As globalization, technology evolution, and greater transparency transform the global business landscape, the leadership teams across industries face a harsh reality- traditional methods of building a strategy are no longer effective in today’s dynamic, uncertain world. Therefore, leading businesses are responding by adopting an adaptive approach to strategy development.
Addressing issues using an adaptive strategy is essential for thriving in today’s dynamic business world, where business transformations occur more frequently than ever before. CIOs can play a crucial role in customizing and implementing adaptive strategies. While the process might vary from one organization to another, a truly adaptive strategy is more event-driven and designed to drive end-to-end business transformation.
Did you know? Building an adaptive strategy will improve your company’s response to opportunities, threats and help build resilience by tackling uncertainties and embracing change.
What is an adaptive business strategy?
Adaptive strategy development leverages adaptive methodologies for formulating a strategy to achieve long-term goals and objectives. An adaptive strategy enables businesses to work proactively to achieve goals and quickly adjust the goals when required. It is essential, especially in today’s dynamic business environment where the changing market dynamics pose major business growth and development challenges. Request a proposal to learn how Infiniti Research can help you achieve your long and short-term goals.
A new approach to strategy development and execution is the need of the hour
Unlike the traditional approach, an adaptive approach to strategy development is key to success in today’s dynamic world. The unpredictable, dynamic business environments demand a new approach that allows leaders to make faster, research-backed decisions. An adaptive strategy works best when changes in the business environment are hard to predict, more dynamic, and when opportunities to seize an advantage are short-lived.
Over the past few years, we have witnessed rapid changes that transformed industries on all fronts. These changes seem to accelerate every year, making it harder to predict what the future holds. An adaptive strategy can help businesses keep up with the changes and customer demands, leaving room for improvement.
Businesses that can spot new opportunities earlier and respond quickly to disruptions are most likely to succeed in the long run. Request a free brochure for personalized recommendations and insights on how we can help you achieve this.
An adaptive strategy must enable businesses to succeed in the face of a volatile, uncertain, complex, and ambiguous (VUCA) business world. For enterprises, navigating challenges considering these three factors while developing an adaptive strategy is essential to seize new opportunities and make real-time adjustments rather than a fixed approach to long-term analysis and planning.
Begin at an early stage
A business strategy defines the long-term plans and actions to create, deliver and capture value as predicted in the business model. Spending more time to create a strategy will leave you with little or no time to execute it, making your plan obsolete. Starting early helps find new areas for performance improvements and strategy refinements that’ll make your strategy more adaptive and dynamic.
To learn more about the importance of adaptive strategy in today’s business world and find more ways to develop new strategies, request more info.
Respond to disruptions and embrace change
Given today’s highly disrupted business environment, enterprises can’t afford to review strategy on a yearly basis, as was typical when disruptions were rare. Hence an ongoing process to monitor and review strategies is crucial to becoming an adaptive enterprise. The vision that guides an adaptive strategy can focus on long-term initiatives but should help transcend boundaries to succeed.
Explore uncertainty and tackle risks
Enterprises that succeed in tackling risks respond quickly to events as they happen. A robust adaptive strategy that is inclusive, engaging, and collaborative will help enterprises accomplish this and mitigate risks associated with the uncertainties. This enhances the enterprise’s ability to create, update and implement strategy and improves the output quality.
Faced with an unpredictable future, leadership teams and decision-makers often find it challenging to navigate these phases-
- Strategic planning: Strategy makers often create a long to-do list without having a strategy in place to carry out the process.
- Cost-based analysis: Decision-makers often model revenue the same way they model costs and expenditures.
- Competitive framework development: The focus lies on the company’s existing strengths, and businesses try to drive value instead of finding a new source of competitive advantage.
Though plausible, it’s dangerous to be stuck in any of these situations. If creating a strategy feels comfortable, chances are you’re not doing it right. What are you waiting for? Contact our market research experts and learn to embrace the complexity of the real world and turn it into a strategic advantage.
Traditional approaches to strategy creation were developed in an age where disruptions were rare. In today’s dynamic business world, often described as the VUCA world, things have changed drastically. Hence businesses require new approaches to creating an adaptive strategy and embracing change that is cognisant of the everchanging conditions within which businesses operate.