Career Center Business NetworkingAgility means responding to rapid changes and continuous change management. With the rapid economic changes and unexpected market behavior, the virtual business networks have to adapt themselves to be able to respond in a timely and fast manner. Therefore agility provides the virtual business networks the ability to minimize losses and also as a risk deterrent. Agility can also be thought of as flexibility. The traditional businesses are more rigid in formulating a project flow and sticking to the plan till its completion.
Agility in the view point of business networks means the flexibility in incorporating changes during the execution of a long term project. This is the latest trend among the business network communities. This article will bring out the salient features of agility, its need and applicability in business networks.
Agility is an important factor in case of projects that run into several years. It is not possible to forecast accurately about the risk factors and problems associated with such long term projects. The research and development programs for the defense sector are the best example for such projects. The business networks realized the requirement of formulating and re-designing their supply chain process to provide for such rapid change request and adaptability. Based on research for several years, the new model of Agile Business network principles have been introduced. Hence Agility factor is considered as a strategic success tool. In order to evaluate the agility strategy considerable amount of time is required.
To incorporate agility in business networks, it is important to understand the factors which affect its implementation in the business networks. There are other factors which contribute to the success in coordination with agility in a business network. The factors that are essential to be considered before adopting agility strategies in a business network are described below.
Social factors: Social dynamics play a major role in determining the influence on agility of a business network. This is because most of the networks are formed with social and cultural interests in small regions around the world. Adopting a radical and new principle is considered risky and hence there is great resistance causing direct influence on the agility of the business network.
Cultural Paradigms: The next important factor that affects agility is the cultural paradigms. These are age old polices and conventions followed for years by the members of a business network. In certain cases these paradigms are nation wide, and are accepted by the major business networks and vary from country to country.
Management Metrics: Agility requires accurate results produced through analysis and management metrics. The factor of management metrics relies on accurate data for formulating metrics and measures which provide indication of the success of a particular business network model or process flow. Early detection of problems will lead to corrective action and prevent major disasters.
Common Principles: The key factor that influences the agility in a business network is the formulation and adoption of a unified objective and goal. This involves a thorough study of the individual member businesses or companies of the business network and analysis to work out the unified vision acceptable by all the members.
Next Page: Differentiating Agility
