Author Archives: Francis

"They make the point we have been making at The Human Company for some time now: only companies that make sustainability a goal will achieve competitive advantage. "

Intuitive Intelligence: The New Mindset for Sustainability

Posted on September 19, 2009 by Francis

In their recent article Why Sustainability Is Now the Key Driver of Innovation [Harvard Business Review September 2009], Ram Nidumolu, C.K. Prahalad, and M.R. Rangaswami argue that sustainability isn’t a burden on the bottom line; instead, they make the case that going green can lower costs and increase revenues.

They make the point we have been making at The Human Company for some time now: only companies that make sustainability a goal will achieve competitive advantage. Corporate sustainability does not bloom without effort, however, and the authors describe a 4-phase maturity model for the process:

In our experience, we find most that far too many companies view sustainability as a “corporate social responsibility” and not as an engine for growth.

Let’s call this STAGE 0: GreenWashing – paying lip-service to sustainability. In this phase,companies view sustainability as a PR exercise, as a community building initiative, but they let it fall far of its true potential. For them, this is corporate citizenship, not competitive advantage.

At this phase, we also see that there is no accountability for sustainability. Often, it is the CEO’s job. This is a cop-out of course, but the data is clear:

To add insult to injury, the next step often ends up with the “coronation” of a corporate “sustainability officer” – which again is simply the wrong approach.

Fortunately there are examples of companies that are using intuitive intelligence to challenge their traditional assumptions and create real solutions for lowering costs, eliminating waste, creating new products and services, and even changing their global business models.

Wal-Mart, for example has taken the greening of its supply chain very seriously. The release of data on its scorecard for the environmental
friendliness of its vendors’ product packaging, is a clear, measurable initiative which is already impacting over 2000 suppliers.

The Wal-Mart scorecard evaluates the “green quotient” of product packaging based a number of attributes, such as:

Greenhouse gas emissions related to production
Materials used
Product to packaging ratio
Cube utilization
Recycled content usage
Innovation
The amount of renewable energy used to manufacture the packaging
The recovery value of the raw materials and emissions related to transportation of the packaging materials.

Wal-Mart also announced plans for an
similar scorecard for their electronics suppliers in 2008. Criteria for the electronics scorecard includes:

Energy efficiency
Durability
Upgradability
End-of- life solutions
Size of the package containing the product
Ability
to use innovative materials that reduce the amount of hazardous
substances, such as lead and cadmium, contained in the product

View a Wal-Mart green supplier scorecard here>>

Then there’s GE. Of course, we’ve all seen their “ecomagination” campaigns on TV and print, but they have have taken that all important real step to transforming their product innovation process in ways that can only be described as radical.

Instead of appointing a GE Tsar of sustainability, Jeffrey Immelt brought in Professor Vijay Govindaran as their Chief Innovation Consultant. His job, to work with specific divisions to identify real opportunities for global products and services.

The approach they created “reverse innovation,” is outlined in How GE is Disrupting Itself (Harvard Business Review, October 2009). VG describes their thinking as follows:

More information on the process here >>

Why does intuitive intelligence help you think in sustainable terms?

The answer is very simple.

Our instinct is responsible for the survival of our species. We can reasonably say that human instinct is pretty reliable because it’s helped us survive successfully for thousands of years.

Our modern thinking, however, relies on our analytical intelligence. It’s brought along the prowess of the scientific mind. The problem with this approach is that without genius scientific thinking can be very linear and very exclusive – to the point that it excludes our instinct not complying with reason.

Intuitive Intelligence blends our analytical mind with our instinctual aptitudes. Necessarily, it brings balance to our thinking. The Intuitive Compass™ facilitates sustainable business thinking and helps us design sustainable business models.

Intuitive Intelligence can be learned and developed, provided we accept that today most of us are not thinking but simply being logical, we can open up to this new mindset.

Why is it necessary to use intuitive intelligence?

Because we will not be able to solve current problems with the outdated way of analytical thinking that created these exact problems.

We face a sustainability imperative. We have to develop and use an intelligence that can think in sync with our ecosystems – in other words an intelligence that understands and respects the creative process of life.

All great scientists recognize that the history of our universe is the consequence of a number of fundamentals laws explained by science as well as a long series of unexplained accidents. Logic alone cannot explain everything. The same goes for business.

In order to help you engage the creativity of your teams, in order to inspire long lasting respectful relationship with consumers, in order to design innovative, sustainable and profitable business models, in order to lead organizations into a successful and sustainable future we developed an original model: The Intuitive Compass™.

