Following is a blog authored by SAP as a responsive musing on the napkin’s content:
The Role of Values in an Ever-Changing World
In an ever-changing, volatile world we need more than ever to have understanding, vision and foresight. In this uncertain environment, businesses need to constantly re-assess and adapt, and the concept of VUCA is often referred to:
Volatility –The rate of change, its unexpected nature and the extent to which it happens. Companies need to move quickly in this environment.
Uncertainty- The lack of information about specific events. This highlights the need for data analysis that can remove as much uncertainty as possible.
Complexity – An overwhelming confusion of issues and information. This is particularly challenging for companies who have a wider range of products and services distributed across multiple countries/markets.
Ambiguity – The unknown with no precedents.
The solution to ambiguity is clarity, and again, analysis of data is a vital tool in providing this.
In a survey of over 13,000 leaders from a wide variety of industries and companies, only 18% were found to be capable of leading their companies through a VUCA world. So how do we fix this?
In these turbulent times, the ability to engage conditions that are continuously evolving is invaluable. Business leaders need to understand the capabilities needed and building value networks is a key part of this. Value networks are connections between individuals or organisations that collaborate to share information as well as trade products and services. This partnership encourages growth and values that benefit the whole group.
Companies need to be aware of, and understand threats and opportunities around them, only then can they identify value and utilise it. The speed of change can be overpowering and businesses need to display both leadership and flexibility if they are to keep up. The value network is an intricate system comprised of both value providers and recipients, as well as value neutral figures. These all interact and form alliances, creating opportunities and generating advantages out of doubt and uncertainty.
The VUCA world is becoming the new normal and companies are adapting the way they do business. Business leaders are required to develop different skills; they need clarity and understanding, vision and agility if they are to guide their organisations through the current turbulence. By developing these areas you are not only opening up your business to growth, but your employees too as establishing new strategies and insights can only have a positive impact on them, in both a professional and personal capacity.
90% of the data in the world today has been created in the last two years.** This explosion in data volume, variety, and velocity is called Big Data – and if you can harness it, it will revolutionise the way you do business.