Acting or Not Acting?

Weigh up the risks of changing against the risks of standing still

Having detected signs that you need to change, make sure that there is a strong case for doing so before you launch into changing your strategy. Weigh up the risks of changing against the risks of standing still, and don't succumb to strategy overload (changing strategic direction too often or in response to small perturbations.) -- you are likely to disorientate your customers as well as your staff.

Remember, too, that the cost of changer -- in therms of time, effort, and money -- are high, and must be borne alongside the costs of running the business "as usual." Can you afford to make a change now? Or can you not afford to not change? Consider your options carefully before you make a decision.

There are times when doing nothing is a viable option -- but this must always be a conscious decision rather than one made by default or because it is the easier option. If you run a small business and are approaching retirement age, for example, you may make the perfectly legitimate decision that the time, effort, and money required to change strategy may not be worthwhile and it is better to maximize income within existing resources while the business slowly runs down.

ACTION POINT: Consider your options carefully when considering strategic change.