In this article, Boston Consulting Group consultors argument that the new success companies, as Unilever’s Jope acknowledged, will be those companies with teams on the ground that are laser focused on winning local customers, micromarkets, and fast-developing profit pools. Scaling the core – a formula developed for a stable, integrated, globalized economy that is rapidly fragmenting – has given way to innovation, speed, and responsiveness at the edge..
Many global companies are struggling to adapt to fractal advantage – while subscale companies are often thriving. Since, scale and fractal strategies rely on fundamentally different organization principles. It takes more than a few minor tweaks to turn a company designed for scale advantage into a company that can successfully exploit fractal advantage.
Keywords: complexity, strategy, fractal, fractality, fractal advantage.