VUCA stands for Volatility, Uncertainty, Complexity, and Ambiguity. It is a term originally from the U.S. Army in the 1990s, now widely used in business and leadership to describe fast-changing, unpredictable environments shaped by factors like globalization and digitalization.
- Volatility refers to rapid and unexpected changes.
- Uncertainty is the lack of predictability or clear trends.
- Complexity indicates many interconnected parts and variables.
- Ambiguity means lack of clarity about meaning or cause.
This framework helps organizations understand and navigate challenging and dynamic conditions they face today.