Volatility, uncertainty, complexity and ambiguity

VUCA is an acronym used to describe or reflect on the , uncertainty, complexity and ambiguity of general conditions and situations. The notion of VUCA was introduced by the U.S. Army War College to describe the more volatile, uncertain, complex and ambiguous multilateral world which resulted from the end of the Cold War. The common usage of the term VUCA began in the 1990s and derives from military vocabulary. It has been subsequently used in emerging ideas in strategic leadership that apply in a wide range of organizations, including everything from for-profit corporations to education.

The deeper meaning of each element of VUCA serves to enhance the strategic significance of VUCA foresight and insight as well as the behaviour of groups and individuals in organizations. It discusses systemic failures and behavioural failures, which are characteristic of organisational failure.

These elements present the context in which organizations view their current and future state. They present boundaries for planning and policy management. They come together in ways that either confound decisions or sharpen the capacity to look ahead, plan ahead and move ahead. VUCA sets the stage for managing and leading.

The particular meaning and relevance of VUCA often relates to how people view the conditions under which they make decisions, plan forward, manage risks, foster change and solve problems. In general, the premises of VUCA tend to shape an organization's capacity to:

For most contemporary organizations – business, the military, education, government and others – VUCA is a practical code for awareness and readiness. Beyond the simple acronym is a body of knowledge that deals with learning models for VUCA preparedness, anticipation, evolution and intervention.

Failure in itself is not a catastrophe, but failure to learn from failure definitely is. It is not enough to train leaders in core competencies, without identifying the key factors that inhibit their use the resilience and adaptability that are vital in order to distinguish potential leaders from mediocre managers. Anticipating change as a result of VUCA is an outcome to a resilient Leader. The capacity of individuals and organizations to deal with VUCA can be measured with a number of engagement themes:

...
Wikipedia