Business agility hinges on people.

The organizations we created in the 20th century were designed much more for reliability and efficiency than agility and speed. — John P. Kotter.

In the age of software and the digital revolution, organizational agility is the deal breaker. As consumers, we see how vast an array of options, services, and products we're bombarded with daily.

As business owners and executives, you're figuring out what will be the next thing to increase your profits.?

Businesses still exist to make money. You can create visions, missions, and customer-focused promises. They're essential compasses. Internally, you care about constantly optimizing processes to optimize your capex/opex.

You want faster, more efficient, sometimes you want it cheaper. What you want is the agility.

This is the definition of business agility. We may need to work on the buzzwords. But what we strive for each day is what business agility is.?

A few words about business agility

Business agility refers to the ability of an organization to adapt and respond quickly to market or customer needs changes. It involves being flexible and nimble in how a company operates, including its processes, culture, and technology.

Business agility aims to improve performance, increase customer satisfaction, and gain a competitive advantage. It is often associated with the agile methodology, which emphasizes collaboration, continuous improvement, and frequent value delivery.

As righty John Kotter stated, we've created and operated in organizations that needed more time to build growth, acceleration, and flexibility. We are continuously changing it. We're getting there, however.?But it's a constant. If we don't progress, we regress.

From hierarchies to networks

In big enterprises, hierarchies are unavoidable. However, operating within a prominent structure makes people invisible. Literally. Invisible for the organization and invisible for the value they can contribute.

Have you heard the stories of people who didn't want to engage at work? Or have you seen a passive attitude among your peers? Or last week, you thought that no matter what you do, things won't change??

You may operate in a giant bubble where only words count, but they don't have a reflection in reality. You may operate in soup where your influence and sense of control are minimal.

1. What is the sense of urgency for your business and the change you need to make?
2. How can it be changed?
3. Is it even possible to change?
4. What the change would look like?
5. Could more people be engaged?
6. Would it be seeing an even better performance?
7. Would it be shipping products faster?
8. What is the definition of the change for you?

Creating network organization

The solution to some of the challenges can be the network organization. Organization where people are motivated, engaged, work passionately, and develop solutions.??

Network organization in computing refers to how various components are arranged and managed in a computer network. This includes everything from the physical layout of the network, such as the types of cables and equipment used, to how data is routed and transferred between different devices.

The goal of network organization is to ensure that data can be efficiently transmitted and accessed by all devices on the network.

This can be achieved using protocols, standards, and other technologies designed to streamline communication and improve network performance.

This is an excellent analogy for how we humans operate. Depending on the case, we need some standards to follow and protocols to know what to do. We also need clear communication, transparency, and a network of other human beings. People we know, we can trust, rely on, and get things done together. We need a sense of belonging that's deep in our hearts. Even at work. Or even more at work.

Modeling network organization

In organizational modeling, a network organization is a decentralized structure where various departments, business units, and individuals work flexibly and interconnectedly.

This organizational model emphasizes collaboration, open communication, and fluid decision-making processes.

In a network organization, there's more autonomy and empowerment of employees.

What other attributes does network organization have??

• Decentralized Decision-Making
• Cross-Functional Teams
• Open Communication
• Flexibility and Adaptability
• Collaborative Culture
• Empowerment
• Technology-Enabled Connectivity

In network organizations with the attributes listed above, people will respond. They will engage, offer solutions, be willing to change and support each other.?

Network organization is like water for the flower. With it, your business will flourish and grow. With it, you will achieve business agility.?

With it, you will create ongoing adaptability where people work together to leverage opportunity.?

John Kotter, the author of "Accelerate. Building strategic agility for a faster moving world," gives an excellent overview of how to build an entrepreneurial network. There are?five principles and eight accelerators.

The five principles are straight to the point. You've experienced, thought about, and seen them before.?

Five principles for creating an entrepreneurial network (organization)

• Many people are driving significant change, and from everywhere, not just the usual few appointees
• A "get-to" mindset, not a "have-to" one
• Action that is head and heart-driven, not just head-driven
• Much more leadership, not just more management
• An inseparable partnership between the hierarchy and the network, not just an enhanced hierarchy

All of them relate to people. That's why business agility hinges on people. The network organization requires leadership skills. It's the main difference to the hierarchical organization where managerial skills are needed.?

Let's break it down.?

In network organization, what you need to care about is:

People driving the changes - you want as many people as possible. You want people in the roles who are not responsible for driving the change. So, if you're a digital business, you would like marketing people or engineers to develop solutions beyond their work area and contribute to the organization and the well-being of the product being developed.

Go-to mindset - people who want to do something. Promote a culture of learning and growth by providing opportunities for skill development, training, and mentorship.?Coach them and help them to discover their potential. Lead, not manage.

Autonomy - provides employees with autonomy to make decisions and take ownership of their work. This can foster a "go-to" mindset by empowering individuals to seek opportunities and take initiative actively. Teach people how to learn. Teach people how to unlearn. Support them with deep conversations, open-ended questions, and partnership.

Action that comes from the heart and the head - can you think of a situation where taking action from both the heart and the head leads to great results? How can you become more emotionally intelligent? How can you support your peers at work to increase emotional intelligence?

More leadership - lead by example: Leaders and managers should model a "go-to" mindset themselves, demonstrating proactive behavior and a solution-oriented approach to challenges

Eight accelerators

Below is the list, along with some of the questions I've put together to dive deep and reflect:

• Urgency on ample opportunity - what is the big chance you see in your company that could catalyze significant change? The opportunity around which you can build a network of people, something like a flat, self-organizing movement?
• Guided coalition of volunteers - how can you build people's curiosity around the (change) initiative??
• Change vision and strategic initiatives - Why do you need the change? What will change after you've made the change??
• More and more volunteers - How can you promote and encourage people to join the movement?
• Barriers knocked down - What is your tactic for those not enthusiastic??
• Wins celebrated - What will you do to appreciate people's contributions? Appreciate them beyond the material reward?
• Relentless action - What can you do to install these ways of acting and thinking in your company?
• Changes institutionalized - What else can you do to make it part of your company's culture??

The hierarchical system often asks for management skills (given stability, reliability, and efficiency), and the network system will need much more leadership skills (with attention to cohesive vision, passion, agility, and speed).

In the dual operating system, some people have to sit in both systems, which requires that people have both management and leadership skills.

With these five principles and eight accelerators, business agility can be developed. Creativity will blossom. How freedom of action is helping creative thinking will be the topic of the next newsletter exploration. Stay tuned...

#leadership #businessagility #accelerate #networkorganization #people