resilience and green prosperity. The business, its strategy, governance and management are designed to play a positive and useful role in the transition to a sustainable, resilient and prosperous future global economy. A new generation of governance, collaboration and management tools is required to implement Global Corporate Citizenship. The Gaiamap provides a 21st Century framing for business strategy and performance management. Meshworking provides a high performance solution to collaboration within and between large enterprises, industries and supply chains. Gaiasoft’s partners provide consulting, facilitation and information technology services to support Global Corporate Citizenship. Client projects implement performance management systems and meshworks which deliver measurable and sustainable results through systemic change. Gaiamap is a trademark of Gaiasoft IP Ltd. “Meshwork” – as it relates to a social process is a trademark of CHE Netherlands on behalf of CHE Global and the word “meshwork” as it relates to a technology platform is a trademark of Gaiasoft IP Ltd. 13 Copyright © Gaiasoft IP Ltd 2006-2009. All Rights Reserved. International Patents and Patents Pending.