How does the Intuitive Compass™ help companies achieve breakthroughs in sustainable innovation?

We use the The Intuitive Compass™ as a tool to assess and
chart progress as companies (and executives) learn to harness intuitive
intelligence in four key areas:

Strategy: how to employ
intuitive intelligence to create sustainable, innovative business
models which deliver real value to customers in their local environment.

Leadership: the transformative power of intuitive intelligence energizes and builds movements – with clarity of vision and purpose.

Work Culture: the ecosystem health of your business culture is reflected in your bottom line results. The Intuitive Compass™ helps create the open culture you need to succeed in the intelligent economy.

Consumer Needs: map your customers needs and wants using The Intuitive Compass™ – creating a value innovation agenda for your customers.

We help companies and leaders get a “southwest” perspective, and focus on creating sustainable value. Our mantra: sustainable business is a the core of future business success.

"Despite the limited visibility in these uncertain and turbulent times, we know that Intuitive Intelligence is the necessary strategic aptitude for decision-makers both in the Army and in the chaotic world of today's business."

Strategic Intuition: Lessons Learned from Iraq

Posted on August 15, 2009 by Francis

Intuitive intelligence can be a matter of life and death.

In Iraq, we learn that the use of intuition by US soldiers has led to numerous close escapes. This article in the New York Times gives us a glimpse of how soldiers may use their intuitive senses to avoid danger:

“On one route sweep mission, there was a noticeable I.E.D. in the middle of the road, but it was a decoy,” said Lt. Donovan Campbell, who in 2004 led a Marine platoon for seven months of heavy fighting in Ramadi and wrote a vivid book, “Joker One,” about the experience. “The real bomb was encased in concrete, a hundred meters away, in the midst of rubble. One of my Marines spotted it. He said, ‘That block looks too symmetrical, too perfect.’ ”

These life-and-death decisions must be made instantly, with little, if
any, time for rational analysis. And what’s more impressive, the Army
has discovered that this ability to think intuitively can be improved through training.

Time after time, the Army learns from its feet on the ground, that “the speed
with which the brain reads and interprets sensations like the feelings
in one’s own body and emotions in the body language of others is
central to avoiding imminent threats.”

Of course, intuitive intelligence is not a new idea for the Army. In COUP D’OEIL: STRATEGIC INTUITION IN ARMY PLANNING, a 2005 document produced by Strategic Studies Institute at US Army War College, we see a serious attempt to blend both analytic and intuition.

The Army views the analytic approach as follows:

Analytic decision-making approaches a problem systematically. Leaders analyze a problem, generate several possible solutions, analyze and compare them to a set of criteria, and select the best solution. The analytic approach aims to produce the optimal solution to a problem from among those solutions identified. This approach is methodical, and it serves well for decision-making in complex or unfamiliar situations by allowing the breakdown of tasks into recognizable elements. It ensures that the commander and staff consider, analyze, and evaluate all relevant factors.

It may help inexperienced leaders by giving them a methodology for their lack of experience. The analytic approach to decision-making serves well when time is available to analyze all facets affecting the problem and its solution. However, analytic decision-making consumes time and does not work well in all situations–especially during execution, where circumstances often require immediate decisions.

Intuition, on the other hand, is viewed as a “creative” approach:

Intuitive decision-making is the act of reaching a conclusion that emphasizes pattern recognition based on knowledge, judgment, experience, education, intelligence, boldness, perception, and character. This approach focuses on assessment of the situation versus comparison of multiple options. It is used when time is short, or speed of decision is important. Intuitive decision-making is faster than analytic decision-making in that it involves making decisions based on assessment of the situation rather than a comparison of multiple COAs (Courses of Action). It relies on the experienced leader’s ability to recognize the key elements and implications of a particular problem or situation, reject the impractical, and select an adequate (rather than optimal) COA.

Intuitive decision-making is especially appropriate in time-constrained conditions. It significantly speeds up decision-making. Intuitive decision-making, however, does not work well when the situation includes inexperienced leaders, complex or unfamiliar situations, or competing COAs. Additionally, substituting assessment for detailed analysis means that some implications may be overlooked. Commanders use intuitive decision-making when time is short and problems straightforward. It is usually appropriate during execution.

