Description
Book SynopsisThe modern business climate demands a new risk management strategy Mastering Strategic Risk: A Framework for Leading and Transforming Organizations is a comprehensive guide to redesigning organizational systems to better manage the risks and complexities of the modern world.
Table of ContentsPreface xiii
Acknowledgments xv
Introduction Mastering the Complexities of a New Age 1
Chapter 1 The Round World, the Square Pegs: Redesigning Organizations to Manage the Risks of a Different World 5
Righting the Ship: Managing the Complexities of a New Age 5
The Untold Story of Wachovia’s Demise: The Rise and Fall of an Industry Giant 7
A Symptom of a Much Larger Challenge 12
The Burning Platform: Why the Need for Change 14
Leveraging the Power of People 15
A World of Patterns: Does Nature Hold the Answers? 16
References 17
Chapter 2 The Three Elements: Creating, Facilitating, and Supporting Your Competitive Advantage 19
A Framework Taken from Nature 19
The Human Body as an Example 22
Ecosystems 25
The Three Elements and Our Marketplace 26
The Three Elements and the Auto Industry 31
The Three Elements and Organizations 32
The Creative Element in Organizations 34
Information Technology as an Example 36
Everything Old is New Again 36
Summary 38
Contents
Questions 38
Note 39
References 39
Chapter 3 The Three Forces: Mastering Strategic Risk with Repetition, Balance, and Movement 41
Anticipating Change: Toyota 41
Three Forces that Dictate Performance in Systems 43
Movement and Change in Nature 44
Movement, Balance, and Repetition in Our Marketplace 48
Change, Balance, and Repetition in Organizations 51
The Three Elements and Forces and Our System of Government 54
The Federal Government Supports, Facilitates, and Creates: A Fractal View 57
The Federal Government and Oversight 58
A Holistic Approach 59
Summary 60
Questions 60
References 61
Chapter 4 Transforming the Corporate Agenda: Applying the New Learning to Master Strategic Risk 63
Aligning the Three Elements and Forces for Impactful Results 63
The Three Elements as Key Drivers of Organizational Performance 65
Creativity and Innovation through the Lens of Industry Leaders 67
Identifying Additional Centers of Creativity and Growth in the Most Unlikely of Places 71
Growth through Facilitative Functions and Capabilities 74
Growth through Supportive Functions and Capabilities 76
Repetition and Operational Excellence 78
Wachovia and Merger Integration 78
Managing Movement and Change 81
The Value of a Transformation and Change COE 81
The Importance of Measuring Key Controls and Activities 83
Assessing Key Drivers through the Universal Guide 85
Summary 88
Questions 89
References 89
Chapter 5 Risky Business: Why the Environment Should Matter to You 91
Our Self-Centered Interests 91
The Truth about Systems 94
Our Commercial Ecosystem 94
Driving Growth and Shareholder Value through Sustainability 98
Demystifying the Myth . . . What Really is a Corporation? 100
A Lesson on the Environment and Sustainability 101
Other Factors Driving Commerce 104
Improving Our Interaction with the Planet 105
Making the Case for the Environment 110
The Corporation and the Community 110
The Realities of Life Downstream 111
In the End, It’s About the Individual 112
Summary 113
Questions 114
References 114
Chapter 6 Governance, the Cornerstone of Risk: The True Role of Accountability in Organizational Systems 115
Governance in Natural Systems: The Human Brain as an Example 115
WorldCom and the Bernie Ebbers Story 117
Strategy and Governance 120
Complacency and Governance 123
The Role of Accountability in Systems 123
Accountability at Adulant Technologies 124
The Importance of Roles and Responsibilities 125
A Crisis of Corporate Culture: The Story of News Corp. 127
The Independent Board of Directors 130
Summary 132
Questions 133
Notes 133
Chapter 7 The Game Changer: Stewardship—Taming the Land Grabbers, Passive Aggressors, and the Mighty Ogre 135
The Coup d’État 135
It’s Time for Change 137
A Profile in Leadership 144
Summary 151
Questions 152
References 152
Chapter 8 The Risks of Human Capital: Unleashing the Conceivers, Deal Makers, and Sustainers 153
A New Human Resources Model 153
The Internet Example 164
A New Model for Evaluating Teams 165
The Diversity Trap 169
The Three Forces and the New HR Model 170
Summary 173
Questions 174
Chapter 9 Waking Sleeping Giants: The Importance of Empowering Employees 175
The Empowered Employee: The Key to Driving Peak Performance 175
Citrix Systems Inc.: Cultivating a Culture of Empowerment 178
Adapting to a Mobile Workforce 180
Employee Engagement and Its Linkage to Empowerment 181
A Professional Development Journey 183
Reinvention and the Individual 185
The Learning Organization’s Connection to Movement and Change 186
The Importance of Infusing New Blood into Your Organization 189
Employees Driving Shareholder Value 190
Tapping Employee Resources to Enhance Value 191
Do They Have a Dog in the Fight? Engagement through Creating a Compelling Vision 192
Seizing the Opportunity at Hand: A Message to Employees 196
Summary 198
Questions 199
References 199
Chapter 10 The Shining Moment: Unlocking the Potential and Promise of the Twenty-First Century 201
Henry Ford: Riding the Wave of Converging Forces 201
Our World Then and Our World Now 203
The Call for Transformation 204
Mastering Change Matters More Now than Ever Before 205
Enhanced Capabilities Driving Change 207
Human Beings: Our Greatest Natural Resource 208
Man’s Coming of Age 210
What Will Be Our Lasting Legacy? 213
The Way of the World: Revisiting the Core Elements and Forces 215
The Emerging Steward: Why Organizations Must Lead from the Edge 217
The Masters of Our Fate 218
Summary 220
References 221
About the Author 223
About the Companion Web Site 225
Index 227
