It’s important to develop an effective risk management model for integrating all crucial elements such as processes, technologies, tools, talent, communication, culture, etc., to model, manage, and measure risks and manage opportunities systematically.
Opportunity identification via sociological lens: A sociological approach emphasizes social context over economic rationality as the key to decision-making and finding opportunities to solve problems. Individuals consider their situation, evaluate their role in that situation, weigh actions according to their appropriateness, and finally do what is appropriate. Context precedes preference, and social interaction is more important than abstract self-interest. Social contexts matter more when preferences are weak or shaken, as during a crisis. Social context significantly influences decisions, often outweighing individual economic rationality. Key aspects of this influence:
-Logic of Appropriateness: Individuals assess their situation, their role within it, and then act according to what is deemed appropriate, often unconsciously conforming to external norms, routines, and roles.
-Context Precedes Preference: Social interaction and fitting in with one's surroundings take precedence over abstract self-interest. People adjust their opinions and decisions to align with their environment.
-Social Derivation of Preferences: Preferences are often socially derived rather than innate. For example, people may adopt the values of those they like.
-Impact of Weak or Shaken Preferences: Social contexts become particularly important when individual preferences are weak, such as in childhood or during times of crisis.
-Cultural Factors: Cultural factors have a broad influence on consumer buying behavior because they constitute a stable set of values, perceptions, preferences, and behaviors that have been learned by the consumer throughout life.
Embracing opportunities from the Entrepreneurs' perspective: Entrepreneurs identify opportunities by bridging the gap between "what's there" and "what isn't there but could be." This involves recognizing unmet needs or untapped potential in the market. Challenges and opportunities give "meaning." Without a purpose, nothing we see has any use. Entrepreneurs may identify opportunities by bringing an existing product to a new market, inventing and producing a new product. Adding value to an existing product by enhancing features, improving efficiency, or increasing quality. Creating value and positive change for society and/or the environment. Entrepreneurs can iterate products rapidly on a trial-and-error basis, giving them an advantage over mature companies that may be slower to adapt. They are essentially agents of change who drive the economy forward by developing new ways to produce value.
Statistically, more than three-fourths of today's business value is based on their ability to embrace complexity, understand the future, opportunities, decide which ones to go after, and which ones they should not go after. It’s important to develop an effective risk management model for integrating all crucial elements such as processes, technologies, tools, talent, communication, culture, etc., to model, manage, and measure risks and manage opportunities systematically.
0 comments:
Post a Comment