New strategic behavior

New stratgic behaviormanaging your contextGer A. Damen, Jeroen Duble and Hans Strikwerda (eds.)Nolan, Norton & CoThe financial crisis may not end the capitalistic system, but is lays bare taht the dominance of economic values, blind profit maximalization and shareholder value, no longer is accepted. The cinreasing power of citizens to organize themselves effectively through social media will be used to discipline corporate behavrio where governments no longer have power to do so. Corporate social responsibility only can be achieved through self-regulation by a corporation in which a clear hierarchy of values is core. Such a clear hierarchy of values provides all stakeholders with a guideline how to prioritize choices to be made and how to solve the dilemmas of the firm. The financiel oriented one-fimensional performance management system of the past decennia, which evoked so often perverse behavior, only can be corrected by placing this within the context of a hierarchy of non-financial values. This will provide clarity of purpose, not only to customers but also to the workers in the organization. Clarity in the organization also is needed in case of new strategies. Too often new strategies falter because executies fail to adapt the systemic context in the organization to the new stragy, as a result of which managers develop initiatives based on old thinking, thus derailing the new strategy. Elements like the reward system, dimenions on which to achieve performance and management information, all need to be changed in order to created new strategic behavior with managers and workers in the organization. This NNC Annual explains how to achieve that, includin the required introduction of bussiness control to overcome the limitations of financial control and process control. Also the changes needed in the IT-governance are highlighted, to move from amanging costs of IT to turning the information infrastructure of the firm into a competitive weapon.We are entering a period of new power relations between citizens, corporations and governemnts, and withing the organization between executives, managers and workers. This all is forced upon us by the declining costs of information and communcation. The declining costs of information also change the power system in our society and our organizations, an between them.The old adage change or perish applies as never before. This time the question is not about how to chagne organizations; the nature of waht an organization is changes. The forces for change themselves are changing, by dynamcis, intensity and nature. The paradox we have to transcend is that only new strategic behavior of individualas will answer the new challegnes, but to achieve this we need to shed our bias in traditional management, and need to manage our systemic context. That will produce new strategic behavior, both in managment and in consulting.