Companies struggle with how to capture scale across borders, as they work through the additional complexity without sacrificing speed and agility.
The multi-local approach provides different brands, products, services, price points, and supply chains per region to meet the needs of local customers. To effectively implement this approach, the company needs decentralized decision-making. This is messier than one hierarchy/HQ, but it is important that choices are made close to where the action is. This enables the need for change and innovation, in order to keep corporate speed and agility.
A few years ago, when I was in Boston delivering a leadership development program for a financial services company, the CEO told me that his goal was to run regional areas with local people – not expats. In addition, his decision to decentralize the company was about providing accountability and responsibility without interference from headquarters.
Does your company have a multi-local approach?
