Nano Tools for Leaders® are fast, effective leadership tools that you can learn and start using in less than 15 minutes — with the potential to significantly impact your success as a leader and the engagement and productivity of the people you lead.
Contributor: Yoram (Jerry) Wind, The Lauder Professor, Professor of Marketing, The Wharton School, University of Pennsylvania
Encourage innovation, find successful strategies, and create competitive advantages through continuous, adaptive experimentation.
Finding your next successful strategy in an environment of increasing uncertainty and complexity is daunting. The traditional approach involving the implementation of one strategy — unless you have uncanny insights into how it will work — won’t yield the answers you’re looking for. Even if perceived to be successful, what will it reveal about the next step? Adaptive Experimentation (AE) involves the creation and implementation of continuous experiments to improve your strategies over time. By pursuing several approaches, you will be able to better identify strategies for the next level of experimentation, yielding results that improve with each step.
Whether used to develop new products and services, target marketing programs, create better customer experiences, or redefine a brand positioning, the benefits of AE include identifying stimulating breakthrough ideas, creating an innovation culture, and developing strategy. Innovation is encouraged through experimentation. Measuring success or failure is embedded in the process, and because failure yields valuable information, permission to fail is an integral element. AE also creates a compelling competitive advantage: continuous experimentation means your competitors can’t discern your master experimental design. Read the rest of this entry »