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Scooped by Deb Nystrom, REVELN!

Championing a Radical Old Way of Doing New Global Business: High Profits & Low Power Centric Culture

Championing a Radical Old Way of Doing New Global Business:  High Profits &  Low Power Centric Culture | Change Leadership Watch |

Svenska Handelsbanken has championed an entirely different way of doing business, and has the profits, loyalty and longevity to prove that it works.

Three years ago, stock market analysts at Sweden’s main business paper set about using data from the London School of Business to find the world’s best performing share since the start of the 20th century.

The answer? Handelsbanken. Ten pounds invested in the Swedish bank in 1900 would have been worth about £20m by 2009, a rise of 1.9m pc. General Electric could manage only an 843,000pc rise.

And if you think the fruits of this astonishing return were limited to an elite club at the bank, you would be wrong.

Handelsbanken has an almost religious devotion to Oktogonen, its profit-sharing scheme. ...Every employee receives an equal share of the bank’s profits as long as it makes a return on equity greater than the average of its peer group.


..branches ....scrutinise [head office] costs. If they are not happy...they make sure the head office ups their game...



The money is then used to buy Handelsbanken shares for each staff member but these can be accessed only when employees reach the age of 60. This ultra-equitable approach means the bank teller whose career is spent cashing cheques will receive the same payout from Handelsbanken on retirement as its chief executive.

Afew other differences:

- It does not pay bonuses, with the exception of a small number of staff in its investment banking arm;

- It has no financial plans;

- The bank sets no sales targets for staff;

- It does not set out long-term goals and has no central marketing budget;

- Even its largest corporate customers must still bank with it at a branch level, and it has no credit scoring system.

...Anders Bouvin, UK chief executive explains....branches decide the costs of the head office. They scrutinise our costs. If they are not happy with the service, they make sure the head office ups their game...[or]...go elsewhere. The branch manager is the king of the bank,” he says.

Read the full post here.   Read more about the unusual 28 year career of Anders Bouvin, here.


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Deb Nystrom, REVELN's insight:

This is a companion article, featuring the graphic shared by Niels Pflaeging on LinkedIn who mentions that  ...."companies like Handelsbanken have ....value creation and informal structures [that] are far more well-curated and developed than in command-and-control organizations."

~  Deb 

Deb Nystrom, REVELN's curator insight, February 18, 5:11 PM

Sometimes numbers can be a trap.   This is one of two posts featuring this unique, profitable bank that has outperformed MANY competitors.  ~  Deb

Scooped by Deb Nystrom, REVELN!

This Is Generation Flux: Meet The Pioneers Of The New (And Chaotic) Frontier Of Business | Fast Company

This Is Generation Flux: Meet The Pioneers Of The New (And Chaotic) Frontier Of Business | Fast Company | Change Leadership Watch |

That Fast Company identifies GenFlux seems a is a renegade idea way disrupting traditional HR staffing / people concepts for organizations.  Think "churn" as a way of being.

"The future of business is pure chaos. ...So it  GenFlux is a mind-set that embraces instability...even enjoys--recalibrating careers, business models, and assumptions."

A variety of careers & ages are profiled in Fast Co's piece.  I remember back when "white water change" and "pinch-points of change," were 90's terms tossed out while working on the latest reorganization, staffing change or technology installation, followed by the brand, is "you" in so many words.  


"There's a difference between the broadcast and networked worlds," danah boyd (lower case by intention) and Senior Researcher at Microsoft, says. "Command and control and hierarchical structures are being disintegrated. Big companies are trying to make that slow down. They have massive internal structural issues."

...From classrooms arranged in rows of seats to tenured professors, from the assembly line to the way we promote executives, we have been trained to expect an orderly life.

Thrivers are the members of Generation Flux, who are less a demographic designation than a psychographic one.  

GenFlux is a mind-set that embraces instability, that tolerates--and even enjoys--recalibrating careers, business models, and assumptions.  ...To be successful, businesses and individuals will have to work at it.

This is no simple task. The vast bulk of our institutions--educational, corporate, political--are not built for flux. Few traditional career tactics train us for an era where the most important skill is the ability to acquire new skills.

"I don't have any personal challenges about throwing away the past. If you're not changing, you're giving others a chance to catch up." ~  Pete Cashmore, founder of the widely popular, Mashable, with more than 2 million twitter followers

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Scooped by Deb Nystrom, REVELN!

Executive Privilege & Power and Change Management, Facing Extinction?

Executive Privilege & Power and Change Management, Facing Extinction? | Change Leadership Watch |

Those in hierarchical positions of power have much to lose...[in a] redefined social contract that redistributes status...

Gail's 3rd post in a series about change in change management:

Organizations are ....dipping their toes into enterprise collaborative platforms that encourage symmetrical interactions and reduce hierarchy.

Technology tools like social media and gamification are unlocking this power by providing platforms that scale and enable dialogue.

This tentative tapping and experimentation with the speed of information sharing, clarification, engagement, and momentum is both exhilarating and threatening to many.

As we .... learn how to ride the vast waves of information [via]... desktops, we are evolving new cultures and new social contracts with each other.

Deb Nystrom, REVELN's insight:

Might the ever widening chasm of executive power and compensation collapse on itself?  It seems possible when reading Gail's series about change management, power, hierarchy, transparency and social connection.

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