The Army, especially in light of Iraq, has revised their thinking. The author of the report, a Columbia Professor William Duggan shows how to reconcile analytical and intuitive methods of
decision-making by drawing on recent scientific research that brings the
two together. He applies this new research to the Army’s core methods
of analytical decision-making as found in Field Manual (FM) 5-0, Army Planning and Orders Production. The result is “strategic intuition,” which bears remarkable resemblance to von Clausewitz‘s idea of coup d’oeil in his classic work, On War.

The Columbia professor states emphatically:

This divide between analysis and intuition reflects an outmoded view of the human mind that science no longer supports. Recent advances in how the mind works have overturned the old idea that analysis and intuition are two separate functions that take place in two different parts of the brain. In the new view, analysis and intuition are so intertwined that it is impossible to sort them out. There is no good analysis without intuition, and no good intuition without analysis. They go together in all situations. Some scientists call the new model of the brain “intelligent memory,” where analysis puts elements into your brain and intuition pulls them out and combines them into action.

It is important to note that this ireport does not criticize the Army or its commanders. When strategic intuition was used as a lens to analyze Army officers in action, they tend to comment, “That’s what we do.” The report states: Good commanders use intuitive intelligence. They treat manuals only as guides, and adapt procedures as they see fit.

And that, ladies and gentlemen, is why you need Intuitive Intelligence – it is the bridge between analysis and intuition, and it explains how we, in fact, really make decisions. Despite the limited visibility in these uncertain and turbulent times, we know that Intuitive Intelligence is the necessary strategic aptitude for decision-makers both in the Army and in the chaotic world of today’s business.

"Organizations will have no choice but to follow government regulations and anticipate consumers reactions and merciless communication via ever more powerful social networks aiming at securing a healthy future."

The Deloitte Big Shift Index 2009: What’s Missing?

Posted on July 14, 2009 by Francis

If you have not already read “The Big Shift Index” report from The Deloitte
Center for the Edge led by John Hagel III, John Seely
Brown, and Lang Davison you should do so immediately.

This first release of the Shift Index reveals a startling fact: the return on assets (ROA) for U.S. firms has steadily fallen to almost one-quarter of 1965 levels; at the same time, the researchers found modest improvements in labor productivity.

Grim news, indeed. The report also finds:

– The ROA performance gap between winners and losers has increased over time, with the “winners” barely maintaining previous performance levels, while the losers experience rapid deterioration in performance.

– The “topple rate,” at which big companies lose their leadership positions, has more than doubled, suggesting that “winners” have increasingly precarious positions.

– U.S. competitive intensity has more than doubled during the last 40 years.

– While the performance of U.S. firms is deteriorating, the benefits of productivity improvements appear to be captured in part by creative talent, which is experiencing greater growth in total compensation. Customers also appear to be gaining and using power as reflected in increasing customer disloyalty.

– The exponentially advancing price/performance capability of computing, storage, and bandwidth is driving an adoption rate for our new “digital infrastructure” that is two to five times faster than previous infrastructures, such as electricity and telephone networks.

The Shift
Index consists of three indices: Foundation, Flow, and
Impact, and 25 metrics that together quantify the stock, pace, and
implications of the shift. The index enables analysts to
anticipate changes, identify bottlenecks, and guide strategy.
Not everyone, of course, will choose to monitor the same metrics or assign them
the same weights. Thus, the Shift Index is less a single measure and
more an informational platform that will give rise to a diversity of models
and, a stronger collective sense about the pace and nature of change,
constraints and opportunities within that system. As constraints
fall away and opportunities increase, old conﬁgurations become unstable
and new structures emerge.

A number of
key ideas in the report resonated with our observations at The Human Company:

– the importance of creativity and innovation in ROA

– information “flows” over
information “stocks“

– passion as a driver for higher productivity

– more and more
discriminating consumers

– consistently declining return
on assets

– increasing rate at which big companies lose their leadership
positions

– rising executive turnover tied to increasing performance pressures

However, I was surprised to find one element missing in their measurement model.

What’s missing? Sustainability and its impact on the economy.

Sustainability
is the business imperative for our time. From global-warming to competition for natural
resources, sustainability must necessarily sit at the core of any sound
business strategy. The sooner businesses understand this the better.

Organizations will have no choice but to
follow government regulations and anticipate consumers reactions and merciless
communication via ever more powerful social networks aiming at securing a
healthy future.

