Tag Archives: Drucker

Reflection on Transformation

sailing

Peter Drucker predicted that by 2020 a new world – completely different from our grandparents’ reality – would exist. Drucker, father of modern management, explained in a 1992 essay for Harvard Business Review, that “every few hundred years throughout Western history, a sharp transformation has occurred. In a matter of decades, society altogether rearranges itself – its worldview, its basic values, its social and political structures, its arts, its key institutions.”

To live through transformation is to experience how society rearranges itself over the course of time; it is to live our grandparents’ reality along with our children’s triumphs and challenges.

At a young age, I was given the opportunity to participate in a bygone age; an era of sailing ships, slow travel, unchartered waters, and traditional navigational tools like steering by compass and navigating by stars and sextant. I grew up on sailboats; traditional wooden sailing ships that had very few comforts beyond a bunk, a well-stocked galley kitchen, and a solidly built hull and rigging.

My childhood prepared me for thinking about transformation. Experiencing the shining Southern Cross constellation, dolphins playing at the bow, lava rolling into a frothy sea off the Hawaiian Islands, or voices joined in chorus to accompany raising sails is the best way to learn that we are part of something bigger – an ecosystem beyond our own “world.”

In business we are also part of ecosystems and our connections to networks, to ideas, and to each other means that we must stay relevant, interested, and moving towards bettering our organizational practices in a completely transformed (and dynamic) reality.

Transformation is about profound change but it may be our connection to the simple (yet important) things that guide us through. My work in Marketing and Strategy is about finding and expressing those connections to heart and meaning as well as learning through insights, conversations, and sheer determination how best to create, market, and adapt the products and services we deliver to our clients and stakeholders. In a broader context or ecosystem, we must align ourselves with human interest, values, and a larger purpose in order to stay meaningful and be relevant as the world changes around us.

Aristotle said that society is something that precedes the individual. If society undergoes change we cannot look to further individual or even organizational goals but rather explore how those goals connect us to something larger. That’s what carries us through transformation and what carries a ship safely through unchartered waters.

Esther Clark, April 2019

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Make Space for Humans

0As schools explore how to educate students and prepare them for a future that we can only imagine, organizations have similar questions. How do we create a product or service to address the needs of markets that don’t exist yet and how can we develop the skills required to do this?

The focus of most organizations is on developing skills and know-how to address different scenarios. Rote memorization of facts or of the latest management theory is useless if it is not combined with the skills and empathy needed to adapt to new or uncertain circumstances. As humans, we need to think, discern, and curate rather than just memorize and consume. It’s what makes us human, differentiates us from robots, and characterizes us as creators, builders, and makers.

Enter: “The Maker Movement.” In an MIT Sloan Management Review article on makerspaces, the author states that the “maker movement is a cultural phenomenon that celebrates shared experimentation, iterative learning, and discovery through connected communities that build together, while always emphasizing creativity over criticism.” With Make: magazine and “Maker Fairs” (part county fair, part science fair, and part innovation) entering cities and shared spaces since 2005, the movement has spread. But it’s not the movement that is interesting so much as the idea of making space for humans to connect things. A leading international school once described a Makerspace as an open space, both physically and symbolically, for members of their learning community to dabble, tinker, create and learn. The space serves as a connection point for curriculum, life skills, extracurricular classes, expatriate families, corporate partners, and community members. Some schools that don’t have a physical Makerspace instill a maker mindset in their students by having resources (including time, space, and teachers) available to fit students’ study schedules.

The woodworking shops of old, a mechanic’s workroom, the coffee salons, or a child’s playroom are not too removed from these modern connection spaces. While Makerspaces are examples of connection points, other physical and symbolic spaces can also provide us the opportunity to create, connect, and learn. A technique used by some entrepreneurs is reserving a 3-hour space away from the distractions of email communications, phone calls, or “management meetings” to create. Making space for us to be human fosters a culture of learning, experimentation, and entrepreneurship. It also connects us to ourselves and to others; creating a sense of empathy with those around us and those in our organization.

Educational makerspaces typically fuse together different curricula or subject areas such as computer science, design, art, engineering, mathematics, communications thereby promoting cross functional learning and practical application. Tinkering and “making” are powerful ways to learn and connect with others. Makerspaces in cities, universities, and organizations are inclusive spaces that communicate philosophies like “tinker, design and create together.” They represent examples of making space for humans by harnessing our need for play, for exploration, and for creation.

