GPI 4-6

TRANSITION STATE.

BREAKING

Organizations in flux. Old structures cracking, new patterns emerging. The most vulnerable state. And the most opportune.

FLUIDBREAKINGFROZEN
1510
5.0
FieldTransitionParticle

WHAT IT FEELS LIKE

You attend meetings about transformation. Then you attend meetings about the meetings. Somewhere between the strategy deck and the implementation, everything stalls. Not from malice. From friction.

Some days feel like a startup. Others feel like a government agency. It depends which team you're working with, which initiative you're on, which leader is sponsoring it. The organization is multiple organizations wearing one logo.

DECISIONS

Weeks to months. Multiple approval layers. Some fast-track processes exist but most things still need committee blessing.

ERRORS

Caught in weeks, fixed in months. Post-mortems happen but recommendations often die in implementation. Blame is diffuse.

KNOWLEDGE

Partially documented. Some teams share; others hoard. New hires can find some answers but key knowledge is still tribal.

CHANGE

Possible but painful. Requires executive sponsorship and multi-quarter timelines. Some areas are modular; most are entangled.

TRANSITION STATE CHARACTERISTICS

Old Structures Cracking

What worked for decades is breaking. The rules that created success are now creating constraints. Legacy systems are buckling under new demands.

New Patterns Emerging

Pockets of innovation exist alongside calcified processes. Some teams operate like startups while others operate like museums.

High Turbulence

Constant reorganization. Strategy shifts every 18 months. Leaders leave, new ones arrive with different visions. Whiplash is the steady state.

Painful Transition

Neither fish nor fowl. Too rigid to compete with field-state insurgents, too adaptive to enjoy particle-state protections.

Opportunity in the Cracks

Those who can navigate ambiguity thrive. The chaos creates space for entrepreneurs inside the organization.

TRANSITION STATE EXAMPLES

Bradesco

GPI 5.1

Brazilian banking giant in digital transformation. Legacy branch networks colliding with mobile-first competitors.

UPS

GPI 6

Service vs wage pressure, union dynamics. Physical infrastructure meets algorithmic optimization demands.

Chevron

GPI 6.7

Energy transition pressure meets multi-decade asset commitments. Old playbook, new game.

Target

GPI 5.5

Omnichannel scramble. Stores as fulfillment centers. Physical retail trying to become digital.

Ford

GPI 5.8

EV transition while maintaining combustion business. Two companies in one body.

YOU'RE IN TRANSITION STATE IF...

~Major decisions take weeks to months, not hours or years
~Some teams are agile, others are frozen
~Digital transformation initiatives are perpetually "underway"
~Org charts change faster than actual power structures
~Middle management is simultaneously expanding and contracting
~Revenue is stable but growth is slowing

WHY TRANSITION STATE IS DANGEROUS

Stuck in the Middle

Too slow to out-innovate startups, too fast to out-lobby incumbents. The worst of both worlds.

Transformation Theater

Endless initiatives that change nothing. Digital transformation becomes an industry of its own.

Talent Exodus

Best people leave for field-state companies. Those who stay are often those who can't leave.

Capital Misallocation

Investing in both old and new simultaneously. Spreading resources thin across competing futures.

THE 18-MONTH WINDOW

Organizations in transition state typically have 18-24 months before they either break through to field state or calcify into particle state. The window is closing. Most organizations don't make it through. They slide backward into rigidity, not forward into fluidity.

INDUSTRIES THAT CLUSTER HERE

5.1
Banking
5.5
Retail
6
Logistics
6
Manufacturing

WHY THESE INDUSTRIES?

These industries are being disrupted but have enough legacy infrastructure and regulatory protection to resist complete transformation. They're caught between the old world and the new, unable to fully commit to either.

TWO PATHS FROM HERE

→ FIELD STATE

  • Kill legacy systems, don't maintain them
  • Distribute decision authority aggressively
  • Document everything, hoard nothing
  • Reward speed over perfection

→ PARTICLE STATE

  • Let transformation initiatives stall
  • Protect existing power structures
  • Prioritize consensus over speed
  • Add process to manage complexity