More importantly employers who align their
businesses to create a more sustainable world will also attract, retain and
empower more and better employees. Sustainability challenges have become so
pressing that they not only affect us at a rational and emotional level but they
also threaten our survival instincts. And as such they are bound to impact employee productivity, loyalty, and creativity. Meaning is the underpinning and decisive factor of human efficiency. How could a corporation careless of its employees’ and
employees’ children future ever encounter long term success in a flat world?

In order to maintain competitivity, growth and profitability
organizations will have to build sustainable blueprints for the future. Take a look at Adam Werbach‘s latest book: Strategy
for Sustainability.

The Deloitte report is an example of a brilliant work conceived in an
intellectual tradition largely limited to our analytical minds. Yes, they do mention creativity and talent and yes, they talk about information flows, but I wish they had mentioned sustainability. A quick glance at the Intuitive Compass™ shows us that Deloitte overlooked the South West Quadrant. Regrettably, this is often the case with our business thinking.

Going forward, we cannot leave out the importance of our reptilian brain in its relentless ability to impact every second of our lives and its superior intelligence to sustain our species and hence help us make the best business decisions for a sustainable future (1).

Here’s looking forward to the the 2010 Shift Index; I hope to see a section on sustainability and a study on the decisive intangible dimensions of value creation which intuitive intelligence is designed to help us reckon with.

(1) In 2004 MIT School of Science Picower Insititute for Learning and Memory has shown that the basal ganglia which are parts of our reptilian brain are involved in our most sophisticated decision processes (Nature, Feb 24 2005)

Intuitive Intelligence and Diplomacy: Barack Obama Reaches Out to Muslim Communities

Posted on June 12, 2009 by Francis

Those who criticize Obama’s speech as “just words,” would be well advised to look at history.

In a scene reminiscent of JFK in Berlin and Ronald Reagan exhorting Gorbachev to “tear down the wall,” Barack Obama has taken the initiative with the culture impasse between the West and communities across the Muslim world.

His speech in Cairo has set a new benchmark for leadership:

Not only did he manage to state his case with firmness and resolve, he was able to break through the years of mistrust by standing and acknowledging the truth on both sides.

His sincere yet calm delivery struck the right chord with the people in the streets of Cairo. So says Annelle Sheline, a Cairo-based American journalist:

In a taxi, I asked the driver for his opinion, and he launched into a
happy spiel in heavy Cairene about Obama wanting peace and trying to
make all the countries of the world work together. When I asked if this
was possible, he responded that there had never been a president like
Obama in the US, and therefore, “Aiwa, mumkin” (Yes, it’s possible).

His strategy was to understand that the imagination of the people resides in the South-West Quadrant of the Intuitive Compass™. He examines the hopes of the people in the street, and addresses them.

Sheline tells us that Dalia Mogahed, the executive director of Gallup’s Center for Muslim Studies had outlined the three points indicated by polls that Muslims wanted to hear.

Respect.
Respect from the United States for the religion of Islam and for Muslim cultures.

Cooperation.
No more unilateral action, but cooperation between equal partners.

Issues.
Address the policies of the United States that have angered Muslims on key issues, including Palestine, Iraq, Guantanamo, etc.

Without respect no trust can be established – without trust little creativity and substance can unfold; without equality there is no real long lasting effective change; and, without integrity and introspection there is no growth. Obama’s speech touched on each one of these cornerstones.

Obama seized the initiative and brought the voice of reason back to the table. The President is, like it or not, a living symbol – and nothing is more
powerful than symbolic action in an atmosphere of suspicion and
hostility. The Times reports:

Barack Obama must have said something right if Osama bin Laden, Ayatollah
Khamenei of Iran and the Jewish settlers on the West Bank all lined up to
denounce his speech to the Arab and Muslim worlds.

For too long, the dialog on the future of the Middle East has been dominated by extreme voices. Obama’s speech spoke directly to the aspirations of the common man. He humanized America, by opening up and sharing his personal story.

Words are the weapons of change. Just ask Ted Sorensen.

And now, we see signs that the “Obama Effect” may be sweeping across the Middle East. Iran’s election too, has become a referendum for change.

Earlier, we saw Obama’s overtures in Turkey. The political commentators who were concerned that Barack Obama‘s visit to Turkey was high on style but low in substance may not be as right they believe they are. Their view is focused on the North-East Quadrant of the Intuitive Compass™ – they are focused on measurable results and timelines.

Let’s look at a historical snapshot of public opinion in Turkey, courtesy of Gallup:

Question: If the U.S. can’t get any respect in Turkey, a “secular” democracy, how can they achieve any progress in the Arab world at all?

