[Applause] one spring day during my sophomore year
one spring day during my sophomore year
one spring day during my sophomore year in high school I sat down with my
in high school I sat down with my
in high school I sat down with my parents to decide whether I was taking
parents to decide whether I was taking
parents to decide whether I was taking the liberal arts or the math science
the liberal arts or the math science
the liberal arts or the math science track the conventional wisdom in rural
track the conventional wisdom in rural
track the conventional wisdom in rural Korea three decades ago was that girls
Korea three decades ago was that girls
Korea three decades ago was that girls didn’t go to college but instead got
didn’t go to college but instead got
didn’t go to college but instead got married and took care of the household
married and took care of the household
married and took care of the household my parents gave me a blank stare and
my parents gave me a blank stare and
my parents gave me a blank stare and said why are you trying to go to college
said why are you trying to go to college
said why are you trying to go to college if you send you to college you won’t
if you send you to college you won’t
if you send you to college you won’t even spend money on a bus ride for us
even spend money on a bus ride for us
even spend money on a bus ride for us because you get married and become a
because you get married and become a
because you get married and become a stranger to us but we’ll get an airplane
stranger to us but we’ll get an airplane
stranger to us but we’ll get an airplane ride out of your brothers that day I
ride out of your brothers that day I
ride out of your brothers that day I decided I’d go to college with or
decided I’d go to college with or
decided I’d go to college with or without their help
without their help
without their help I came to Brigham Young University with
I came to Brigham Young University with
I came to Brigham Young University with only 70 dollars in my pocket and began
only 70 dollars in my pocket and began
only 70 dollars in my pocket and began working a job where I gotta pay for in
working a job where I gotta pay for in
working a job where I gotta pay for in the morning to scrub toilets on campus
the morning to scrub toilets on campus
the morning to scrub toilets on campus with God’s grace and scholarships I
with God’s grace and scholarships I
with God’s grace and scholarships I graduated with honors and no student
graduated with honors and no student
graduated with honors and no student loans thank you
when I got my first job after college I
when I got my first job after college I bought an airplane ticket and flew my
bought an airplane ticket and flew my
bought an airplane ticket and flew my mom out she did get an airplane ride out
mom out she did get an airplane ride out
mom out she did get an airplane ride out of me when she saw how I was living she
of me when she saw how I was living she
of me when she saw how I was living she said you are a dragon born in a stream I
said you are a dragon born in a stream I
said you are a dragon born in a stream I thought you’re a salamander dragons
thought you’re a salamander dragons
thought you’re a salamander dragons belong in the ocean not in the humble
belong in the ocean not in the humble
belong in the ocean not in the humble stream where you were born how do you go
stream where you were born how do you go
stream where you were born how do you go from a salamander to a dragon that
from a salamander to a dragon that
from a salamander to a dragon that radically changes the conventional
radically changes the conventional
radically changes the conventional wisdom and causes everyone to play by
wisdom and causes everyone to play by
wisdom and causes everyone to play by the rules that you define what are the
the rules that you define what are the
the rules that you define what are the principles of radical innovation let’s
principles of radical innovation let’s
principles of radical innovation let’s turn to the ancient Chinese board game
turn to the ancient Chinese board game
turn to the ancient Chinese board game of go for answers I grew up watching my
of go for answers I grew up watching my
of go for answers I grew up watching my dad play go where players take turns to
dad play go where players take turns to
dad play go where players take turns to play black and white stones on the board
play black and white stones on the board
play black and white stones on the board to gain more territory go is a twenty
to gain more territory go is a twenty
to gain more territory go is a twenty five hundred year old board game played
five hundred year old board game played
five hundred year old board game played by 40 million people daily often it
by 40 million people daily often it
by 40 million people daily often it takes hours to finish run around I still
takes hours to finish run around I still
takes hours to finish run around I still remember the day when my mom threw out
remember the day when my mom threw out
remember the day when my mom threw out my desk go stones totally exasperated in
my desk go stones totally exasperated in
my desk go stones totally exasperated in March of last year more than 200 million
March of last year more than 200 million
March of last year more than 200 million people around the world watched a
people around the world watched a
people around the world watched a historic goal match between some unusual
