5A1B01 Transfo Amphi 2

02
Technology, Planet, Society:

Transformations in Strategizing & Organizing
PGE | 2022-23
Transformations
Vincent GIOLITO - Luc BÉLANGER-MARTIN Technology | The Planet
© Vincent Giolito - giolito@em-lyon.com 1

Transformations | Going forward
In one emoji, how

do we feel today?
slido.com
#3748 909
Poll / sondage

Transformations | Going forward
What did we
learn last
week?
slido.com
Q&A / Q&R

Paradox thinking

Transformations | Abundance mindset
What arguments/examples
would you have to support a mindset
of abundance?
© Vincent Giolito - giolito@em-lyon.com

5
Transformations | Key paradoxes

Key paradoxes in transformations | Past // Future
The paradoxical view
“The future is already

here. It’s just not
evenly distributed” William Gibson,
science-fiction writer

The conventional view
Past Present Future

The future
The past
The present

Observe the The future

present as a
manifestation
Imagine usages
of the past
without tensions
for customers
Detect present Imagine tension
tensions resolutions Include your
for customers
ambitions for a
better society
Why do
tensions The past
persist?
The present

Technology Transformations | Food & robots

Transformations & technology | More about robots & food

Transformations & technology | More about foodbots
As technology Harness the unlimitedness of internet

induces abundance, space ➔ expand the offering range
how to devise
successful strategies? Focus on end customers ➔ leverage
digital to make it easier to them
Forget products & assets ➔ prioritize

solutions & the orchestration of an
abundance of partners (e.g., Uber)
Forget sales as discrete events ➔ see

business as an ongoing, data-
generating relationship (e.g., Prime)
(Druel & Gombert, 2022)

The Planet | Transformations in strategizing | Fashion & Sneakers

Transformations | The planet
slido.com
How important
#3748 909 environmental
Poll / sondage concerns
should be for
the fashion
industry?

The Planet | Paradoxes
How many
pairs of
shoes did
you buy in
2022?

The Planet | Paradoxes
Did you inquire about the

carbon footprint of clothing/
shoes items you bought?
I mean, seriously?

Planet paradoxes | Sneakers
Who wears sneakers today?


Estimated 34 %
30 %
share of 36 %
ecological Impact on Impact on
48 % Impact on
impacts of climate 50 % human
resources 53 %
the change health
synthetic
footwear
17 %
vs. footwear 16 % 16 %
industry Leather Leather Leather
overall Synthetic polymer Synthetic polymer Synthetic polymer
Textile Textile Textile
The study notes that leather shoes have the highest impact on
‘Ecosystem quality’ because of cattle rearing, but ignores the meat
industry in its evaluation; it also ignores the length of use of the
(Van Rensburg, M. L., Nkomo, different types of shoes
S. L., & Mkhize, N. M. 2020)
(GWP: Global warming potential; Cheah et al., 2013)

Paradoxes | Sneakers
2012
34
$80 bn China
India
Vietnam
$60 bn
Indonesia
Brazil Country
$40 bn share in
million pairs sold Turkey
footwear
production
every day Pakistan
$20 bn jogging & running shoes Bangladesh
Mexico
Athletic represents 15–30%
of revenue of the industry Philippines
$0 bn
Revenue of the global athletic footwear
0% 20 % 40 % 60 %
(Cheah et al., 2013,
Statista 2022)
The Planet | Paradoxical thinking

The planet | Reflection exercise
Reflect by pairs – 5 min.

Tensions: Stress, You are observers of the sneakers industry,
anxiety, discomfort, or e.g., as a consulting or market research firm.
tightness in making
choices, responding to, Sneakers brands take a high toll in terms of
and moving forward in environmental (and social) footprint
organizational situations ➔ What tensions can this situation trigger?
Remember: tensions are about perceptions
(Putnam et al., 2016)
slido.com #3748 909
Q&A

Paradox: Contradictions that persist Reflect by pairs – 5 min.

over time, impose and reflect back on
each other, and develop into seemingly You are observers of the sneakers industry, e.g.,
irrational or absurd situations because as a consulting or market research firm.
their continuity creates situations in
What paradoxes do you see here? Describe the
which options appear mutually situation in two elements separated by “vs.”
exclusive, making choices difficult
For example: “Green sneakers are better for the
planet vs. consumers don’t want to buy”
slido.com #3748909
Q&A

