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Organizational readiness

Setting Sail Without Checking the Boat

The 84/6 problem, the paradigm shift it reveals, and some news I've been waiting to share

Let me give you two numbers that explain most of the failed change initiatives I've witnessed in 36 years.

84 and 6.

According to McKinsey Global Survey research, 84% of executives believe innovation is critical to their growth strategy. Only 6% are satisfied with their innovation performance.

Sit with that gap for a moment. It's not an effort problem, organizations are pouring energy and money into innovation. It's not a belief problem, leadership is convinced. So what is it?

The gap is the paradigm shift, measured. The paradigm of business has shifted, things are moving so fast and have become so complex that the old way of working, dividing problems by department and solving them one at a time in a linear fashion, no longer works. The 84% believe in innovation. The 6% have actually changed how they operate to match the world as it now is. Everyone else is running a new-paradigm ambition on an old-paradigm operating system, and the gap between those two numbers is what that mismatch costs.

Here's the most common way I watch it play out: organizations launch innovation initiatives without ever honestly assessing whether they're ready for them.

It's like setting sail without checking whether your vessel is seaworthy. The enthusiasm is real. The destination is right. The boat has a hole in it.

Every organization exists somewhere on what I call the Innovation Ecosystem continuum. Some are genuinely Innovation Ready, the cultural foundation is solid, psychological safety is real, and they can accelerate with confidence. Some are in Foundation Building mode, capable, but with specific, identifiable gaps that will sink a premature launch. And some require Fundamental Restructuring first, because, as I wrote about two weeks ago, installing innovation on top of broken trust doesn't just fail. It erodes the trust further and makes the next attempt harder.

None of these positions is shameful. What's costly is not knowing which one you're in, launching as if you're ready, failing for reasons you never diagnosed, and concluding "innovation doesn't work here." The organization tried the initiative. It never checked the boat.

Readiness can be assessed, honestly, specifically, across four dimensions: Cultural Foundation & Leadership Commitment. People & Engagement. Systems, Processes & Learning. Stakeholder & Market Integration. The key is asking a diverse cross-section of your organization, not just the executive team, I recommend at least twenty people across departments, roles, and levels. Leadership's view of readiness and the front line's view of readiness are often two different organizations. Think of the result as your innovation GPS, a starting point that recalibrates as you go.

Worth considering: is your organization one of the 6%, or running new-paradigm ambitions on an old-paradigm operating system?