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Presented by Manie Bosman
Session 2
2.1 The Practice of “Futuring”
   •   What is Strategic Foresight”?
   •   Is the Future Fixed?
   •   How does Change Occur?
   •   What is Changing Where?
   •   Methods for Futuring
2.2 Scenario Excercise
   • Building the Scenario Framework
   • Constructing the Scenarios
   • Implications of Your Scenarios
The Future is NOW
What is „Strategic Foresight‟?
• Today change is the only constant.
• SF is not predicting the future, but
  ANTICIPATING it.
• Creating shared long-term visions/pictures to
  facilitate informed short-term decision-
  making.
• Identify influencers of the future.
• Timely strategic ACTION - not to be caught
  ‘unaware’ by the future.
• Can actively influence ‘shapes of things to
  come’ to organization’s advantage.
Is the Future “Fixed”?
• The future is plural – many possible alternatives.
• Can know most plausible futures, cannot tell
  until it happens.
4 types of futures:
• Conceivable or possible futures: All the futures
  that we could think of;
• Plausible futures: all the futures that what could
  be;
• Probable futures: most likely futures;
• Preferable Futures: the futures that we would
  prefer - our future of choice.
The Cone of Plausibility




                The number of plausible futures
                increase as we move further away
                from the present moment.
Images of Things to Come
Watch the “Images of Our Time”-video (4 min)

• Our images could be shaping or influencing the
  future on 2 levels:
  - Events that occur today have direct
    consequences in the future.
  - Images serve as our motifs and guiding stars
    which we pursue.
• Leaders can use strong visions to present clear
  and attractive images of the future that would
  compel people to strive towards fulfilling them.
The “What” and “Where” of Change
 Driving Forces of Change:

• Constants: things which are not changing
  over a specific time period.
• Cycles: things which change
  and then change back.
• Trends: things which change
  in one direction over long periods of time.
• Issues: things which people disagree about
  and for which they have to make a decision.
• Events: things which have just happened
  that are still affecting the future.
The Domains of Global Change:

• Demographic: having to do with the size and
  characteristics of populations.
• Ecological: having to do with nature.
• Technological: having to do with ways of
  manipulating the physical world.
• Economic: having to do with the
  production, exchange and consumption of
  goods and services.
• Political: having to do with collective decision
  making.
• Sociocultural: involving both social and cultural
  factors.
Change Drivers & Domains
 DOMAINS          Constants         Cycles          Trends         Events           Issues
                                Rise & fall of      More         World Cup        Should we
Sociocultural   Modernization                    spirituality                     protect the
                                civilizations                   Soccer 2010
                                                   at work                         Afrikaans?
                                Knowledge-                       BP deploys       Should they
                  Electrical    innovation-      More cloud
Technological      current                                       cap to stop      continue US
                                technology-      computing         oil spill    Space Program?
                                  product
                                                                Japan launch      Should they
                  National                        Less new
 Economic                        Recession                       pro-growth      set fixed rate
                 currencies                       car sales
                                                                   policy         for SA Rand?

                                                                   Island
                Drakensberg       El Nino –      More Global                    Island volcano
 Ecological                                                       volcano
                 Mountains        La Niña         Warming                           eruption
                                                                  eruption
                  President
  Political                     Parliamentary More media Israel attack            Should we
                  Executive                   control in SA Gaza boats
                                  Elections                                     vote for ACDP?
                    Head
                   Ethnic                           More        Civil service   Should we curb
Demographic                     Immigration                                     overpopulation?
                  diversity                      urbanization      strike
Methods for Futuring
 Collecting Information:
• Horizon Scanning: Systematic survey of
  information sources.
• Trend Analysis: In-depth look at all issues and
  elements related to a trend.
• Trend Monitoring: Continuously monitoring
  of important trend.
• Trend Projection: Plotting of numerical data
  to give visual presentation of changes.
• Historical Analysis: Past events is scrutinized
  and analyzed to anticipate current and future
  developments.
Processing the Data:

