NETWORK ECONOMY: A NEW ALGORITHM Disrupt or die
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DISRUPTheOR DIE of having our entire globe benefits
connected 24/7 has created he unimaginable benefits of opportunities, having our entire globewhile connected 24/7 creating has created simultaneously “global unimaginable systemic risk”opportunities, – risks that are sowhile simultaneously systemic complex nocreating one saw“global them coming. risk” – risks that500 are executives so complexI that one ever Most Fortune knownoare saw them coming. unprepared for this type of radical disruption and the speed of change. Their organisations are simply Most 500 usually executives I knowto are too big,Fortune too slow and too inflexible adapt. unprepared for this type of radical disruption Sally Blount, dean of Kellogg School of and the speed of “this change. Their where organisations Management, says is a world we don’t are simply toorules big,yet”. too slow and usually too know the new inflexible to adapt. Sally Blount, dean of Kellogg She acknowledges that “large human School of Management, says “this is a world organisations move relatively slowly”, while tech where we don’t know the new rules yet”. She start-ups are moving at breakneck speed acknowledges that “large human organisations reinventing and disrupting entire industries. move relatively slowly”, while tech start-ups are moving at breakneck speed reinventing and Most Valuable disrupting entireResource industries. What is your most valuable resource? In our knowledge economy it is an easy mistake to think that knowledge is the most valuable resource, but it’s not. Our hyper-connected world offers us access to everything, immediately with a price – endless 30 www.thriving.network
distractions. Surrounded by an MOST VALUABLE RESOURCE incessant digital buzz – social media pings. What deserves our attention? What is your most valuable resource? “LARGE HUMAN In our knowledge economy is an easy mistake ORGANISATIONS MOVEitRELATIVELY SLOWLY”, to think that knowledge is the most valuable WHILE TECH START-UPS ARE MOVING AT resource, but it’s not. Our hyper-connected world BREAKNECK SPEED REINVENTING AND offers us access to everything, immediately with DISRUPTING ENTIRE INDUSTRIES. a price – end-lessly distractions. Surrounded by an incessant digital buzz – social media pings. Our most valuable resource is focused attention. What deserves our at-tention? In Tony Crabbe’s book “Busy: How to Thrive in a World Too Much” he explores howattention. to develop Our mostofvaluable resource is focused attention” making theto“brutal In“focused Tony Crabbe’s bookby “Busy: How Thrive choices” in a that are needed to “negotiate our life back”. World of Too Much” he explores how-to develop Choicesattention” about: whatbyshould we stop how “focused making the doing, “brutal to createthat timeare to think differently, engage our choices” needed to “negotiate differently and deliberately do less. Knowledge life back”. Choices about: what should we stop is useless if itto doesn’t to to making doing, how createlead time think uncomfortably differently, tough choices that change behavior. engage differently and deliberately do less. Crabbe defines focused attention “deep Knowledge is useless if it doesn’t leadastoamaking engagement in tough activitieschoices that really matter to us… uncomfortably that change found in the way we use our attention, not time”.
Innovation Thriving Magazine - November 2017 - February 2018
behavior.Economy Crabbe defines focused attention as a Network “deep engagement in activitiesOn that matter Fear captures our attention. 6 really th May 2010 to us… found in the way we use our attention, the Dow Jones dropped within five minutes, not time”. losing $1 trillion due to highly complex machine algorithm trading. Before any human experts NETWORK ECONOMY could respond the machine self-corrected this “flash crash” within three minutes. Fear captures our attention. The machine was paying attention to millions of seven years this event, our Onvariables, 6th Maythat 2010 within fivepost minutes the Dow smartest analystslosing still cannot fully comprehend Jones dropped, $1 trillion due to highly what actually happened that day. complex ma-chine algorithm trading. Before Wehuman have entered era whereby has any expertsancould respond power the machine shifted into the hands of those who are self-corrected this “flash crash” within three mastering the networked economy. we share minutes. The machine was paying As attention to more data, create systems thatyears are faster, millions of we variables, that seven post this better, adaptive, analysts yet also expose us to fully event, more our smartest still cannot more risk. Cybercrime is costing our global comprehend what actually happened that day. economy over $450 billion and is expected We have entered an era whereby powertohas rise to over years. shifted into $2 thetrillion hands within of thosetwo who are mastering Google has helped pioneer As ourwe networked the net-worked economy. share more economy. 2015systems Google’sthat AI engine, data, we By create are faster, better, TensorFlow, was yet wayalso ahead of itsus competitors by more adaptive, expose to more risk. almost a decade. It went against conventional 31 www.thriving.network
economics free. This Cybercrimeby is giving costingaway our access global for economy over counterintuitive strategy works in the networked $450 billion and is expected to rise to over $2 economy because it attracts more customers, which trillion within two years. means more data, and with more data TensorFlow Google has pioneer our customers networkedwant, have been ablehelped to predict what their economy. Google’s AI engine, which in turnByhas 2015 attracted more customers. TensorFlow, was way ahead of its competitors by almost a decade. It went against conventional Mastery economics by giving away access free. This In South Africa we discovered gold for mines which counterintuitive strategy works in the networked created incredible economic success. Power was in economy because it attracts more customers, the hands of a few. Today, mastery of the networked which means more start-ups data, andtowith data economy is enabling rival more the biggest TensorFlow have been able predict what their organisations on the globe very quickly. Our global customersis want, which in and turnfragmented, has attracted economy both connected more customers. whereby entire economies can be exposed or derailed within nano-seconds. We need bold MASTERY entrepreneurs who focus their attention on mastering our networked economy – building In South Africa we discovered gold mines which trusted, stable and sustainable networks that can created incredible economic success. Power solve our planet’s toughest problems. was in the hands of a few. Today, mastery of the networked economy is enabling start-ups to Irival would the following: on the globe very thesuggest biggest or-ganisations Set time aside to build your most valuable resource. quickly. Our global economy is both connected Immediately startwhereby developing a new skillset that and fragmented, entire economies can will enable you to thrive within the networked be exposed or derailed within nano-seconds. economy courses: Coursera, Udacity). We need (online bold entrepreneurs who Udemy, fo-cus their Use fear toondrive personal collectiveeconomy change – attention mastering ourand networked watch Tim Ferris 2017 Ted Talk titled “Why – building trusted, stable and sustainableyou netshould define your fears instead of your goals”. works that can solve our planet’s toughest problems. John Dalber-Acton in 19th century said, power corrupts absolutely”. I would“Absolute suggest the following: Joshua Cooper Ramo’s tagline more • Set time aside to build your mostisvaluable resource fitting for our networked economy, “Absolute access corrupts aabsolutely”. • Immediately begin developing new skillset that will enable you tonetworks thrive and within the Let’s unlock networkedgain economy courses: Coursera, access(online to a brighter future. Udemy, Udacity) • Use fear to drive personal and collective change – watch Tim Ferris 2017 Ted Talk titled “Why you should define your fears instead of your goals” Akiva Beebe
For more than 20 years he has grown different businesses, from Fortune 500s to tech start-ups. As regional director for Center for Creative Leadership, ranked number four globally for executive leadership development, he guides large organisations to thrive in turbulent markets by replacing their outdated business models.
Innovation Thriving Magazine - November 2017 - February 2018