Firms need a new formula for success to stay competitive in the age of the customer — agility is not enough. We see many CIOs and their teams doubling down on agility as a means to cope with the accelerating pace of business. This is a result of people and technology evolving in complex upward spirals (see the figure below). While agile is a good delivery strategy within a set business model, our research finds that to stay ahead of technology-human loops, enterprises must proactively rethink themselves and adapt or risk getting left behind.
We think these firms, which we call “adaptive enterprises,” will dominate firms that only deliver with agility. Adaptive enterprises will win by identifying future opportunities and proactively reconfiguring themselves. Forrester’s Q1 2019 North American Technology-Driven Innovation Online Survey shows that advanced adaptive companies have 3.2 times greater revenue growth compared to industry averages and that beginning firms are not growing at all.
Agility is a foundation, but to achieve this level of growth and future market leadership, adaptive enterprise firms must become more adaptive by doing several things better. Here are three from the report:
The idea of business adaptiveness is a core theme of our CIO research that draws together two research streams — technology-driven innovation and the future of work — as well as many other of our most important research ideas on insights, digital platforms, and agile delivery. It is an advanced concept that we are holding up as the bar for future business excellence. Is your firm becoming “adaptive”? We hope so.
Brian Hopkins, vice president and principal analyst at Forrester authored this article, which can also be found here.
The views and opinions expressed in this article are those of the author and do not necessarily reflect those of CDOTrends.