2020/8/9
ORGANIZATIONAL WORK GROWING IN IMPORTANCE
McKinsey’s engagement mix Percent of time
Evolving marketplace • Quickening pace of strategic adaptation • Durable competitive advantage often rooted in unique organizational capabilities
8
17 40
Organization lacked the capabilities to execute strategy
35 Client not change-ready or committed
2020/8/9
The demand for organizational work is increasing. Trends in the marketplace and the evolving nature of our clients largely explain this increase in demand. The pace of change in the marketplace is accelerating . A strategic choice or an operational innovation evokes a rapid reaction from competitor. Rarely can a durable competitive advantage be found in these choices. Rather it is the development of a unique organizational capability with the inherent flexibility and commitment to sustain world-class performance that provides durable competitive advantage in these times of rapid change. The clients we serve are changing as well. They have increasingly hired in-house strategic capabilities. Most have built strategy shops close to the CEO. Few, however, have the in-house capability and objectivity to do the organizational work required to make change happen.