Defining such spaces – whether physically or metaphorically – can build confidence in questioning or rethinking the status quo; they connect opposing models to create something new or innovative. Pablo Picasso is known for his originality and pioneering the Cubism movement, a revolutionary style of modern art that Picasso formed in response to the rapidly changing modern world. His studio was a space overflowing with creativity. Nevertheless, a lesser known side of Picasso is that he also mastered traditional painting. He was a Master and an Innovator; two characteristics of some of the most prolific thinkers of our age. Roger Martin in Opposable Mind: How Successful Leaders Win Through Integrative Thinking (2007) describes opposing models as “the richest source of new insight into a problem.” When we combine opposing thoughts and questions from different areas, or when we combine Mastery with a relentless sense for exploration and learning, we are connecting otherwise disparate ideas that can generate phenomenal outcomes.

I have heard it said that learning from things yet to happen is key to strategic resilience. For this to happen, there must be a space for learning and making. An organization that learns is able to grow and adapt by connecting new ideas, concepts or innovations. The keen learners of knowledge are respectful of both scholars and craftsmen (makers) and therefore see their organizations as learning organizations. They make space for connections between ideas, people, and actions.

Peter Drucker in “Management and the World’s Work” published in Harvard Business Review (1988) stated that it is “also management’s job to enable the enterprise and each of its members to grow and develop as needs and opportunities change. This means that every enterprise is a learning and teaching institution. Training and development must be built into it on all levels—training and development that never stop.”

All inventions and movements start somewhere. And great innovations start with addressing a “job to be done” by combining different pieces and solutions. Whether in the office, outside, or in a Makerspace, we need opportunities to learn by doing, and spaces to do this in, if we are to prepare members of our society to address the needs and jobs of tomorrow.

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This article is one in a series related to the 10th Global Peter Drucker Forum, with the theme management. the human dimension, that took place on November 29 & 30, 2018 in Vienna, Austria #GPDF18

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Peter Drucker and Education: It’s About Human Beings

Last month, I had the privilege of representing the region of Latin America at the Global Peter Drucker Forum in Vienna, Austria. The Forum is in its 9th year and as a former Drucker Challenge winner and writer for various magazines in Latin America, I was invited to participate and dialogue with some of the world’s leading management thinkers sharing ideas around the theme of “Growth and Inclusive Prosperity.” It strikes me, in symposiums such as this one, how conversations seem to lead back to education and learning: as formative and as restorative ways of improving our society and our organizations.

Peter F. Drucker was born in Austria 108 years ago. He passed away in 2005, but he has been almost unanimously claimed in the media, the business community and academic circles as the “Inventor of Management.” His work (including over 40 books and papers) guides most modern management practices and many of his ideas and concepts – such as “Management by Objectives” or “Knowledge Worker”– are part of our daily lexicon.

He was a teacher, professor, writer and consultant. He worked with large multinational companies as well as public sector institutions, schools, think tanks and entrepreneurs. He grew up in Vienna in a traditional prosperous Viennese family surrounded by philosophers and thinkers. He moved to Hamburg and Frankfurt to study at the age of 18. There he met esteemed economists and thinkers such as Hayek, Mises and Schumpeter.

Drucker’s education and thinking were characterized by an exposure to a wide range of ideas, personalities and schools of thought. Being of Jewish origin, Drucker moved to England in 1933 and later emigrated to the USA. In the US, he found a force driving social development: US corporations becoming global players in an industrial society. Working with corporations like General Motors, Drucker was keen to share his brilliant ideas about the importance of management; not simply from the point of view of efficiencies and productivity, but as a practical discipline that supports and furthers work in (and for) community and society.

At times, “leadership” has so taken over our thinking and our organizations that we sometimes forget about the importance and beauty (Drucker called it “Liberal Art”) of management. As Drucker said: “Management is most and foremost about human beings.” When we place human beings at the heart of what we do, we are able to make the decisions that drive impact and social change. This resounds with most teachers and educators I know and I have the privilege to work with. Management is a means of driving organizations forward by thinking through and planning for the best possible outcomes; it is not about money or “shareholder value” but rather about the impact your organization has on society and on the world; and sometimes it starts with one person.

GPDF17. Photos courtesy: Peter Drucker Society

The Global Peter Drucker Forum honors the work and ideas of Peter Drucker. Designated the “World’s Management Forum,” it takes place every year in Vienna in honor of Peter Drucker and is comprised of several plenaries over the course of two days. The sessions involve authors, consultants, directors, entrepreneurs and students presenting their ideas around particular topics and themes; issues of relevance to business and the management of organizations. While education and learning was a constant topic of conversation, one session in particular, “Applying new lenses to look at the challenges of our time,” was particularly enlightening from a learning perspective. Sarah Green Carmichael (Senior Editor of Harvard Business Review), Hal Gregersen (Executive Director of the MIT Leadership Center), Thomas Wedell (Partner at The Innovation Architects) and Roger L Martin (Director at the Martin Prosperity Institute, #1 on the Thinkers 50 list and author) talked about the “problems” we are trying to solve as leaders and society and that often it is the frame from which we see the problem as more of the issue than the problem we are trying to solve. Wedell talked about spending more time understanding the problem and less time trying to solve it while Gregersen characterized those people that ask catalytic questions and seek out situations where they are wrong as the most successful individuals (employees, leaders or managers) in driving their organizations forward. In other words, our fascination with certitude – and the idea that our view is the only one that matters – is the driving force behind ineffective management of organizations. Looking for the questions to ask is a directly correlated with moving out of comfort, certitude, bubbles of isolation and with embracing what we may find uncomfortable – silence, distinct environments, injustice – in order to make positive change.

