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Signal funding is an important approach in Enterprise Agility for companies navigating high uncertainty and accelerated change because it provides a flexible and adaptive way to allocate resources and capabilities based on emerging opportunities and risks.

Rather than relying solely on traditional budgeting cycles that fund fixed organizational structures, signal funding allows companies to be nimble and quickly pivot resources in response to changing market conditions. For example, if through collective strategic sensing a company identifies a new customer need or an adjacent market with growth potential, resources can rapidly be allocated to form cross-functional teams and pilot new offerings. Or if a potential risk emerges, capabilities can be deployed to mitigate it.

The key benefits of signal funding in uncertain environments are:

Of course, signal funding requires robust sensing capabilities, high transparency, and a willing shift from traditional mindsets. But for companies facing constant change and uncertainty, it provides an efficient way to accelerate shared progress.