• Polling: Consulting with experts who are
  knowledgeable on the relevant issue.
• Brainstorming: New ideas are generated
  through small group interaction.
• Gaming: Participants are placed in mock
  situations where they play different roles.
• Modeling & Simulation: Future outcomes
  are determined by using computers to
  simulate outcomes in the real world.
                            (Continued on next page)
Processing the Data:

• Visioning: Specific goals and action plans are
  constructed and shared for implementation
  in larger group or the organization.
• Scenarios: Identifying possibilities of what
  might happen, and constructing these into
  stories and
  pictures of
  what the future
   might look like.
The Future is NOW
The Future is NOW
Approaches to Future Change
                              Control




              Fence-sitters             Control-freaks
                          3             4
Uncertainty




                                                         Certainty
                          2             1
               Dice-rollers             Fatalists



                       Absence of Control
Approaches to Future Change
• 1st Quadrant (BOTTOM RIGHT): Fatalists
  who know what will happen, but feel they
  cannot do anything about it.
• 2nd Quadrant (BOTTOM LEFT): Dice-rollers who
  believe everything happens by chance and
  they have no control over it.
• 3rd Quadrant (TOP LEFT): Fence-sitters who feel a
  level of control, but are unsure and hesitant.
• 4th Quadrant (TOP RIGHT): Control-freaks who
  think they know what will happen because
  they believe they are completely in control.
The “mind of a fox”:
                                Control




                  Options                     Decisions
                            3             4
Uncertainty




                                                          Certainty
                            2             1
              -Key uncertainties              Rules of
              -Scenarios                      the game


                         Absence of Control
Thinking with the “mind of a fox”
• 1st Quadrant (BOTTOM RIGHT): Rules of the
  game – things that are certain & uncontrollable.
• 2nd Quadrant (BOTTOM LEFT): Has 2 components – (1)
  critical uncertainties which are uncontrollable; and
  (2) plausible and relevant scenarios derived from
  these uncertainties.
• 3rd Quadrant (TOP LEFT): Options - things we can do
  (over which we have some control) even though
  the results are still uncertain.
• 4th Quadrant (TOP RIGHT): Decisions we make based on
  the preferred scenario (or outcome) and preferred
  options (from the previous quadrant).
Building the Scenarios
• STEP 1: Complete the Scenario Framework Table
  by using current sources of information on your
  organization and its environment.
• STEP 2: Choose a time horizon between five and
  fifteen years.
• STEP 3: Describe the focal issue or critical
  decision that the scenarios are to illuminate.
• STEP 4: Complete at least one Scan Hits Form.
• STEP 5: Complete the Actors/Stakeholders
  Form.
                            (Continued on next page)
(continued)
      High impact/medium probability futures
• STEP 6: Describe the conditions and driving
  forces outside the organization (trends, events
       High
  and issues) that are influencing and shaping
  the future.
• STEP 7: List the driving forces that are both
  highly important in their impact and highly
   Impact
  uncertain in their outcome.
• STEP 8: Build scenario logics that vary according
  to different outcomes for two of the most
  critical uncertainties listed in STEP SEVEN.
• STEPLow Create titles for the logics/scenarios.
        9:                   Medium
                          Probability
                                               High

• STEP 10: Write the scenarios (500 words).
Implications of Your Scenarios
• List opportunities and threats that each
  scenario presents to your focal issue.
• Ask and discuss questions such as:
  - how would the stakeholders change under each
    scenario?
  - how would each scenario influence your
    competitors, suppliers, and customers?
  - What needs to be changed, re-aligned or even
    abolished if this particular future occurs?
  - What challenges would the staff face in light of the
    alternative futures?
  - What implications do these scenarios have for
    decisions and current strategies?
Summary:
• There are many possible futures.
• It is possible to influence the occurance
  of our preferable futures.
• Strategic foresight enable organizations
  to anticipate the future and plan
  accordingly.
• Scenarios and other futuring methods
  increase our ability to gain strategic
  foresight.
Session 2
Example Framework Table
#      Driving Force                  Descriptions/Assumptions                       Status      Pre-scan Sources

