{"id":9038,"date":"2020-02-26T15:37:23","date_gmt":"2020-02-26T14:37:23","guid":{"rendered":"https:\/\/avs-advisors.com\/?p=9038"},"modified":"2021-09-28T17:55:15","modified_gmt":"2021-09-28T15:55:15","slug":"navigating-through-rough-seas","status":"publish","type":"post","link":"https:\/\/avs-advisors.com\/es\/navigating-through-rough-seas\/","title":{"rendered":"Navigating through rough seas"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-8vgb1o-6917258f33da21f07e60183664e54de0\">\n.flex_column.av-8vgb1o-6917258f33da21f07e60183664e54de0{\n-webkit-border-radius:0px 0px 0px 0px;\n-moz-border-radius:0px 0px 0px 0px;\nborder-radius:0px 0px 0px 0px;\npadding:0px 0px 0px 0px;\n}\n<\/style>\n<div class='flex_column av-8vgb1o-6917258f33da21f07e60183664e54de0 av_one_fifth  avia-builder-el-0  el_before_av_three_fifth  avia-builder-el-first  first flex_column_div av-zero-column-padding '     ><style type=\"text\/css\" 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srcset=\"https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors.jpg 300w, https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors-80x80.jpg 80w, https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors-36x36.jpg 36w, https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors-180x180.jpg 180w, https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors-185x185.jpg 185w, https:\/\/avs-advisors.com\/wp-content\/uploads\/2017\/09\/Advice-Governance-Leadership-AvS-International-Trusted-Advisors-120x120.jpg 120w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/div><\/div><\/div><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-7ldcto-9f1016c7c66bb4ad71a854dcaae0ea63\">\n.flex_column.av-7ldcto-9f1016c7c66bb4ad71a854dcaae0ea63{\n-webkit-border-radius:0px 0px 0px 0px;\n-moz-border-radius:0px 0px 0px 0px;\nborder-radius:0px 0px 0px 0px;\npadding:0px 0px 0px 0px;\n}\n<\/style>\n<div class='flex_column av-7ldcto-9f1016c7c66bb4ad71a854dcaae0ea63 av_three_fifth  avia-builder-el-2  el_after_av_one_fifth  el_before_av_one_fifth  flex_column_div av-zero-column-padding '     ><p>\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-av_heading-7be66cc4de7a10aaf583fdff7f66bb52\">\n#top .av-special-heading.av-av_heading-7be66cc4de7a10aaf583fdff7f66bb52{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-av_heading-7be66cc4de7a10aaf583fdff7f66bb52 .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-av_heading-7be66cc4de7a10aaf583fdff7f66bb52 .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-av_heading-7be66cc4de7a10aaf583fdff7f66bb52 av-special-heading-h1 blockquote modern-quote  avia-builder-el-3  el_before_av_heading  avia-builder-el-first '><h1 class='av-special-heading-tag'  itemprop=\"headline\"  >Navigating through rough seas<\/h1><div class='av-subheading av-subheading_below'><p>Opportunities and risks of volatile markets for company leaders<\/p>\n<\/div><div class=\"special-heading-border\"><div class=\"special-heading-inner-border\"><\/div><\/div><\/div><br \/>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-av_heading-320c177c6238c032dc5d223643bbbd81\">\n#top .av-special-heading.av-av_heading-320c177c6238c032dc5d223643bbbd81{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-av_heading-320c177c6238c032dc5d223643bbbd81 .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-av_heading-320c177c6238c032dc5d223643bbbd81 .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-av_heading-320c177c6238c032dc5d223643bbbd81 av-special-heading-h5 blockquote modern-quote  avia-builder-el-4  el_after_av_heading  el_before_av_font_icon '><h5 class='av-special-heading-tag'  itemprop=\"headline\"  >by Felix B. Waldeier<\/h5><div class=\"special-heading-border\"><div class=\"special-heading-inner-border\"><\/div><\/div><\/div><br \/>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-k61yt6pc-4b3d0b31c33d1ba5940ad0ea1382b06a\">\n.av_font_icon.av-k61yt6pc-4b3d0b31c33d1ba5940ad0ea1382b06a .av-icon-char{\nfont-size:40px;\nline-height:40px;\n}\n<\/style>\n<span  class='av_font_icon av-k61yt6pc-4b3d0b31c33d1ba5940ad0ea1382b06a avia_animate_when_visible av-icon-style- avia-icon-pos-left av-no-color avia-icon-animate'><span class='av-icon-char' aria-hidden='true' data-av_icon='\ue819' data-av_iconfont='entypo-fontello' ><\/span><\/span><br \/>\n<section  class='av_textblock_section av-k61ywyoh-aa80164a0bbcfe1a68ac25d8daf20471'  itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/BlogPosting\" itemprop=\"blogPost\" ><div class='avia_textblock'  itemprop=\"text\" ><p>Everything about the way we live and work is changing faster than ever before. Technological innovation has caused a digital revolution and markets are increasingly flooded with new products in ever-shorter innovation cycles. Trends such as globalisation and urbanisation are being driven by these developments, and a global shift in economic power is taking place. Changes in the political landscape have significant impact on economic rules of play as well: Great Britain\u2019s vote to leave the European Union and the election of Donald Trump as US President are examples of surprising political changes that have a major impact on the market. Against the background of the rise of populism and extremist parties, international relations might be fundamentally altered once again by the forthcoming elections in Germany and elsewhere.<\/p>\n<p>These rapid changes fuel instability and uncertainty, and entail considerable risks for companies. Successfully established business ideas or products can become more or less redundant overnight due to new products that permanently disrupt or alter entire markets. Unpredictable economic and political developments can influence market situations and make a company\u2019s medium to long-term planning considerably more difficult.<\/p>\n<p>While individuals may quickly adapt their consumer habits and lifestyles to such changes, it is much more difficult for companies to rapidly reorient their businesses and react to disruptive technologies within a short period of time.<\/p>\n<p>The arising uncertainty can be aptly described by the acronym VUCA: \u201cVolatilty, Uncertainty, Complexity, Ambiguity\u201d. Companies facing major challenges are forced to rethink their well-tried winning formula and come up with new, innovative concepts. The speed and complexity of the market dynamics as well as the unprecedented political landscape are especially challenging for (family) companies, whose long traditions and sometimes rigid structures often slow down adaption processes \u2013 in contrast to small, technology-driven start-ups.<\/p>\n<p>Besides possible risks and dangers, disruptive changes also offer major opportunities for businesses. True to the motto \u201ca magic dwells in each beginning\u201d, innovative technologies offer completely new possibilities to transform and expand businesses. Growing networks across continents and industries open up new markets and unprecedented growth opportunities. Companies using these opportunities are able to generate a competitive advantage and improve their market position. This of course does not happen by itself. It depends very much on the company owners and leaders, who have to set the right parameters by adjusting the company\u2019s strategy and business model \u2013 and by sending clear signals to the organisation.<\/p>\n<p>However, rapid change does not only affect the organisation as a whole, but also its executives on an individual level. Since these changes are often not only unexpected, but also unpredictable, it has become extremely difficult for company leaders to prepare themselves and take the right decisions. Proven answers and decision-making schemes no longer work as disruptions are not sufficiently understood and are often too complex. At the same time, decisions usually have to be taken under great time pressure and the obligation to quickly react. The emerging high level of uncertainty complicates the managers\u2019 daily work, leading to a subjective feeling of insecurity, pressure and fear of losing control. Many CEOs and senior executives may be forgiven for feeling that in today\u2019s economy, they are all \u2018new on the job\u2019 \u2013 even if they have decades of experience under their belt.<\/p>\n<p>In consequence, many senior executives feel powerless. They are paralysed, become risk averse, invest insufficiently, and instead prefer to hoard cash. Others exhibit ill thought-through, adventurous behaviour due to a lack of understanding and clarity, which significantly increases the risk of serious mistakes and failure. Entrepreneurs often have to focus on \u201cfire-fighting\u201d in order to combat acute problems, rather than laying the foundation for long-term development and success. In difficult times, company leaders often have to withstand a closer scrutiny by the supervisory board, the owner, the customers or even regulatory authorities. External pressure with regard to deadlines, resources and expectations consequently leads to increased tension within the organisation. Growing speed and complexity also increases stress for the individual: a lack of sleep and constant pressure to remain focused make the work of a senior executive harder than ever before. How this stress level is dealt with individually can also influence the impact of turbulent times on the company.