"Most firms, not just the ones actually producing technology, are organizing work around it."

However, this New Economy is about more than high technology and the frenetic action at the cutting edge, says Robert D. Atkinson, director of the PPI project. "Most firms, not just the ones actually producing technology, are organizing work around it. It is also as much about new organizational models as it is about new technologies."

Whether you are a new entrepreneur hoping to grow your company over time or a mom-and-pop operator content to remain a small business, there is no getting away from the fact that you are going to be affected by the New Economy-like it or not. By paying attention to what the heads of some leading large companies are doing 'to prepare for this change, you can pick up some valuable tips on how to get your. own business ready. That's what this article is all about.

Many business leaders argue that differentiating between the New Economy and the Old Economy is virtually meaningless. Eaton Corp. chairman Stephen R. Hardis, who was scheduled to retire in July, points out that as Old Economy companies increasingly rely on technology to grow their businesses and New Economy firms confront the realities of such traditional requirements as turning a profit, differentiating between them becomes pointless.

Embracing technology and capitalizing on the benefits it has to offer is a challenge and an opportunity that virtually all CEOs are facing. The analogy -of "bricks to clicks" has frequently been used to describe this transition, but it's not really accurate. "Bricks and clicks" is more to the point, because New Economy technology is going to enhance, not supplant, Old Economy values.

As chief executives manage the transition to the New Economy in their own companies, they can expect to face challenges in several areas. One of the most important is providing the vision their companies need to succeed in a world now doing business on Internet time.

Corporate culture is still a top down-driven phenomenon at most companies. In making the transition to the New Economy, managers and employees are going to look to the chief executive. In fact, a new study by Mercer Management Consulting Inc. concludes that overhauling a company's culture is the No. 1 requirement for implementing a successful internet strategy, and it's a charge that must be led by the CEO.