It is a new era. To win in an increasingly dynamic, ambiguous, and volatile environment, leadership teams in most industries must be agile –flexibly react to early signs and act on them quickly. These are considerable challenges even in normal times. But, the only thing we truly know about the future is that it will be different. Hence, we need to build organizations that can cope with these challenges rather than to embark on ongoing and disruptive change processes.
An agile organization needs good decision making at all levels – from the center to the periphery tapping into the full potential of the people, the operating model, the information technology, and leadership practices. The task is to synchronize decision making throughout the organization. It involves change in cultural, leadership, and systems as reflected in norms, incentives, operating practices, principles, and processes.
Decisions are made by people. And, it is so obvious: «People are the most important assets». But, good intensions are not good enough to win the game in today’s operating environment. In the increasingly complex operating environment of organization where stakes on even small decisions are high, leaders need to rely on employees at the periphery to make decisions.
The task is to make it real: Creating an environment where people focus on purposeful, value adding tasks, and share what they know unlocks creativity and accelerates growth.
The challenge is to bridge the needs of people to make superior decisions with an institutional framework that enables good decision making at scale.
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