"Inside the Strategy Room" welcomes Charles Conn, an investor and entrepreneur, and Rob McLean, a Director Emeritus of McKinsey & Company. They discuss their book "The Imperfectionists" which explores developing strategies in uncertain times. They emphasize the importance of embracing imperfection, celebrating failure, and promoting experimentation and innovation within organizations. They also highlight the effectiveness of visual demonstrations and storytelling in building support for ideas.
Imperfectionism challenges traditional strategic approaches and encourages organizations to embrace agile and audacious strategies.
Cultivating a culture of curiosity involves asking audacious questions, giving employees time to explore ideas, and celebrating successes and failures.
Embracing the dragonfly eye mindset enables organizations to discover innovative solutions by challenging conventional thinking and widening perspectives.
Relentless experimentation and collective intelligence through A/B testing, pilot programs, and crowd-sourcing provide valuable insights and external expertise in navigating uncertainty.
Deep dives
The Imperfectionists: Strategic Mindsets for Uncertain Times
The podcast discusses the central theme of the recent book 'The Imperfectionists' and introduces author Charles Kahn, who explains the concept of imperfectionism in strategy. Imperfectionism is about stepping into risk, accepting ambiguity, and making a series of small moves to build knowledge and capabilities in an uncertain world. The book outlines six mindsets that support imperfectionism, including curiosity, the dragonfly eye (adopting multiple perspectives), relentless experimentation, collective intelligence, generating new data, and experimenting, and show and tell (compelling storytelling and visuals). Imperfectionism challenges traditional strategic approaches and encourages organizations to embrace agile, adaptable, and audacious strategies.
The Role of Curiosity and Audacious Questions in Strategy
One of the mindsets discussed is curiosity, which involves asking audacious questions and challenging existing frameworks. The podcast shares an example of how Edward Land's curiosity about his daughter's question inspired him to invent the Polaroid instant camera. Cultivating a culture of curiosity requires giving employees time and space to explore ideas and celebrating both successes and failures.
The Dragonfly Eye: Adopting Multiple Perspectives
The dragonfly eye mindset emphasizes the importance of widening perspectives and using multiple lenses when approaching strategy. The podcast highlights the case of Zia Chisti, who noticed a potential for clear plastic retainers in orthodontics by observing the barista's actions in a café. Embracing the dragonfly eye mindset enables organizations to discover innovative solutions by challenging conventional thinking.
Relentless Experimentation and Collective Intelligence
Relentless experimentation and collective intelligence are two intertwined mindsets for navigating uncertainty. The podcast shares examples of organizations leveraging A/B testing, pilot programs, and crowd-sourcing to generate new data and insights. Tapping into collective intelligence through collaborative or competitive means, including AI, provides a rich source of external expertise and diverse perspectives.
Generating New Data and Showcasing Results
Generating new data and showcasing results is essential for supporting strategic imperfectionism. The podcast mentions the importance of adopting Bayesian thinking and conducting experiments to update beliefs based on evidence. Additionally, utilizing compelling visuals, storytelling, and speaking to people's values can build support and convey the impact of strategies.
Stepping into Risk and Challenging Traditional Approaches
The podcast emphasizes the need to rethink conventional strategic approaches in a rapidly changing world. It discusses how imperfectionism can balance the need for bold, long-term focus with the agility of making smaller, more strategic moves. By stepping into risk and embracing imperfectionism, organizations can establish competitive advantage and adapt to disruptions effectively.
Creating a Culture of Imperfectionism and Managing External Expectations
To create a culture of imperfectionism, the podcast suggests breaking down silos and involving employees in strategy development. It encourages experimentation, curiosity, and supports failures as learning opportunities. In terms of managing external expectations, transparency and honest communication with investors and stakeholders are key. Additionally, celebrating both successes and failures and adopting a show and tell approach can help build internal and external support.
Conclusion
The podcast concludes by summarizing the key takeaways of imperfectionism: embracing risk, curiosity, multiple perspectives, relentless experimentation, collective intelligence, generating new data, showcasing results, and challenging traditional approaches. Imperfectionism offers a dynamic and agile approach to strategy in uncertain times, enabling organizations to thrive in a rapidly changing world.
Charles is an investor, environmentalist, and entrepreneur. He co-founded Monograph, a venture firm, and was previously CEO of the Rhodes Trust in Oxford. He is the Board Chair of Patagonia and sits on The Nature Conservancy European Council. He was the founding CEO of Ticketmaster-Citysearch and a partner at McKinsey & Company.
Rob is a Director Emeritus of McKinsey & Company, a Trustee of The Nature Conservancy in Australia and Asia, and a Director of the Paul Ramsay Foundation, Australia’s largest philanthropic foundation. He is the former Dean of the Australian Graduate School of Management. He was a Fulbright Scholar at the Columbia University Graduate School of Business.
