Adaptability: The Key to Continued Success in a Chanigng Environment
In a world where everything is constantly evolving, adaptability becomes essential for businesses not only to survive, but to thrive! According to data gathered in the recent' Business Adaptation' study by CLA Consulting in Latin America, over 70% of companies that took the risk of adapting their operation models experienced increased profitability and efficiency.
The study highlights that not all countries, company sizes, and industries face the same reality. Chile stands out as the country where small startups lead in this aspect. However, a considerable disparity is observed in Mexico and Argentina when comparing the adaptive capacity of large traditional organizations with that of unicorns (private businesses worth over one billion USD). In the two Latin American countries that have the most incubated unicorns, it's evident that large traditional companies face significant challenges in their adaptive evolution.
The changes to overall business adaptability between 2022 and 2023 in Peru, Colombia, and Chile are fascinating. In Peru, the adaptive capacity of large organizations decreased, while small, traditional, and startup organizations increased their Adaptive Capacity Index (ACI). In Colombia, all types of organizations saw a decrease in their ACI. Conversely, in Chile, the trend was upward for all kinds of organizations, except for large startups, which remained without decline, as happened in Peru and Colombia.
The difference between North American and Latin American industries is also notable in the transportation sector. While transportation companies in the United States reached an adaptability index of 49.6% in 2023, Latin American companies obtained an average of 42.9% in the same period.
At Maxiloda, in our recent years working in the region, we have witnessed much of this reality when presenting our innovation to optimize road freight transportation in regional businesses. Our aspiration to move towards a more sustainable and efficient future in the logistics industry necessarily requires changing paradigms, starting with collaboration. This seemingly small yet beneficial activity demands access to data, an open approach towards suppliers, empowered teams, and known processes and deadlines. This simple challenge is a significant obstacle to overcome in the entrepreneurial environment.
But what can we share with you from organizations where we DID achieve this? Here comes our contribution in complement to CLA's study. The most critical variables for adaptability and innovation adoption in our experience are:
Leadership from managers that mobilize and sustain the change process to successfully implement and demonstrate all the benefits of innovation.
A collaborative corporate culture that rewards individual achievement as well as collective success. A non-siloed approach, where everyone's results are more important than those of a single group or area. Where a department is willing and able to 'yield' or 'lose' in favour of the larger global objective.
Empowered teams that have a clear framework to make decisions and progress in projects.
In conclusion, it's time to act! Adaptability isn't just necessary; it's both essential and achievable. Latin American companies have the potential to lead this transformation. We invite you to adopt an adaptable approach, to innovate, and to commit to sustainability to achieve a more prosperous and resilient future in the business world.
If you would like more information about business adaptation, you can find the complete study at www.claconsulting.com. If you're ready to being your journey towards becoming a more adaptable transportation business, you can learn more about our versatile systems @ www.maxiloda.com.
The Maxiloda Team
