Edit ModuleShow Tags

The rate of change balance


Published:

“If the rate of change on the outside exceeds the rate of change on the inside, the end is near.”
—Jack Welch

Although Welch’s statement is simply put, it’s a brilliant message that we too often ignore. There are many examples of this on the public stage.

If you’re an old fighter pilot like a buddy of mine, you appreciate that changes in propulsion and weapons systems (e.g., jet engines and missiles) routinely make old hardware obsolete. The P-51 Mustang was a great fighter, but not against a F-22 Raptor.

If you sell beer like a good friend of mine, you recognize that you need a good menu of craft beers to supplement the Budweiser or Coors.

If you sell books like a favorite client of mine, you may wonder and plan for how to sell your content in the new world order (if you haven’t already turned the corner).

You get the idea. Or do you?

It’s easy to see changes in others’ backyards. However, we get rooted in our current technology, customers, employees, pricing, delivery systems, etc. What made us successful in the past might prevent us from succeeding in the future.

I don’t believe that focusing your company strategy on the competition is good. At best case, you’re a “me too” player, and strategy is about being different. However, if you’re unaware of what’s going on in your environment (e.g., technology, customer wants, regulations, demographics, etc.), you’ll eventually find yourself surrounded by jet engines.

Awareness, of course, is only half the battle. Planning and doing are required as well!
 

Edit Module
Todd Ordal

Todd Ordal is president of Applied Strategy®. Todd helps CEOs achieve better financial results, become more effective leaders and sleep easier at night. He is a former CEO and has led teams as large as 7,000. Todd is the author of Never Kick a Cow Chip On A Hot Day: Real Lessons for Real CEOs and Those Who Want To Be (Morgan James Publishing, 2016). Connect with Todd on LinkedIn, Twitter, call 303-527-0417 or email todd@toddordal.com.

Get more of our current issue | Subscribe to the magazine | Get our Free e-newsletter

Edit ModuleShow Tags

Archive »Related Articles

Why you should be sleeping on the job

Decades ago, Seinfeld’s George Costanza was nearly busted for office-hour sleeping sessions under his desk. Today, though, a growing number of companies are waking up to the benefits of power naps.

How to decide if an IPO is right for you

It’s a perplexing time for middle market Colorado executives who are deciding how best to raise capital for their companies. For starters, let’s look at a few recent examples of companies trying to navigate the present market.

AOL's founder stops in Denver to spotlight the American dream

Steve Case has taken to the streets on a cross-country Rise of the Rest tour to shine a spotlight on entrepreneurial ecosystems between the coasts. And this year’s five-day, five-city excursion- Oct. 3-7- makes its way to the Mile High City on Oct. 4.
Edit ModuleShow Tags

Thanks for contributing to our community-- please keep your comments in good taste and appropriate for our business professional readers.

Add your comment: