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• 3. From hierarchical layers to a team-based structure. Nearly every company needs to reduce the hierarchical layers that have accumulated in their organizations over time and channel more work to teams. The benefits of doing so are manifold. When teams include people who are on the front lines, the information flow is both faster and more accurate;...
• Fidelity Investments, the financial services firm, recently restructured its personal investing group in a team format. Each team has a clear mission and much autonomy in how to accomplish it. The roughly 5,000-person organization now has just three layers below the president and operates at lower cost and with shorter cycle times for innovation.
• The control function that managerial layers used to perform is now done through software that generates detailed metrics. Reports are produced 24/7 and highlight any red flags in the data.
• 4. From inside-out to outside-in management. To keep a company competitive over the long term, leaders must know what is happening far beyond their own industry, geography, and existing customers.
• 2. From building on core competencies to routinely replacing them. The conventional wisdom has been that companies should use their core competencies to sustain a competitive advantage. But in an age of discontinuity, this approach doesn’t work for long.

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