AIM Archives - Tag: first-order action

Beware 8 first-order actions that can stymie your future growth.

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A good business leader understands that every decision will have second-order effects after the initial “intended consequence.” Slower future growth is the second-order effect that often follows these decisions: 1) severe spending cuts, 2) rapid re-organizations, 3) hiring freezes, 4) travel bans, 5) R&D staffing cuts, 6) marketing staffing cuts, 7) new initiatives that distract, and 8) excessive M&A activities. Some such decisions may be needed… but consider the second-order impact on your growth.

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In business there are no dominoes you can tip without causing others to tip

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Tipping the first domino is a first-order action, the second tipped domino is the second-order effect, and so on. Strangely, if the first order action feels satisfying all by itself, you’re probably headed for trouble with subsequent effects. So it might feel good to slash spending to hit this quarter’s numbers… but your future growth will be stymied. In fact, your slow growth today is probably the culmination of many first-order actions you’ve long since forgotten.

More in article, Stop Stifling B2B Organic Growth with 2nd Order Effects