Dilemma: either-or Reflect by pairs – 5 min.

choices in which one You are the top team of a large, non-green
alternative must be sneaker brand, you want to plan your strategy for
selected among mutually the next three years. Devise two options in the form
attractive (or of a dilemma, i.e., an A/B alternative
unattractive) options For example: “We go green vs. we change nothing”
Think of arguments for each option for discussion

Strategy A
slido.com
Strategy B #3748909
Q&A

Reflect by pairs – 10 min.
You are the top team of a large, non-green

sneaker brand. You want to decide for a new
creative strategy — what will be the key elements
of this strategy?
Build arguments for how the strategy:

•Resolves tensions & paradoxes
•Helps the firm sell more
•____ ___ ___ reduce costs
slido.com
#3748909
Q&A

The Planet | Paradoxical thinking in strategizing

The planet | Paradoxical thinking for strategizing
From “either/or”
to “both-and”
to “more than”
thinking

Paradox resolution | “Either/or” strategizing
Denial Selection of one Segmenting along

of transformations transformation pole transformation poles
Firms may ignore Firms may squarely Firms may segment or

transformation and choose one pole, e.g., decouple, i.e.,
stick to their strategies the old or the new strategize in a way, yet
– particularly if publicize another way
profitable Upsides? Downsides? (greenwashing)
Examples?

“Either/or” strategizing | The case for greenwashing
Consumer…
corporate
Segmenting along perception
transformation poles Launch of

Consumer … CSR
altruistic perception
sustainable
attributions
collections
about the firm
.. Brand trust
.. Purchase
intention!
(Miotto & Youn, 2020)
Stigmatized firms are subjected to less market discipline for

greenwashing… The mechanism driving this phenomenon is a certain
‘boys will be boys’ expectation by consumers that stigmatized firms lack
integrity and, by consequence, are given greater leeway to greenwash.
(Kassinis, Kay, Papagiannakis, & Vlachos, 2022)

Paradox resolution | “Both-and” strategizing
Traditionally, managers ask,

‘Should we implement A or B?’
Paradoxical strategies change this
focus to: ‘How can we implement
both A and B?’: this shift enables
new business models to emerge
Examples
Exploitation or exploration?
Control or autonomy?
Go for both!
(Smith, Binns, & Tushman, 2010)

“Both-and”, paradoxical strategizing | Oscillation
… accentuating distinctions
between the poles and then
bringing them back together or
through enacting a spiraling
inversion (i.e., a continual
oscillation between the poles)
Example
Control or autonomy ➔ dynamic oscillation
(Dattée, Arrègle, et al., 2022)

“Both-and”, paradoxical strategizing |
Compromise, integration, balance
Integration seeks a compromise or a middle-of-

the-road approach, sometimes through a forced
merger between the opposites
Balance searches for ways to embrace both

poles through accepting the contradiction,
working through tensions, meeting competing
demands, and finding an equilibrium point
Example
Exploitation or exploration ? ➔ Ambidexterity
(O’Reilly & Tushman, 2013)

Paradox resolution | “More than”, Paradoxical strategizing
… Accommodating
[opposite] poles
through developing a
novel, creative synergy

“More than”, Paradoxical strategizing |
Reframing & transcendence
Reframing occurs when parties
situate opposites in a new
reformulated whole or a novel
relationship so that the poles are
no longer pitted against each other
Transcendence positions opposites

in a novel relationship to each
other by moving outside of a
paradoxical system to a new level
of meaning or by expanding the
boundaries of an organization’s
context

Reframing & transcendence
Reframing occurs when parties
situate opposites in a new
reformulated whole or a novel
relationship so that the poles are
no longer pitted against each other
Transcendence positions opposites

in a novel relationship to each
other by moving outside of a
paradoxical system to a new level
of meaning or by expanding the
boundaries of an organization’s
context

Connections, third spaces, dialogue, etc.
… To de-strategizing?
From bottom-up strategizing
and organizational democracy… … through organizing
Connection refers to the Third space is a liminal and Dialogue [represents ] forum
interactive practices that performative site of in which stakeholders treat
engage opposites in an disruption, invention, and opposite poles as equally
ongoing dynamic interplay enunciation that enables valued and form co-developed
organizational members to meanings among people,
live with paradox situations, and events

Paradoxical strategizing
What slido.com
do you #3748909
Q&A
think?

