“No one could have expected we would be where we are today,”
was a speaking point scrawled in my journal from a faculty meeting some
months ago. This is as true now as it was then. Intensive
English programs (IEPs) in the United States face unpredictable
enrollments, with language program administrators (LPAs) called upon by
senior administration and faculty alike to chart a clear path forward.
Conventional planning is nearly impossible when historical data cannot
be used to accurately predict future programming requirements. That
said, volatile environments exist across industries, in particular with
entrepreneurial enterprises, offering a wealth of research on strategic
management. To reinforce the LPA’s toolbox, this article provides four
core principles adapted from entrepreneurship for language programs
facing change.
Forego Forecasting
The rational planning school of thought posits that
organizations that work more meticulously to accurately predict dynamic
systems will outperform those that do not. Until recently,
IEP programming decisions could be made using a relatively sound
forecasting heuristic, a predictive approach in which previous data sets
were solid indicators of future student enrollments. LPAs knew the
percentage variance between seasonal enrollment cycles, expected yield
rates for applications, and even average length of stay. Investing in
these predictive calculations was a solid administrative practice,
allowing for long-range strategic planning.
Within a dynamic system, however, LPAs should be asking the
following question: “Is the current environment stable enough that we
can reliably base future actions on data from the past?” If the answer
is “no,” then an effectual approach may be more suitable. Effectuation
examines the resources at hand with the aim of seeking out opportunities
based on those resources. Here, LPAs can concentrate efforts on actions
that will create an environment in which the program will have an
inherent advantage or leadership position, instead of investing time and
energy on prediction (Read, Dew, Sarasvathy, Song, & Wiltbank,
2009). This is done by identifying available means that will become the
basis for taking action, including: resources (e.g., financial and
personnel), networks/partnerships, and current knowledge assets. To
apply this principle, programs can physically create a list of all
available resources, thus starting the brainstorming process.
Embrace Entrepreneurial Thinking
Researchers have found that the expert entrepreneur’s
decision-making process is unique to entrepreneurs (Dew, Read,
Sarasvathy, & Wiltbank, 2009). In general, the average person
tends to frame problems and choices in terms of positive predictive
analysis (e.g., “How likely is a positive outcome?”). Related to the
aforementioned forecasting concept, this mindset is reflected in the
perennial question among IEP administrators: “What are your enrollment
projections for next semester?” Expert entrepreneurs, however, frame
planning decisions in terms of acceptable risk (e.g., “What is the
affordable loss?”).
Entrepreneurs make countless decisions in the face of
the unknown on an ongoing basis, and the simple act of reframing the
problem allows for different emergent solutions. A good example for LPAs
might be the development of a new online course for which a priori
maximum loss is determined rather than waiting until after the project
launch. Within this loss-focused mindset, entrepreneurs are driven to
imagine ongoing new possibilities based on available means instead of
trying to predict outcomes.
Position Programs for Action
Established organizations are challenged by their
existing systems at the very time when they need to be flexible in the
face of ambiguity. Internal constraints, such as sunk costs with
facilities and personnel who have specialized to deliver current
services, reinforce these hurdles. These constraints lead to a
competency trap in which organizations become fossilized in continuing
down routine paths, normative standards, and outdated practices (York
& Venkataraman, 2010).
For long-standing IEPs with set programs, internal
resistance to adaptation can prove problematic as members focus on the
core organizational identity of current services instead of embracing
new models in the face of emergent needs. Positioning programs for
maximum flexibility through ongoing co-creation with stakeholders while
simultaneously reducing constraints (e.g., contractual obligations) can
help programs confront uncertainty more
efficiently.
Start Small, Iterate Incrementally
Major budget shortfalls make the core principle of
starting small difficult to embrace. The desire to launch new,
large-scale projects with the hope of recouping lost revenue can be a
strong driving force (see preceding positive predictive analysis).
However, smaller scale projects that can be repeated in rapid iteration
allow for flexibility in the face of quickly changing situations.
Incrementalism, one of the core strategic principles
of an adaptive approach, calls for a short action and feedback loop
(Wiltbank, Dew, Read, & Sarasvathy, 2006). Incrementalism allows
organizations to respond to failure constructively through smaller,
targeted investments of resources aimed at improving subsequent cycles
(Read et al., 2009). Failure is likely during unpredictable times, but
the small-scale method limits catastrophic loss.
To extend the example of launching an online course,
if the program designs a semester-based class, the iteration cycle (and
resource investment) is tied up for four months. Four months is an
eternity and can be costly if there are problems during the launch.
Shortening the cycle allows for faster optimization. The first iteration
might be a one-off online workshop during which the administrative team
works out the kinks with advertising, enrollment, and delivery
platform. The second iteration may include the same workshop, or even a
short series of workshops, building off previous lessons learned. The
cycle continues to expand until the team achieves the desired
scope.
In sum, the literature on strategic management amidst
uncertainty offers a rich resource for LPAs seeking methods to support
organizations responding to new constraints. Though the traditional
model of formal strategic planning may be impractical during turbulent
times, LPAs can navigate through the process with strategies that foster
adaptation and creativity. In the words of Leon C. Megginson (1963), “It is not the strongest or the most intelligent who will
survive but those who can best manage change.”
Note: The views expressed are those of the author and
do not reflect the official policy of the Defense Language Institute
Foreign Language Center, the Department of Army, the Department of
Defense, or the U.S. Government.
References
Dew, N., Read, S., Sarasvathy, S. D., & Wiltbank, R.,
(2009). Effectual versus predictive logics in entrepreneurial
decision-making. Differences between experts and novices. Journal of Business Venturing, 24(4), 287–309.
Meggison, L.C. (1963). Lessons from Europe for American
business. Southwestern Social Science Quarterly, 44(1), 4.
Read, S., Dew, N., Sarasvathy, S., Song, M., &
Wiltbank, R. (2009). Marketing under uncertainty: The logic of an
effectual approach. Journal of Marketing, 73(3), 1–18.
Wiltbank, R., Dew, N., Read, S., & Sarasvathy, S.
(2006). What to do next? The case for non-predictive strategy. Strategic Management Journal, 27(10), 981–998.
York, J. G., & Venkataraman, S. (2010). The
entrepreneur–environment nexus: Uncertainty, innovation, and allocation.Journal of Business Venturing, 25(5),
449–463.
Erin N. O’Reilly is an instructional
systems specialist and accreditation liaison officer with the Defense Language Institute
Foreign Language Center. |