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According to Newton’s law of motion, ‘to every action there is always an equal and opposite reaction.’ Idea Engineering is using this law to help explain the pivotal change that is beginning to occur during this time in history. Rudimentary speaking, it means that every action we take has an equal consequence or reaction.
Society has stretched the action of monolithic corporate expansion to its limits and now an equal reaction must occur. There was once a time where the corporation was essential. We needed to provide financial security, and corporate expansion was the only way to create an infrastructure large enough to produce mass goods. Operating a big business costs a lot of money and thus needs a big team to execute its needs. Big corporate structure was born out of the dearth of the Great Depression, WWI, and WWII, western (and especially U.S.) society craved abundance of comfort. We wanted luxury homes, big cars, big appliances, and expansive highways; all of which big corporations were able to provide. This was the era of mass production.
Now however, corporations’ significance in society is becoming less relevant. The have become metaphorically obese, not being able to act quickly (automotive industry), consuming too much governmental money (finance industry), and being continuously unhealthy ( BP oil Spill)  We are starting to define our successes in different terms, away from corporate status. Work increasingly in nomadic clusters all over the world, making it harder to sustain corporate appeal. Technology has made en terprise more affordable by creating opportunities for self-starters to communicate their business message globally through the Internet, and by allowing people to work together virtually. This has lead to the increasing amount of people who are opting out of corporate work to start their own business.

And now many of us are craving the reverse of abundance; we are looking to simplify our lives. We have begun to consume goods from local retailers, want to know where our food is coming from, like to stay in small boutique hotels, and seek authentic travel destinations over corporate resorts. The growth of minimalist design is increasing, and we are waking up from the American dream. A renewed sense of community, even in big cities, is on the rise.

The Signs of Change

In his book The Brain That Changes Itself, Norman Doidge tells the story of how the entire population of a Gypsy nomadic tribe in the Indian Ocean survived the 2004 Tsunami. How did they do it? The tsunami caught many people by surprise, and caused a shocking amount of damage. When Doidge spoke with the tribe leader he explained his reaction with a simple metaphor: most people were looking at the squid, while the gypsy tribe payed attention to their wider surroundings. In other words, whilst most people were just looking down at their catch of the day, this tribe observed the subtle changes around them. The detracting of the ocean, the small ripples, the elephants going inland, the dolphins swimming upstream, etc. After they observed all of this they decided to change their course and avoided being caught out by the Tsunami.
So what does this teach us? We have to start observing the subtle changes that are happening if we are to create successful businesses and communities and not become a casualty of today’s tempestuous business environment. Consider that:
•    Big corporate pillars are falling. There is no longer a company that is ‘Too big to fail.’
•    The increased use of social networking sites to build new virtual communities. People want to be connected to other people that have common needs or wants, regardless of where they live.
•    Corporations making huge mistakes and having a slow reaction time to solutions. BP’s recent oil spill disaster demonstrates that a big company is not infallible or even always resourceful.
•    Political language of transparency and change.
•    Studies focusing on ideas and a new age of enlightenment- working to create little to no waste.
•    Graduates declining jobs that don’t fit their life ethos ( yes, this is actually occurring.)
•    The rise of at-home restauranteurs providing home cooked meals for patrons.
•    Neurologists rejecting the hardwired model of the brain and opting for its plasticity.
•    Countries which once were dogmatic of corporate life (like Japan), now having to make redundancies for the first time in their corporate history.
•    Migration out of cities and the growth of rural areas. The emergence of urban farms where industrial factories used to stand.
•    Collaborative tools being developed to help people work more nomadically and rurally.
•    Countries like Italy being short of a corporate workforce due to less births.
•    The bankruptcy of entire western countries such as Iceland and Greece.
•    The challenge of industries like Newspapers, Movie Rental Chains, Automotive, and Music Dubai, where a lot of investors were excited at the prospect of a ‘Golden City’. It seemed that Dubai could not build it fast enough, or big enough, or luxurious enough. Indicating that fast and unregulated growth is not sustainable.
•    There are also the American rustbelt cities that have industrially collapsed due to the demise of big industry and the local population not knowing how to react.
•    People are increasingly interested in how to make things sustainable and green.
•    People are investing more money to buy locally sourced goods.
•    Eco-tourism is on the rise.
•    The social enterprise sector is becoming increasingly economically sustainable.
•    People are looking for fulfilment, happiness, and health more than ever before. Sectors related to these needs are on the rise.
The Process of reaction
No one is an expert on millennial change as not many have been alive long enough to have reference to the 20th century turn over. However, we are going to make leap at a process, which can be implemented in any industry.
•    Observe how the Signs of Change which will impact your industry. For example, if you are running a luxury brand, is there something in your communication strategy you can change to fit with the pivot in buyer psychology?
•    Does your business need to pivot and if so then in what direction?
•    Integrate your business with your local community and listen to their needs.
•    Observe your clients and see if they will experience new needs and find services/products that will suit these needs.
•    Innovate- look for the non obvious solutions.
•    React quickly- the faster you move on from the problem to the solution, the quicker you will create a new economy.
•    Create a prototype of the solution, so you can start testing it sooner.
•    Stay lean and simple. In a period of change the last thing you want is to add chaos, so staying lean and simple will create clearer solutions rather than confusion.
•    Measure the economic space of the new idea.
•    Ask empathetic questions about the changes occurring.
Reaction Tools
The use of the internet continues to enable us to communicate faster, and we have access to a wide range of information, and can create international communities.
•    3D printing.
•    Social networking sites.
•    Community-led events.
•    Coworking spaces.
•    New software (keep an eye on what’s coming out).
•    Open-soure collaborative tools and wikis.
•    Online spaces to exchange ideas.
•    ThinkTanks.
•    Idea Engineering or other innovation processes.
•    Innovative conferences.
•    ‘Pop-Ups.’

