Over 40 percent of companies that face the Corona-crisis has weakened their competitive position. Just 30 percent have increased their competitive edge by business-model innovation. Unfortunately, management doesn’t have an extensive toolbox available to strengthen the company’s competitive position. The key problem is that the vast majority of companies don’t have a Strategic Competitive Intelligence Capability in place to gain maximum success from business-model innovation.
We are convinced this is the way to win both the battle and the war during this global corona crisis. What is needed is courage and above all courage to prioritize. Those who defend everything in effect defend nothing. If every thing is a priority, then nothing becomes a priority. At the time of crisis, it’s not always easy to know if being brave and being right are the same thing. The line between bravery and foolishness can be thin and it’s often only with hindsight that we know which Courses of Action were, in the end, the correct ones. To judge hindsight we can use After Action Reviews (AARs).
Strategic intelligence enables top management to foresee the opportunities and threats in a timely fashion. At the end of the day who is accountable? Being agile as a company depends on developing two key capabilities: responsiveness and organizational flexibility. Many of us see new business opportunities. However, most of us are concerned that our companies lack the skills needed to meet future competitive threats.
The book “It Can’t Be True”, published in February 2015, was based on 2 years of research from over 200 in-depth interviews in the City of London. In his book. Luyendijk makes comparisons with the world of animals: traders are baboons, investment bankers are tigers, back-office employees are hard-working beavers and the departments of compliance and risk management are ants. The majority of the employees in the sector are therefore beavers and ants whose task is to control the tigers and baboons. Mission impossible!
The story starts every year with the World Economic Forum in Davos, Switzerland, where the heads of the corporate world meet: CEOs, political friends and the consultancy-whisperers. They blame the politicians who are not able to solve the crisis, corporate management already has a focus on the future, and multinationals take the lead in solving the big future challenges: sustainability, growth and poverty.
Can you imagine that five years after the financial crisis, the financial system in Europe has still not yet improved? Banks still continue to package ‘risky financial products’ into special entities. Our bankers still behave the same as they did before the financial crisis. Why is this so? Bankers think they are better protected against the next financial crisis, because they have a higher percentage of equity on total assets. It’s business as usual all over again.
The word crisis refers to a decisive moment or turning-point, which the euro never seems to reach. The single currency’s complaint is more like a chronic illness that is neither serious enough to kill the patient nor weak enough to be easily cured.Employment in the public sector: Is this a new time-bomb?