Index

A/B testing, 104

accountability, 20

additive manufacturing, 61–73

advantages of, 63–65

approaches for, 70–71

big area, 65

operations and, 62, 66, 68–69

patents, 67

platforms, 69–72

product offerings, 62, 66

reconfiguring ecosystems for, 62–63, 69

revolution in, 72–73

strategy, 62–63, 65–69, 70–71

advice, seeking out, 53, 132

aerospace industry, and 3-D printing, 66

agility, 79–82

Airbnb, 149

algorithms, in decision making, 57, 59

alignment

in chain of command, 88

with strategy, 76–79

Allen curve, 147

alternative energy, 44

Amazon, 21, 149

ancillary effects, 108

Apple, 34–35, 38

AT&T, 149

authenticity, 89–101

cultural differences and, 99

development and, 95, 96–100

leaders and, 89–101

training, 95

automotive industry, and 3-D printing, 66, 68, 70

Bank of America, 168

Belk, 25

Bernstein, Ethan, 15–27

big data, 103, 113–116

blinding, in decision making, 57

blind tests, 113

blue-collar jobs. See labor force

boards of directors, 33, 34, 42–43

boundaries, 16–27

around teams, 17–22

around time, 26–27

between decision rights and improvement rights, 23–26

between feedback and evaluation, 22–23

Buckingham, Marcus, 1–14

business experiments, 103–119

A/B testing, 104

big data and, 113–116

blind tests, 113

causality and, 117–118

checklist for, 106–107

clear purpose for, 105–108

control groups, 114–115

conventional wisdom, 118–119

dependent variables, 105, 110

doability of, 109–111

independent variables, 105, 110

organizational priorities and, 109

randomized field trials, 111–112

reliability of results in, 111–116

sample size for, 111

stakeholder commitment and, 108–109

targeted rollouts of, 116

value of, 116–118

business models, 155–157, 167, 169–170

business process management. See operations strategy, for 3-D printing

buybacks. See stock buybacks

capital investments, 29–30

Capital One, 112

Caradigm, 165

causality. See business experiments change

adaptation to, 79–80, 81

customer reactions to, 103

leadership development and, 97–100

checklists, in decision making, 57, 59

chief executive officer (CEO). See also corporate executives

board of directors and, 43

compensation of, 42

role of, 37

cloud computing, 154, 161, 167

cognitive biases, 47–59

collaboration

benefits of, 121–128, 133

leadership for, 134–136

multidisciplinary, 122–128

obstacles to, 128–130

in professional services firms, 121–137

research on, 124

revenue and, 122–123, 125–126, 133

strategies for, 130–136

communication

collaboration and, 132

digital, 146–148

elements of successful, 142–143

physical distance and, 147

of strategy, 82–84

compensation decisions, 5–6

conflict resolution, 87–88

connected devices, 155, 157. See also digital ubiquity

contract service agreements (CSAs), 157

control groups, 114–115. See also business experiments

coordination, 77–78, 80, 85–86

corporate culture, 84–86

corporate executives. See also chief executive officer (CEO)

