Exponential Organizations: Why new organizations are ten times better, faster, and cheaper than yours (and what to do about it)

Exponential Organizations: Why new organizations are ten times better, faster, and cheaper than yours (and what to do about it)


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Frost & Sullivan’s 2014 Growth, Innovation, and Leadership Book of the Year

In business, performance is key. In performance, how you organize can be the key to growth.

In the past five years, the business world has seen the birth of a new breed of company—the Exponential Organization—that has revolutionized how a company can accelerate its growth by using technology. An ExO can eliminate the incremental, linear way traditional companies get bigger, leveraging assets like community, big data, algorithms, and new technology into achieving performance benchmarks ten times better than its peers.

Three luminaries of the business world—Salim Ismail, Yuri van Geest, and Mike Malone—have researched this phenomenon and documented ten characteristics of Exponential Organizations. Here, in EXPONENTIAL ORGANIZATIONS, they walk the reader through how any company, from a startup to a multi-national, can become an ExO, streamline its performance, and grow to the next level.

Chosen by Benjamin Netanyahu, Prime Minister of Israel, to be one of Bloomberg's Best Books of 2015

Product Details

ISBN-13: 9781626814233
Publisher: Diversion Books
Publication date: 10/14/2014
Pages: 328
Sales rank: 144,880
Product dimensions: 5.04(w) x 7.96(h) x 0.70(d)

About the Author

Salim Ismail is the founding Executive Director at Singularity University, where he moderates most academic programs, and is its current Global Ambassador. Before that, as a vice president at Yahoo, he built and ran Brickhouse, Yahoo’s internal incubator. His most recent company, Angstro, was sold to Google in August 2010. He has founded or operated seven early-stage companies including PubSub Concepts, which laid some of the foundation for the real-time web. He also spent several years as a management consultant with CSC Europe and later with ITIM Associates. Ismail holds a B.Sc. in Theoretical Physics from the University of Waterloo in Canada.

Michael S. Malone is one of the world's best-known technology writers. He has covered Silicon Valley and high-tech for more than 30 years, beginning with the San Jose Mercury News as the nation's first daily high-tech reporter. Malone’s articles and editorials regularly appear in the Wall Street Journal. He was editor of Forbes ASAP, the world's largest-circulation business-tech magazine, at the height of the dot-com boom. Malone is the author or co-author of nearly twenty award-winning books and television series, notably the best-selling The Virtual Corporation, Bill and Dave: How Hewlett and Packard Built the World’s Greatest Company, and The Future Arrived Yesterday: The Rise of the Protean Corporation and What It Means For You. Malone holds an MBA from Santa Clara University, where he is currently an adjunct professor in professional writing. He is also an associate fellow of the Saïd Business School at Oxford University, and is a Distinguished Friend of Oxford.

Yuri van Geest is an international keynote speaker, boardroom consultant, the managing director of the Singularity University Summit Europe, the Dutch Ambassador for Singularity University and a double alumnus of Singularity’s programs. He holds a M.Sc. degree in strategic management and marketing from Erasmus University Rotterdam and has been a key figure, firestarter and organizer in the global Lean Startup, Quantified Self, TEDx and Mobile Monday movements. He has consulted for Google, ING Bank, Vodafone Group, Adidas Global, Philips Global, Heineken Global, Friesland Campina, Samsung and MIT, and was a key member of the Topteam Creative Industry within the Dutch Ministry of Economic Affairs, Agriculture and Innovation for two years.

Peter H. Diamandis is a serial entrepreneur having co-founded 15 companies, most notably the X Prize Foundation, Singularity University and Planetary Resources. He has a molecular biology and aerospace engineering degree from MIT and an MD from Harvard. He is also the co-author of the New York Times bestselling book, Abundance: The Future Is Much Better Than You Think, which is recommended pre-reading for those interested in Exponential Organizations. CNN and Fortune just named Peter Diamandis one of “The World’s 50 Greatest Leaders.”

Table of Contents

Foreword 7

Introduction 13

The Iridium Moment 13

Doubling Down 16

Exponential Organizations 18

Part 1 Exploring the Exponential Organization 23

Chapter 1 Illuminated by Information 25

Chapter 2 A Tale of Two Companies 36

Chapter 3 The Exponential Organization 51

Massive Transformative Purpose (MTP) 53

Staff on Demand 58

Community & Crowd 63

Algorithms 68

Leveraged Assets 74

Engagement 77

Chapter 4 Inside the Exponential Organization 85

Interfaces 86

Dashboards 90

Experimentation 95

Autonomy 102

Social Technologies 109

Chapter 5 Implications of Exponential Organizations 116

1 Information Accelerates Everything 118

2 Drive To Demonetization 121

3 Disruption is the New Norm 124

4 Beware the "Expert" 126

5 Death to the Five-Year Plan 127

6 Smaller Beats Bigger 131

7 Rent, Don't Own 136

8 Trust Beats Control and Open Beats Closed 138

9 Everything is Measurable and Anything is Knowable 140

How Exponential is Your Organization? 145

Part 2 Building the Exponential Organization 147

Chapter 6 Starting an ExO 149

Ignition 152

Step 1 Select an MTP 156

Step 2 Join or Create Relevant MTP Communities 157

Step 3 Compose a Team 159

Step 4 Breakthrough Idea 161

Step 5 Build a Business Model Canvas 165

Step 6 Find a Business Model 165

Step 7 Build the MVP 169

Step 8 Validate Marketing and Sales 170

Step 9 Implement SCALE and IDEAS 171

Step 10 Establish the Culture 172

Step 11 Ask Key Questions Periodically 174

Step 12 Building and Maintaining a Platform 175

In Concert 177

Lessons for Enterprise ExOs (EExOs) 179

Chapter 7 ExOs and Mid-Market Companies 181

Example 1 TED 181

Example 2 GitHub 183

Example 3 Coyote Logistics 188

Example 4 Studio Roosegaarde 190

Retrofitting an ExO 193

Example 5 GoPro 195

Chapter 8 ExOs for Large Organizations 200

1 Transform Leadership 205

2 Partner with, Invest in or Acquire ExOs 212

3 Disrupt[X] 216

4 ExO Lite (The Gende Cycle) 228

Conclusion 237

Chapter 9 Big Companies Adapt 240

The Coca-Cola Company - Exponential Pop 241

Haier - Higher and Higher 244

Xiaomi - Showing You and Me 246

The Guardian - Guarding journalism 249

General Electric - General Excellence 250

Amazon - Clearing the Rainforest of "No" 253

Zappos - Zapping Boredom 254

ING Direct Canad - BankING Autonomy 256

Google Ventures - The Almost Perfect EExO 258

Growing with the Crowd 260

Chapter 10 The Exponential Executive 264

CEO - Chief Executive Officer 271

CMO - Chief Marketing Officer 274

CFO - Chief Financial Officer 277

CTO/CIO - Chief Technology/Information Officer 278

CDO - Chief Data Officer 280

CIO - Chief Innovation Officer 281

COO - Chief Operating Officer 283

CLO - Chief Legal Officer 285

CHRO - Chief Human Resources Officer 287

The World's Most Important Job 290

Epilogue: A New Cambrian Explosion 293

Afterword 303

Appendix A What is your Exponential Quotient? 307

Appendix B Sources and Inspirations 315

About the Authors 321

Acknowledgments 323

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