THE BIGGEST CHALLENGE OF THE MODERN FIRM
In order to be successful in today’s dynamic environment, firms have to be able to quickly adapt to changing customer demands and technological developments.
40% of Fortune 500 companies in 2000 did not exist anymore 10 years later.
Staying ahead requires continuous innovation. The biggest challenge for today’s organizations is balancing the execution of their current business model (exploitation) with the search for new business models (exploration). This balance is called ambidexterity. A crucial precondition for becoming an ambidexterous organization, is that an organization is also an entrepreneurial one.