MICHAEL PORTER

From Bureaucracy towards Humanocracy.

Many management books have been published, however only a few have had great influence on management today. Think of the books of Michael Porter on Competitive Strategies in the 1980s, “Competing for the Future” of Hamel and Phrahalad 1n 1996, “Only the Paranoid Survive” of Andrew Grove in 1996, “Good to Great” of Jim Collins in 2010 and Nassim Taleb’s “Black Swan” in 2007 and “Antifragile” in 2012. “Humanocracy” is the new book in 2020 of Gary Hamel on replacing bureaucracy, which might be seen as another “gamechanger”. Humanocracy leads to exceptional competitive power with unique competitive advantages, difficult to copy for your rivals.

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Ordinary and Dynamic Capabilities

Many years ago, Michael Porter said that strategy is about making choices differently from your rivals. It is interesting to make the connection with Professor David Teece of the University of California at Berkeley, regarding ‘dynamic capabilities’, the internal company drivers of strategy that point towards competitive positioning. Teece draws a distinction between ordinary and dynamic capabilities. Ordinary capabilities are a set of learned processes and activities that enable a company to produce a particular outcome and are similar to best practices.

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