Enterprise organisations are often perceived as sluggish due to their size and complexity, but this is not the sole reason for their slow pace. The primary cause lies in the nature of enterprise risk. Risk is a significant factor in decision-making, with the potential for severe consequences if a decision leads to failure. This risk aversion often results in an over-reliance on processes and controls, which can slow down innovation and change.
Another contributing factor is the existence of legacy systems, which are often deeply embedded in the organisation’s operations. These systems are usually resistant to change due to their complexity and the potential disruption it could cause.
The hierarchical structure of enterprises can also contribute to their slow pace. Decisions often need to be approved by multiple layers of management, which can delay the implementation of changes or new ideas.
Lastly, enterprises often have a lack of urgency due to their established market position. They can afford to take their time in making decisions, unlike startups that need to move quickly to survive.
Despite these challenges, enterprises can increase their pace by adopting agile methodologies, investing in modern technology, and fostering a culture of innovation and risk-taking.
Go to source article: https://zwischenzugs.com/2018/10/02/why-are-enterprises-so-slow/