Adaptive leadership helps leaders and organizations adapt and thrive in challenging environments. Adaptive work is challenging because it requires that we relinquish some of our deeply held beliefs and learn new skills where old ones are insufficient (Heifetz & Laurie, 2003). Archie Norman recognized this challenge very early on. He found demoralized employees with no clear direction of where the company was going. Asda lost track of its core customers, working class, and was targeting the wealthy consumer. Asda embarked on new disastrous business operations such as furniture and carpeting. It also did not help that management was spending lavishly on corporate jets and high style corporate offices. Norman knew that in order to turn the company around he had to revitalize the company by shattering its current culture.
Adaptive leadership promotes five principles that need to work in conjunction with one another. One principle is to identify the adaptive challenge. The first task in adaptation is to spot the challenge and identify its implication for the organization (Heifetz & Laurie, 2003). Archie was very honest with its employees about the