Jack Welch (the American business leader of General Electric fame), during a presentation he was making in recent months, asked his audience what they would do differently if they had just been hired for their job.

It is a critical reflection that we would often wish to do, but in fact very rarely do. The status quo may be uncomfortable, but is familiar, and certainly much less frightening than a changed scenario.

In fact even though, at times, circumstances beyond our control change significantly the scenario in which we operate, we tend to adapt to it within the framework of the status quo.

In fact we tend to adapt rather than change, as it is easier to keep on with what we have been doing so far, rather than review and innovate. We are more comfortable with being flexible in order to adapt to changing circumstances, rather than being flexible in order to change to meet the new challenges. And we are happier trying to solve today’s problems rather than solving tomorrow’s problems.

Managing the status quo requires us to move at a far slower pace than when managing the future. Starting afresh is very often seen as a nightmare. But does it have to be so?

The answer to the question is a qualified ‘No’. Starting afresh does not have to be a nightmare if we understand (and not just appreciate) just how much the world around us has changed.

It becomes a nightmare if we simply try to cope with this change. Last week I wrote about globalisation and the extent to which EU rules do not take account of this phenomenon. Well, globalisation seems to be here to stay. And so are the technological developments which have underpinned the globalisation process.

We need to add to these the increased democratisation of society and the workplace, the increased importance of the customer in the economic value chain, the increased need to invest further in education and health, the strengthened regulatory framework, the change in the climate with its consequences and the security threats that exist in various parts of the world.

In other words, the fundamentals in our society have changed. We have obviously sought to adapt to each of these changes in a gradual manner as this always seems to be a better approach than sudden change.

On the other hand, would we do things differently if we did not have to carry the baggage of the past with us?

Once we fully understand the change that has happened around us, then we start to feel less comfortable with the status quo and more familiar with the ambiguity that exists inherently in change. The change management process will then do the rest of the trick.

We would need to craft a process whereby change is not only accepted but also embraced. If the process is right then starting afresh does not become a nightmare.

This argument may appear to be very relevant if one is talking about an individual business. Would it also apply on a macro scale to the whole economy?

The answer to this question is an unqualified ‘Yes’. There is no doubt that our economic performance in 2010 was a positive one. 2011 may prove to be more problematic, mainly because of the Libyan crisis.

This may provide an element of comfort. However, should we ask ourselves the question whether we should do things differently in the area of fiscal policy and of public policy in general? Let us assume for a minute that we would do things differently. In what sectors would act differently?

What would be the role of tourism in our economy? How would we change our taxation system? Which sectors would spearhead our economic growth? Would we have a social security net which is as extensive as it is today? How would we increase the level of economic value added in our country? The answer lies in the choices that we have to make. The readymade answers to these questions simply do not exist.

I am not advocating change for its own sake. However, I believe that we need to make sure that as a country we can still recognise what our objectives are, act strategically and, where necessary, start afresh.