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LEADERSHIP SKILLS & STRATEGIES

V U C A world

Antonio O. Ganub
Presenter
Origins behind the VUCA leadership principle:

The “VUCA leadership” principle originally stems from


an army and military term used after the Cold War,
when the world became more complex due to a
number of factors.
In recent years, it has been applied to a business
context as “VUCA” also accurately describes the
modern day terrain organizations are faced with as
they deal with international markets, continuous
restructuring, growth and/or downsizing, economic
and global influences, technological change, cultural
and societal shifts, and more. Not only that, the pace
and frequency of these changes occur faster and
more intense than ever before.
The VUCA leadership principle takes into
consideration the Volatility, Uncertainty, Complexity,
and Ambiguity which have to be dealt with in various
conditions and circumstances.

VUCA leadership aims to help manage the rapid


and unpredictable change, which is ultimately, the
new norm for leaders in today’s modern era.
VUCA is an acronym (artificial word), first used
in 1987 and based on the leadership theories
of Warren Bennis and Burt Nanus, and stands
for:
Volatility
Uncertainty
Complexity
Ambiguity.
Volatility recognizes frequent and rapid change,
Uncertainty is the unpredictability of events
Complexity highlights the multiple factors and issues to
be considered, and
Ambiguity draws attention to the fact that there is lack
of clarity, understanding and precision due to multiple
meanings and messages within a situation you are
dealing with.
VUCA conflates four distinct types of challenges
that demand four distinct types of responses.

That makes it difficult to know how to approach


a challenging situation and easy to use VUCA as
a crutch.
Guide to identifying, getting ready for, and
responding to events in each of the four VUCA
categories;
V
VOLATILITY

We live in a world that’s constantly changing, becoming


more unstable each day, where changes big and small are
becoming more unpredictable – and they’re getting more
and more dramatic and happening faster and faster. As
events unfold in completely unexpected ways, it’s
becoming impossible to determine cause and effect.
U
UNCERTAINTY

It’s becoming more difficult to anticipate events or predict


how they’ll unfold; historical forecasts and past
experiences are losing their relevance and are rarely
applicable as a basis for predicting the shape of things to
come. It’s becoming nearly impossible to plan for
investment, development, and growth as it becomes
increasingly uncertain where the route is heading.
C
COMPLEXITY

Our modern world is more complex than ever. What are the
reasons? What are the effects? – Problems and their
repercussions are more multi-layered, harder to understand.
The different layers intermingle, making it impossible to get an
overview of how things are related. Decisions are reduced to a
tangled mesh of reaction and counter-reaction – and choosing
the single correct path is almost impossible.
A
AMBIGUITY
“One size fits all” and “best practice” have been relegated
to yesterday – in today’s world it’s rare for things to be
completely clear or precisely determinable. Not
everything is black and white – grey is also an option. The
demands on modern organizations and management are
more contradictory and paradoxical than ever, challenging
our personal value systems to the core.
A
AMBIGUITY

In a world where the “what” takes a back seat to the


“why?” and the “how?”, making decisions requires
courage, awareness, and a willingness to make mistakes.
Best practice was yesterday
Best thinking is in demand today and tomorrow
What does VUCA mean for your LEADERSHIP
and your strategies?
V
VISION

Paint a picture of the future you want. Together; as a


compass and for orientation; in order to confer
meaning and spark motivation – and to forge
internal and external identity and effectiveness.
U
UNDERSTANDING

Understand interconnections; make them


transparent. Reflect on the context. Think and plan
meta-strategically. Start from the result and work
backwards. Harmonize skills. Embrace and exploit
behaviors and reactions. Convert anxiety and
resistance into productive energy.
C
CLARITY

Simplicity. Focus on what counts and what it's really


about. Trust, transparent connections and processes.
Apply energy and force exactly where they will be
most effective.
A
ADAPTABILITY / AGILITY

Flexibility. Agility. Scrutinize hierarchical


management techniques. Promote a consistent
culture for making decisions and accounting for
mistakes. Interact transparently with objections.
Facilitate innovation and build up resilience.
Why does knowing the Volatility, Uncertainty,
Complexity and Ambiguity help leaders in the
context of uncertainty?
VUCA leadership has been adopted in various
organizations to assist with everything from
leadership and strategy planning to crisis
management and disaster recovery.
Leaders have more to deal with in a more uncertain
world, make decisions faster, and manage large amounts
of information and interconnected variables. A VUCA
leadership approach can assist in shifting their mindset
from relying on set outcomes to thinking of all
possibilities in a challenging environment.

It helps leaders prepare for uncertainty and managing


the associated risks.
It means that leaders are:
1.Preparing for as many alternative realities,
challenges, and issues as possible.

2. Anticipating market, technological, economic, and


other trends, opportunities, events, and risks.

3.Increasing the level of preparedness for change


4.The ability to adapt strategy for both expected and
unexpected change.

5. A need to practice leadership agility and hiring


employees who are capable of adapting to change.

6. Creating a corporate culture which is supportive


and adaptive to change and uncertainty.
7.Practicing a non-linear approach to decision
making and encouraging “out of the box” thinking.

8. A leader who is able to manage uncertainty whilst


still maintaining their vision and mission will be a
true asset to an organization.
How can this principle assist with team management?
Dealing with a volatile, uncertain, complex, and
ambiguous environment leads to an important
consideration for leaders and managers: guiding a team
through this new norm. But how do you manage and
lead a team through the unknown when there is no
solution or perfect outcome?
The VUCA leadership principle can assist with this
because it focuses on dealing with higher levels of
complexity, and to manage these, VUCA leaders will:

1.Focus on vision and values. Whilst the work,


environment, and other factors may change, leaders
can offer a reliable framework and reminder of the
overall end goal to those around them, in order to
continue moving forward.
2.Be the communicator and the person who provides
clarity in an unclear environment. They recognize the
importance of communicating and collaborating with
their team and keeping them in the loop.

3.Be agile and hire and encourage agile employees in


their teams and corporate culture. When change is a
constant, and there are constant shifts likely to occur,
managing the human resources element to this will be
critical.
4.Embrace change, anticipate and prepare for multiple
outcomes, and apply readiness and change
management skills to everything that they do.

5.Take on and manage different perspectives and be


able to take a step back to consider the bigger picture.
VUCA leadership may be the best way to help your
leaders in the context of uncertainty and assist in team
management.
THANK YOU!

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