historic goal match between some unusual
historic goal match between some unusual participants one was the second-highest
participants one was the second-highest
participants one was the second-highest ranking world champion of go Lisa doll
ranking world champion of go Lisa doll
ranking world champion of go Lisa doll from South Korea and the other was
from South Korea and the other was
from South Korea and the other was artificial intelligence or AI developed
artificial intelligence or AI developed
artificial intelligence or AI developed by google deepmind called alphago at the
by google deepmind called alphago at the
by google deepmind called alphago at the end of five days Lisa doh lost one to
end of five days Lisa doh lost one to
end of five days Lisa doh lost one to four which was a total surprise goal has
four which was a total surprise goal has
four which was a total surprise goal has long been considered the most
long been considered the most
long been considered the most challenging of classic games because
challenging of classic games because
challenging of classic games because it’s very complex and requires intuition
it’s very complex and requires intuition
it’s very complex and requires intuition to win the average number of possible
to win the average number of possible
to win the average number of possible moves for a given turning goal is 250 in
moves for a given turning goal is 250 in
moves for a given turning goal is 250 in comparison it’s 35 in chest
comparison it’s 35 in chest
comparison it’s 35 in chest the number of possible board
the number of possible board
the number of possible board configurations in go is more than the
configurations in go is more than the
configurations in go is more than the number of atoms in the universe as I
number of atoms in the universe as I
number of atoms in the universe as I watch the match unfold
watch the match unfold
watch the match unfold I became intensely curious about how
I became intensely curious about how
I became intensely curious about how alphago beat
alphago beat
alphago beat Lucido my investigations uncovered
Lucido my investigations uncovered
Lucido my investigations uncovered several principles behind alphago’s
several principles behind alphago’s
several principles behind alphago’s victory and I was fascinated to see that
victory and I was fascinated to see that
victory and I was fascinated to see that these were the same principles some
these were the same principles some
these were the same principles some companies use to spawn radical
companies use to spawn radical
companies use to spawn radical innovation and fundamentally change the
innovation and fundamentally change the
innovation and fundamentally change the rules of the game whom I call quantum
rules of the game whom I call quantum
rules of the game whom I call quantum companies these principles have not just
companies these principles have not just
companies these principles have not just helped these companies
helped these companies
helped these companies tweak things here and there and make
tweak things here and there and make
tweak things here and there and make incremental improvements but have
incremental improvements but have
incremental improvements but have catapulted the organization’s
catapulted the organization’s
catapulted the organization’s far away the competition radically
far away the competition radically
far away the competition radically changing how the game is played in their
changing how the game is played in their
changing how the game is played in their industry I’ll share three of these
industry I’ll share three of these
industry I’ll share three of these principles today first stealth
principles today first stealth
principles today first stealth organization both alphago and quantum
organization both alphago and quantum
organization both alphago and quantum companies use self-organizing agents in
companies use self-organizing agents in
companies use self-organizing agents in AI agents are the notes where
AI agents are the notes where
AI agents are the notes where computation happens similar to
computation happens similar to
computation happens similar to individual neurons in our brain they
individual neurons in our brain they
individual neurons in our brain they take input from sensors and direct their
take input from sensors and direct their
take input from sensors and direct their activities towards certain goals in
activities towards certain goals in
activities towards certain goals in alphago the agents learn everything
alphago the agents learn everything
alphago the agents learn everything themselves from scratch to decide the
themselves from scratch to decide the
themselves from scratch to decide the next move instead of relying on
next move instead of relying on
next move instead of relying on pre-programmed instructions from goal
pre-programmed instructions from goal
pre-programmed instructions from goal grandmasters similarly Reed Hastings CEO
grandmasters similarly Reed Hastings CEO
grandmasters similarly Reed Hastings CEO of Netflix has talked about how Netflix
of Netflix has talked about how Netflix
of Netflix has talked about how Netflix lets its employees self-organized
lets its employees self-organized
lets its employees self-organized Netflix manage massage there is no
Netflix manage massage there is no
Netflix manage massage there is no clothing policy at Netflix but nobody
clothing policy at Netflix but nobody
clothing policy at Netflix but nobody comes to work naked because the
comes to work naked because the
comes to work naked because the employees know the right thing to do
salaried employees don’t track their
salaried employees don’t track their overtime when they work weekends and
overtime when they work weekends and
overtime when they work weekends and nights so why should the company track
nights so why should the company track
nights so why should the company track their vacation days
their vacation days
their vacation days their vacation policy is not to have a
their vacation policy is not to have a
their vacation policy is not to have a vacation policy same goes with expense
vacation policy same goes with expense
vacation policy same goes with expense policy
policy
policy there is no expense policy at Netflix
there is no expense policy at Netflix
there is no expense policy at Netflix nor a department to ensure compliance to
nor a department to ensure compliance to
nor a department to ensure compliance to an expense policy the employees decide
an expense policy the employees decide
an expense policy the employees decide how many days they take and what
how many days they take and what
how many days they take and what expenses they get reimbursed this is
expenses they get reimbursed this is
expenses they get reimbursed this is just a small example of how Netflix
just a small example of how Netflix
just a small example of how Netflix promotes self organization as a result
promotes self organization as a result
promotes self organization as a result of implementing this and other
of implementing this and other
of implementing this and other principles of radical innovation Netflix
principles of radical innovation Netflix
principles of radical innovation Netflix was the number one top performing stock
was the number one top performing stock
was the number one top performing stock in two out of the last four years
in two out of the last four years
in two out of the last four years among the S&P 500 companies my global
among the S&P 500 companies my global
among the S&P 500 companies my global leadership research the first round
leadership research the first round
leadership research the first round result of which was published on Harvard
result of which was published on Harvard
result of which was published on Harvard Business rapidash sure found the
Business rapidash sure found the
Business rapidash sure found the allowing self organization is the second
allowing self organization is the second
allowing self organization is the second most important out of the 74 attributes
most important out of the 74 attributes
most important out of the 74 attributes tested when evaluating bosses it’s a
tested when evaluating bosses it’s a
tested when evaluating bosses it’s a universal human need to be self-directed
universal human need to be self-directed
universal human need to be self-directed and determine our own fate
second simple rules to provide some
second simple rules to provide some cohesive boundaries and direction among
cohesive boundaries and direction among
cohesive boundaries and direction among the many self-organizing agents pursuing
the many self-organizing agents pursuing
the many self-organizing agents pursuing different things both alphago and
different things both alphago and
different things both alphago and quantum companies use simple rules
quantum companies use simple rules
quantum companies use simple rules alphago has two sets of simple rules one
alphago has two sets of simple rules one
alphago has two sets of simple rules one set of rules called policy networks
set of rules called policy networks
set of rules called policy networks evaluates the board position and reduces
evaluates the board position and reduces
evaluates the board position and reduces the breast of the search another set of
the breast of the search another set of
the breast of the search another set of rules called value networks evaluates
rules called value networks evaluates
rules called value networks evaluates the probability of winning in a given
the probability of winning in a given
the probability of winning in a given position and reduces the depth of the
position and reduces the depth of the
position and reduces the depth of the search it has to simplify the search
search it has to simplify the search
search it has to simplify the search space because a brute force evaluation
space because a brute force evaluation
space because a brute force evaluation of every possible move is just not
of every possible move is just not
of every possible move is just not practical you might have to wait until
practical you might have to wait until
practical you might have to wait until the next Big Bang to see the and the
the next Big Bang to see the and the
the next Big Bang to see the and the game the cows might never come home the
game the cows might never come home the
game the cows might never come home the horizontally challenged lady might never
horizontally challenged lady might never
horizontally challenged lady might never sing you get the point
Google also uses simple rules as loose
Google also uses simple rules as loose guidelines for his tens of thousands of
guidelines for his tens of thousands of
guidelines for his tens of thousands of stop organizing employees without these
stop organizing employees without these
