Good Morning Ladies .. & Gentlemen, Distinguished Guests What a wonderful venue..carbon neutral…proud of Dublin Congratulations to Dublin for hosting this forum on this very topical subject Sustainability in Business

1996 to 2006 was an time of great business adolesence in Ireland we were all grown up money in our pocket a bright future we could conquer the world

But we weren’t old enough to know

Over the past year Innovation has been the buzzword Innovation is what is going to turn the crisis we are going through into an opportunity Innovation occurs when innovative people are enabled to do innovative things. In a truly transformational organisation it is like an electric current pulsing through the organisation. Of the worlds largest economic entities 63 of the top 100 are large multi national companies. We work with many of them. The well touted definition of Sustainability is meeting present needs without compromising the ability of future generations to meet their own needs. Why should business be bothered with a green agenda that can be costly and often compromise the aesthetic of design. Paint the logo green some clever marketing..lip service. The winning companies have woken up Their strategies are fashioned to survive and succeed. Neither survival nor success are a right. These companies have global reach and know that sustainability has to be central to their strategy.

The Customer is now centre stage Sustainability matters to today’s customers, and will matter even more to tomorrow’s. Customers are well educated on the need for a sustainable approach. This education is supported by government incentives at organisational and consumer level. Generation Z accept sustainable living as part of the fabric of their lives Emerging economies are on the sustainable bus…not hampered by existing infrastructure and technologies they are unconstrained in leading the charge in developing sustainable technologies…Israel,Abu Dhabi West could be left behind

Sustainability no longer a choice. We simply cannot ‘fob off’ the general public with badges, accreditations and short-term initiatives. If we do not embrace sustainability, we are putting the sustainability of our businesses at risk Ecological sustainability is beginning to drive economic sustainability. Consider 30 years ago – IT was a ‘peripheral’ industry – like taxes we could choose to opt in or opt out! Few believed that IT would be so prevalent, fewer expected that IT people would sit on the boards of most businesses. That change is coming with regards sustainability, and it will take a lot less than 30 years. It is already happening We have to innovate. Not just new products, but the very way we do business. We have to embrace and commit

Government may have the vision but not the how The EU recognises that to address the Euro paradox whereby..its needs to transform or it will be left behind….we in Ireland need to pay attention Kyoto protocol Bhutan

Most people don’t understand innovation..when to innovate where or how Sustainability is right at the heart of it.

16 years ago, we said wouldn‘t it be insightful if someone read through all the change and innovation literature, analysed all the patents, studied all the problem solving tools and methods, employed a full-time team of over 40 researchers, scientists, psychologists, anthropologists and ‗best in class‘ experts, and tried to uncover the secrets of successful change. So we did exactly that. Over 16 years we have accrued over 3.5 million innovation data points, and we are adding over 1,000 analyses every single month. Our research base is ever expanding, our database is ever growing, our insight is ever more accurate, definite and all-encompassing. Based on our analysis, we have developed predictive tools, which can show where the next good innovation will come from, and why. Because innovative leaps occur when domain boundaries are broken down, by analysing without prejudice we have uncovered the keys to the kingdom of repeatable, successful change in any and every context. The DNA of innovation and transformation, if you will... Failure to innovate will see you fall behind your competitors, and risk the very sustainability of your business, your city, your country. Innovation has a bad press – too often conjuring images of creativity, bean bags and ‘random eurekas’….serendipitous Ha But innovation can be implemented scientifically. It can confidently predict what consumers will buy tomorrow, next week, next year. It can tell us what the next big change will be in any industry and when it is likely to occur.

We use this information to inform our decisions regarding where to innovate and when to innovate. It can help us Find the White Space – those areas where few potential competitors are active Solve a contradiction – to provide a step-change ‘wow’ that allows customers to better achieve their desired outcomes Find and exploit convergence or conflict between two or more consumer/market trends And by understanding societal shifts it can help us by ensuring our step-change improvements are launched into a receptive marketplace.

Blackswan are world leaders in the science of transformational innovation We help leading innovative businesses such as Samsung, p&g, Rio Tinto and Sharp to discover the ‘next big thing’. Sustainability is at the core. These businesses are now using their learnings from the innovation process to manage the changes they need to make in the fundamental nature of their business.

Our assessment and transformation methodology, blackswan business DNA, helps our clients understand the whole of their business and their readiness for transformational change. It helps them understand that in order for transformation to truly occur, we must consider more than just innovation itself. Your strategy, your leaders, your processes, your internal and external brand must be aligned and equipped to deal with the new world you are entering.

We have discussed today how, in time, sustainability will become a defining factor in consumer decisions. That time is coming very soon and your business must be prepared. Prepared not just to change as required, as that is the formula for failure or business death You must be prepared to lead and shape that change on your terms. Ireland CAN lead that change.

Making sustainability a reality through innovation and transformation. Bernard Duffy, Managing Partner bernard.duffy@globalblackswan.com November 2010 www.globalblackswan.com

November 2010 Making sustainability a reality through innovation and transformation.

Sh*t happens...! Making sustainability a reality through innovation and transformation. November 2010

Innovate or die... Making sustainability a reality through innovation and transformation. November 2010

Sustainability matters to today’s customers, and will matter even more to tomorrow’s. Making sustainability a reality through innovation and transformation. November 2010 Customers are well educated on the need for a sustainable approach. This education is supported by government incentives at organisational and consumer level. Generation Z accept sustainable living as part of the fabric of their lives.

For business leaders sustainability isn’t just about ‘green issues’. It is ensuring their business’ survive. Ecological and economical sustainability are on a collision course, and few business’ are equipped to deal with the changes it will bring. November 2010 Making sustainability a reality through innovation and transformation.

“How will we tackle growing societal challenges like climate change, energy supply, the scarcity of resources and the impact of demographic changes? How will we improve health and security and sustainably provide water and high-quality, affordable food? The only answer is innovation.” Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions: Europe 2020 Flagship Initiative - Innovation Union Making sustainability a reality through innovation and transformation. November 2010

Making sustainability a reality through innovation and transformation. November 2010

Making sustainability a reality through innovation and transformation. November 2010 16 years of research 40 full time innovation researchers and experts 3.5 million datapoints The DNA of innovation transformation

We help business understand both where and when to innovate Knowing where to innovate. There are 3 key driving forces: Find the White Space – those areas where few potential competitors are active Solve a contradiction – to provide a step-change ‘wow’ that allows customers to better achieve their desired outcomes Find and exploit convergence or conflict between two or more consumer/market trends The more of the three that we can tap into, the greater the likelihood of innovation success. Knowing when to innovate. Innovation success happens when the step-change improvements made by our innovations match a prevailing market need Making sustainability a reality through innovation and transformation. November 2010

Making sustainability a reality through innovation and transformation. November 2010

Introduction to the blackswan business DNA® model The blackswan business DNA® model provides organisations with a structure for the holistic measurement and improvement of their organisational performance. Through a unique diagnostic and solution engine, blackswan business DNA® allows users to navigate their organisational profile, access reports on each element of that profile and receive recommendations for solutions that will help them achieve their own ideal final result. Making sustainability a reality through innovation and transformation. November 2010

Innovate or die. Making sustainability a reality through innovation and transformation. Bernard Duffy, Managing Partner bernard.duffy@globalblackswan.com November 2010 www.globalblackswan.com