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The Art of the Long View (Schwartz, 1991, 1996)
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Planning for the Future in an Uncertain World

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38 of 39 people found the following review helpful:
5.0 out of 5 stars Benefits from Future Uncertainties, October 28, 2000
By Professor Donald Mitchell
 
If you liked Arie de Geus' book, The Living Company, or The Fifth Discipline by Peter Senge, you will find The Art of the Long View a related, helpful exploration of how to go beyond "forecasting" the future to "preparing" for it.
This book is about using future scenarios to make better current decisions. As Peter Schwartz alerts us, "Scenarios are not predictions." They represent instead, possible alternative dimensions of the future that reflect the driving forces of that future. This is particularly valuable now because unpredictability is growing. "Unpredictability in every field is the result of the conquest of the whole of the present world by scientific power."
 
You are encouraged to use these scenarios as simulations to help you think more concretely and accurately about what might come next. Then you choose decisions and actions that leave you better off than the alternatives, regardless of the future scenario that occurs. Such scenarios are like projected script plots for a movie, and help us develop "memories of the future" (as David Ingvar noted) that make thinking about the future more practical for us. Generally one scenario will be better than the current direction, one worse, and one different.
 
Perhaps the greatest benefit of these practices is that "scenarios are . . . the most powerful vehicles . . . for challenging our 'mental models' about the world and lifting the 'blinders' that limit our creativity and resourcefulness." So you can think of scenarios as a stall-busting technique for overcoming the miscommunication, misconception, and disbelief stalls, as well.

xiii As you... prepare to... engage yourself or disengage... how can you think best about the impact of your actions? How can you see, most clearly, the environment in which your actions will take place, and how those actions will fit with (or stand against) the prevailing forces, trends, attitudes and influences?... This method is the scenario - a vehicle... for an "imaginative leap into the future." 
 
xiii-xiv In a scenario process, managers invent and then consider, in depth, several varied stories of equally plausible futures. The stories are carefully researched, full of relevant detail, oriented toward real-life decisions, and designed (one hopes) to bring forward surprises and unexpected leaps of understanding. Together, the scenarios comprise a tool for ordering one's perceptions... the point is to make strategic decisions that will be sound for all plausible futures. No matter what future takes place, you are much more likely to be ready for it - and influential in it - if you have thought seriously about scenarios.
 
xiv The scenario process provides a context for thinking clearly about the impossibly complex array of factors that affect any decision.
 
xv Scenarios are thus the most powerful vehicles I know for challenging our "mental models" about the world.
 
p.3 To act with confidence, one must be willing to look ahead and consider uncertainties... Scenarios are a tool for helping us to take a long view in a world of great uncertainty... Scenarios are stories about the way the world might turn out tomorrow, stories that can help us recognize and adapt to changing aspects of our present environment.
 
p.6 Scenarios are not predictions. It is simply not possible to predict the future with certainty... scenarios are vehicles for helping people learn... they present alternative images of the future... Scenarios allow a manager to say, "I am prepared for whatever happens."
 
p.9 The purpose of scenarios is to help yourself change your view of reality - to match it up more closely with reality as it is, and reality as it is going to be.
  The end result, however, is not an accurate picture of tomorrow, but better decisions about the future.
 
p.26 we thought about the key factors that would affect decisions. Some of these were what scenario-planners call "predetermined elements," factors we could count on.
 
p.28 You cannot create scenarios from recipes - but you can practice creating scenarios. As with any art, some people have a knack for it, but anyone can learn the basic practice, and improve. Helping you do so is the purpose of this book.
 
p.29 People have an innate ability to build scenarios, and to foresee the future.
 
p.31 Once you are used to the idea of scenarios, using them comes more easily.
 
p.36 Scenarios are not about predicting the future, rather they are about perceiving futures in the present.
 
p.37 "Yes. I can see how that might happen. And what I might do as a result."
 
p.37 Scenarios... wrote Pierre Wack... Their purpose is to gather and transform information of strategic significance into fresh perceptions... When it works, it... leads to strategic insights beyond the mind's previous reach.
 
p.38 the paradigm for truth was that it should be law-like, preferably reduced to the form of a solvable equation. However, since complexity has emerged as a driving force in the way the world works, the dominant belief in a deterministic and reliably quantifiable truth has begun to yield. There are many ways of knowing.
 
p.39 Scenarios are stories that give meaning to events... scenarios are myths of the future
 
p.45 what helped focus our attention on useful subjects was paying attention to those situations that made us uncomfortable or which we did not really understand.
 
p.49 People often do not realize that their decision agendas are usually unconscious. Thus, the first step of the scenario process is making it conscious.
 
