The Impact of Next Generation Companies
Routledge – 2014 – 160 pages
Why is it that some companies turn out to be more successful when doing the opposite of what is prescribed in many books on management and strategy?
Interestingly, many of the companies depicted as very successful companies in the standard literature end up not faring well over time - probably because they somehow end up in a dangerous autopilot mode. What this suggests is that the conventional literature isn’t telling us the whole story. Even if companies have temporarily developed from an ugly duckling to a white swan, the popular methods and strategies may be clipping such companies’ wings.
Conversely, companies adhering to disruptive business models are seen to be more agile and to possess a higher degree of actionability. Such next generation companies are labeled black swans. They thrive because they are bold and embrace the great unknowns of tomorrow with open minds and eyes. At the same time, they are able to take advantage of incumbents’ fears, risk-aversion and blindness to what’s coming.
Beyond Strategy delves into the inner workings of such black swans as Apple, Aravind, Emirates, Huawei, Natura, Ryanair and Tata and addresses the rise and fall of Nokia. The authors provide explosive evidence of black swan companies working against the norms to enter unchartered waters, determined not to adhere to the best practice of others, but rather to create a genuine next generation practice.
Next generation companies and their underlying philosophies are here to stay – are you?
"I recommend Beyond Strategy – The Impact of Next Generation Companies to any executive. It has been an eye-opener for me, in particular because the practical case-descriptions demonstrate how next generation companies may obtain powerful results by trading in well-known recipes for a more aggressive mindset, reversing the rules of the game. Who would like to sit back as with clipped wings when unforeseen black swans enter center stage?" - Jørgen Buhl Rasmussen, President & CEO, Carlsberg A/S, Denmark
"Beyond Strategy is a really important book - it reminds us how much bad advice there is out there about the secrets of corporate success, and it provides refreshing advice about how companies should chart their own course to achieve success." - Julian Birkinshaw, Professor of Strategy and Entrepreneurship, London Business School, UK
"This book is extremely valuable, as it is not only based on American thinking but also takes a global perspective on future strategies, including strong examples from Latin America, the Middle East, India and China. Anchored in solid cases, it gives the investor a refreshing look into the world of the unknowns. Normally, you are bombarded with existing knowledge – with this book you will gain valuable insight into a new mindset needed to better understand and handle uncertainties, risks and unpredictable elements in the equation." - Chen Qiwei, Founding Partner, Chairman, ABC Capital, China
"This book offers a new angle on strategy. It is refreshing in its practicality, and yet, offers a powerful new conceptual framework. Beyond Strategy is a must read for practitioners and academicians alike." - Peter Lorange, President, Lorange Institute of Business Zurich, Switzerland
Foreword. Introduction – Can You Predict the Unexpected?. PART I: From the Conventional to the New Emerging Paradigm 1. Disrupter’s Paradise 2. The Conventional Paradigm 3. How a New Paradigm is Emerging 4. Towards a New Paradigm? PART II: On the Inner Workings of Black Swans 5. Apple, the Black Swan 6. Aravind – The McDonaldization of Eye Care 7. Emirates Airlines – Globalization from the Desert 8. Huawei – Countryside Surrounding Cities 9. Natura – Globalizing Beauty! 10. Nokia – From Ugly Duckling to White Swan to…? 11. Ryanair – A True Disrupter 12. Tata Motors – Reverse Imperialism PART III: Beyond Strategy and Metrics 13. Going Beyond Strategy. Appendix 1 – Metrics and Diagnostics. Appendix 2 – Company of the Future Metric.
Both authors work coherently within the space of ABC – Academia, Business and Consulting:
Michael Moesgaard Andersen holds degrees in political science and in business management and is also an adjunct Professor of Strategy at Copenhagen Business School, Denmark. He is running his own venture capital company, focused on creating next generation practices. Prior to this, he was the co-owner and CEO of a medium-sized globally focused consulting business.
Flemming Poulfelt is Professor of Management and Strategy and Vice Dean at Copenhagen Business School, Denmark. He has served at faculties at universities in Denmark, Europe, the US and Australia. Along with his academic career, he has developed strong ties to global businesses, both through Board memberships and, notably, through consulting activities.
The co-authors of this book also wrote the successful title Return on Strategy, published by Routledge in 2010.