Who is reacting?

Below is a list that has been at our fingertips, but by no means is it complete.
•    TED
•    Launch48
•    Rewire London
•    Blank Spaces – LA
•    THECUBE – London
•    The Hub- International
•    minimoko
•    Bracket Projects
•    WHY Create!
•    Matthew Miller
•    Ackenhurst Consultants
•    IDEO
•    Smart Car
•    Ford
•    Tesla
•    Launchlings
•    Rosen Hotels
•    Berlin
•    NYC
•    Boulder, Colorado
•    Copenhagen
•    Word Press
•    Skype
•    Google
•    E-Rejuvenation
•    Founders Forum
•    Kauffman Group
•    Y combinator
•    The Enemy
•    Radio Head
•    The Loft
•    Meet Up
•    Bistrotheque
•    Not Just A Label
•    Bill Gates’s Intellectual Ventures

Innovation Across The Board

It’s not just about commodity-based innovation, it’s about creating innovation that will lead to a vital foundation and sustainable society. It will be created strong enough to be recession-proof.

The only reason we as a society are recession prone is because collectively we have let a small group of people (corporate and political leaders) take control. We don’t work as a collective to create economy equally amongst all sectors; however, now that enterprise has become more accessible, this will change this.

In today’s society, many talented university students turn to the Finance sector for their careers, rather than science and research, rightfully assuming that they can play the game and potentially create vast wealth. Western societies need to pivot to support and encourage growth in science, research, and engineering, where innovation is created.

Education

There needs to be more education about the benefits of studying engineering and science as we are loosing a generation of innovators and inventors. We need to inculcate the interest from an early stage as kids are loosing interest in these types of industries. There is also a need for more neurological based education, teaching tools on how to think better and problem solve.
Agriculture
Create seeds with minimal elements, which can be used in any soil and climate conditions to help developing countries that have stark climates. Expand our indigenous variety of food, to import less. Re-introduce produce that has gone out of ‘fashion’ to increase diversity in our diet to reduce our dependency/exploitation of certain foods. Encourage urban farming, support local produce, and personal cultivation to reduce local poverty levels.

Manufacturing

We need intelligent manufacturing; one that is creates smart, sustainable, innovative products. We need to return to products and manufacturing to balance off service based companies, which will help create employment. However we need to produce products that are based on societal needs rather than commodities. For example focusing on manufacturing more green technology based products.

Hiring green engineers to teach factories how to we make less of an environmental impact, whilst still providing high levels of manufacturing.

