By Maggie Schneider Huston-Oracle on Feb 23, 2015
Cultural Change Will Be the Driver for Modern Business Success: Change is hard. But as Richard Branson said in a recent blog, “A company that stands still will soon be forgotten.” A recent study from the John M. Olin School of Business at Washington University estimates that 40 percent of today’s F500 companies on the S&P will no longer exist in 10 years. A key reason why: reluctance to embrace change. Organizational structures and business models have to evolve for modern, 21st century business. The rise of millennials entering the workforce is fueling the flames of change. The Hartford Financial Services Group estimates that by 2025, 75% of the workforce will be millennials. Accounting firm PwC pegs it much higher - nearly 80% by end of 2016. Our future is digital and collaborative. Organizations have to embrace technology innovation and encourage new ways of doing business across their consumer, employee and partner relationships. More often than not, it is culture that prohibits innovation because culture, well, it doesn’t like change. The CEO becomes not only a strategy and business execution leader but also a change agent.
Marketing “Technologists” Will Usher In Modern Business - Equally adept at marketing and technology, marketing technologists will become critically important to businesses, especially as customer experience, digital technologies, social business, and data take center stage. Perhaps more than any other function, marketing technologists will help spur innovation and digital transformation within their organizations. Look for new hires in this area, as digital natives and data scientists begin to flex their skills for the benefit of the bottom line. The rise of CTOs reflects the importance of technology and data skills.
Data-Driven Customer Interactions Emerge: The prime directive of marketing is to build deep and lasting relationships with customers to ultimately drive top-line growth. To do this effectively in the digital era a marketer needs to understand the impact of every customer interaction. While the amount of digital data available today is greater than it has ever been, the number of different technologies that are currently employed to interact with customers has grown out of control. Today’s reality is that we have actually moved further away from our goal of deep understanding. Disparate data systems and the inability to easily tie offline and online actions together has made attribution and data management too challenging for most organizations. As we progress to the next generation of these modern customer experience systems, we are going to finally solve this complex problem, bringing traditionally “siloed” technologies—marketing, social, service, commerce, third-party data—to an integrated and unified customer profile. Collaborative efforts within the enterprise—across people, processes and technology—are driving major changes, while modern cloud-based systems with API driven architectures are creating platforms that are finally able to talk to each other effectively. The moment we have all been waiting for, the convergence of cloud, integration technology and digital tracking, is finally here. Look for the continued integrations of consumer-facing technologies to merge for more data-driven and complete customer experience solutions. This is going to have great impact on top-line growth as well as customer satisfaction, loyalty and retention.
User Experience Leads Technology Adoption and Innovation: User experience will continue to be a critical requirement for enterprise software adoption. Consumers today have high expectations from their technologies, as they are accustomed to modern, engaging, personalized and intuitive experiences. Those expectations don’t change at the workplace. Millennials will demand it. Customers will require it. And thanks to the cloud enterprise software providers we will finally be able deliver modern, innovative and elegant user experiences. No longer will long enterprise software upgrades get in the way of investment in user experience. The cloud allows vendors to deliver at the pace of change that we all have grown to expect.
People Centric Business: As businesses grow more customer centric, organizations will begin to expand relationships across the entire value chain to include their employees and partners. Engaged, valued and empowered employees will help drive customer-centric objectives and overall better business outcomes. As IDC’s Mary Wardley stated in a recent report on Customer Experience, “Customers are obviously at the center of CX. But the company’s employees are just as important, if not more so, as they are in the direct flow of delivering the customer experience. Employees are the advocates and evangelists for the company.” The rising millennial generation is all about engagement, interaction and collaboration. They expect it. Listening, understanding and engaging all your people collectively is the future. People centric business is modern business.