wfs2009 leading change

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A new way of thinking about an old problem. Sunday, July 19, 2009

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Anticipating and leading change is the new holy grail for business and consultants. "The Commercial Real Estate Revolution" tells the story of a highly successful initiative between 15 of the largest organizations in the commercial real estate, design and construction industry. This presentation describes the process and results of Operation Mindshift and the principles behind leading innovation for organizations and industries.

TRANSCRIPT

Page 1: Wfs2009 Leading Change

A new way of thinking about an old problem.

Sunday, July 19, 2009

Page 2: Wfs2009 Leading Change

Results:

This is a story about transforming a broken industry and a story about getting paid to lead innovation on a large scale.

Sunday, July 19, 2009

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http://www.millenniummatrix.com

Sunday, July 19, 2009

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Results:

2005 Futurist Magazine

Sunday, July 19, 2009

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Future Vertigo

Organizations face unprecedented competition uncertainty and risk.

They typically react to changing circumstances than respond with foresight.

Sunday, July 19, 2009

Page 7: Wfs2009 Leading Change

My Role as a Futurist?Provide an Orienting Framework

Discover The Limiting Paradigms

Walk Them to the Edge of the Cliff

Help Induce a Near Death Experience

Meet the Ghost of Business Past and Future

Build Leadership Capacity for Change

Sunday, July 19, 2009

Page 8: Wfs2009 Leading Change

A Prescription for Success

Sunday, July 19, 2009

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Operation Mindshift is comprised of AIA, GSA, Gensler, KPMG, Metropolis Magazine, Turner Construction, Haworth, Walter P Moore, Acoustic Dimensions, Kyle Davy Consulting, Lucchesi Galati Architects, Transwestern, Cushman & Wakefield, Solidus, and Aardex. Our purpose is to shift the building culture toward greater collaboration and integration.

Sunday, July 19, 2009

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What is the nature of building?

• Complex• Relational• Requires tight coordination• Fluid• Interactive• Iterative• Discovery• A system

Sunday, July 19, 2009

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What is the nature of the current system?

• Fragmented• Silo’d• Linear/sequential• Hierarchical• Adversarial• Scope• Low Price• Anticipates litigation

Sunday, July 19, 2009

Page 12: Wfs2009 Leading Change

The Brutal Facts• $500 billion annual WASTE

(buildingSmartAlliance)

• 50%+ Waste in the System(buildingSmartAlliance and Lean Construction Institute)

• 48% of Green House Gases (Energy Info Admin Statistics and Pew Climate report)

• 70% Over Budget and Late(Egan report)

• 10-12% Annual Cost Escalation (RS Means)

Sunday, July 19, 2009

Page 13: Wfs2009 Leading Change

If Corollas were Design-Bid-Build?

Design-Bid-Build…It would cost: $44,000

and it would be• Late• Over budget• Value-engineered• Missing parts• and have

No warranty

Integrated…It would cost: $16,000

Sunday, July 19, 2009

Page 14: Wfs2009 Leading Change

Silos

McDonough Holland & Allen PCAttorneys At Law

Adapted from:

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Hierarchal Delivery Model

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Fielding a New Team Every Project

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80% of the Cost is Brought in Late

McDonough Holland & Allen PCAttorneys At Law

Adapted from:

Sunday, July 19, 2009

Page 18: Wfs2009 Leading Change

“Buildings Leak at the Intersection of Contracts”

Adapted from: Todd Zabelle, Strategic Project Solutions

Sunday, July 19, 2009

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Turning the System Upside Down

9 Keys1.Trust-based turnkey teams2.Early collaboration3.Built-in sustainability4.Transformational leadership5.Big BIM (Building Information Modeling)

6.Integrating Project Delivery7.Shared risk/Shared reward8.From Stick-Built to Assembly9.Leveraging Workplace Performance

Sunday, July 19, 2009

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18 Case Studies

• Signature Center• Camino Royale - Sutter Health• NY Times• Autodesk - NJ• AmerisourceBergen• Novartis• Desert Living Center• Solidus

Sunday, July 19, 2009

Page 21: Wfs2009 Leading Change

Results:• LEED Platinum for less than conventional construction

• 10% under budget, 6 months early, 5 MEP change orders

• Offsite construction solution for less than conventional construction, 25% time reduction

• 500,000 square feet designed and delivered in nine months, 7% under budget

• Social engineering became the key to award winning design and bringing together multiple stakeholders

• 12 years of guaranteed price, move-in, no change orders with a one page contract.

Results

Sunday, July 19, 2009

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Results:

LeadingOff Road Innovation

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Results:

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Results:

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Results:

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Results:

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Results:

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Results:

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Results:

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Results:

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Results:

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Results:

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Recruit•2004 Dream Team vs. 2008

•Start with the bottom of the food chain

•Connect their challenges to the larger picture (from victim to change agent to revolutionary)

•Find a vehicle to open a dialogue with key stakeholders from the entire food chain

•Include early adopters within marquee companies and innovative thought leaders from outliers

Sunday, July 19, 2009

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Align Through Dialogue

•See from others view

•Surface the common problems

•Describe the governing principles and rules

•Uncover the ruling paradigm

•Imagine starting with a blank sheet of paper

•What does fulfilling our highest aspirations look like

Sunday, July 19, 2009

Page 35: Wfs2009 Leading Change

Discovery: The Journey to the Aha!

•You are not alone

•Find other early adopters and those fed up

•Begin to connect these dots

•Hear their stories

•Find their unifying framework

•Identify the operating principles

•Develop the narrative

Sunday, July 19, 2009

Page 36: Wfs2009 Leading Change

Proof of Concept

•Going from Think Tank to Do Tank

•Invite those who have succeeded

•Challenge the current myths and conventional wisdom

•Create your own prototypes

•Collect other stories

Sunday, July 19, 2009

Page 37: Wfs2009 Leading Change

Bringing it Home

•Figure out the business model

•Keep it outside the mother ship

•Learn to be ambidextrous

•Create a beta program using different scenarios

•Pick early adopter team members

•Aim for the low hanging fruit

Sunday, July 19, 2009

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Tell the Story

•Among colleagues

•To clients

•Speak at events

•Write articles and blog

•Find a publisher

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What’s Next

Sunday, July 19, 2009

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After That?

•Creating Integrated Alliance Teams within Commercial Real Estate

•Mindshift for Workplace Performance

•Mindshift for Building Information Modeling

•Mindshift for Non-Profits

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On the Horizon

•Creating a Mindshift for Education

•Creating a Mindshift for Health Care

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Page 42: Wfs2009 Leading Change

Results:

www.thecrerevolution.com

Rex [email protected]

ttp://www.slideshare.net/mrexmiller

Sunday, July 19, 2009