<\/p>\n<p>Effective management in uncertain times requires exceptional company leaders, characterised by great flexibility, versatility, anticipation and proximity to the market. The status quo needs to be challenged, strategies adapted and optimisations implemented. This also includes a calculated risk tolerance: by taking important decisions and implementing them with the right management, true change that sustainably shapes a company can be initiated. Furthermore, demanding times can make executives experience a high learning curve and their newly acquired (and hard won) knowledge can be capitalised on in the future. In addition, volatile scenarios allow new, creative decisions and solutions. Leaders can individually benefit from finding out how good they really are and how they perceive the company, its strategy and their own role in difficult times.<\/p>\n<p>To leverage the positive and minimise the negative impacts of disruptive change, the executive of tomorrow has to understand how a complex, economically and politically changing world is affecting business models, organisations, and the individual. They not only have to be able to deal with uncertainty, but moreover to exploit the opportunities that are also thrown up. In times of uncertainty, entrepreneurs need to reconsider how they are hiring, retaining and developing top leadership positions. Different ideas and best practice advice on how to do so are described by my colleagues Carolyn Lutz and Nick Harris in the article \u201cAdapting to adversity\u201d.<\/p>\n<\/div><\/section><br \/>\n<div  class='avia-buttonrow-wrap av-k61ze9w6-f76018f3fb98b17a0aff0b6ac95eb808 avia-buttonrow-right  avia-builder-el-7  el_after_av_textblock  avia-builder-el-last '>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-av_buttonrow_item-da2fef32b6925ac6e1df2d61bc60ec1c\">\n#top #wrap_all .avia-button.av-av_buttonrow_item-da2fef32b6925ac6e1df2d61bc60ec1c{\nmargin-bottom:10px;\nmargin-left:10px;\n}\n<\/style>\n<a href='https:\/\/avs-advisors.com\/es\/trustedadvisor'  class='avia-button av-av_buttonrow_item-da2fef32b6925ac6e1df2d61bc60ec1c avia-icon_select-yes-left-icon avia-size-small avia-color-theme-color'  ><span class='avia_button_icon avia_button_icon_left ' aria-hidden='true' data-av_icon='\ue830' data-av_iconfont='entypo-fontello'><\/span><span class='avia_iconbox_title' >back<\/span><\/a>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-av_buttonrow_item-4d235036acdddcb9c823752bd56c7223\">\n#top #wrap_all .avia-button.av-av_buttonrow_item-4d235036acdddcb9c823752bd56c7223{\nmargin-bottom:10px;\nmargin-left:10px;\n}\n<\/style>\n<a href='https:\/\/avs-advisors.com\/wp-content\/uploads\/2020\/03\/TTA_2017_01_Navigating_EN.pdf' class='avia-button av-av_buttonrow_item-4d235036acdddcb9c823752bd56c7223 avia-icon_select-yes-left-icon avia-size-small avia-color-theme-color' target=\"_blank\" rel=\"noopener noreferrer\"><span class='avia_button_icon avia_button_icon_left ' aria-hidden='true' data-av_icon='\ue82d' data-av_iconfont='entypo-fontello'><\/span><span class='avia_iconbox_title' >Download PDF<\/span><\/a>\n<\/div><\/p><\/div>\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-2a6n1o-6aeba8d515cc66995d2ad0cbef497f1c\">\n.flex_column.av-2a6n1o-6aeba8d515cc66995d2ad0cbef497f1c{\n-webkit-border-radius:0px 0px 0px 0px;\n-moz-border-radius:0px 0px 0px 0px;\nborder-radius:0px 0px 0px 0px;\npadding:0px 0px 0px 0px;\n}\n<\/style>\n<div class='flex_column av-2a6n1o-6aeba8d515cc66995d2ad0cbef497f1c av_one_fifth  avia-builder-el-8  el_after_av_three_fifth  avia-builder-el-last  flex_column_div av-zero-column-padding '     ><\/div><\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":5,"featured_media":5556,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[54],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.6 - 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