{"id":27631,"date":"2018-03-07T16:42:34","date_gmt":"2018-03-07T22:42:34","guid":{"rendered":"https:\/\/salesv4.aligntoday.com\/blog\/how-adaptability-affects-strategic-execution\/"},"modified":"2023-07-21T07:53:08","modified_gmt":"2023-07-21T12:53:08","slug":"how-adaptability-affects-strategic-execution","status":"publish","type":"post","link":"https:\/\/aligntoday.com\/blog\/how-adaptability-affects-strategic-execution\/","title":{"rendered":"How Adaptability Affects Strategic Execution"},"content":{"rendered":"

According to the U.S. Census Bureau, about\u00a0470,000\u00a0<\/a>companies go out of business in the United States every year. If you think that number seems high, just recall\u00a0what happened to the Delorean.<\/a>\u00a0Surprisingly, only\u00a071 companies of the original 1955 Fortune 500 list<\/a>\u00a0are still around today. What’s the hold-up for these organizations when it comes to strategic execution? How can companies that were once household-names end up going bankrupt? One of the biggest issues that prevents companies from succeeding in the long-run is a failure to adapt.<\/p>\n

Why You Need to Adapt to Improve Strategic Execution<\/h2>\n

Some businesses close for predictable reasons– the company was acquired by a competitor, the owner decided to retire, etc. But others fail because they can\u2019t innovate.<\/p>\n

And it\u2019s not just\u00a0start-ups<\/a>\u00a0that are failing. Although reports show that\u00a08 out of 10 entrepreneurs who start businesses fail within the first 18 months<\/a>, plenty of well-established household name companies have recently folded because of a failure to adapt to changes in the market or their customers\u2019 needs.<\/p>\n

We\u2019ve all heard the story of Blockbuster Video. Started in 1985 by David Cook, Blockbuster saw a huge degree of growth and early successes. Viacom acquired Blockbuster for more than 8 billion dollars in 1994.<\/p>\n

At its peak, Blockbuster employed 60,000 employees across 9,000 stores worldwide and had a market value of more than 5 billion dollars.<\/strong><\/p>\n

So what changed? Blockbuster\u2019s traditional model became outdated as other services emerged which better catered to customers\u2019 needs. For instance, Reed Hastings founded competitor Netflix in 1997. Netflix eliminated many of the pain points that Blockbuster users had complained about, like paying exorbitant late fees, and it revolutionized the video-rental process. Instead of driving to a brick-and-mortar store, customers could simply order videos and have them shipped straight to their door.
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\nYet Blockbuster didn\u2019t adapt soon enough. Rather than change the company’s business model and processes\u00a0to improve strategic execution, when offered the opportunity to purchase Netflix in 2000, they declined. Although Blockbuster finally created its own DVD-streaming service in 2004, it was miles behind competitors Netflix and Hulu.<\/p>\n

The business wasn\u2019t ready to change its model until it was too late. They\u2019re not the only company who\u2019s been unable to keep up with the times, but they\u2019re one of the clearest examples. If you want your organization to avoid Blockbuster\u2019s fate, your company has to be flexible, open to change and grow. Otherwise, you might find yourself obsolete. There are several tactics to help you maintain relevancy and continue to scale up and adapt.<\/p>\n

One way to avoid failure is to\u00a0track your data meticulously. See in which areas your company is excelling, how well your performance matches your goals\u00a0based on your KPIs, and where you need improvement. Evaluate your company in comparison to your competitors, and stay abreast of industry news and updates by following relevant publications and blogs.<\/p>\n

You should also communicate frequently with your customers to identify what they need. Ask for their feedback via surveys and one-on-one conversations, measure satisfaction levels, and take their input into account.<\/p>\n

If your customers need a product that does X, Y, and Z, figure out the best way for your business to meet their needs.<\/strong><\/p>\n

It\u2019s also important to\u00a0avoid feelings of complacency\u00a0within your company. Make sure that your leadership team\u00a0inspires innovation among your employees\u00a0by encouraging learning opportunities, brainstorming new ideas, and being open to change the status quo.<\/p>\n

You don\u2019t need to give up on your company\u2019s goals and processes, but you should be able to tweak and adapt your business strategy as needed.\u00a0Utilize a one-page plan\u00a0to map out your company\u2019s projected goals for the future, but be ready to pivot. Companies that fail to adapt, fail.<\/p>\n

<\/span><\/span>Remember Borders Books? Once a giant in the book industry,\u00a0Borders went out of business in 2011<\/a> because they failed to adapt to the technological advances that were affecting book sales, like the Kindle and other tablet devices.<\/p>\n

Don\u2019t be like these companies that have now become examples of stagnation and stubbornness. Make sure to keep on top of business trends and new advances, so your company can continue to adapt to market needs and scale up successfully.<\/p>\n

If you are looking to scale up check out our strategic planning and execution software<\/a><\/p>\n<\/div><\/div><\/div>

Discover the Power of Align: Book A Free No Obligation Personalized Demo Today<\/h2>\n\n