"Capital vs. Talent: The Battle That's Reshaping Business", Shoshana Zuboff -- Rotman School -- Lifelong Learning, May 30, 2003, 2:15 p.m.

Shoshana Zuboff, Charles Edward Wilson Professor of Business Administration, Harvard Business School

These participant's notes were created in real-time during the meeting, based on the speaker's presentation(s) and comments from the audience. These should not be viewed as official transcripts of the meeting, but only as an interpretation by a single individual. Lapses, grammatical errors, and typing mistakes may not have been corrected. Questions about content should be directed to the originator. These notes have been contributed by David Ing (daviding@systemicbusiness.org) at the IBM Advanced Business Institute ( http://www.ibm.com/abi).


[Shoshana Zuboff]

The challenges we all face, not only to get the economy back on track in the short term, but to create the long-term growth

Provocative premise:  Business as we are practicing it today is broken, and it can't be fixed with the tools that we have.

The thesis:  a whole new way of thinking about our economy, and capitalism

Why are things broken?

This is new in human history

Once we have a society bent on self-determination, what does this mean for business people?

Fast forward to 2000

Problem:  what happens

This is a chasm between the individual and the company that the individual must depend upon for consumption and employment

U.S. survey:  how much do people trust companies?

We're alone and adrift.  What do we do?

The support economy sees that all of this issues all stem from the way we are practicising capitalism, has become out of touch with the societies it should be serving

Some good news:

Managerial capitalism was invented by man, to deal with human populations of new and unmet needs.

Distributed capitalism -- argued in the book as the next stage of capitalism.

Henry Ford was an example.

In the book, now faced with a new challenge:  distributed capitalism

Back to the airline example.

Highlights of distributed capitalism:

Three conditions:

Infrastructure convergence:

Will wrap up for questions

This is an economic revolution


Airline example extended through to a consumer's travel life -- means more businesses where we're extended to everything so we don't know what business we're in.

Chasm between the consumer and the company; similar chasm between the employee and the employer

Anonymous transactions:  those between shareholders and companies.  Changes in capital markets?

Customer ownership as an enterprise.  Who is my customer?  Who manages the customer relationship?  A cookie-cutter approach?

Support economy requires an enterprise with a intimate knowledge of consumers.  Privacy concerns?


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