                                                                                               Philadelphia Project
                        Philadelphia’s commitment is to increase its
1.   Mission and Values                                                           Stable       Strategic Plan: 2009-
                        leadership training program in Africa.
                                                                                               2014
                            Philadelphia believes that the need for trained
     State of
2.                          leaders in the African Church is large and            Increasing   Operation world, 2001.
     Marketplace
                            growing.
                            Philadelphia assumes that the economies of
     Economic               African states will continue to suffer, increasing
3.                                                                                Increasing   News Media (general)
     Conditions             the need for external sponsorship for leadership
                            programs.
                            Philadelphia assumes that quality and                              Information and
     Technological
4.                          availability of communication technology in           Increasing   Communication
     Change
                            Africa will improve.                                               Technologies.

                            Philadelphia believes that political stability will
5.   Political Conditions                                                         Increasing   News Media (general)
                            soon be restored in Zimbabwe and Madagascar.

                            Aggressive and strategic propagation of Islam
     Social / Religious
6.                          has the potential to increase its growth and          Increasing   Interviews
     Change
                            resistance to Christianity, especially in Malawi.
Example Scan Hit Form
                          New cable to bring low cost broadband
         Title                                                           Author         Peter Benedict
                          connectivity to Africa.
      Brief source        Alcatel-Lucent press release                     Date         June 9, 2010

   STEEP Category/s       Technology                                    Keywords        Africa, broadband, cable, telecommunications, high-speed.

          URL             http://www.fiercetelecom.com/press_releases/20-operators-team-alcatel-lucent-bring-fast-lower-cost-broadband-connectivity-africa-

         Type
                                     Actual event        New trend       New cycle           New plan             Potential event   New information New issue
    (underline one)
                         Alcatel-Lucent has signed a contract with Africa Coast to Europe (ACE) to install a 17 000km submarine ultra-fast broadband cable system
Brief description of the that will connect South Africa to France, with 23 African countries linked up along the way. This cable, with a speed of 5,12 terabits/sec,
         item            will help increase sub-Saharan Africa’s data capacity to 20 terabits/sec by the end of 2012. The network will also bring broadband optical
                         data connectivity to eight African countries that don’t have broadband at present.

                          Internet connectivity in Africa is generally slower, more unstable and more expensive than in the developed world. This cable will radically
 How could the future increase the data capacity, quality and stability of sub-Saharan Africa’s broadband connectivity. Competing with the existing Seacom-cable
be different as a result? (1,28 terabits/sec) and the Wacs (West African Cable System) which is set to become functional in 2011, the new system will also
                          contribute to bring down data prices on the continent, making internet and data services accessible to millions of people.

                          …Stakeholder name:                      The Philadelphia Project

What are the potential With bases in four different countries the Philadelphia Project has to rely on communication technology for various aspects of its internal
 implications for…?    and external communication functions. The new cable could radically improve these communication systems in the countries where
                       Philadelphia operates, thereby improving the organization’s communication and management functionality. It could also open new
                       possibilities of online learning and information access for Philadelphia’s staff and students.

     Overall effect              Confirming            Creating              Disconfirming              Impact                             Plausibility
                                                                                                                            4                                   5
    (underline one)       (baseline assumptions) (a new assumption) (baseline assumption)                (0-5)                                (0-5)


   Baseline, new or       Philadelphia assumes that quality and availability of communication           Novelty                            Timeliness
                                                                                                                            5                                   2
 resolved scenario(s)     technology in Africa will improve (assumption nr 4).                           (0-5)                                 (0-5)

                                                                                                      Date
        Scanner           Manie Bosman                                                                                          June 9, 2010
                                                                                                    Submitted
Example High Impact /
    Uncertain Outcome Forces
                       Force                         Direction A              Direction B
1. Dependence on foreign aid                       More dependant            Less dependant
2. HIV/Aids Pandemic                                   Increase                 Decrease
3. Propagation of Islam                            Religious stability      Religious conflict

