May 2017 | Senior Leadership
Nano Tools for Leaders® are fast, effective leadership tools that you can learn and start using in less than 15 minutes — with the potential to significantly impact your success as a leader and the engagement and productivity of the people you lead.
Contributors: Jerry Wind, PhD, Professor of Marketing, The Wharton School, University of Pennsylvania; Barry Libert; and Megan Beck — authors of The Network Imperative: How to Survive and Grow in the Age of Digital Business Models.
Adopt some of the business and mental model innovations of today’s fastest-growing businesses to create greater value in the new digital environment.
Thirty years ago, most successful companies were built around physical assets. They focused on how to make, market, sell, and service “things.” Today, that is no longer true. Some of the most valuable companies — Apple, Amazon, Facebook, and Google — operate technology platforms that enable their customers and partners to collaborate, communicate, and conduct commerce directly.
These organizations are built on the assets, labor, knowledge, and relationships of external networks. Facebook has 1.6 billion freelance contributors, Uber has 1 million independent drivers, and Airbnb has 1 million hosts. Google generated over $16.78 billion in ad revenue in just three months (during the 3rd quarter of 2016) — without any physical assets other than its technology platform.
Companies that include digital business models are seeing dramatic growth and profit compared to organizations using older business models that rely solely on internal assets such as their own products, services, and employees. Digital businesses can scale with little or no marginal cost, and leverage the value of assets they don’t own — and therefore don’t need to manufacture, maintain, or transport.
To succeed in the digital age, organizations need to PIVOT their business and mental models to adapt to new realities. Although full transformation requires buy-in from the top down, this five-step process can be used by any company, and by leaders at every level, to PIVOT your business, group, or team towards including digital capabilities.
Nano Tools for Leaders® was conceived and developed by Deb Giffen, MCC, director of Custom Programs at Wharton Executive Education. Nano Tools for Leaders® is a collaboration between joint sponsors Wharton Executive Education and Wharton’s Center for Leadership and Change Management. This collaboration is led by Professors Michael Useem and John Paul MacDuffie.
Subscribe to the Wharton@Work RSS Feed