IMD OWP22 PostEvent Report

→ Innovation

ACTION POINTS

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Build up capabilities to be agile, robust, and resilient. Each requires a different strategy, some of which are counterintuitive. For example, in a crisis, seeming inefficiencies like dual-sourcing arrangements, revenue diversification, and excess inventory management can become strengths rather than weaknesses. Digital tools and technologies can improve resilience to shocks by enhancing sensing capabilities,

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promoting learning, and modularizing resources.

The most valuable people in a crisis are not the deep subject matter experts, but people who are versatile enough to change roles.

RECOMMENDED READING

WHAT IS YOUR SOLUTION? Building up a resistance to both grey rhinos and black swans requires the development of three capabilities. First, agility to sense threats and move quickly to avoid their impact. Second, robustness to minimize the damage when impact is inevitable. Third, resilience to quickly respond to events by proactively adjusting your operating model. Successful organizations in an increasingly volatile world will be able to combine these capabilities and apply them at will.

6 PRINCIPLES TOBUILDYOUR COMPANY’S STRATEGICAGILITY Michael Wade, Amit Joshi, and Elizabeth Teracino (Harvard Business Review, 2 September 2021)

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