Making Better Sense: How Your Mental Models Define Your World (FT Press Delivers Elements)

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While traditional companies have been asset builders or service providers, the digital age has enabled newer models of technology creator and network orchestrator. Based on recent OpenMatters research, we can see from Figure 2 that the technology creator and Network Orchestrator business models can offer significantly greater ROI.

However, they have delivered significantly greater performance across a number of dimensions over the period:. They have moved away from traditional, fixed and linear industry value chain delivering "products", to a multi-sided and cross-industry value chain delivering "customer outcomes". Understanding roles both within and outside the ecosystem is a central element of business strategy. Such digital, platform-based business models are changing the way businesses of all kinds are evaluated by the market because their sources of competitive advantage e.

So, should all organizations become pure-play Network Orchestrators? The answer is no, even if this were possible. While many traditional organizations operate a single business model, the vast majority being Asset Builders, many others combine complementary business model types. For example:. Successful organizations are following this hybrid approach: indeed, the top five global companies today Apple, Alphabet, Microsoft, Amazon and Facebook blend business models, with network orchestration as a key part of the mix see Figure 3.

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To build successful business models incorporating network orchestration, organizations need to manage and leverage the power of their respective ecosystems in their multi-sided value chain, not for their own sake but because it makes good, financial business sense. So, how do European companies fare? From the findings we can see European sectors are evolving at different speeds.

Very few incumbent business model innovators exist today in Europe: Schibsted, Zalando, and SAP are part of a very small set of Top European companies who are evolving significantly. All the same, some European incumbents are investing in more dynamic business model portfolios, incorporating Technology Creator and Network Orchestrator elements. Within each sector are companies who have combined business models to address specific needs and contexts.

This means they are adapting to the digital economy by increasing the synergies across their existing businesses. This translates into growth and higher profit margins through better differentiation, more satisfied customers, greater efficiency and higher return on capital employed. Manufacturing organizations have made significant moves towards incorporating network orchestration.

Evidence-based advice on how to be successful in any job - 80, Hours

Most media companies face significant threats to their core business model of advertising-funded broadcasting and content production. In a bold response to the threat of digital-first competition, German independent ProSiebenSat. An increasing number of European retailers have started to adopt Network Orchestration. French electronics retailer Darty introduced a third-party marketplace in , dramatically increasing the choice of goods it can now offer its customers, significantly grown traffic to its website, and has benefited from twice the margin on goods sold through the market compared with its traditional business.

The hospitality industry is waking up to its network orchestration role.

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In a bold move to catch up, Accor invested heavily in network orchestration, opening up its booking system to third parties, acquiring the room rental marketplace OneFineStay and concierge service provider John Paul. Other hotel chains are following a similar acquisition strategy, with Wyndham Worldwide buying LoveHomeSwap in The major automotive manufacturers have started to embrace network orchestration by investing in or buying service orientated digital business platforms, ride-sharing and ride-hailing businesses.

Recent talk about greater industry-wide collaboration and potentially merging certain digital operations makes a lot of sense. We can see several examples of network orchestration success in telecoms. For example Nordic Telenor invested in online classifieds businesses as part of its new digital strategy, and BT Global Services created a highly innovative cloud services platform note 11 but these are exceptions.

Telco talks about an enterprise IoT opportunity, but focuses on connectivity rather than ecosystem-enabling platforms. So there is work to be done. European banks are beginning to understand the role of network orchestration, forced partly by open banking regulation "PSD2". Ping An from China last year took this accolade due to the success of its digital ecosystem management strategy which is enabling it to stay more central to customers lives by leveraging others.

Many examples of successful network orchestration come from start-ups who think differently about how to serve markets. One example is Houzz, an online platform for connecting home owners with professionals for interior design and other household improvements.

Further Reading

As the examples illustrate, no organization needs to completely transform; however they do have to incorporate digital-platform-based business models into the heart of their strategy. To do so requires a portfolio approach which incorporates technology creator and network orchestration while still depending on current business models, driving synergies between old and new models for differentiation, innovation, cost efficiency and better delivery against customer needs.

Delivering an integrated portfolio approach requires mindset change at the highest level. Research in positive psychology suggests that these have a big impact on your day-to-day happiness, not to mention your health and energy. A lot has been written about how to improve them. Sometimes there are small technical tricks e. A good starting point is this list. You can also use the advice on productivity in an upcoming section. Instead, set limits. This is one reason why we like the Giving What We Can pledge.

Rather than constantly worry about how much to donate, set a percentage then stick to it. We know many people who took the time to make mental health their top priority and who, having found treatments and techniques that worked, have gone on to perform at the highest level. Otherwise, you might like to look into the latest evidence-based treatments yourself.

For instance, cognitive behavioural therapy CBT has also been found to help with many mental health problems, and is increasingly available online. One resource to check out is Pacifica. A classic book is Feeling Good by David Burns — reading the book has even been tested in rigorous randomised controlled trials and found to reduce the symptoms of depression. One of my colleagues, Rob, has written about his positive experience trying antidepressants. Here are some summaries of other forms of treatment. Manage Your Mind is a popular guide to many types of mental health treatment written by a psychologist.

Lots of health advice is snake oil. Besides your doctor, you can find easy-to-use summaries of the scientific consensus on how to treat different health problems on websites like NHS Choices and the Mayo Clinic. Read more about how to get evidence-based health advice. Repetitive strain injury RSI is also a hazard of modern workplaces, and can even permanently damage your ability to type or use a mouse.

Will spoke to over ten health professionals about his back pain before he got any useful advice. Nevertheless, you can reduce your chances of back pain and RSI in a couple of ways. First, correctly set up your desk and maintain good posture — see advice here , here and here. Second, regularly change position the pomodoro technique is useful. Third, exercise regularly. If you do get any symptoms, treat them immediately before they get worse. Researchers in this field have developed practical, easy exercises to make you happier, and tested them with rigorous trials to see whether they really work.

The evidence is still emerging, but we think this is one of the best places to turn for self-help advice. Partly, this research emphasises the importance of the basics — sleep, exercise, family and friends. Below is a list of techniques recommended by Professor Martin Seligman, one of the founders of the field. Most of these are in his book, Flourish. Being happier is not only good in itself, but it can also make you more productive , a better advocate for social change, and less likely to burn out.

Other ways of cultivating gratitude are also good, like the gratitude visit. Use your signature strengths. Then make sure you use one of your top 5 strengths each day. Read more. Learn some basic cognitive behavioural therapy CBT.