Evolve agile Business Model

The concept of the Agile Organization is situated in the yellow bubble signifying the decline of the Systems Thinking paradigm and the rise of Networks and Complex Adaptive Systems.

Agile Organization

When a paradigm shift occurs, everyone goes back to “ground zero.” Any competitive advantage you had disappears. Conversely, you are able to drawn even with market leaders. If you’re caught by a shift, will you revise your business plan?

Here’s a different thought: How about trashing it and thinking like a nimble start-up?

 

Think differently in a VUCA World

It has been a words and numbers exercise using rational thinking to predict what will happen in a stable world. And it worked well for most of the 20th century.

Text-based Bus PlanHowever, we’re now 10+ years into the 21st century. It’s time we offered thinking tools that are designed to deal with VUCA: volatility, uncertainty, complexity, and ambiguity.

In his book Reality Check, Guy Kawasaki declared:

  • “Most people spend eighty percent of their effort on crafting a one million cell Excel spreadsheet that no one believes.”
  • “You are flexible and fast moving: changing as you learn more and more about the market.”
  • “A good business plan is an elaboration of a good pitch.”

Ditching your business plan doesn’t mean you stop planning your business. You just do it differently. We suggest using a Business Model Framework, a concept developed by Alex Osterwalder.

You plan your business collaboratively working on the canvas on the table or mounted on a wall.

Bus Model work

The 9 building blocks create a “picture” and a “flow”. A story unfolds describing how the company runs to meet customer needs, deploy employees and suppliers, and generate a positive financial return.

Polished presenters know the power of storytelling and its ability to explain complex situations.
BP to BMF

The canvas acts as a terrific visual aid and ultimately replaces Powerpoint bullet point slides designed in a linear, sequential format.
As uncontrollable forces alter the business landscape or unanticipated consequences occur, the canvas is promptly revisited to discuss impacts on the prevailing business model. Modifications are agreed to; the canvas is updated and changes communicated. Listener participation is higher since everything is there to see as one connected system; clicking Powerpoint slides backwards and forwards and potentially losing train of thought is no longer necessary.

 Addition References:

Blog: The Case against the Business Case

 

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