business principles and paradigms April 25, 1997 (as amended)
Business has three main aspects: the universe, the market, and the firm. The universe is where we are, and when we are, while the market is what we do, and the firm is who we are, why we are here, and how we grow.
The universe is filled with change (environmental, technological, economic, social, and political). The market is filled with customers (consumers, competitors, suppliers and partners). The firm is filled with corporate identity, people, and products.
the company is an organism: it lives in the market, consuming, producing, and sensing and adapting to changes in the economy, the political climate, the community, the natural environment and the market itself
this organism can only survive if is environmentally sustainable
environmental sustainability is determined by the efficiency and effectiveness of consuming, producing, and sensing and adapting to changes in the economy, the political climate, the community, the natural environment and the market itself
notably, in significant addition to the need to manage scarce resources, it is the need for continual evolution that defines a living organism; one that becomes static becomes increasingly susceptible to environmental misfortune
in addition, this competitive habitat lets thrive only those that do what is convergent with what they set out to do
In essence, when the company is born, it has a unique set of resources and environmental conditions. How well it does will depend on what it has, what happens to it while it uses what it has, and how it responds.
In order to stay alive, organisms can embed these evolutionary principles within themselves:
work convergently: clearly articulate, and then utilise, a strategic approach (vision, objectives, strategies)
understand scarce resources: waste not want not
listen to feedback (wherever its origin): use multiple mediums, do research