p.61 Like a hunter, alerted to the presence of prey by the snap of a broken twig, you learn to pick out a key piece of vital information in the dizzying flood of words, images, sounds, and numbers that most of us swim in... We pay attention only to what we think we need to know.
 
p.69 People and organizations often organize knowledge concentrically, with the most cherished, vital beliefs at the protected center. At the outer edge are the ideas which the majority rejects. A little closer to the center are the fringes - areas not yet legitimized but not utterly rejected by the center either. Innovation is the center's weakness. The structure, the power, and the institutional inertia all tend to inhibit innovative thinkers and drive them to the fringes. At the social and intellectual fringes, thinkers are freer to let their imaginations roam, but are still constrained by a sense of current reality. The great innovators start at the fringes... It risks even less, and in some ways is as valuable, to read about fringes.
 
p.71 It is difficult to predict which fringe elements will remain in obscurity, and which will change the world.
 
p.79 What I look for in my book reading is surprises - perceptions that are new to me, and then become part of my own perception.
 
p.101 Every enterprise, personal or commercial, is propelled by particular key factors. Some of them are within the enterprise... Others... come from outside... Identifying and assessing these fundamental factors is both the starting point and one of the objectives of the scenario method.
  In other words, driving forces are the elements that move the plot of a scenario, that determine the story's outcome.
 
p.101-102 The process of building scenarios starts with... looking for driving forces, the forces that influence the outcome of events... driving forces are the elements that move the plot of a scenario, that determine the story's outcome.
 
p.102 Without driving forces, there is no way to begin thinking through a scenario. They are a device for honing your initial judgment, for helping you decide which factors will be significant and which factors will not... Trust your instincts; it is part of human nature to be interested in factors that affect the decisions we need to make.
 
p.107 Having identified driving forces, I usually step back to sort through them. Which are significant and will actually influence events? Which are irrelevant?
 
p.107-108 Our leverage for dealing with [driving forces] comes from recognizing them, and understanding their effect. Little by little... our actions contribute to new driving forces which in turn will change the world once more.
 
p.108 After "identifying and exploring the driving forces," one must uncover the "predetermined elements" and the "critical uncertainties." ...Weaving together these conceptual building blocks you are deepening your understanding of the world by considering the elements of your scenarios.
 
p.110 Predetermined elements do not depend on any particular chain of events. If it seems certain, no matter which scenario comes to pass, then it is a predetermined element.
 
p.111-112 There are several useful strategies for looking for predetermined elements:
  • slow-changing phenomena...
  • constrained situations...
  • in the pipeline...
  • inevitable collisions

p.115 Critical uncertainties are intimately related to predetermined elements. You find them by questioning your assumptions about predetermined elements: what might cause [a certain unchanging situation to suddenly change]?

p.117 Driving forces, predetermined elements, and critical uncertainties give structure to our exploration of the future.
 
p.118 This chapter shows how we come to develop scenarios by exploring driving forces, predetermined elements, and critical uncertainties.
 
p.135 To explain the future, scenarios... describe how the driving forces might plausibly behave, based on how those forces have behaved in the past. The same set of driving forces might, of course, behave in a variety of different ways, according to different possible plots. Scenarios explore... alternatives, based on the plots... which are most worth considering.
 
p.136 To find the plausible plots you use the uncertainties that have seemed so important... Here is how it works in nearly every scenario situation in which I have taken part... We sit around talking for a day, developing ideas in response to these questions:
  • What are the driving forces?
  • What do you feel is uncertain?
  • What is inevitable?
  • How about this or that scenario?

p.164 As always, our scenario process started by looking at the driving forces in the world today. They led us to a surprisingly large number of predetermined elements, and an equal number of critical uncertainties.

p.195 There is an almost irresistible temptation to choose one scenario over the other: to say, in effect, "This is the future which we believe will take place. The other futures are interesting. But they are irrelevant. We're going to follow this scenario." ...Unfortunately, reality does not follow even the best-thought-out scenario.

p.200 You always work out the warning signals in advance because they're less open to misinterpretation that way... You ignore warning signs at your peril.

p.204-205 Arie de Geus... perhaps best expressed this use of scenarios in his Harvard Business Review article on "Planning as Learning":

When people play with [mental models of the world], they are actually creating a new language among themselves that expresses the knowledge they have acquired.

p.205-206 How do you judge whether a scenario was effective? ...The real test is whether anyone changed his behavior because he saw the future differently. And, did he change his behavior in the right direction? Did he do the right thing? ...An effective scenario almost always changes behavior.

p.207 Scenarios can open up your mind to policies you might not otherwise consider.

p.209 What is the right decision? It varies from case to case, but after doing scenarios for twenty years, I believe there is one common element to all correct decisions. They include a consideration of the bigger picture... Our fates are interconnected... Scenarios help us perceive the nature of these interconnections.

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