Engineering

Industries need to pivot the use of industrial engineers to create more efficient, lean, less wasteful, and innovative enterprises, ones that will make a difference to the profit margins, society, and environmental impact. For example in India, engineers created a system to deliver lunch for students for $28 a year. They steamed the food to retain nutritional integrity. Some of the process was automated and trucks were used to increase the capacity of delivery and decrease the chance of the food being scraped. This programme is not just feeding a lot of kids, but it also gives them a nutritional diet, it’s a win/win.

Enterprise

By definition enterprise is the start of something new which will take high quantity of innovation therefore we should move from creating ego based enterprises and from saturated sectors. Entrepreneurs need to ask themselves following questions: Is my product or service going to make an impact in my industry or am I just another number? Is my idea a reaction of a need or anticipation of one? Can my idea help the economy both locally and nationally? Will my idea make a social or societal impact? Could someone else produce my idea better? Do I have strong community link? Have I valuated my idea within my community to ensure that it has an immediate economy? Are you just repeating jargon or are you starting something truly innovative.

Social Enterprises and Not For Profits

They need to be more economically sustainable, administratively leaner, less bureaucratic, and community led. They also need to follow the same formula as a regular enterprise; how innovative is your idea? Have all the right observations been made? Has the sociology of the local community been observed and respected? What are the cultural customs of the society your social enterprise is looking to impact? How do you create long lasting innovation and sustainability after your programme has finished? Are you creating independence? Are solving a problem or alleviating a symptom? Is long lasting economy being created?

Inclusive Intelligence in Human Resources

Employees sharing mindfull intelligence amongst one another o create a more aware corporate community. Employing a person gives them the resources to pay their bills. Even though employment is crucial, it should be held hand in hand with enterprise. By creating partnerships with your team members, you empower them to gain a better understanding of the business, industry, or project at hand, and in turn they become a more beneficial collaborator for the entire entity.

New types of Economy

Circular Economy

This is a great growth strategy for start-ups, economy is not just about money, and especially not in the beginning of an enterprise. As most entrepreneurs who start a business post employment have great contacts, we believe that it is more valuable at the start to create economy for each other based on contacts. For example, you are starting a business in fashion and you have great fashion industry contacts, you meet a young fashion designer that has developed a great software programme for the industry, which you need. Instead of paying them for their time, why not connect them with valuable industry contacts in exchange for their time. This way its a win/win, you help each other by giving a service but also creating a potential economy. Of course there is the option of referral however in this way you create a partnership with a contact based currency, allowing start-up enterprises

Communal Economies/Economy Clusters

As technology and coworking spaces continue to make enterprise easier and less expensive, many people will opt out of employment more so than in past recessions. There is no longer the need for huge start-up costs and large employee pools.
We believe this is going to cause people to create more partnerships, expanding and contracting as needed. However, the rise of the one person enterprises or partnerships will create a new type of economy. One cluster of collaborators selling to other cluster of collaborators. A bit like in the hunter gatherer societies, there were no employees, just partnerships for the greater economy of the community.

The End Of Corporation

If these new economic clusters work and create sustainable economies, we will see the end of the monolithic corporation. However, it is important that rewired innovation takes its place, its not good enough to just state their negative effect.  All of the signs of change point to a society that rejects the corporate structure both as a consumer and as an employer. We have observed in our own coworking space, THECUBE that people who leave the corporate world are doing so to create a more meaningful life. This tends to lead them to revaluate their whole life structure, creating fundamental change in their lifestyle. From the way the consume, travel, to the type of enterprise they set-up. Little by little these new entrepreneurial structures will take over the once all mighty corporation.

However, this does not mean that there will be less money to earn or that we have to curb our ambitions, it just means that there were be more competition and money being made by a lot more people. It will also mean that we will have to find economy from different industries instead of depending on one, making us more dexterous and innovative.

The question now lies with you, how will you react and how fast?
Written By: Araceli Camargo-Kilpatrick
Edited and Brainstormed By: Idea Engineering Team
Idea Engineering Team
Araceli Camargo-Kilpatrick
Bethany Betzler
Daniel C. Gutierrez