© 2015 Create Advantage, Inc.
Kim C. KornCreate Advantage, Inc.
12110 Parade Ave N
Stillwater, MN 55082 USA
+1 (651) 402-3900
www.CreateAdvantage.com
Regenerative ManagingEIT ICT LABS
Urban Mill
Espoo, FinlandApril 23, 2015
www.lawsofmanaging.com
www.facebook.com/thelawsofmanaging
© 2015 Create Advantage, Inc.Source: Joseph A. Schumpeter, Capitalism, Socialism, & Democracy,
Third Edition (New York: Harper Perennial, 1950), pp. 82-84
“…incessantly
revolutionizes the
economic structure from
within, incessantly
destroying the old one,
incessantly creating a new
one.”
Managing “must be seen in
its role in the perennial
gale of creative
destruction.”
Creative Destruction
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Creative Destruction
IS
Regeneration
© 2015 Create Advantage, Inc.
Ente
rpri
se V
ital
ity
Re
lati
ve t
o it
s Ec
osy
ste
ms +
Failing
Thriving
Trailing Creative Destruction
Leading Creative Destruction
Degenerative Trajectories
AmbientLevel
Thrive
ForeverRegenerative
Trajectory
Fail
Eventually
Enterprise Trajectory
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Command
Control
Managing’s Challenge
Mechanistic
Operation
Exploitation
Exploration
Optimization
Objective Observation
Source: Camille Flammarion, L'Atmosphere:
Météorologie Populaire (Paris, 1888), pp.
163 (coloring added).
© 2015 Create Advantage, Inc.
the Enterprise
ActivitiesPeople
Value Creation
© 2015 Create Advantage, Inc.
the Enterprise
ActivitiesPeople
Value Creation
© 2015 Create Advantage, Inc.
Laws of Managing
the Enterprise
ActivitiesPeople
Liberate
Creativity
Invigorate
Learning
Enrich
Humanity
Attain
Vitality
Gain Coherence
Unleash
Potential
Infuse
Meaning
© 2015 Create Advantage, Inc.
The Law of Potential
Imperative: Unleash Potential
Managing must unleash potential
within workers, engendering
intrinsic motivation by fulfilling their
innate needs.
This brings forth the full possibility
of each person and, therefore, the
enterprise as a whole.
Autonomy
Competence
Relatedness
First Principles:
Engage the Whole Person
Fulfill Each Person’s Innate Needs
© 2015 Create Advantage, Inc.
The Law of Meaning
Imperative: Infuse Meaning
Managing must infuse meaning
through a sense of purpose
shared across all workers.
This aligns their thinking,
behaving, and acting with the
meaningful purpose of the
enterprise.
First Principles:
Encourage Personal Meaning
Ascertain the Meaningful Purpose
Meaningful
Purpose
© 2015 Create Advantage, Inc.
The Law of Creativity
Imperative: Liberate Creativity
Managing must liberate creativity
by applying intuition and
exercising the free will of workers.
This allows the enterprise to
discover surprising ecosystem-
molding and wealth-producing
opportunities that lie ahead.
First Principles:
Foster Indigenous Innovation
Welcome Surprise Innovation
Value-Creation
Possibility
Past
Now
Future
Possibility Space
© 2015 Create Advantage, Inc.
The Law of Learning
Imperative: Invigorate Learning
Managing must invigorate learning
through the ongoing orchestration
of exploration and exploitation.
It must explore to discover the
unknown, exploit the known, and
orchestrate all learning to realize
value in operation.
First Principles:
Perform Exploration & Exploitation
Conduct Orchestration
Operation
© 2015 Create Advantage, Inc.
The Law of Humanity
Imperative: Enrich Humanity
Managing must enrich humanity
with compelling economic
offerings.
This creates the value both
desired and deserved by not
only customers but workers and
society at large.
First Principles:
Create Economic Values (create
& capture exchangeable value)
Ensure Human Values
Enrich Humanity
KnowledgeEconomicValues
Business
© 2015 Create Advantage, Inc.
The Law of Vitality
Imperative: Attain Vitality
Managing must attain vitality by
destructively recreating the
enterprise over and over again.
This creates a trajectory of endless
potential, new-to-the-world
offerings, and continual enterprise
transformation, which sustains the
wealth necessary to survive.
First Principles:
Embrace Creative Destruction
Orchestrate Destructive Recreation
Ecosystems
Enterprise
DESTRUCTION
CREATION
DESTRUCTION
CREATION
© 2015 Create Advantage, Inc.
The Law of Coherence
Imperative: Gain Coherence
Managing must gain
coherence by fostering,
balancing, and integrating
the domains of value
creation with its practices.
This perpetually unifies the
enterprise to regenerate
itself, and thereby thrive
forever.
First Principle:
Gain Coherence
Unleash
Potential
Infuse
Meaning
Liberate
Creativity
Invigorate
Learning
Enrich
Humanity
Attain
Vitality
Gain
Coherence
© 2015 Create Advantage, Inc.
the Enterprise
ActivitiesPeople
Value Creation
Regenerative
Enterprise© 2015 Create Advantage, Inc.
Unleash
PotentialInfuse
Meaning
Liberate
Creativity
Invigorate
Learning
Enrich
Humanity
Attain
VitalityGain
Coherence