ABSTRACT

This chapter addresses the analytical side of agility or change proficiency of the enterprise. It highlights the fundamental principles that underlie an enterprise's ability to change, and by indicating how to apply these principles in real situations, it illustrates what it is that makes a business and any of its constituting systems easy to change. Enterprises primarily aim progressively for efficiency, flexibility, and innovation in that order. The Model Builder's kit, Erector Set kit, and LEGO kit are illustrations of enterprises targeting for efficiency, flexibility, and innovation respectively. An enterprise system architecture and structure consisting of reusable components reconfigurable in a scalable framework can be an effective base model for creating variable systems. Most large-scale change efforts in established enterprises fail to meet expectations because nearly all models of organization design, effectiveness, and change assume stability is not only desirable but also attainable.