by Norman Halls, contributor
How can decision makers navigate change? Three strategies that should concern businesses are: a) strategy in general, b) corporate strategy, and c) competitive strategy. Clarification in the differences in these strategies will give guidance to the direction the business will take. We are often asked what makes a leader a strategic leader. One of the special characteristics that make strategic leaders stand out from the crowd is their sweeping view of the world in which they operate. “They have a broad view and interpret the road signs and indicators they see, using the insight they gain to actively shape the future. They seem to recognize that being attuned to the various forces working for or against them reveal valuable information about the strategic opportunities they are pursuing and the obstacles they may face.” By CMOE’s Design Team
Given its integration of digital and physical technologies across all areas of business, production, mobility, and communications, the fourth industrial revolution represents a broad, pervasive shift that should be dealt with comprehensively if organizations are to thrive. “When dealing with something so vast, it’s useful to examine how it may impact particular elements, and we concentrated on four: Society; executives seem to view technology fearlessly, as the great equalizer that will provide more access to education, jobs, or financing across different geographies and social groups. Strategy; even as leaders recognize the changes Industry 4.0 portends, many continue to focus on traditional near-term business operations, rather than longer-term opportunities to create value for their direct and indirect stakeholders. Talent; many executives don’t seem to feel the urgency of tackling the challenge of the future of the workforce—even though only a quarter are highly confident they have the right workforce composition and the skill sets needed for the future. Technology; the fourth industrial revolution holds the promise of integrated digital and physical technologies that improve organizational operations, productivity, growth, and innovation.” By Punit Renjen
A mindset is a position of hypothesis, techniques and thoughts held by decision makers. In practice, mindsets are around us, as evident by people’s adoption and acceptance of certain behaviors or choices that are already established; most often, these mindsets are referred to as rules or strategy. With regard to the improvement equation, mindsets can be very good or very bad established norms — it just depends on what is involved in each set. Think about a strategy this way: having employees promise to have an open mind with the belief those things will results may not to be bad. However, such situations will most likely not produce innovative solutions for the company or its customers. Conversely, if employees exercise free-thinking and embrace change — rather than follow lock-step compliance or allow blind acceptance of the status quo — they are more likely to create situations that produce problem-solving, market-ready products and services. In other words, innovative solutions will result.
The growth of mindset can increase an organization, focusing on people’s capacity. As such, recruitment should value people who show a real commitment to learning new strategy. These people will help build a process, develop independently, collaborate successfully, and be more able to adapt to whatever challenges arise. Individuals that value learning and show a capacity and passion for continual knowledge have a natural growth mindset that can move any business towards successfully.
“From these differences come differences in performance, especially in challenging work environments. A person with a fixed mindset might perform just fine in a work environment that is easy and constant, but in an environment that’s challenging and dynamic, their performance suffers. This type of difficult, changing environment is exactly where people with a growth mindset are most likely to thrive. If people are primarily focused on proving themselves, as they are in a fixed mindset, they will be more afraid of change. It’s simply a chance to fail. And they won’t want to take risks or try new things at work. Since trying new things and taking risks are key to innovation, a fixed mindset hinders innovation. In companies that foster a growth mindset, on the other hand, employees are more willing to try new things or take thoughtful risks that can lead to innovation. They are interested in the learning that will come from those things, even if the road to success requires prolonged persistence.” From ParadigmIQ
Strategic leaders take this idea to mind. They work hard to stay informed and tap into valuable sources of information that give them clues about where they need to go and what they need to avoid. Most importantly, they seek to understand the strategic direction and priorities of the business. This allows them to align their own strategic efforts with the strategy of the broader organization. “Leaders with high levels of awareness tend to have a strong and honest relationship with their surroundings. They are unafraid of looking at the sometimes-harsh realities of their situation. By being informed, they have a complete view of their situation, understand the issues they need to consider, and collect and use information about the things that will influence their goals and strategies in either a positive or a negative way.” Wrote Eric Mead
