Defending old ways of doing business

I learned the danger of excessive caution long ago, when I consulted for huge Fortune 500 companies. The single biggest problem I encountered—shared by virtually every large company I analyzed—was investing too much of their time and money into defending old ways of doing business, rather than building new ones. We even had a proprietary tool for quantifying this misallocation of resources that spelled out the mistakes in precise dollars and cents.  Senior management hated hearing this, and always insisted that defending the old business units was their safest bet. After I encountered this embedded mindset again and again and saw its consequences, I reached the painful conclusion that the safest path is usually the most dangerous. If you pursue a strategy—whether in business or your personal life—that avoids all risk, you might flourish in the short run, but you flounder over the long term.

Ted Gioia writing in The Atlantic