Oracle recently announced its new research looking at the way organizations can adapt for change in the digital age. The research, in partnership with the Wissenschaftliche Hochschule für Unternehmensführung (WHU) – Otto Beisheim School of Management, has found several factors that, when supporting a technology deployment, increase business efficiency. Flexibility, a shared digital vision, and data-driven decision-making are necessary for tech to drive change.
The study found the following:
- Business efficiency increases by two thirds when technology is implemented with a supporting culture and long-term digital vision
- Business efficiency only increases by a fifth when technology is deployed without seven key supporting factors
- Study shows a strong correlation between business efficiency and overall organizational change
- A third of business leaders worldwide are concerned their organizations aren’t operating in a way that attracts talent
With the pace of change so important for organizations in the current consumer-driven climate, adaptability and agility are a must-have for all companies. Many businesses are turning to technology in this respect, but the research showed this investment only becomes worthwhile when supported by the right factors to create an ‘Adaptable Business’ model.
These seven factors are the following:
- data-driven decision making,
- flexibility & embracing change,
- entrepreneurial culture,
- a shared digital vision,
- critical-thinking & questioning,
- learning the culture, and
- open communication & collaboration.
The research questioned 850 HR Directors as well as 5,600 employees on the ways organizations can adapt to a competitive advantage in the digital age. Approximately 300 employees and 50 HR Directors in the Philippines participated in the survey.
The study showed that achieving business efficiency is critical to becoming an agile organization that can keep pace with change, with 42% of businesses reporting an overall increase in organizational performance once business efficiency was achieved.
“Pace of change has never been more important for organizations than it is in the current climate,” says Wilhelm Frost, from the Department for Industrial Organization and Microeconomics at WHU – Otto Beisheim School of Management. “Adaptability and agility are extremely important for organizations if they want to get ahead of the competition and offer market-leading propositions. Being adaptable means better support for customers, and needs to happen to meet their needs, but it’s also a big factor in any company attracting and retaining employees with the skills to drive them forward. Companies unprepared for the relentless pace of change will simply not be able to compete for skills in today’s digital marketplace.”
Indeed, 46% of respondents in the Philippines were concerned about the future availability of the next generation coming into the workforce. Understandably, 48% were likewise concerned about their ability to compete for the next generation of talent.
The research showed a third of business leaders worldwide don’t think they are currently operating in a way to attract – or compete for – talent. This went up to over half of business leaders in markets such as India, Brazil, and Chile.
Meanwhile, it’s worth noting that job security remains a key concern. Taking the top spot is Chile, with 36% of respondents worried about the security of their roles. India follows with 34.8% and Thailand is at 34%. 26.5% of respondents from the Philippines expressed similar concerns on job security.
“As the Philippines look towards the coming of the 4th Industrial Revolution, skills-upgrading will be a key priority for local organizations. The study highlights the opportunity for HR to take the lead in this workforce transformation to encourage a culture change for upskilling and openness to work with machines and technology. The seven factors pointed out in the study are also soft skills needed to realize the true benefits of any technology and become an adaptable business in the future economy,” said Anna Tan, Head of Applications, Philippines.
The ‘Adaptable Business’ research was carried out in August 2018 with organizations of at least 250 full-time equivalent employees and responses were collected from 23 countries across all continents. To find out more about the seven factors needed to become an adaptable business, read the full study here – https://go.oracle.com/LP=79965
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