Flashback: The last attempt at winning the “hearts and minds” of the Muslim world ended in shambles when Bush’s fellow Texan and close friend, Karen Hughes, walked away from the job in total failure. And before her there was the Charlotte Beers‘ propaganda show.

All of which makes President Obama’s short trip to Turkey even more spectacular. He accomplished in two days what the PR-experts couldn’t accomplish in eight years, and he didn’t waste a billion dollars.

How, you ask?

Watch this video of Obama talking to the youth:

These are the same students, who according to to Rupert Murdoch‘s Wall Street Journal, have, for the past eight years,”fostered deep anti-American sentiments exacerbated by an unpopular war in Iraq and a perception that the U.S. is biased toward Muslims.”

What we are witnessing in Obama is the promise of authentic leadership which speaks directly to the heart of people. The most powerful leader of the most powerful country in the world stood in the center of a circle of Turkish students in a university to address their concerns. The circle = cooperation, the center = respect, and addressing concerns = the truth.

With his speech in Cairo, Obama knocked down the psychological wall which separates western culture and the mindset of Islam – now the work at hand is to reach across the wall and shake hands for a brighter future for all. That will happen through the concrete actions people take in the weeks and months ahead.

Case Study: Creativity versus Results at L’Oréal

Posted on May 28, 2009 by Francis

According to a recent report in the Wall Street Journal, L’Oréal SA, the world’s largest cosmetics maker, reported flat sales
for the first quarter of 2009 as consumers shied away from its luxury
skin creams and shampoos in favor of its cheaper brands. The maker of products ranging from Giorgio Armani perfume to Lancôme
skin cream and Maybelline eye shadows said sales increased 0.3% to
€4.37 billion ($5.83 billion) in the first three months of 2009.
Jean-Paul Agon, L’Oréal’s chief executive, said that he would not offer
specific guidance for the year but that results would “improve” during
2009.

After accounting for the effect of currency fluctuations, sales fell
9.3% in Western Europe and 5% in North America. This shortfall was
partly offset by an increase in revenue in Asia.

Sales at L’Oréal’s luxury cosmetics division fell, while sales of its consumer drugstore lines increased slightly.

This is an unfortunate turn for L’Oréal which has always been known for its commitment to scientific research and exceptional financial results.

In fact, you might say there is an unresolved tension in its culture between creativity and business results. This tension is visible even on its website. If you read about the “profiles they are looking for” under the marketing category, here’s a description you’ll find:

Creativity, imagination, openness to new ideas – coupled with the highest professionalism.
• Project-oriented, natural team player, at ease working with others in an environment of entrepreneurial challenge.
• Global-minded, flexible, able to juggle multiple priorities.
• Strong analytical thinker, excellent communicator.

You have a keen eye on the latest fashions, a finger on the pulse of emerging consumer and cultural trends. Highly developed interpersonal skills, a passion for results. The personality to make a difference.

Diagnosis: L’Oréal – When East dominates West…

For the past few years I have been working with L’Oréal to change this dynamic.

The challenge: help marketers and managers develop a sensitivity to the creative nature of the beauty
product development process and specifically gain an understanding
for the process of research and development.

When the cosmetic group decided to develop a world wide talent appraisal process Sir Lindsay Owen Jones articulated the need to develop a competence key to the success of the group in the eye of the CEO, and that is: sensitivity to métier. What Sir Lindsay Owen Jones was aiming for was to develop a global, shared understanding for beauty products development, for L’Oréal customers, and for a number of other confidential important characteristics identified by the CEO as key factors for success in the beauty industry.

The Human Company was commissioned to research how to define this specific aptitude and how to develop it and train for it. We developed an international training track that is seen today as one of the most successful and inspiring training program available at L’Oréal.

Our approach consists in helping marketers understand how to engage and inspire creative people to contribute the best of their creativity. We used the The Intuitive Compass™ to highlight the tension between results-driven managers and creative teams.

Our analysis: L’Oréal has a product innovation driven business model whereas most of its competitors have often a market-driven model. The company believes in scientific innovation to promote growth. Its founder was a scientist. It is how L’Oréal sustained 20 years of double-digit growth and became the world leader in cosmetics. There is, as I mentioned earlier, a tension in its culture between creativity and business results.

