Are you thriving or surviving? If your organization is in a complex, dynamic, unpredictable business, like healthcare, you need the capability to adapt.
The data is clear. Successful, established organizations are great at optimizing and improving what they know how to do. The best can’t be beat; until success factors change.
The data also proves that established organizations find it very difficult innovate, i.e., to do what they don’t know how to do. Less than 5% of established organizations can successfully, organically, innovate. As Harvard Business School Professor Clayton Christensen has said many times, when organizations are faced with the need to innovate “great capabilities become great disabilities. It’s almost impossible.”
But “almost” means it’s possible. Organizations that succeed have the additional capacity to adapt. They have the ability to optimize their current value proposition and the capacity to adapt and create new-value. In healthcare, “new-value” is: “using current resources to increase access to more effective care at continually lower cost.”
Adaptive capacity has both positive and negative components and can be measured in the Kenagy Adaptive Capacity Index (KACI). Here’s a high-level, strategic, organizational self-assessment test that can be generated at all levels of an organization. What’s your organization’s adaptive capacity?
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