5 reasons to delay business transformation
Some time back, an article in McKinsey Quarterly argued that there is a growing need to create a two speed enterprise. Version one being the industrial model and version two being a digital economy variant.
It’s a tough one for the leadership because:
- This is new territory and thus somewhat scary.
- There is a leadership overhead in managing a new business.
- Whilst there will be some operational benefits in sharing infrastructure with your new born start up, it will generate new and unforeseen challenges.
- It’s an acknowledgement that the world is changing and the leadership skills required for the digital economy are not the skills you have worked so hard to acquire.
- Whilst others might be celebrating the ‘new arrival’, you know that it will be in her nature to destroy her parents to ensure her own survival.
No wonder CEOs find it so tempting to ignore market reality.
Inevitably old school businesses will be the victim of market cannibalism. You may consider it a less distasteful option to ‘keep it in the family’.