stop organizing employees without these simple rules all these employees during
simple rules all these employees during
simple rules all these employees during different things would result in chaos
different things would result in chaos
different things would result in chaos with no consistency interruption Google
with no consistency interruption Google
with no consistency interruption Google simple rules to decide priorities
simple rules to decide priorities
simple rules to decide priorities focused on the user and all else will
focused on the user and all else will
focused on the user and all else will follow
follow
follow how about ethics don’t be evil how to
how about ethics don’t be evil how to
how about ethics don’t be evil how to allocate corporate funds spend seventy
allocate corporate funds spend seventy
allocate corporate funds spend seventy percent on the core product twenty
percent on the core product twenty
percent on the core product twenty percent on emerging products and 10% on
percent on emerging products and 10% on
percent on emerging products and 10% on moonshot projects these simple rules not
moonshot projects these simple rules not
moonshot projects these simple rules not only provide cohesive parameters by
only provide cohesive parameters by
only provide cohesive parameters by which employees can self-organize but
which employees can self-organize but
which employees can self-organize but they also speed up decision-making in
they also speed up decision-making in
they also speed up decision-making in today’s complex business environment
today’s complex business environment
today’s complex business environment where things are changing constantly
where things are changing constantly
where things are changing constantly speed of execution is a lot more
speed of execution is a lot more
speed of execution is a lot more important than perfect execution partly
important than perfect execution partly
important than perfect execution partly due to its culture of using simple rules
due to its culture of using simple rules
due to its culture of using simple rules and other principles of radical
and other principles of radical
and other principles of radical innovation google has been ranked among
innovation google has been ranked among
innovation google has been ranked among the top three most innovative companies
the top three most innovative companies
the top three most innovative companies ten years in a row as compiled by a
ten years in a row as compiled by a
ten years in a row as compiled by a Boston Consulting Group third trainer in
Boston Consulting Group third trainer in
Boston Consulting Group third trainer in the process of practicing
the process of practicing
the process of practicing self-organization and at the same time
self-organization and at the same time
self-organization and at the same time deciding which simple rules work best
deciding which simple rules work best
deciding which simple rules work best both ethical and the employees in
both ethical and the employees in
both ethical and the employees in quantum companies learn from repeated
quantum companies learn from repeated
quantum companies learn from repeated experiments of trainer alphago played
experiments of trainer alphago played
experiments of trainer alphago played against itself 30 million times and
against itself 30 million times and
against itself 30 million times and 160,000 times against decent amateurs
160,000 times against decent amateurs
160,000 times against decent amateurs whose games were found on the internet
whose games were found on the internet
whose games were found on the internet using reinforced learning these trial
using reinforced learning these trial
using reinforced learning these trial and error results were used either to
and error results were used either to
and error results were used either to amplify or attenuate the input which
amplify or attenuate the input which
amplify or attenuate the input which slowly improve the algorithm over time
slowly improve the algorithm over time
slowly improve the algorithm over time alphago had to lose many times to
alphago had to lose many times to
alphago had to lose many times to improve its win rate
in a similar fashion by setting up an
in a similar fashion by setting up an a/b test on a microsite and comparing
a/b test on a microsite and comparing
a/b test on a microsite and comparing the original version against many other
the original version against many other
the original version against many other variations of color location and and a
variations of color location and and a
variations of color location and and a display of the promotional offer a video
display of the promotional offer a video
display of the promotional offer a video game company Electronic Arts sold more
game company Electronic Arts sold more
game company Electronic Arts sold more than 1 million copies of SimCity 5 in
than 1 million copies of SimCity 5 in
than 1 million copies of SimCity 5 in the first two weeks of its launch for
the first two weeks of its launch for
the first two weeks of its launch for example they were surprised to find that
example they were surprised to find that
example they were surprised to find that the variation with no promotional offer
the variation with no promotional offer
the variation with no promotional offer whatsoever drove 43 percent more
whatsoever drove 43 percent more
whatsoever drove 43 percent more purchases because their loyal customers
