Our Guest Mentor:
Steve Morlidge has 30 years of practical experience in designing and running performance management systems in Unilever, including three years leading a Beyond Budgeting initiative for the company. He has been associated with our network since its inception and is a former chairman of the European Beyond Budgeting Round Table. He now works as a management thinker, writer and speaker, drawing on his years of experience at the leading edge of performance management thought and practice and is a member of the non-executive Core Team of the Beyond Budgeting Institute. Steve Morlidge published Future Ready: How to Master Business Forecasting, John Wiley, 2010, and ‘The Little Book of Beyond Budgeting’ published by Matador in 2017. He is on the editorial board of Foresight, a forecasting practitioner’s journal published by the International Institute of Forecasting to which he regularly contributes. He is also a cofounder of CatchBull, a supplier of forecasting performance management software for the Supply Chain. Steve Morlidge is a visiting fellow at Cranfield University, Bedfordshire, UK and has a PhD from Hull Business School in Yorkshire, UK on the application of systems concepts to the design of complex organizations. He completed his BA with honours, and is a qualified management accountant (CIMA).
. Get Show Notes and Links in your Inbox!
(Other resources and how to connect with Steve below).
Key Points From the Episode:
Using graphical presentation instead of data tables to deliver the message
How the finance professional must grasp the concept of noise and its implications for how we interpret data. Specifically, in a noisy environment, we have to learn what we can safely ignore. The 10:4 rule is a simple ‘rule of thumb’ that we can use to do this.
The meaning of dynamic resource allocation and its importance
-Helping the organization to deal with an uncertain environment
-In increasing flexibility by focussing on commitments
-Help the organization invest their resources without recourse to annual budgets
Why truly agile companies need to have a mechanism to measure the risk attached to the business and then the process to learn from it.
Time Stamped Show Notes
[03:21] – Using graphical presentation instead of digital figure to deliver the message
[05:39] – Finance professional must have the idea on the concept of noise
[07:15] – Noises that we can safely ignore as finance professionals by using the 10:4 rule.
[10:36] – The meaning of dynamic resource allocation and its importance;
[17:35] – Why agile companies must have mechanism to measure the risk attach to the business then in the process learn from it.
[18:43] –Best advice Steve ever received when he was asked “when was the last time he was excited at work”.
[22:13] – Resources Steve recommend to our audience to check.
[23:24] – Best way to connect to Steve
[25:58] – Happy Christmas, Steve parting thoughts to our audience.
The Halo Effect: …and the Eight Other Business Delusions That Deceive Managers by Philip M. Rosenzweig
The Black Swan: The Impact of the Highly Improbable (Incerto) by Nassim Nicholas Taleb
Future Ready: How to Master Business Forecasting – 27 Nov 2009 by Steve Morlidge (Author), Steve Player (Author) https://www.amazon.co.uk/Future-Ready-Master-Business-Forecasting/dp/0470747056
The Little Book of Beyond Budgeting: A New Operating System for Organisations: What it is and Why it Works – 28 Feb 2017 by Steve Morlidge (Author) https://www.amazon.co.uk/Little-Book-Beyond-Budgeting-Organisations/dp/1785899287
The Little (illustrated) Book of Operational Forecasting: A short introduction to the practice and pitfalls of short term forecasting – and how to increase its value to the business Paperback – 15 May 2018 by Steve Morlidge (Author) https://www.amazon.co.uk/Little-illustrated-Book-Operational-Forecasting/dp/1789013429
Present Sense: A Practical Guide to the Science of Measuring Performance and the Art of Communicating it, with the Brain in Mind Paperback – 17 Sep 2019 by Dr Steve Morlidge (Author) https://www.amazon.co.uk/Present-Sense-Practical-Performance-Communicating/dp/1838591095
Connect with today’s guest:
LinkedIn Profile: HYPERLINK “https://www.linkedin.com/in/karlhkern/” https://www.linkedin.com/in/steve-morlidge-0987a0/
Company Website: https://www.satoripartners.co.uk/
Beyond Budgeting: https://bbrt.org/founders/