The world that we inhabit is constantly changing and those involved in business need to respond to these changes in order to ensure that their operation remains attuned to an evolving marketplace. Whilst, inevitably, the need to implement certain changes can only be determined after the event, there are many external factors giving rise to the need for organisational and/or operational and/or system change that can be anticipated before they become extant. As we will demonstrate in this article, the world’s leading corporations are those whose leaders are able to anticipate changing trends intuitively and respond in a timely manner to ensure that the structures for organisational change are in place well in advance of the need for implementation.
Sources of Change
As we have already conceded, certain market changes can take place suddenly and without warning. Such changes can be neither anticipated nor planned for. However, there are certain sources of prospective change that intuitive organisations should be able to monitor and, in turn, plan for.
In order to ensure that a business is performing to its optimum potential, it is essential to track changes in the market in order to ensure that, through flexible and dynamic processes the organisation is ready to respond to market changes. This is all the more relevant in the context of the world’s many emerging markets and their increasing influence in financial and economic terms.
The potential impact of governmental intervention on a business, by reason of the introduction of new legislation, requirements and regulations, should never be underestimated. A dynamic business will track government policy in so far as it is likely to affect its operations and ensure that it is able to react effectively to any significant changes in that policy. The need to keep a weather eye on government thinking is all the more important when a general election, the result of which could bring about a significant change in economic and fiscal policy, is imminent. If an organisation has an international customer base, it is also necessary to analyse prospective changes in its domestic political and economic policies.
Few world industries are as susceptible to constant change – through continuing development – than the field of technology. The ability to exploit advances in technologies relevant to a business provides an ideal opportunity for its leaders to ensure that it stays one step ahead of its competitors. In order to achieve this, it is essential that an organisation keeps itself attuned to areas of technological development that carry direct implications for its future operation.
Many organisations have come to grief as a consequence of failing to take proper account of emerging competition within a new world marketplace. Industrial developments in countries such as China, India and Brazil have had the effect of putting such a squeeze on the pricing power of many organisations that they have found it difficult to survive. A recognition that competition in a business’s market is arising from either a local, national or international competitor ensures that changes, such as a review of pricing or, in extremis, the abandonment of a particular product or products, are put in place before the new competition impacts fully on the operation.
Changing customer values, habits, traits, views and demographics can impact directly on a business. An intuitive organisation will ensure that it is aware of any factors that might influence the way in which its actual (and potential) customers perceive the business and its products.
As a business leader, it is understandable to wish to focus your attention on the management of your existing business environment. However, a complete failure to anticipate changes to that environment, occasioned by the kind of external factors set out above, may well mean that your business will struggle to survive. In order to avoid this, a dynamic, responsive and intuitive business will ensure that it has in place a clearly defined strategy to anticipate the need to change and to react appropriately and promptly to it.
Article written by Mark Edwards, Marketing Director, Adcurata Limited
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