4. Martial law in SA                             Effective governance     Ineffective governance

5. Chinese investment                           Improved infrastructure   Weaker infrastructure

6. Malawi Islamic State                           Religious freedom          Islamic fanatism
7. Larger gap between ‘haves’ and ‘have-nots’        Civil conflict           Civil stability
8. Depletion of natural resources                 Resources depleted       Resources sustained
9. UN intervention                                       Peace                   Conflict
10. SADC countries unified as Azania                  Prosperity                 Poverty
Example Scenario Logics

                          2. Increasing gap between ‘haves’ and ‘have-nots’

                          2a. Civil conflict              2b. Civil stability

             1a.                     A
                                                                  B
 1. SADC                      Prosperity & Civil
             Prosperity                               Prosperity & Civil stability
countries                         conflict
unified as
  Azania     1b.                     C                           D
             Poverty       Poverty & Civil conflict    Poverty & Civil stability

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The Future is NOW

  • 3. 2.1 The Practice of “Futuring” • What is Strategic Foresight”? • Is the Future Fixed? • How does Change Occur? • What is Changing Where? • Methods for Futuring 2.2 Scenario Excercise • Building the Scenario Framework • Constructing the Scenarios • Implications of Your Scenarios
  • 5. What is „Strategic Foresight‟? • Today change is the only constant. • SF is not predicting the future, but ANTICIPATING it. • Creating shared long-term visions/pictures to facilitate informed short-term decision- making. • Identify influencers of the future. • Timely strategic ACTION - not to be caught ‘unaware’ by the future. • Can actively influence ‘shapes of things to come’ to organization’s advantage.
  • 6. Is the Future “Fixed”? • The future is plural – many possible alternatives. • Can know most plausible futures, cannot tell until it happens. 4 types of futures: • Conceivable or possible futures: All the futures that we could think of; • Plausible futures: all the futures that what could be; • Probable futures: most likely futures; • Preferable Futures: the futures that we would prefer - our future of choice.
  • 7. The Cone of Plausibility The number of plausible futures increase as we move further away from the present moment.
  • 8. Images of Things to Come Watch the “Images of Our Time”-video (4 min) • Our images could be shaping or influencing the future on 2 levels: - Events that occur today have direct consequences in the future. - Images serve as our motifs and guiding stars which we pursue. • Leaders can use strong visions to present clear and attractive images of the future that would compel people to strive towards fulfilling them.
  • 9. The “What” and “Where” of Change Driving Forces of Change: • Constants: things which are not changing over a specific time period. • Cycles: things which change and then change back. • Trends: things which change in one direction over long periods of time. • Issues: things which people disagree about and for which they have to make a decision. • Events: things which have just happened that are still affecting the future.
  • 10. The Domains of Global Change: • Demographic: having to do with the size and characteristics of populations. • Ecological: having to do with nature. • Technological: having to do with ways of manipulating the physical world. • Economic: having to do with the production, exchange and consumption of goods and services. • Political: having to do with collective decision making. • Sociocultural: involving both social and cultural factors.
  • 11. Change Drivers & Domains DOMAINS Constants Cycles Trends Events Issues Rise & fall of More World Cup Should we Sociocultural Modernization spirituality protect the civilizations Soccer 2010 at work Afrikaans? Knowledge- BP deploys Should they Electrical innovation- More cloud Technological current cap to stop continue US technology- computing oil spill Space Program? product Japan launch Should they National Less new Economic Recession pro-growth set fixed rate currencies car sales policy for SA Rand? Island Drakensberg El Nino – More Global Island volcano Ecological volcano Mountains La Niña Warming eruption eruption President Political Parliamentary More media Israel attack Should we Executive control in SA Gaza boats Elections vote for ACDP? Head Ethnic More Civil service Should we curb Demographic Immigration overpopulation? diversity urbanization strike