Fellow Canadian, Roger Martin, has written several leading business management and strategy books including The Opposable Mind (2007). Former Dean of the Rotman School of Management in Toronto, Martin now runs the Prosperity Institute and along with other participants at the Drucker forum calls for a transformation in business education.

This is where we come in. As educators, administrators, managers and leaders, there is a resounding call to make our organizations more human and more human centric. The “how” is really up to us but I would venture that there are some pearls of wisdom in the works of Peter F Drucker; not as the “guru of management thinking” as he is commonly referred to but as the teacher and human being who returned to basics and touched the world of management thinking with simple phrases such as: “don’t tell me what … tell me what you are going to do on Monday that’s different.”

-EMC

 

 

 

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Drucker-Savvy “Leadership”

This week I will be participating in the Global Peter Drucker Forum (#GPDF17); dialoguing with speakers, participants and Drucker Challenge winners about the conference theme: Growth and Inclusive Prosperity. This is my third Drucker Forum and I am looking forward to learning and sharing insights with top management thinkers and practitioners: thought leaders, writers, consultants, CEOs, students, teachers and entrepreneurs.

I have written about the “cult of leadership” and I see it prevalent every day in organizations. My goal, this week, is to unpack more inclusive management practices as well as effective strategies for managing an organization in a world that is constantly changing. No geniuses, no “administration”, no so-called leaders; real human beings ensuring that real human beings can realize their full potential – and by extension their organization’s full potential – through solid yet iterative practices, processes and measurements.

My recent article for Forbes Mexico pulls ideas around social ecology, VUCA and the theme of the Drucker Forum together for a Latin American audience.

And growth and inclusion is really what needs to be talked about and implemented. Not just from “leaders” or “theorists” but as a question of  how we as managers and as organizational thinkers and doers can ensure that organizations don’t need geniuses or superhumans to manage it. Drucker said institutions  “must be organized in such a way as to be able to get along under a leadership composed of average human beings.”

Human beings. That is what we are. Take away titles and offices and paycheques. We must find better solutions for growth and learning by more effectively connecting interests, harnessing opportunities in our complex, ambiguous, volatile and uncertain environment, and creating organizations & mechanisms that solve problems through a human centered approach that thrives on creation of value.

EMC

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Managers as Myriad Actors

One of the fundamental questions raised during the Global Peter Drucker Forum in Vienna two years’ ago was what our actions will be, as managers, when facing the Great Transformation; in other words, when facing transformational changes that lie in the future for companies, governments and communities alike, what actions will we take today? Will we be one of what Richard Straub, President of the Drucker Society Europe, calls the “myriad actors” who shape the future and impact others or will we abstain from courageous and decisive action?

Peter Drucker talked about the role of managers as “the central resource, the generic distinctive, the constitutive organ of society…” and that managers’ actions are essentially a “public concern” because our survival as a society is “dependent on the performance, the competence, the earnestness and the values of their managers.” (Drucker: The Ecological Vision)

The conversation in Vienna re-examined management’s responsibility to society and humanity. One of the things that drew me to the work of Drucker over 15 years’ ago was his focus on human-centric organizations. And yet, today, we still see organizations more focused on short term profits for shareholders rather than a balance of long and short term value creation for all stakeholders including employees, community and society in general.

Are we doing enough to keep that balance? Many of the speakers did not think seem to think so. They cited studies showing that only 13% of employees around the world are engaged in their jobs (Gallup’s “State of The Global Workplace” report) and that 63% of 1000 corporate board members and C-suite executives surveyed by Mckinsey claim that pressure to generate strong short –term results has increased over the past five years. Clearly, we have a lot of work to do – to shape the future towards value creation for all stakeholders and unleashing the incredible creative and human potential of the people who work with us.

How might we do this? By being “myriad actors”; by looking for ways to shape the future, “see around corners” (as Forum speaker Nilofer Merchant said) and impact others in positive ways. Some organizations, for example, choose to connect leading edge technology and a commitment to improving the human condition (see HopeLab recipient of the Drucker Award for Non Profit Innovation). Others focus on improving employee engagement levels (see Telus, and Dan Pontefract’s work).

