The marketplace is becoming ever more demanding. Companies must be highly responsive to shifting demands and market pressures. They must be agile and they must be quick. Physical assets, our plants and equipment, support and sustain our ability to be agile, but do they always do what we want?
A recent McKinsey global survey of executives points to the extreme importance CEOs are placing on agility and speed today. Changes in direction are the norm - change is the only constant. Production capacity and capabilities appear to be fixed, but they too must respond in these markets just like the rest of the company. The capacity and consistency of product output and / or service delivery must be maintained even if production is shifted from one product or campaign to another. Downtime for tooling change over, stoppages, adjustments to changes in feed, etc., must be minimized if companies are to earn already razor-thin margins. But all too often we fail to be as agile as markets demand. We can't adjust quickly enough. Why?
Any change can happen quickly and easily if employees are willing to choose it. Employees in production, service delivery and support environments are highly adaptable - yet they often don't get credit for that adaptability. Management, and in particular middle management levels, tends to believe that change must happen slowly and that it won't happen without a great deal of angst and struggle. Well - if you believe that, then that is what you'll experience. In companies where there is a sense of urgency, direction and purpose changes can happen rapidly. Look at Chrysler's turnaround under Lee Iacocca in 1979, at the Royal Navy's response to the crisis in the Falkland Islands in 1982, to the rapid response to terrorist acts following 9/11 and to the mobilization of aid to flood victims after the Tsunami in Dec 2004. You'll see huge initiatives "pulled off" successfully with a sense of urgency, direction and purpose. Even in the absence of leadership actions were directed and meaningful as they were after the 2004 Tsunami. What made these successful?
People overcame whatever blockage, resistance to change, fear and its emotional underpinnings to respond when, where and as needed.
Our businesses are fighting a war of sorts with our competitors both at home and abroad. CEOs are seeing the need for agility and speed because they perceive the need as urgent. Does the message about direction, the sense of urgency and the purpose make it to the shop floor - not always. That's what fails. Our business systems are designed perfectly to give us the results we get. If we don't like the results look at the systems.