Looking for a New Normal

During the last century the industrial and technology revolution has had a great impact to the development of many industries. New rules for the game is set and a “new normal” is born. At the same time the life cycle of the “new normal” is shortened and we see new beginnings and entrants to the global markets. Where will that all lead and what is the role of people or talent in this?

Today we are living in an era of digitalization. All industries try to find a competitive edge from the digital solutions and create new services with help of digitalization. Innovativeness is a great asset for the companies to build new business models and create new value creation for the customers.

New competencies and sources of creativity are needed in the organizations. The capability to let go of the old, manage change and create new at the same time as making results from the old way of doing business, are typical requirements for the leaders and managers today. Let’s see a couple of examples about the “new normal”.

Think about Amazon, Airbnb or eBay. Compared to traditional retail or accommodation service providers, these digital trading platforms operate with a different model, when focusing on earning. These players have adopted commodity-based earning models, where the result is not based on buying and selling, but on the transfer of transactions between buyers and sellers in the platform. No ownership of the end product or risks of inventory as we understand from the traditional trade.

Digital trade is a phenomenon where variations are from a one-man webstore to Amazon’s giant platform operators including multichannel players with the brick and mortar store concept being strengthened with webstore concept.

The more we talk about the digitalized concept the more we need data to successfully run our business.

Today data is mostly concentrated on transactional behavior of customers – what we buy, when we buy and finally to understand how we consume. Big data has been one of the leading theme of data driven business concepts. How to forecast the next move of my customer and how to build offers attracting new customers?

 

Next big rising phenomenon is the Internet of Things (IoT). The Internet of Things is the network of physical devices, self-driving cars, home appliances, bodies with sensors and other items embedded with electronics, software, sensors, actuators and connectivity, which enables these objects to connect and exchange data.

Monetizing and connecting this data with consumer data creates plenty of business potential and fundamental platform for the Artificial intelligence (AI) solutions and robotics. This can all happen very fast and we can call it the exponential change.

Key resources in this development are people. People stearing the change. Some people are involved in clarifying the big picture, some are needed to build technologies and solutions. In the foreseeable future, for example imagination, creativity, value-based thinking and emotions belongs to human beings and are extremely difficult or even impossible to replace by machines. Machines are good at simulating, but not at being.

Birn+Partners is your partner when you think about your organization’s ability to face the challenges of the future.

We produce high quality Direct Search, Career Advisory, Onboarding and Talent Assessment and Development Services for individuals and management teams. Our international team in nine different countries consists of a wide range of expertise and psychologists specialized in personal assessment and selection.

 

We find talent that develops organizations and delivers strategy!

By Jouko Pitkänen, Managing Director and Partner, Birn+Partners Finland