Three Horizons Model [...]

A McKinsey Model for growth that emphasizes balancing pressing demands with time spent on larger goals and more distant but potentially more earth shattering threats.

Mike Goudzwaard summarizes the Three Horizons as:

  • Horizon 1 (H1): keeping the lights on and fixing problems
  • Horizon 2 (H2): improving services and processes
  • Horizon 3 (H3): transformative experiments (R&D)

Kristen Eshelman notes that McKinsey has found effort on these issues far out of proportion with what companies actually desire. Here’s where companies allocate resources:

vs.

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