Study: The Agile Performer Index | Page 3

03 01 EXECUTIVE SUMMARY Agile companies are significantly better performers compared to their peers. The most agile companies in any one industry are, on average, 2.7 times more successful than their peer group. Agility is confirmed as a significant competitive advantage and a key to success in a dynamic, digitally transformed market environment. Agile management is a guarantee for entrepreneurial success. Only 5% of the companies investigated manage aboveaverage performance despite low agility. This underscores the strong correlation between agility and performance, demonstrating an acute need for action by companies that have not yet introduced agile structures and practices. Agility is the organization’s capability to adapt promptly, effectively and sustainably to achieve performance advantages. Agility is more than just being able to respond ad-hoc to new situations. Agility contributes to success primarily when it embraces all the dimensions of an organization’s design: purpose and strategy, collaboration and operationallevel activities, organizational structures, leadership and people. Transforming a company into an agile organization is a long-term challenge. Most importantly, it’s a challenge that takes in every aspect of the organization. The Agile Performer Index demonstrates that top-level executives rate their company’s agility higher than do people in middle management: a clear indication that even when the move to greater agility is initiated by C-level decisions, it is still imperative to engage and inspire every level of the organization. Contrary to expectations, digital maturity is not the driving force for agile practice. The highest degree of agility is achieved in the Travel & Transportation and Professional Services industries. At the bottom of the ranking are the Energy sector and – lagging well behind – Financial Services. Telecommunications, Media & Technology (TMT), an industry that has experienced years of disruptive change through digital transformation, ranks in the lower midfield. Industries with greater digital maturity may take a more critical view of their own agility, acknowledging a need for change only when they experience considerable pain and pressure by the competition. An organizational “fitness test” determines agility compared to competitors, and individual heatmaps help to identify optimum points for initiating change. With the help of science-based analytics, an organization can learn whether agility is already codified into its business practices and, if not, which areas it can address to become more agile – sustainably, efficiently and continuously. After analyzing over 60 transformation programs of well-known companies, goetzpartners has developed four basic sets of measures – "fitness programs" – to help organizations improve their agility and therefore their performance.