Strategic agility is the ‘holy grail’ for modern businesses, surpassing the benefits of operational agility. Operational agility, while effective for streamlining processes and improving efficiency, does not inherently enable a company to adapt to rapidly changing market conditions. It is strategic agility that allows companies to pivot and reinvent themselves in response to new market realities. Most companies, however, struggle to achieve this level of agility due to their hierarchical structures and short-term focus.
The key to unlocking strategic agility lies in embracing three fundamental shifts. Firstly, firms must transition from a focus on efficiency to a focus on innovation. Secondly, they need to shift from a hierarchical structure to a network of teams. Lastly, they should move from a short-term to a long-term focus.
These shifts are easier said than done, but examples of companies that have successfully made these transitions, such as Apple and Amazon, demonstrate the potential rewards. Their success is due to their ability to continually innovate, adapt, and reinvent themselves, making them not only operationally agile but strategically agile as well.
Strategic agility is not just a nice-to-have but a must-have in today’s fast-paced, ever-changing business environment. Companies that fail to adapt risk becoming irrelevant.
Go to source article: https://www.forbes.com/sites/stevedenning/2017/02/10/beyond-agile-operations-how-to-achieve-the-holy-grail-of-strategic-agility/#768d3dd2b6aa