Results: We helped L’Oréal’s teams understand the perspective of the different teams. The creative teams learned about the business aspects they had neglected, while the managers and marketers were helped to understand the creative process. The bridge is intuitive intelligence. Our training program is seen today as one of the most successful and inspiring training program available at L’Oréal. (Average rating: 19.5/20) because it is very relevant with the innovation imperative prevailing in the beauty Industry, articulated by the CEO Jean Paul Agon in his mandate.

FIT: New Intelligence for the New Economy

Posted on May 13, 2009 by Francis

I just got back from delivering the keynote at the Fashion Institute of Technology‘s 2009 Capstone Presentations and Graduation Reception.

Over the past few weeks, I’ve seen how teams of students have used the ideas we discussed, both on creativity and applied intuitive intelligence, to learn more about the possibilities for exploring new avenues for growth. They are full of enthusiasm and passion for their work – and that is what true education is about. May they keep the fire with them always!

Thanks to everyone for such a wonderful evening: FIT’s Dr. Joyce Brown and Professor Stephan Kanlian, our gracious hosts; my industry colleagues: Karen Grant, Marc Gobe, Candace Corlett, and Mark Pritchard; and of course, Ellen Byron from the Wall Street Journal.

And most importantly, thank you to the students. Yours is the task of building a tomorrow that keeps us alive, hopeful, and yes, sometimes, truly joyful!

My keynote presentation is available here >>

The Intuitive Compass™: A Framework for Intuitive Intelligence

Posted on May 13, 2009 by Francis

We know that innovation is more about people and culture than it is about process and structures. Yet many executives find themselves unable to inspire their teams and foster a culture of innovation. This is not a new theme in management thinking, but it is one that has never been more important.

Early on, as my work took me deep into this realm – the world of intuitive intelligence – I struggled to build a model to explain why this was so. And so it was by accident, and by now we know that there are no accidents, that the model of The Intuitive Compass™ took shape:

Oddly enough, I was using Cartesian coordinates to explain the flaws in our linear thinking. The two principal axes, Play-Results and Instinct-Reason, give us four quadrants (NE, SE, SW, NW). Each of these quadrants represents a function or even a mindset in an organization. Let’s make a few generalizations to explain the framework:

The NE quadrant is the area where reason and results prevail. This is the realm of business administration and management. Most companies excel in this department, led by teh twin beacons of “maximizing shareholder value” and “cost management.”

The SE quadrant is the area where instinct is at the core and results are the rule of the game. This is the mindset one finds in a sales department, or in an athlete.

The NW quadrant is the area where reason engages in a creative thinking process as in strategic planning or marketing (think of an architectural firm or engineering company).

Finally, the SW quadrant is the area where instincts are at the heart of the creative process to invent and create from the unknown and the depth of the unconscious. This is where creators, scientists, researchers, and inventors experience eureka moments. Most executives and almost all companies, even those engaged in creative fields, lack a way to connect this quadrant back into the rest of the business.

The Intuitive Compass™ becomes a tool we can apply to assess and chart progress as companies (and executives) learn to harness intuitive intelligence in four key areas:

Strategy: how to employ intuitive intelligence to create sustainable, innovative business models which deliver real value to customers in their local environment.

Leadership: the transformative power of intuitive intelligence energizes, and builds movements – with clarity of vision and purpose.

Consumer Needs: map your customers needs and wants using The Intuitive Compass™ – creating a value innovation agenda for your customers.

The bottom line is convergence – with customers, employees, management and leadership.

Going forward, we’ll use The Intuitive Compass™ to chart how companies and leaders can use intuitive intelligence to shape the future – both in their industries and in the larger world.

Definition: What is Intuitive Intelligence?

Posted on May 8, 2009 by Francis

How many times do we see a business leader make a decision without a lot of data, seemingly without deliberation, and make the right call?

Not very often, in the “western” world.

But every so often we encounter that rare leader who makes impossible decisions and, time and again, gets it right. This is not an accident, we tell ourselves, as we look for clues to try to understand this phenomenon we are witnessing.

What we are experiencing is Intuitive Intelligence in action.

Intuitive Intelligence lies beyond the boundaries of science and analytics. It bridges the realms of reality and imagination, reason and instinct, material and spiritual dimensions of human existence. Intuitive Intelligence is non-linear, a key skill for success in the new economy, an economy driven by constant disruption and chaos.

Intuitive Intelligence is defined as the combination of 4 abilities:

– The ability to think holistically

– The ability to think paradoxically

– The ability to listen and connect to oneself and others

– The ability to lead by influence rather than design

THINK HOLISTICALLY

Business is not about money. It’s not even about shareholder value (ask Jack Welch!).

Business is about servicing our communities and allowing people to express their talents and genius for the betterment of our society.

Money is one very necessary component of business and it keeps the human engine going but it is not the engine.

Business success is achieved through the power of human creativity and organization and depends on individuals – people – complex beings in relationship with an unpredictable environment called nature. No human experience can be fully represented by a mathematical equation (ask artificial intelligence experts!) and the unpredictability of nature cannot be comprehended, let alone mastered.

Yet we realized only recently that besides the financial bottom line there should be other criteria to set business goals and measure the results of human organizations. The business impact on the surrounding ecosystems and its influence on humans are factors rarely placed at the center of corporate strategy. Intuitive Intelligence™ helps us move from a conservative fragmented business approach that focuses on financial results as the ultimate goal, to a wholesome business view where people, society and natural ecosystems are all part of the picture, with money seen as only simply a resource, a means to an end. All aspects of business are inseparably taken into account as a whole for maximum efficiency and sustainability.

THINK PARADOXICALLY

As much as business can be taught, it is still a rather random process similar in this to the creative process of life. Many leaders focus on economic results believing that it is the shortest way to achieve their goals. The paradox is that empowering people and relationships are the key to better financial results. In 2004 neuroscience was finally able to establish a fact known for millennia by ancient civilizations: the human mind is more unconscious than it is conscious. For that matter, engaging the unconscious in people is more effective than focusing on the conscious part of their mind. This is the paradoxical thought process. As psychologist David G. Myer puts it: “under the surface lies a lot of intelligence above a lot of delusion.”

LISTEN FOR THE UNUSUAL

In order to be in touch with the unconscious aspect of our lives we need to pay attention to subtle details and to our emotions, which are indicative of our perceptions, whether conscious or unconscious. Our emotions fashion our thoughts, which lead to our actions; our actions turn into habits that finally shape our character. And as we know, character is essential to leadership. A charismatic leader will communicate without necessarily taking in the other person’s emotions, perceptions and environment and will attract dedicated followers; a leader who demonstrates self-awareness and manifests empathy will empower and inspire people with character who are more likely to take risk and think autonomously – two attitudes well needed to succeed in times of radical change.

This kind of sensitivity operates at a fundamental level of equality between individuals and induces trust, respect, and interdependence three necessary factors to foster creativity and lead a culture of high performance. Moreover when a leader is able to listen to others and oneself with such a sensitivity he or she takes in all sorts of creative information about consumers and their environment, about an industry and its trends.

LEAD BY INFLUENCE

Innovation is one of the most critical factors for success in today global economy. It relies on systems and processes, yet it depends even more on the creativity of people and corporate cultures. Creativity finds its inspiration beyond the motivation of financial gain or economic achievement. It stems from dreams and ideals and pertains more to utopia than pragmatism.

Organizations seeking innovation cannot rely only on a pragmatic leadership model rooted in a purely economic approach (leadership by design). Such a leadership model sets goals and objectives, covers budgets and schedules and relies on the alignment of teams to execute the corporate vision. Leadership by influence, however, is on the opposite side of the spectrum. It perceives any human organization as a living interconnected web and the relationship with consumers as a dynamic collaborative system. And for that matter it focuses on facilitating and guiding the natural emergence of creativity to reach innovative business solutions. It puts the emphasis on engaging and influencing teams and consumers rather than motivating and controlling them. It conveys a strong sense of meaning within visions and goals to reach that place in each one of us where creativity thrives and can be awakened. In practical terms, a leader guided by intuitive intelligence ensures that all systems and processes are in the service of the human factor and its ecosystem rather than an isolated attempt to rationalize business and reach financial goals. He or she inspires uniquely magnetic organizations fired up with enthusiasm and a strong sense of possibility. In this way, leading with intuitive intelligence creates virtuous circles and enables teams to believe, manifest autonomy, and succeed.

Intuitive Intelligence is a powerful leadership attribute. It is not a tool to devise the future, but an instrument that points our attention towards the invisible. Intuitive Intelligence brings us closer to understand the transformative and creative nature of our organizations as well as their interdependence with their environments. It is a means to take in unexpected information or paradoxical data and to feed our analytical and rational thinking with subtle creative perceptions. In this way intuitive intelligence bridges the rational and the irrational realms, the conscious and unconscious dimensions, the inner and the outer, the material and immaterial aspects of any business and allows for truly evolutionary leadership.

