Agile and Adaptive Capacity
We define AGILE, in the organizational context, as the observed capability to clearly and accurately understand (actionable understanding) the situation (external and internal environments) AND use the understanding to swiftly adapt, innovate, and respond to internal and external changes, disruptions, or opportunities. It encompasses the ability to pivot strategies, processes, and cultures to remain competitive and relevant in a fast changing environment.
Adaptive Capacity refers to an organization's ability to anticipate, prepare for, and respond effectively to changing internal and external conditions, disruptions, or opportunities. It encompasses resilience, flexibility, and ability to learn from experiences, so it can adapt and evolve in a rapidly changing environment. It involves situational awareness, strategic flexibility, Organizational Resilience, Continuous learning and growth and innovation/experimentation.
They are best considered in tandem as agility focuses on speed, responsiveness, and rapid adaptation, often in reaction to external changes; while Adaptive capacity emphasizes long-term resilience, flexibility, and proactive anticipation of potential disruptions. Agility tends to focus on short-term responsiveness (weeks, months) whereas adaptive capacity looks at medium- to long-term adaptability. Agility often targets specific processes, teams, or projects whereas Adaptive capacity encompasses the entire organization, including culture, strategy, and leadership. By surfacing both the ST vs Lt and Stability vs change/experimenting PICTs, you…