Following the path of innovation
What used to be the marker of an innovative company not so long ago now often becomes very common after a short period of time and is considered the norm. A flagship example is digitalization. Only a couple of years ago, companies characterized by complete digitalization of their operations were considered progressive and extremely modern. Today, digitalization is taken for granted to the point that its absence is very often considered a failure to keep up with the times. How can businesses now stand out from the numerous competitors? What is the marker of an innovative company today? Digital capability is a much broader concept than is commonly associated.
Digitization involves far more aspects than just technology, which can often be forgotten. In addition, digital capability by itself cannot permanently and effectively empower a company or improve its operations.
In order to enjoy the maximum number of opportunities that digitization provides, it is necessary to first carry out a fundamental business transformation of the company. Organizations that are not willing to change outdated strategies are actually not so much standing still as going backwards. Fundamental business transformation should be based primarily on creating a system that would be the unifying link between the company's most important goals and priorities.
Seven leadership imperatives
Empowering the company and stepping into a higher level of innovation can be achieved through the company's application of seven leadership imperatives:
- Redefine the company's business purpose
- Use ecosystems to create value
- Take consumer expectations into account
- Focus on delivering results
- Adapt the leadership team to the new focus
- Make others identify with the company's goal
- Change the way you manage employees
Redefine the company's business purpose
Although a company's past experience and having a stable reputation is extremely important, it will be a good idea to occasionally look at things from a new perspective. It is worth setting aside all the current products, services offered and the entire portfolio the company boasts and approach it as if it's adventure in the market were just beginning. Consider what is the main value the company wants to create and who are the potential consumers who will be interested in acquiring that value. In this way, one can come to completely surprising conclusions and new ideas that have not been considered before.
Use ecosystems to create value
Nowadays, acting solely on your own is rarely profitable. Almost every company establishes various kinds of partnerships so that it can operate not only efficiently but also quickly. Introducing various types of innovations is almost impossible without the support of ecosystems. By exchanging with other businesses the values that are created in each entity prospering is much easier. The key is to build or become part of such an ecosystem that will actually meet the company's needs and bring it closer to achieving its goals.
Take consumer expectations into account
With the rise of digitalization, companies are expected to perform increasingly better. Consumers are setting the bar very high and their expectations of specific services and products are greater than ever. When making any strategic decisions about a company's operations, they must be taken into account. Obtaining as much customer data as possible allows a company to fine-tune and create value that will have increased interest and consequently bring more revenue to the company.
Focus on delivering results
Value creation is not possible without the right working models and teamwork. The priority of any company should be to create a highly competent team that has the required experience and has adequate knowledge of the processes, data and technologies used in any company operation.
Adapt the leadership team to the new focus
In addition to defining company goals and focusing on customer expectations, consideration of the needs of the team is also needed. Creating value in a new way may require employees to acquire new skills, for which they must be properly equipped. Without having the right personnel qualifications, making any changes will end in failure.
Make others identify with the company's goal
One of the best recipes for success in carrying out a fundamental business transformation is to make the company's chosen main goal something that is important to the company's employees. If the staff feels that they are working towards something bigger and contributing to the company's positive added value then very often they themselves will take the initiative and propose specific innovations to the company that will bring it closer to achieving the intended plan.
Change the way you manage employees
When taking on a leadership role, one should have a wide range of skills in many fields - it is necessary not only to strive for innovation, develop a detailed company strategy or know the technology used, but also to have soft skills so that communicating with employees is much easier. A good leader knows how to compromise if necessary and knows how to find a solution in any situation. They are able to listen to their employees and make every effort to ensure that their job satisfaction is as high as possible.