ECTS Student Information Booklet 2010-2011 - School of Business

• Did crisis avoidance create one?
Szkoła Główna Handlowa w Warszawie | Warsaw School of Economics
• Nassim Taleb: dominated not by the predictable but by the highly unprobable – the
destructive, unpredictable developments – the Black Swans.
• ‘Any system susceptible to a Black Swan will eventually blow up’
• ‘When will the crisis end?’ Never.
» Not just another economic cycle but a major restructuring of economic order
• OUTSOURCING AND VIRTUALIZATION: The China and India challenge
• THE DEATH OF DISTANCE AND FUNDAMENTAL CHANGE IN GLOBAL MANAGEMENT
MODEL: A NEW STAGE OF INDUSTRIAL REVOLUTION?
• THE DISORIENTING SPEED OF THIS PROCESS (Remember “the Future Shock”?)
• After the crisis: “the new normal”
• Web as the globalization taken to the extreme. Small pieces, loosely joined is the mantra.
Growing diseconomies of scale.
• What will be the next crash?
• New Economy: the world of surprises and instability! Searching as a way of life
» In the new economy, in most cases, your biggest competitor will probably come from
outside of your sector
» The fall of the biggest management myth of the 20th Century: the importance of tradition
and experience in business.
» In the New Economy sources of innovations mostly OUTSIDE of own sector! The major
technology that will change your business will most probably come from outside.
• LIFE IN THE AGE OF DISCONTINUITY MEANS THE NECESSITY OF PREDICTING THE
IMPOSSIBLE! The history of the world (of business) shaped by developments that according to
contemporary believes “didn’t have the right to happen”!
• THE MAIN MANAGERIAL QUESTION IN THE AGE OF PERMANENT DISCONTINUITY: WHAT
IMPOSSIBLE CAN HAPPEN?
» Forecast for most companies is continued chaos with a chance of disaster. The challenge is
getting comfortable with it.
• Competitive strategy on the Edge of Chaos: unpredictible, frequently uncontrollable, even
uneffective strategy.
» KEY CHALLENGES: react (destroy) quickly, anticipate, if possible and lead the change when
it makes sense.
• CRISIS OF THE MANAGEMENT PRINCIPLES OF INDUSTRIAL REVOLUTION.
» It’s official now: business models will no longer have multidecade span
• Discreet charm of yesterday’s business models. NOTHING WILL BE SO EASY ANYMORE.
• The new strategic mantra: “business model innovation” (BMI)
• NETWORK LOGIC in strategy building.
» Two axes for mapping the four vectors of strategic BMI: value creation approach and scope
of relationships in the network.
» Business model innovation strategies: Design and Dominate, Acquire and Adapt, Connect
and Create.
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