A dynamic and adaptable business invents and reinvents itself in response to changes in its environment.
This article is about five critical aspects that make a dynamic and adaptable business.
A business needs to be dynamic and adaptable because businesses are influenced by things such as the norms and values that exist within an environment in which they exist.
These five processes help a business to develop its entrepreneurial culture.
Entrepreneurial culture guides how things are done (the general activities and processes) in the business.
The five critical aspects that help a business to plan and organise itself to be dynamic and
adaptable to its environment are:
A dynamic and adaptable business through vision and strategy
Vision is the destination a business envisages.
While the overarching vision rarely changes, the path to that destination will most likely change.
Therefore, having an emergent approach to strategy is key.
That is, having an initial plan that is flexible enough to start with but that is also adaptable to changes is critical.
Many entrepreneurs are committed to seeing their businesses to that destination.
They tend to use training and learning tools to turn their vision into reality.
Every setback or need to change isn’t seen as disappointment but rather, an opportunity for learning about how to get where they hope to reach.
A dynamic and adaptable business through opportunity exploitation
This is about having the ability to see an opportunity, obtain resources to exploit that opportunity, and launch the business.
The ability to identify opportunities can lead to competitive advantage.
A business can become dynamic and adaptable through exploiting opportunities.
Businesses do this by possessing and employing resources and capabilities that are rare – not available for all competitors.
Such resources and capabilities are such that are also hard to copy.
This is because competitors cannot merely duplicate them or they cannot be easily substituted with other resources.
In addition, it involves continuously implementing value-creating strategies not currently being implemented by any current or potential competitors.
A dynamic and adaptable business through differentiation
Differentiation is about the business establishing the uniqueness of the product and/or service being offered.
A business can be dynamic and adaptable through differentiation by offering better customer relations.
The business can do this by taking advantage of closeness to customers to create options for market niche specialisation.
In addition, a business can emphasise its distinctive product or service through quality, or
its innovative design.
That is, the product is so distinctive that the customer will be willing to pay a high price.
It is also possible that a business will choose to be dynamic and adaptable through
low-cost differentiation, to result in attractive margins and profitability.
This could happen in a situation where the product or service is identical to the competition’s.
A dynamic and adaptable business through creative entrepreneurial team
Having an entrepreneurial team helps a business to be dynamic and adaptable.
This can be achieved by managing a creative team that encourages innovative ideas.
That is, entrepreneurial teams supporting and managing creativity and innovation.
Many startups treat their workers as partners.
Although the founding team manages the business, their workers have a great deal of autonomy.
An open-oriented management, helps team members align around the most pressing hotspots or constraints in your business.
As a result, team members are encouraged to give feedback, bring creative solutions and
be involved in managerial and strategic decisions.
A dynamic and adaptable business through mentors and role models
Mentors and role models are external stakeholders that can be great sources of idea generation.
These are people who can share their entrepreneurial knowledge and experiences.
Mentors and role models can help develop and maintain a stable and dynamic business through their guidance and constructive feedback.
They are typically interested in developing and empowering others.
With their technical knowledge in their field of expertise, they can help a business navigate
the constant changes in the environment.
Positive role models and mentors serve to enhance the entrepreneurial behaviour and attitudes of the entrepreneurs.
The ultimate goal is to help the business succeed.