I don’t think management can be taught only in a management program; I think it’s a combination of art and edifice – and perhaps this is what Drucker was referring to when he defined management in The New Realities, as a liberal art: “’liberal’ because it deals with the fundamentals of knowledge, self-knowledge, wisdom, and leadership; ‘art’ because it is practice and application.”

We might not know exactly how the future will turn out or how it will shape our industry or impact our livelihoods but we can certainly act – in a myriad of ways – to ensure that we keep humans at the center of decision making within our organizations.

As Richard Straub states in “The Great Transformation” (EFMD Global Focus 2014), “Management is a real world practice of dealing with people and organizations. Managers can make all the difference in the world with their knowledge, their creativity, their emotions and their values.” Managers are myriad actors.

Esther M Clark

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A version of this blog post was published in 2014; two weeks following the Drucker Forum in Vienna.

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Savvy Saturday December 31, 2016

 

“Strategy is a commodity, execution is an art.” – Peter Drucker

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Savvy Saturday October 15th, 2016

The most important thing in communication is to hear what isn’t being said. – Peter Drucker

 

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Growth Mindset: Moving Towards Drucker’s Entrepreneurial Society

Entrepreneurship in the Spanish language is most commonly translated as “emprendimiento” coming from the verb “emprender” which means to ignite or start something. For many generations, entrepreneurs in Latin America have started their own businesses for d4e051b46efa7280a957f01bfb5aeecf1.jpgiverse reasons including, as the management thinker Peter Drucker pointed out, a response to a social problem disguised as a business opportunity. A glimpse at the “Rey del Banano” (King of the Banana) rags-to-riches story in Ecuador supports Drucker’s claim; born into poverty, Luis Noboa Naranjo launched the successful Bonita Banana Company after piecing together profits made from sales of newspapers and household items. Noboa later established the Noboa business group; at one time, his business venture was credited for generating 5% of the Ecuador´s Gross Domestic Product.

Nevertheless, an entrepreneurial venture or entrepreneurial economy does not an entrepreneurial society make. It requires something more: not just “igniting” entrepreneurial fires but having the mindset to ensure that the entrepreneurial flame will not die. An entrepreneurial society requires a “growth mindset” – an idea developed over a decade ago by Stanford University psychologist Carol Dweck to explain achievement and success. Dweck compares and contrasts “fixed mindsets” and “growth mindsets”; she concludes that if we focus on learning and improvement as a consistent goal, environment, and the country we are born in, economic realities, as well as adversity or failure, can become powerful impetuses to ensure we grow and overcome pre-conceived limitations to achieving success.

Harkening to the 2016 Olympics currently underway in Rio de Janeiro, an athlete with a “growth mindset” pushes through in order to grow as an individual, an athlete and a citizen representing a nation. They see their failures as a call to further action and continuous training; in other words as a “not yet” rather than a “not ever.” There are clear parallels in athletic training to Drucker’s own words describing an entrepreneurial society where “innovation and entrepreneurship are normal, steady, and continuous.”

For an entrepreneurial society to prosper, members need growth mindsets to consistently keep the entrepreneurial flame alive and support those willing to push the limits of an “employee” society in order to find solutions to the world’s problems. Peter Drucker saw entrepreneurship and entrepreneurial culture as the lifeblood of society (Innovation and Entrepreneurship: 1985). He heralded a new era that would see a shift from an employee society towards an entrepreneurial society. In Latin America, where I live and work, “emprendedores” are igniting entrepreneurial fires with creativity, innovation and problem solving skills; yet the region – like many other major trading areas in the world – continues to call for a growth mindset from members of society that would lead us through economic and political instability and clear past the “same-old” power dynamics.

Global discussions around “entrepreneurial society” must be inclusive with ideas from developing as well as developed countries, public and private counterparts, local and international companies, thinkers and managers, students and teachers, entrepreneurs and intrapreneurs, CEOs and investors. If an entrepreneurial society is to flourish, we need a “mindset” of constant learning and growth supported by connections across real and psychological boundaries. In every corner of the globe, adopting a growth mindset together with learnings from larger discussions of entrepreneurship and transformation, will help us move to a society of creators, co-creators and organizations that respond ethically, empathetically and effectively to the societies we serve.

-EMC

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Savvy Sunday July 10, 2016

“People who don’t take risks generally make about two big mistakes a year. People who do take risks generally make about two big mistakes a year.” – Peter Drucker

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Savvy Saturday March 19th, 2016

The most important thing in communication is to hear what isn’t being said.

  • Peter Drucker
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