Highlights:
In their book, "Competing for the Future", which came out in 1995. Hamel and Prahalad start off by pointing out that you can improve your results in two ways: by cutting your costs, or by increasing your outputs.
But too many companies focus on the cost-cutting. So why don't people concentrate more on the output than the costs? Because their strategic vision is too narrow. It is defined by what the competition is doing.
It is, says Hamel, important to think about what is NOT there. That done, you need a strategy for doing something about it. A "Strategic Intent", forces one to think beyond the present and to contemplate new worlds.
Being different is really the theme of Gary's latest book, called "Leading the Revolution". Most importantly of all he talks about the "grey-haired revolutionaries" - the companies that reinvent themselves time and time again. Anyone can have one great new idea or vision, very few can keep on doing it.
This is how Hamel's 10 requirements go:
1. Have Unreasonable Expectations
2. Make your business definition elastic, don't get fixated on one vision 3. Have a cause, not a business
4. Listen to other voices: young people, newcomers, outsiders
5. Keep an open market for ideas, don't shut anyone up
6. Have an open market for capital, allow people to bid for funds to support experiments
7. Have an open market for talent, so that people are allowed to work in areas that excite them
8. Encourage low risk experimentation
9. The principle of cellular revolution: breaking the organization down into small groups so that a failed revolution won't damage the whole organization
10. Allow personal wealth accumulation.Successful ideas should make money for the people who came up with them
Nevertheless, as Hamel agrees, you need both revolution AND luck to succeed in an uncertain world.
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