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Today’s global business environment is a prime habitat for
change. The thriving businesses of today
understand the nature of the ever changing global market and the agility
principles are not restricted to the software
development manifesto anymore. As organizational giants are learning to
dance, their ability to cope with change, at an increased speed, is becoming
part of their operational strategy.
Those organizations that have successfully instilled a change culture
have learned to monitor their environment.
They have learned to provide the correct managerial answer to this ever
changing puzzle.
Change can come from a multitude of sources and it can be incremental or radical in nature.
Radical changes are those that are disrupting the environment in a big
way. The telegram, division of labor
and the free speech movement are prime examples of changes that were radical in
nature. Incremental changes are more
subtle but it doesn't mean they are not just as significant, as any aging peer
will attest. As much as we like to think
of change in this dichotomy, radical or incremental, it is too easy to make an error
of causality when evaluating the nature of change in relation with its impacts. This blog briefly explores this
relationship.
Would you say that the smart phone is a breakthrough
innovation or an incremental one? Most
people would probably say, instinctively, that the smart phone is a
breakthrough innovation. Now, what if I
was to tell you that the technical complexity required to build a single smart
phone requires the cooperation of a multitude of experts spread across multiple
organizations, that no organization can, on its own, build a single one
internally? The incremental advancements
that had to be made in portable energy sources (battery), digital processing,
electronic and manufacturing to allow the smart phone idea to even exist are
staggering. With this in mind, would you
still look at the smartphone as a radical technological advancement?
As with the smart phone example above, we often make errors of
association when thinking about change. We
too easily lump a multitude of incremental changes together to call it a
radical change. A dangerous consequence
of this becomes apparent when business leaders see radical change as the only
possible way to archive radical results.
Some leaders cannot foster the vision, or do not understand well enough
the business model they are living in, to identify the minor tweaks
(incremental changes) that could lead to big results (radical impacts). It takes a lot of time and a keen mind to deeply
understand a business model and time is turning into a rare commodity in today’s
quickly changing market.
So, if you are looking for radical improvements, the first
step should be to understand your environment, and explore all possibilities
for incremental changes, time permitting.
Change is much more manageable, and much less costly or risky, if you
can successfully draw a solution based on incremental strategy than a radial
one.
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