  • 12. Methods for Futuring Collecting Information: • Horizon Scanning: Systematic survey of information sources. • Trend Analysis: In-depth look at all issues and elements related to a trend. • Trend Monitoring: Continuously monitoring of important trend. • Trend Projection: Plotting of numerical data to give visual presentation of changes. • Historical Analysis: Past events is scrutinized and analyzed to anticipate current and future developments.
  • 13. Processing the Data: • Polling: Consulting with experts who are knowledgeable on the relevant issue. • Brainstorming: New ideas are generated through small group interaction. • Gaming: Participants are placed in mock situations where they play different roles. • Modeling & Simulation: Future outcomes are determined by using computers to simulate outcomes in the real world. (Continued on next page)
  • 14. Processing the Data: • Visioning: Specific goals and action plans are constructed and shared for implementation in larger group or the organization. • Scenarios: Identifying possibilities of what might happen, and constructing these into stories and pictures of what the future might look like.
  • 17. Approaches to Future Change Control Fence-sitters Control-freaks 3 4 Uncertainty Certainty 2 1 Dice-rollers Fatalists Absence of Control
  • 18. Approaches to Future Change • 1st Quadrant (BOTTOM RIGHT): Fatalists who know what will happen, but feel they cannot do anything about it. • 2nd Quadrant (BOTTOM LEFT): Dice-rollers who believe everything happens by chance and they have no control over it. • 3rd Quadrant (TOP LEFT): Fence-sitters who feel a level of control, but are unsure and hesitant. • 4th Quadrant (TOP RIGHT): Control-freaks who think they know what will happen because they believe they are completely in control.
  • 19. The “mind of a fox”: Control Options Decisions 3 4 Uncertainty Certainty 2 1 -Key uncertainties Rules of -Scenarios the game Absence of Control
  • 20. Thinking with the “mind of a fox” • 1st Quadrant (BOTTOM RIGHT): Rules of the game – things that are certain & uncontrollable. • 2nd Quadrant (BOTTOM LEFT): Has 2 components – (1) critical uncertainties which are uncontrollable; and (2) plausible and relevant scenarios derived from these uncertainties. • 3rd Quadrant (TOP LEFT): Options - things we can do (over which we have some control) even though the results are still uncertain. • 4th Quadrant (TOP RIGHT): Decisions we make based on the preferred scenario (or outcome) and preferred options (from the previous quadrant).
  • 21. Building the Scenarios • STEP 1: Complete the Scenario Framework Table by using current sources of information on your organization and its environment. • STEP 2: Choose a time horizon between five and fifteen years. • STEP 3: Describe the focal issue or critical decision that the scenarios are to illuminate. • STEP 4: Complete at least one Scan Hits Form. • STEP 5: Complete the Actors/Stakeholders Form. (Continued on next page)
  • 22. (continued) High impact/medium probability futures • STEP 6: Describe the conditions and driving forces outside the organization (trends, events High and issues) that are influencing and shaping the future. • STEP 7: List the driving forces that are both highly important in their impact and highly Impact uncertain in their outcome. • STEP 8: Build scenario logics that vary according to different outcomes for two of the most critical uncertainties listed in STEP SEVEN. • STEPLow Create titles for the logics/scenarios. 9: Medium Probability High • STEP 10: Write the scenarios (500 words).
  • 23. Implications of Your Scenarios • List opportunities and threats that each scenario presents to your focal issue. • Ask and discuss questions such as: - how would the stakeholders change under each scenario? - how would each scenario influence your competitors, suppliers, and customers? - What needs to be changed, re-aligned or even abolished if this particular future occurs? - What challenges would the staff face in light of the alternative futures? - What implications do these scenarios have for decisions and current strategies?
  • 24. Summary: • There are many possible futures. • It is possible to influence the occurance of our preferable futures. • Strategic foresight enable organizations to anticipate the future and plan accordingly. • Scenarios and other futuring methods increase our ability to gain strategic foresight.
