The most significant risk is not taking a risk.

In tough economic times, decision-makers shy away from making risky decisions in hopes of just surviving. The challenge with a just survival attitude is that this is an opportunity to gain an advantage while your competitors are timid.

Excessive stress on profitability, limited resources, and competitive pressure has led to a high-pressure decision-making environment. Decision-makers need to find innovative solutions within an environment where:

• Consumer demand is decreasing,
• Inflationary pressure continues, and
• The constant need for growth.

The challenge is navigating through this is how decision-makers can balance incentivize risk-taking yet ensure operational stability. A balanced approach is vital in identifying innovative solutions while optimizing operations.

Incentivize risk-taking is what will set apart companies that will thrive in such times and those who will seize to exist. Innovation typically comes from the bottom of the organization. In fact, 80% of innovation in organizations comes from those who frequently interact with customers, suppliers, and partners.

Leaders and managers need to identify systems and processes that allow for the creative juice to flow from the bottom-up. They also need to reinforce this with incentives that will enable such innovation to take place. It’s the small things that can have the most significant impact, and there isn’t anyone better than those who are closest to those details.

What’s in it for the small guy? Well, that’s what this is all about? Creating incentivized-risk taking requires a culture of innovation, fair/clear rewards, and support systems and processes.

Creating such a culture starts with openness unconventional approaches. This culture needs to be supported by a reward system that draws a link between their contribution, performance, results, and compensation. Support systems and processes have to allow leaders to capture, evaluate, and monitor new approaches' development.

Decision-makers need to consider:

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Learn more about the author Nader Sabry

Strategist entrepreneur & innovator in space tech, government, & health/wellness. Has raised $20m directly /+$100m indirectly for startups.