purchases because their loyal customers
purchases because their loyal customers just wanted to buy the game and no extra
just wanted to buy the game and no extra
just wanted to buy the game and no extra incentive was necessary success comes
incentive was necessary success comes
incentive was necessary success comes from learning and learning requires
from learning and learning requires
from learning and learning requires failures which means success requires
failures which means success requires
failures which means success requires failures for both AI and organizations
failures for both AI and organizations
failures for both AI and organizations tolerating failures and learning from
tolerating failures and learning from
tolerating failures and learning from each iteration of trial and error is
each iteration of trial and error is
each iteration of trial and error is essential to radical innovation
essential to radical innovation
essential to radical innovation organizations will be a much better
organizations will be a much better
organizations will be a much better served by measuring learning and
served by measuring learning and
served by measuring learning and tracking pattern recognition skills and
tracking pattern recognition skills and
tracking pattern recognition skills and false positive and false negative rates
false positive and false negative rates
false positive and false negative rates in the decisions they make
in the decisions they make
in the decisions they make instead of quarterly earnings if they
instead of quarterly earnings if they
instead of quarterly earnings if they want to win in the long term these
want to win in the long term these
want to win in the long term these principles can turn any company into a
principles can turn any company into a
principles can turn any company into a powerhouse of radical innovation because
powerhouse of radical innovation because
powerhouse of radical innovation because radical innovation is a serendipitous
radical innovation is a serendipitous
radical innovation is a serendipitous result of many self-organizing employees
result of many self-organizing employees
result of many self-organizing employees learning from trend or following simple
learning from trend or following simple
learning from trend or following simple rules these principles work because they
rules these principles work because they
rules these principles work because they are based on laws of nature governing
are based on laws of nature governing
are based on laws of nature governing all living organisms including people
all living organisms including people
all living organisms including people and organizations part of what my global
and organizations part of what my global
and organizations part of what my global leadership research found was that when
leadership research found was that when
leadership research found was that when these leaders practiced principles of
these leaders practiced principles of
these leaders practiced principles of radical innovation there are also good
radical innovation there are also good
radical innovation there are also good bosses to work for when our bosses don’t
bosses to work for when our bosses don’t
bosses to work for when our bosses don’t micromanage us but instead let us self
micromanage us but instead let us self
micromanage us but instead let us self organize when our bosses don’t give us
organize when our bosses don’t give us
organize when our bosses don’t give us precise instructions on how to do our
precise instructions on how to do our
precise instructions on how to do our jobs
jobs
jobs instead give us broad boundaries of
instead give us broad boundaries of
instead give us broad boundaries of simple rules when our bosses don’t throw
simple rules when our bosses don’t throw
simple rules when our bosses don’t throw us under the bus at the sly sign of
us under the bus at the sly sign of
us under the bus at the sly sign of failure but instead make you safe for us
failure but instead make you safe for us
failure but instead make you safe for us to learn from our mistakes in Shriner
to learn from our mistakes in Shriner
to learn from our mistakes in Shriner they can be bosses whom we enjoy working
they can be bosses whom we enjoy working
they can be bosses whom we enjoy working for and at the same time who catalyzed
for and at the same time who catalyzed
for and at the same time who catalyzed radical innovation we can start the
radical innovation we can start the
radical innovation we can start the change by being the change everyone can
change by being the change everyone can
change by being the change everyone can use these principles of radical
use these principles of radical
use these principles of radical innovation and transform their
innovation and transform their
innovation and transform their organization or become a more effective
organization or become a more effective
organization or become a more effective leader you can radically change the
leader you can radically change the
leader you can radically change the rules of the game and unleash the dragon
rules of the game and unleash the dragon
rules of the game and unleash the dragon in each of you you all belong in the
in each of you you all belong in the
in each of you you all belong in the ocean thank you
ocean thank you
ocean thank you [Applause]
”
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