  • 26. Example Framework Table # Driving Force Descriptions/Assumptions Status Pre-scan Sources Philadelphia Project Philadelphia’s commitment is to increase its 1. Mission and Values Stable Strategic Plan: 2009- leadership training program in Africa. 2014 Philadelphia believes that the need for trained State of 2. leaders in the African Church is large and Increasing Operation world, 2001. Marketplace growing. Philadelphia assumes that the economies of Economic African states will continue to suffer, increasing 3. Increasing News Media (general) Conditions the need for external sponsorship for leadership programs. Philadelphia assumes that quality and Information and Technological 4. availability of communication technology in Increasing Communication Change Africa will improve. Technologies. Philadelphia believes that political stability will 5. Political Conditions Increasing News Media (general) soon be restored in Zimbabwe and Madagascar. Aggressive and strategic propagation of Islam Social / Religious 6. has the potential to increase its growth and Increasing Interviews Change resistance to Christianity, especially in Malawi.
  • 27. Example Scan Hit Form New cable to bring low cost broadband Title Author Peter Benedict connectivity to Africa. Brief source Alcatel-Lucent press release Date June 9, 2010 STEEP Category/s Technology Keywords Africa, broadband, cable, telecommunications, high-speed. URL http://www.fiercetelecom.com/press_releases/20-operators-team-alcatel-lucent-bring-fast-lower-cost-broadband-connectivity-africa- Type Actual event New trend New cycle New plan Potential event New information New issue (underline one) Alcatel-Lucent has signed a contract with Africa Coast to Europe (ACE) to install a 17 000km submarine ultra-fast broadband cable system Brief description of the that will connect South Africa to France, with 23 African countries linked up along the way. This cable, with a speed of 5,12 terabits/sec, item will help increase sub-Saharan Africa’s data capacity to 20 terabits/sec by the end of 2012. The network will also bring broadband optical data connectivity to eight African countries that don’t have broadband at present. Internet connectivity in Africa is generally slower, more unstable and more expensive than in the developed world. This cable will radically How could the future increase the data capacity, quality and stability of sub-Saharan Africa’s broadband connectivity. Competing with the existing Seacom-cable be different as a result? (1,28 terabits/sec) and the Wacs (West African Cable System) which is set to become functional in 2011, the new system will also contribute to bring down data prices on the continent, making internet and data services accessible to millions of people. …Stakeholder name: The Philadelphia Project What are the potential With bases in four different countries the Philadelphia Project has to rely on communication technology for various aspects of its internal implications for…? and external communication functions. The new cable could radically improve these communication systems in the countries where Philadelphia operates, thereby improving the organization’s communication and management functionality. It could also open new possibilities of online learning and information access for Philadelphia’s staff and students. Overall effect Confirming Creating Disconfirming Impact Plausibility 4 5 (underline one) (baseline assumptions) (a new assumption) (baseline assumption) (0-5) (0-5) Baseline, new or Philadelphia assumes that quality and availability of communication Novelty Timeliness 5 2 resolved scenario(s) technology in Africa will improve (assumption nr 4). (0-5) (0-5) Date Scanner Manie Bosman June 9, 2010 Submitted
  • 28. Example High Impact / Uncertain Outcome Forces Force Direction A Direction B 1. Dependence on foreign aid More dependant Less dependant 2. HIV/Aids Pandemic Increase Decrease 3. Propagation of Islam Religious stability Religious conflict 4. Martial law in SA Effective governance Ineffective governance 5. Chinese investment Improved infrastructure Weaker infrastructure 6. Malawi Islamic State Religious freedom Islamic fanatism 7. Larger gap between ‘haves’ and ‘have-nots’ Civil conflict Civil stability 8. Depletion of natural resources Resources depleted Resources sustained 9. UN intervention Peace Conflict 10. SADC countries unified as Azania Prosperity Poverty
  • 29. Example Scenario Logics 2. Increasing gap between ‘haves’ and ‘have-nots’ 2a. Civil conflict 2b. Civil stability 1a. A B 1. SADC Prosperity & Civil Prosperity Prosperity & Civil stability countries conflict unified as Azania 1b. C D Poverty Poverty & Civil conflict Poverty & Civil stability

Editor's Notes