We’ve all experienced uncertain times in the last few months. If you need any further evidence that VUCA is a thing, then the pandemic has provided it.

VUCA is a leadership development framework, based on the theories of Warren Bennis and Burt Nanu. It identifies Volatility, Uncertainty, Complexity and Ambiguity as elements that businesses must constantly adapt to. 

What does VUCA mean for you and your business?

VUCA is what we’re all experiencing in every part of our lives at the moment.

Volatility: 

COVID-19 arrived rapidly and, although we were forewarned, the impact on our businesses was wholly unpredictable and happened very quickly. We responded to this, in the most part, reactively; with many reporting that their strategic approach was to avoid the worst outcomes, though some have already gone to the wall. 

What’s next?

Uncertainty:

We don’t know what’s next. And, it is currently unknowable because there’s no precedent to such an all-consuming series of events in our lifetimes, which provides us with little experience to draw on. That uncertainty hovers over every business decision. 

Go back to how it was or wait? Invest in people and plant, or wait? Stick with current products, customer segments and channels to market, or evolve them to meet new, as yet unproven, needs?

Who knows?

Complexity:

The economy, from supply chains to multiple and changing market segments, is in turmoil. The parts that affect us, we used to understand to a point where we were confident in our choices. 

Now the parts have changed and evolved, and some gone. What’s left doesn’t quite fit as nicely together, so predicting how things will be for us is hard... and data isn’t available to support our decisions. 

What to choose?

Ambiguity:

What’s happening now isn’t well defined. To a certain extent the future is undefinable.  This can lead to many different and possibly conflicting interpretations of what’s happening and how the future will look. Members of our teams may have different views, suppliers and customers too. Our advisors, government, local authorities may all see things slightly differently to us.  

Who’s right?

What to do next?

We explored VUCA with the small business owners participating in our recent “Adapting Your Strategy” webinars for the East MIdlands Chamber of Commerce Business Gateway Growth Hub Strategy Series.  If you are having difficulty adapting your strategy in these times of significant VUCA, why not drop us a line to see if we can help you to ask better questions, provide clarity and initiate action within your business?