In our next post we’ll introduce a new tool to help foster Intuitive Intelligence, both in organizations and individuals: The Intuitive Compass™.

About This Blog: Using Intuitive Intelligence to Create Sustainable Business Value

Posted on May 6, 2009 by Francis

When I first became involved in researching intuitive intelligence and its relationship to business, I was surprised to discover the disconnect between what leaders wanted to do—innovate and create sustainable value—and what they actually accomplished—scarce innovation and unsustainable value.Often they were doing everything right (by the book) and still failing.As I studied the root cause of these failures, a common thread appeared over and over again, and still appears today. Executives manage their companies in analytic ways, focusing on shareholder value. By focusing on the business results, they fail to do what is required to achieve the very results they desire. They can’t engage their key stakeholders, whether employees or customers.

Two essential truths about human nature are deeply overlooked in most companies:

Our minds are essentially unconscious (80% of our grey matter is dedicated to subconscious thinking)
Play gives access to our unconscious

Now we know that:

Most
innovative solutions are limited by our analytical minds, because our
analytical mind knows only what it knows
Creativity originates in our unconscious. Breakthrough ideas often elude the rational mind
People can rise above their perceived limits when they are inspired

Our western approach to
education, work, collaboration, or solutions for the future is
dominantly led by rational thinking. We have handicapped ourselves.

Our intuitive aptitudes enable us to notice and take in information which may not make
sense to the rational mind. This is our gateway to new and paradoxical
information. They are the conduit to creative ideas.

Intuitive intelligence is the ability to combine
our analytical mind with our intuitive aptitudes to solve problems in an
innovative way and succeed in the new economy.

Because we now live in a network
based society consumers have gained an active voice in our businesses.
Relationships with consumers are on a reciprocal basis. We need to
speak to their minds, their emotions and their guts. Authenticity is now
at the heart of commerce. Advertising is about creating relevant narratives for
consumers as much as it is about factual information about products and
services.

We must respect our ecosystems and understand that business is part of an interconnected global web.

These are the primary reasons why I authored the book Intuitive Intelligence, and its application model The Intuitive Compass™.

In this blog I will share my ideas and findings about how to use intuitive intelligence to innovate and create sustainable value in order to succeed in this new, ever-shifting economy.

We’ll look at how and why our intuition is often a better guide to problem-solving than reason alone.

We’ll explore ways to use The Intuitive Compass™ and make a difference – in business strategy, leadership, innovative work culture, consumer intelligence, and product development.

Won’t you join us on this journey?

Francis Cholle: About Me

Posted on April 14, 2009 by Francis

Hi, I’m Francis Cholle, founder of The Human Company. Welcome to my blog on Intuitive Intelligence.

I’m an international author, speaker, seminar leader, and consultative advisor with extensive business experience in a variety of industries from beauty and luxury to communication and IT.

I help organizations nurture and better leverage their creative assets to drive sustainable growth. By designing and implementing original executive development training programs that focus on creative leadership and the management of innovation, my insight and guidance has helped these corporations engage and meet the new challenges of the new economy.

Along the way, I developed the Intuitive Compass™, a tool for executive and strategic decision-making. I provide consulting and mentoring to C-level and senior executives at major, mid-size, and emerging firms across a range of industries.

Recent clients include Alcatel Lucent, Bristol Myers Squibb, Caritas – Secours Catholique, Clarins, Firmenich, L’Oréal, Louis Vuitton, Ralph Lauren, SAP-Business Objects, and Siemens.

In January 2008, I started teaching a course at HEC MBA: “Intuitive Intelligence and Innovative Leadership”. We designed the course to encourage executive students to demonstrate a new kind of leadership and help them imagine the defining purpose that drives successful business within the global imperatives of sustainability and innovation.

I earned a Masters in Science of Management from the leading European business school, Ecole des Hautes Etudes Commerciales (HEC), rated the best European business school by Financial Times for the fourth consecutive year in 2008. I’m also a graduate of the Creative Problem Solving Institute in Buffalo, NY and I’m accredited to carry out MBTI assessments.I’m a practicing certified consultant of the Tomatis Method for active listening and interpersonal communication.

I have traveled to more than 45 countries and has conducted business in most of them. I’m bilingual in French-English and fluent in German and Spanish. I’ve lived in the US for the past 14 years and reside in Los Angeles, New York, and Paris.

Contact me here >>