Let's look closer at BCG (Boston Consulting Group) for an adaptive strategy, called Adaptive Advantage. This is a strategy that allows an organization to realize that the market is not stable or necessarily predictable. Our authors. Swayne, Duncan, and Ginter (2013) describe the BCG analysis as, "graphically portrays differences among the various products/services in terms of relative market share and market growth rate.
Relative market share is the market share held by the largest rival organization compared with the market share held by others in the service category.
Market growth rate can be measured by the changes in the level of gross revenues or by population or service utilization grown (admissions or inpatient days)" (p. 267).
BCG points out most companies, and especially those in industries characterized by both unpredictability and a high rate of change, need a more adaptive and dynamic approach to strategy. The hardest-hit industries are those that have been disproportionately affected by globalization, deregulation, digitalization, connectivity, deconstruction, and the shift from products to services.
The organization's ability to achieve superior outcomes in a turbulent environment is by continuously reshaping the enterprise through a process of managed evolution. (bcg.com)
Now let's look at what BCG has to say about adaptive advantage. BCG (bcg.com) says that there are three element that describe adaptive advantage they are; readiness, responsiveness, and resilience. These elements are necessary for an organization to survive in a changing environment. Their expanded portfolio analysis that they are most well-known for comes in terms of 'Cash Cows, Problem Children, Shining Stars and Faithful Dogs, Black Holes, Cash Pigs and Mangy Dogs.'
What would this organization be measuring in terms of Cash Cows, Problem Children, Shining Stars, Faithful Dogs, Black Holes, Cash Pigs and Mangy Dogs? Choose one and give an example?
Read More:
https://www.bcg.com/about_bcg/institutes/strategy_institute/adaptive_advantage.aspx
https://www.bcgperspectives.com/content/articles/future_strategy_business_unit_strategy_adaptive_advantage/
Swayne, L. E., Duncan, W. J., &Ginter, P. M. (2013). Strategic management of health care organizations (7th ed.). Hoboken, NJ: Wiley.