compensation of, 30, 33, 39–45

self-serving, 39–40

strategy execution and, 86–88

corporate profits, 29–30, 45. See also stock buybacks

corporate values, 84

coworking spaces, 148–151

Cracker Barrel Old Country Store, 117–118

creative thinking, 24, 139

creativity, 139, 144–145, 148

crowdsourcing, 163, 166

cultural norms, 91, 99

customer engagement, 164

Daimler, 167

data

big, 103, 113–116

performance, 6–11

D’Aveni, Richard, 61–73

decision making

biases in, 47–59

blinding and, 57

decision point and, 58

estimates and, 50–52

future projections and, 49–53

objectives and, 52–54

one-off decisions, 58–59

options and, 54–56

overconfidence and, 56

misweighting and, 57

possible outcomes and, 49–52

System 1 thinking and, 47, 49, 54

System 2 thinking and, 47–48, 54, 58

trip wires and, 56–58

decision rights, 23–26

dependent variables. See business experimentation

deregulation, 35

digital blueprints, in 3-D printing, 62

digital communication, 146–148

digital monitoring, 21

digital ubiquity, 153–170

digital workspaces, 146

disinvestment, 82

distributed leaders, 87–88

dividends, 29, 30, 37

Dodd-Frank Act, 42

downsize-and-distribute approach, 31

Downtown Project (Las Vegas), 150–151

DriveCam, 22–23

drug prices, 44–45

earnings per share (EPS) targets, 30, 33

economic growth, 31–32

economic prosperity, 29, 30, 45

employee evaluations, 2–3, 5–6, 22–23. See also performance management

employees

digital tracking of, 21

engagement by, 95

improvement rights for, 23–26

observation of, 15, 17–18, 21

underperformance by, 84–85

employee stock options, 36–37, 39–40

employment relations, 32

engagement

communication and, 142–143

customer, 164

employee, 95

E.ON, 164–165

estimates, in decision making, 50–52

evaluation, joint, in decision making, 55

evaluations, performance, boundaries in, 22–23

executive compensation, 30, 33, 39–45

experimentation, 96–97, 103–119. See also business experiments

Exxon Mobil, 34

Facebook, 139

face-to-face interactions, 139, 140, 143–146

Family Dollar, 107–108

federal subsidies, 44

feedback

anonymous, 22–23

boundaries between evaluation and, 22–23

internal, 2

negative, 94, 96

360-degree, 5, 26

financial crisis, 31, 170

financial forecasts, 49–50

flexograms, 27

Flextronics, 24–25

Ford Motor, 167

Foundry, 149

free cash flow, 37–38

future projections, 49–52

Gardner, Heidi K., 121–137

General Electric (GE), 67, 153–155, 157–167

Giant Bicycles, 26

goals, 2, 76, 98. See also objectives

Goodall, Ashley, 1–14

Google, 139, 155, 158

group performance, 145–146

Harrah’s, 21

hedging, 49

high-performing teams, 4–5

high self-monitors, 92

hiring decisions, 84, 134

Homkes, Rebecca, 75–88

horizontal management, 78–79

Iansiti, Marco, 153–170

Ibarra, Herminia, 89–101

IBM, 67

ideas, selling your, 93–94

identity, 90, 91, 100

idiosyncratic rater effect, 3, 5

impressions, managing, 22

improvement rights, 23–26

income inequality, 31

independent variables. See business experimentation

industrial internet, 153–155, 159–167

ING Direct, 149

innovation, 23–25, 27, 67, 72, 103, 139, 166

inside view, in decision making, 52

internal feedback, 2

internet, 72, 104

industrial, 153–155, 159–167

internet of things, 154, 156, 157

intuition, 47, 49

inventory management, 68

J.C. Penney, 103, 119

joint evaluation, of options, 55

joint ventures, 165–166

just-in-time inventory, 68

Kohl’s, 106–107, 108, 118

labor force, 32

Lakhani, Karim R., 153–170

Lazonick, Willliam, 29–45

leaders

as architects, 135–136

authenticity and, 89–96

buy-in for, 93–94

as coaches, 134–135

collaboration and, 134–136

distributed, 87–88

new, 92–93

playful attitude for, 96–97

processing of negative feedback by, 94, 96

role models for, 97–98

team, 7–9

trust in, 95

learning

machine, 114

setting goals for, 98–99

through imitation, 97–98

Lindsay, Greg, 139–151

loss aversion, 58

low self-monitors, 92–93

Magnolfi, Jennifer, 139–151

management by objectives, 76

manufacturing jobs. See labor force

Manzi, Jim, 103–119

maximizing shareholder value (MSV), 37–38

Microsoft, 154, 167

Milkman, Katherine L., 47–59

misweighting, in decision making, 57

motivated biases, 56–59

multicultural environments, and authenticity, 99

nanotechnology, 44

narrow thinking, 47–59

negative feedback, 94, 96

Nest, 155, 158, 168

networking, 94

Norfolk Southern, 161–162

objectives

cycling through your, 54

management by, 76

strategic, 82–84

thinking about, 52–54

