Embracing Structured Chaos
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Uploaded by AlwaysOnVideos on Aug 3, 2008
Large, successful companies jumping into emerging market must learn to incorporate chaos into their cultures if they want to compete on the edge.
The trick to staying competitive on the edge is to manage the structured chaos that comes with joining an emerging, dynamic market. When companies are successful in their sector, it's tempting to expand into different, faster-paced markets. The faster the pace, the less the structure.
Stanford University's Kathy Eisenhardt says that bigger companies have a lot of trouble embracing the chaos and uncertainty that comes with venturing outside their comfort zones.
Google.org's Shona Brown concurs. When companies have built support mechanisms around their successful core business, they find they're not equipped for new businesses, where they will be taking a lot more risk. Companies with a terrific core business must work hard to accept that some experiments fail, and that is acceptable.
Standing still is no longer an option in a global economy. Accept the risks, embrace the chaos, and let "failed" experiments lead to success.
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