Posted by Adaptable Leadership - Building Leaders for Changing Times on 10/29/2008

In a study conducted by Crawford International and the authors studied the correlation between a company's adaptive corporate culture and their financial performance.  Financial performance was measured from 1996 to 2005.  All businesses in these results had annual revenue's in excess of $350M.  

The authors state, "Companies reporting high levels of adaptability in their corporate culture cite much higher levels of financial performance than those companies reporting non-adaptive corporate cultures." To be more specific, the net income growth of adaptive companies rose 989% while the non-adaptive companies declined 47%. In addition, the stock price grew 204% for the adaptive companies and only 70% for non-adaptive companies.

Building an adaptable workforce is not only critical for survival in today's economic turmoil. An adaptive workforce apparently knows better how to drive financial performance.  Building an adaptable workforce will be the critical capability that ensures business success as we climb out of the economic hole that we are in now.