1. Chapter 7 Overcome Key Organizational Hurdles
By: Team 4 - Apple Inc.
Paulo Santos, Aguinaldo Sebastiao, Ryan Gaddy and Carlos Becerra

2. Organizational Hurdles
Once a blue ocean strategy is developed it needs to be executed
Four hurdles that challenges the execution of blue ocean strategies: Cognitive, (limited) resource, motivational, and political hurdle
Cognitive hurdle- weking employees up to the need for a strategic shift.
Limited resources- Change the idea/perception that the greater the shift in the strategies the greater the amount of resources needed

3. Organizational Hurdles
Motivation: How to motivate key players (to move fast) to carry out a break from the status quo
Politics: How to overcome opposition within the organization- internal and external Resistance to Change
To overcome the hurdles we need to abandon Perceived Wisdom - which states that great change implies great use of resources and time

4. Tipping Point Leadership
Adapt Tipping Point Leadership- there are people, acts, and activities that exercise a disproportionate influence on performance.
Help answer the following questions:
What factors or acts exercise a disproportionately positive influence on breaking the status quo?
On getting the maximum bang out of each buck of resources ?
On motivating key players to aggressively move forward with change?
And on knocking down political roadblocks that often trip up even the best strategies?

5. Tipping Point Leadership
By focusing on the points of disproportionate influence and answering these questions managers can successfully overcome the four hurdles and effectively execute the blue ocean strategy

6. Break Through the Cognitive Hurdle
In corporate transformation, the hardest task is to make people aware of the need for a Strategic shift and to agree on its causes.
Most CEOs look to numbers
Visualization of the worst operational problem
EX: Apple, Steve Jobs looks to “precision, commitment, love of design and aesthetics, thinking differently, exactness, and a passion for really great products, among other things”

7. Meet With Disgruntled Customers
Don’t rely on Market surveys
Instead meet with the customers
Listen to your customers
Exemple: Steve jobs

8. Jump the Resource Hurdle
After people in the organization accept the changes, leaders face limited Resources
Do they have the money to spend on the necessary changes?
Most of reformist CEOS do the following:
Demoralize their workforce
Ask for more money from their banks or shareholders
The tipping point leadership multiply the value of the existing resources.
Hot spots
Cold Spots
Horse trading

9. Redirect Resources from your Cold Spots
Bust Bus example
Apple example

10. Engage in Horse Trading
Police cars vs. office space example

11. Jump the Motivational Hurdle
Zoom in on Kingpins
Place Kingpins in a Fishbowl
Atomize to Get the Organization to Change Itself

12. Knock over the Political Hurdle
Do you believe youth and skill will win out every time over age and treachery?
Organizational politics is an inescapable reality of corporate and public life.
Tipping point leaders focus on three disproportionate influence factors
Leveraging Angles
People who have the most to gain from the strategic shift.
Silencing Devils
People who have the most to lose from a strategic shift
Consigliere
highly respected insider who knows in advance all the land mines

13. Secure a Consigliere on your Management Team
Most leaders concentrate on building a top management team having strong functional skills such as marketing, operations and finance.
Bratton at NYPD appointed John Timoney as his number two.
Timoney was a cop’s cop, respected and feared for his dedication to the NYPD.
His twenty years of experience has taught him not only who all the key players were but how they played the political game.
Who’s going to fight or silently sabotage the new initiative.
Apple CEO Tim Cook appointed Jeff Williams, senior Vice President of operations as his right-hand man.

14. Leverage your Angels and Silence your Devils
Who are my angels? Who will naturally align with me? Who will gain the most by the strategic shift?
Who are my devils? Who will fight me? Who will lose the most by the future blue ocean strategy?
Key to winning over your devils is knowing all their likely angles of attack and building up counter arguments backed by facts and reason.

15. Challenging Conventional Wisdom