One moment about methods

Course assignment | Interview tips
Your team has to interview one person in a senior

management role, e.g., HR or marketing or finance
director in a 100-500+ firm or CEO in a smaller firm
Identify the person in your network (e.g., your family

member, family’s friends, etc.)
Reach out to her/him with the recommendation of your

contact (e.g., family member)
Ask for a 45-60 min confidential interview about how

transformations impact their business
Check the person has not been contacted by another

team for this course (ask the question!)
Promise you will get back to the person with the

insights from your teamwork

Course assignment | Before the interview
Homework
• Get info on the business (size, activity, etc.) and

the person – use library sources & LinkedIn
• Get used to the Qualtrics smartphone interface
• Prepare firm-specific and follow-up questions
(more on that in a minute)
• Choose two team members to do the interview:
one to ask questions, the 2nd to take notes (the
rest of the team will work on the analysis)
• Prepare a 2nd smartphone to record the interview
• Arrive early!

Course assignment | During the interview
• Introduce yourselves and • Start with the Quantitative questions on Qualtrics

the team, say a few words ➔ provide your prepared smartphone, let the person answer
about the course and your
research (cf. your initial • Qualtrics questions (available in French)
request)
1.How does current transformations in technology impact your
• Say again the interview is business? Scale endpoints: “Transformations make our business
confidential, contents is only much more difficult” to “make our business much easier”
for you and the teacher (we
will provide a note) 2.How does current transformations related to the (natural)
environment impact your business? (same scale)
• Specify that any output will
make the firm 3.How does current transformations related to societal issues
unidentifiable (e.g., a 200- impact your business? (same scale)
people firm in IT) 4.How much does your firm change its strategy to cope with
• Ask permission for recording

Q. technology – environment – society transformations? Scale
endpoints: not at all — very much
➔ if no, take notes 5.How much does your firm change its organization to cope with
➔ if yes, take notes technology – environment – society transformations? (same scale)
• Try to not help unless explicit questions from the person

Course assignment | During the interview
Q.
Thomas DULIN, instructor
https://emlyonbs.qualtrics.com/jfe/form/SV_eKvBHAH2FUyl3ee

Course assignment | During & after the interview
• The interview is not an interrogatory but a • At the end, say thank you
professional conversation and promise you’ll get back
• Your questions should invite the person to the person with insights
to develop on the Qualtrics questions from your analysis
‣ In what ways do transformations (in technology,
then planet, then society) make your business • Back home
easier/more difficult? Here you can cite ‣ Send a thank you email
transformations plausibly impacting the within 24 hours
business of the person
‣ Transcribe the interview
‣ Ask for specifics, e.g., what tech, what immediately whether it is a
trends in environment, society have the most recording or just notes (pain in
impact? ➔ How so? the neck, yes, but we have tips)
‣ Ask for examples: recent, current, e.g., the ‣ Upload the transcript on Qualtrics
person says a big change is underway in
strategy and/or organization ➔ How so?
‣ Do not comment or express opinions • Start the analysis with your
‣ At the end of a theme, reformulate and ask for
team… More on that at the
a confirmation: did we understand well? next amphi

Course evaluation | Interviews
Questions & answers
slido.com
#3748909
Q&A

Transformations | Planet | Takeaways

Transformations | Amphi 2 feedback
What stood out for you /

surprised you the most in
what we have discussed today?

Paradoxical thinking | Takeaways 1
Classic thinking Paradoxical thinking | Technology transformations
Strategy is about competition Competition is but one element
Strategizing goes top-down Strategizing combines top-down and bottom-up
Strategy is about strengthening the firm vis-à- Strategy is about building and nurturing ecosystems based on
vis competitors, customers, suppliers, etc. relationships and value loops (Druel & Gombert, 2022)
Build and defend secret resources as Combine full openness in the ecosystem with specific, narrow
exclusive resources for competitive advantage expertise within a network of partners incl. clients, data is a key
resource & competence (Stoning, Schmid, & Müller-Stewens, 2022)
Focus the firm on ONE thing: exploration or Aim for strategic ambidexterity, i.e., both exploration and
exploitation, cost leadership or differentiation exploitation; think separately value creation and value capture then
reconcile or drop (Lepak et al., 2007; Tushman & O’Reilly, 1997; Thiel, 2014)
Technology transformation represents a Technology transformations are ongoing, blending the past and the
disruption and calls for disruptive innovation future ➔ combine permanent with disruptive innovation

