This article first appeared in the December, 2004 edition of the Jacksonville Business Journal
We live in a world of ever-increasing change. Instant communications, global web connectivity, email, cell phones, and other tools have increased the pace of our lives dramatically. Despite these changes, we typically adjust to new circumstances without changing the basic way we conduct our business. We assume that the rules of our business have not fundamentally changed - we just have to "work smarter" to keep up.
But that may not always be the case. Sometimes the basic rules of the game shift. No one announces the shift. Some people and companies simply start to work with it.and begin to achieve new levels of success. This phenomenon is called a "paradigm shift." Lots of people use the term loosely - but very few actually understand it until it becomes the brick wall that stands in the way of progress.
We live with thousands of unconscious and automatic "rules" that help us guide our actions. These rules were created from our broader life experience and our past successes. They are the beacons that enable us to say; "This will work" or "Don't do that" or "Try this." When someone violates our rules we usually react negatively with phrases like: "That will never work." "That's not how we do things around here." "Where did you get that crazy idea?"
Often our internal counsel is wise. Our knowledge and success does come from past experience and success. But sometimes unconscious rules make it difficult - even impossible - for us to consider a new approach because it breaks our rules.
Sears became this country's largest retailer by changing the rules - establishing a catalog business that drove their largest competitor out of the market space. WalMart then put a stake in the heart of Sears by changing the rules again - with its low price, high volume, big box store model. The final death knell was struck by web-based sales - new rules challenging the entire global retail industry.
Dell computers achieved dominance in the personal computer market by changing different rules. Their paradigm shift is a distribution system that enables manufacture to order products shipped directly to the end user, allowing minimal inventory and eliminating several layers of distribution.
Apple is changing the music industry with iPod. Speaking of music, the changes from records to tape to CDs to DVDs to MP3s have left many companies in the dust.
Not all rule changes are based on technology. A current economic paradigm shift is the movement of production to off-shore providers. Even global call centers are based in India with personnel trained to sound like they are taking your call from Ohio.
The public sector is not immune to paradigm shifts. Public education is facing a paradigm shift right now as parents demand accountability for results. These demands are manifested through accountability standards, FCATs, school grading systems, voucher programs, charter schools and home schooling alternatives. So far, the public education system is defending the status quo - but with less and less success. They must ultimately respond to changes in the rules of their world as well.
Some say opportunity knocks but once. I say that it knocks often...but very softly. We need to listen carefully to hear it. When the rules change, we encounter new opportunities. But if we do not listen carefully, opportunities may sound more like threats. And a defensive response is the worst possible reaction.
People who resist change are often those who are most successful using the current paradigm - the way it is today. After all, they have the most to lose. Radical change often comes from outsiders - they don't see the world the same way, they aren't locked into the rules, and they have very little to lose. That's how FedEx got started.
So what does this mean? Listen carefully and observe the world around you with eyes wide open. When people start talking differently or using different methods, don't dismiss them. Look hard at what they are doing. They may have developed a new set of rules that makes possible today what was impossible yesterday.
The challenge is to remain flexible and open to new ideas - not to be destroyed by the "terminal disease of certainty." Not all changes are automatically better. But if they are solving problems that could not be solved before, examine them closely. You may not lead the charge - but you need to be ready to jump on quickly. Those who wait too long will find themselves remaining on the dock as the ship sails away.
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