VUCA stands for Volatility, Uncertainty, Complexity, and Ambiguousness. It is a term that was coined at the end of the Cold War by the US military. However, it’s something that most people would agree is still relevant today. After all, with everything from COVID-19 to Brexit to Donald Trump’s shock election, we live in uncertain times. This is why you need to be prepared and have a leadership response in place to VUCA at your business.
So, how do you respond to VUCA? You need to put a plan together. We are going to take a look at the four crucial things you plan must involve.
- Responding to volatility – You need to put a system in place that is responsive to any unexpected changes. Very rarely will everything go to plan, and so you need to be in a position to respond quickly and effectively. A lot of business owners make the error of only planning for one eventuality and not considering any other option. However, you need to be able to adapt quickly. No matter how much you plan or how certain you are that you’re on the right track, things could change that are beyond your control. Just like at COVID-19. The most flexible businesses have been able to respond better to the pandemic in most cases.
- Responding to uncertainty – The current climate may be uncertain, but your business does not need to be. Get a clear picture of your business’s future. You can gain inspiration by looking at successful business people and entrepreneurs. Patrick Conway is a good example. By taking a look at how professionals have handled situations before, you’re going to be able to learn from their approach and this will help you to take your business in the right direction.
- Responding to complexity – It is important to simplify your business plan to a one-page flight map. Don’t overcomplicate things. This is where a lot of businesses go wrong. They use as many fancy words and technical jargon as possible. In the end, no one knows where they stand. They do not know what their roles are or what they are meant to do, and this creates a bigger mess. You need to make sure that clarity is always your number one aim.
- Responding to ambiguity – Ambiguity is one of the biggest problems when it comes to implementing a business plan. You need to ensure that there is complete clarity across your team. Everyone needs to know their roles and responsibilities, and how they tie into the bigger picture. Be very specific so that no one feels left in the dark.
One thing is for certain: VUCA will remain over the coming years. So, your business needs to be prepared. This is where professional assistance comes into play. You can work with a consultant who can give you everything you need to tackle VUCA head-on, from clearly defined responsibilities and actions to stakeholder analysis and sustainability.