Resilience: Strategies for Enterprise Management of Change and Coping with Change

Author: Ge Nan
Publisher:
Publish Date: 2005-04-01
Features: Because of transformation, the butterfly is known as the most Zen-inspired insect. Similarly, the growth of a business also undergoes a transformation process from a caterpillar to a butterfly. A seed, as long as you give it suitable soil, can grow; a business, as long as it seizes the right opportunities, gains the energy to transform into a butterfly. This is an era full of "change": the market is changing, demands are changing, target customers are changing, competitors are changing, production costs are changing, output and sales are changing, prices are changing, employees are changing, partners are changing, plans are changing. "Change" is happening every moment. Storytellers say, the only constant in the world is "change," everything is changing. Facing the ever-changing internal and external environments, as middle and senior management in a company, how should we act? In a word, it is to change: not only to discover and adapt to change, but also to seek and respond to change. To build the "adaptability" of oneself and the organization. In 2002, nearly 40% of American CEOs were fired, with the turnover rate increasing by 25% compared to 2001. The dismissal rate of CEOs in the 1990s was three times higher than in the 1980s. High position, high salary, high risk—this indicates that CEOs must have the ability to handle various variables. In summary, a CEO with high adaptability should:
1. Be able to grasp the speed, innovation, transparency within the organization, as well as the strength of competitors in the market.
2. Be a master at managing risks, including changes in interest rates, credit, prices, and the potential impacts of government policy changes.
3. Be able to foresee technological changes and create value, winning customers.
4. Possess execution skills, humility, and integrity.
"Adaptability" is "survival of the fittest" for political leaders; for business leaders, it is "profit through change"; for the general public, "adaptability" is seeking "improvement" from "change." "Adaptability" is meant to address these issues:
- Your company's labor is good, but your personal performance is average—what's the problem?
- What issues exist in your strategy, products, technology, logistics, human resources, and organization?
- If your business is not performing well, what should you do to turn things around?
- What production innovation solutions can enhance competitiveness?
- Do the strategies and innovation plans you propose have sufficient financial backing to drive them forward?
- How are your operational activities performing? Do these operations demonstrate your unique strategy and help achieve one or more financial goals?
- Are there suitable personnel to execute the innovation plans in the early stages?
- What obstacles does your business face and why are you unable to achieve your goals? For example, why do competitors have better profits? Why does your organization always take more time to launch new products?
- Are the growth initiatives you are committed to pursuing correct? What advantages do you need to surpass your competitors?