observation, 15, 17–18, 20, 21

office design, 139–151

one-off decisions, 58–59

open-market repurchases, 33–43

operations strategy, for 3-D printing, 66–69

options

thinking about, 54–56

vanishing options test, 56

outcomes-based business models, 169–170

outside view, in decision making, 51–52

outsight, 96–97

overconfidence, in decision making, 56

partnerships, 165–167

patents, and 3-D printing, 67

Payne, John W., 47–59

performance

checking in on, 7–10

culture, 84–86

goals, 98

group, 145–146

snapshots, 6–11

workspace design and, 139–141

performance management

data collection, 5–6

purpose of, 5, 7–10

redesign of, 1–14

ratings, 2–3, 14

transparency and, 11–14

performance snapshots, 6–11

personal information, and transparency, 21

personal narratives, and authenticity, 99–100

personnel decisions, 84–85

Petco, 109, 113, 116, 118–119

pharmaceutical drugs, 44–45

planning fallacy, in decision making, 52

platforms, and 3-D printing, 69–72

playful attitude, and authenticity, 96–97

possible outcomes, in decision making, 49–52

postmortems, 51

Predictivity, 161–162

premortems, 51

present bias, 58

privacy, 15–27

product development, and digital ubiquity, 163

productive deviance, 23–24

productivity, 18, 27, 32, 45, 145–146

product strategy, for 3-D printing, 62, 66

professional identities, 90, 91, 100. See also authenticity

professional services firms, 121–137

profits, 29–45

promotion decisions, 84–85

prosperity, 29, 30, 31, 33, 45

Public Service Enterprise Group (PSEG), 161

Publix Super Markets, 109, 113, 116

Quirky, 166

randomized field trials, 111–112

ratings, performance

debate over, 14

science of, 2–3

reconsideration, in decision making, 50–51

referrals, work, 125–127

regulatory agencies, and digital ubiquity, 170

reinvestment, of dividends, 39

repurchases, stock, 33–43

resource allocation decisions, 30–33, 45, 80–81

retain-and-reinvest approach, 30–31

retained earnings, 38

role models, and authenticity, 97–98

Rule 10b-18, 34, 35, 45

Rypple, 22

Samsung, 139

SAP, 154

Seagate Technology, 52–53

Securities and Exchange Commission(SEC), 35, 41, 42, 45

Securities Exchange Act, 34, 35

senior management

lack of collaboration by, 121–137

See also corporate executives

shareholders, 29–31, 33, 37–38, 43, 45

SmartWool, 163

social media, and authenticity, 91

social spaces, and workspaces, 144

software companies, and digital ubiquity, 154

Soll, Jack B., 47–59

stakeholders, and experimentation, 108–109

St. Luke’s Medical Center, 161

stock buybacks, 29–30, 33–43

justifications for, 35–39

reform of, 41–43

types of, 33–35

stock options, 36–37, 39–44

stock-price manipulation, 34, 38

Stratasys, 67

strategy execution, 75–88

alignment and, 76–79, 88

communication and, 82–84

coordination and, 77–78, 80, 85–86

failures in, 79–82

importance of, 75

myths about, 76–88

performance culture and, 84–86

plans for, 79–82

research on, 78

top executives and, 86–88

strengths, individual, 4–5, 9

Sull, Charles, 75–88

Sull, Donald, 75–88

sustainable prosperity, 31

System 1 thinking, 47, 49, 54. See also decision making

System 2 thinking, 47–48, 54, 58. See also decision making

Taleris, 165–166

targeted rollouts, and experiments, 116

taxpayers, 38, 43

Tax Reform Act, 43

team leaders, 7–10

teams

boundaries around, 17–22

high-performing, 4–5

weekly check-ins with, 7–10

Telenor, 142–143, 146–147

tender offers, 33–34

Tesco, 21

Therics, 67

Thomke, Stefan, 103–119

3-D printing, 61–73

advantages of, 63–65

approaches for, 70–71

operations and, 62, 66, 68–69

patents, 67

platforms, 69–72

printer farms, 70

product offerings, 62, 66

product strategy, 62, 66

reconfiguring ecosystems for, 62–63, 69

revolution in, 72–73

strategy, 62–63, 65–69, 70–71

3D Systems, 67

360-degree feedback, 5, 26

time boundaries, 26–27

transparency, 11–14, 15–27

acting and, 17

Uber, 168

underperformance, and strategy, 84–85

unions. See labor force

UPS, 21, 68

U.S. economy, 30, 45

validity testing, 12–13

value capture, 155–157, 169

value creation, 30–33, 38, 155–157, 169

value engineering, 116–117

value extraction, 30–33, 38

Valve Software, 19–20

vanishing options test, in decision making, 56

visibility, 16, 24

Waber, Ben, 139–151

wages, 31–32

Wawa, 108

weekly check-ins, with teams, 7–10

white-collar workers. See labor force

work environment, transparency in, 15–27

workspaces, 139–151

Yahoo, 139

yes-no framing, in decision making, 54–55

Zappos, 150

Zipcar, 167