Imagine VUCA When You Have Hyper-Inflation!

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I just spent a week in Buenos Aries, Argentina, doing an all-day workshop with Vistage Chairs and a keynote for their all-city membership event, both focused on agility in an increasingly VUCA World (Volatility, Uncertainty, Complexity, Ambiguity).

They know VUCA in Argentina! 

  • Political VUCA – with a history of everything from Military Coups to Evita (Eva Peron), they are in the middle of their Presidential Election process right now.
  • Economic VUCA – with a history of defaulting on it’s national debt, their economy if now largely isolated from the rest of the world as an economic island
  • Financial VUCA – with a history of hyper-inflation, with businesses changing prices every day, if not every hour!  As reported by the Instituto Nacional de Estadística y Censos (INDEC):
    • The inflation rate was recorded at 14.80 percent in July of 2015.
    • The inflation rate averaged 204.13 percent from 1944 until 2015!
    • Reaching an all time high of 20262.80 percent in March of 1990!

Imagine the VUCA driven by such a wide range of inflation rates, wreaking havoc on profitability and ability to invest, borrow and lend!

This post also appears at agilitycode.com.