A strategy that prioritizes real-time experimentation will help you gain valuable knowledge, assets, and capabilities.
If you are an Amazon customer, chances are you have encountered household names such as Amazon Prime and Zappos. It’s less likely that you would have noted the baby steps Amazon took to expand beyond its core business into consumer financial services.
The answer is that Amazon is an imperfectionist, a concept we’ve developed over several decades of helping companies and nonprofits, and one that we believe is vital for organizations striving to prosper in today’s uniquely uncertain economic environment.
Under today’s conditions, we believe that real-time problem solving, not theoretical frameworks, should be the heart of strategy development. This starts with a hypothesis, often framed as an audacious question that when answered will provide strategic insight on the first steps of a solution staircase.
This leads to a pragmatic plan to step into uncertainty, gathering more information from small moves, while adding capabilities and assets, laying off risk to others where possible, and learning from mistakes and successes. It involves recognizing that strategic decisions are probabilistic wagers, and moves are made commensurate with an assessment of the odds.
Chishti and Wirth proposed a series of transparent, custom-manufactured removable plastic alignment retainers, developed through software-designed treatment plans. They called their solution Invisalign, emphasizing that the aligners would be inconspicuous to others. By changing to a new set every few weeks, the patient’s teeth would gradually move into the desired position without the need for metal braces.
Moving down the cost curve required substantially increased frequency of launches. During the 30-year period of its space shuttle program, NASA averaged 4.5 flights per year. In 2021 Space X launched 31 rockets in orbit, up from 26 the prior year. In early 2022 it was launching three to five missions per month. More frequent launches and other innovations have dramatically reduced the cost of putting a kilogram of mass into space.
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