i s s i o n
u r m
Y
o xt
b y n e Transformations | Takeaways 2
e s s ion t!
s r m a n
ri n f o w!
y o u e r v i e
• Find re the int l!
pa • Paradoxes ria in technology • Paradoxes with the planet
• Pre the mate
d transformations ‣ Good intentions do NOT transform
• Rea strategies & organization…
‣ Embrace the unlimitedness &
abundance brought about by mobile ‣ We as consumers are part of the
Internet & tech in general problem before the solution
‣ Focus on value creation for
customers with whom to build a • Paradoxical strategizing
relationship, not get transactions & organizing
‣ Re-envision production as network
‣ “Either/or” vs. “both-and”
orchestration for permanent vs. “more than” strategies
innovation
• Methods
‣ How to prepare & conduct interviews

50
Thank you

51

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02

Technology, Planet, Society:

© Vincent Giolito - giolito@em-lyon.com 1

In one emoji, how

© Vincent Giolito - giolito@em-lyon.com 2

© Vincent Giolito - giolito@em-lyon.com 3

© Vincent Giolito - giolito@em-lyon.com 4

© Vincent Giolito - giolito@em-lyon.com

© Vincent Giolito - giolito@em-lyon.com 6

“The future is already

© Vincent Giolito - giolito@em-lyon.com 7

The conventional view

Past Present Future

© Vincent Giolito - giolito@em-lyon.com 8

© Vincent Giolito - giolito@em-lyon.com 9

Observe the The future

© Vincent Giolito - giolito@em-lyon.com 10

© Vincent Giolito - giolito@em-lyon.com 11

© Vincent Giolito - giolito@em-lyon.com 12

As technology Harness the unlimitedness of internet

Forget products & assets ➔ prioritize

Forget sales as discrete events ➔ see

© Vincent Giolito - giolito@em-lyon.com 13

© Vincent Giolito - giolito@em-lyon.com 14

© Vincent Giolito - giolito@em-lyon.com 15

© Vincent Giolito - giolito@em-lyon.com 16

Did you inquire about the

© Vincent Giolito - giolito@em-lyon.com 17

Who wears sneakers today?

© Vincent Giolito - giolito@em-lyon.com 18

© Vincent Giolito - giolito@em-lyon.com 19

(GWP: Global warming potential; Cheah et al., 2013)

$20 bn jogging & running shoes Bangladesh

© Vincent Giolito - giolito@em-lyon.com 23

Reflect by pairs – 5 min.

© Vincent Giolito - giolito@em-lyon.com 24

Paradox: Contradictions that persist Reflect by pairs – 5 min.

(Putnam et al., 2016)

Dilemma: either-or Reflect by pairs – 5 min.

Think of arguments for each option for discussion

© Vincent Giolito - giolito@em-lyon.com 26

Reflect by pairs – 10 min.

You are the top team of a large, non-green

Build arguments for how the strategy:

© Vincent Giolito - giolito@em-lyon.com 27

© Vincent Giolito - giolito@em-lyon.com 28

© Vincent Giolito - giolito@em-lyon.com 29

Denial Selection of one Segmenting along

Firms may ignore Firms may squarely Firms may segment or

© Vincent Giolito - giolito@em-lyon.com 30

transformation poles Launch of

Stigmatized firms are subjected to less market discipline for

© Vincent Giolito - giolito@em-lyon.com 31

Traditionally, managers ask,

© Vincent Giolito - giolito@em-lyon.com 32

© Vincent Giolito - giolito@em-lyon.com 33

Integration seeks a compromise or a middle-of-

Balance searches for ways to embrace both

© Vincent Giolito - giolito@em-lyon.com 34

© Vincent Giolito - giolito@em-lyon.com 35

Transcendence positions opposites

© Vincent Giolito - giolito@em-lyon.com 36