Companies establish practice and culture to secure success. However, most companies are short-sighted in managing their future success. Today, this article will explain why traditional management practices are no longer fit for the future endevors of the companies.
The most popular traditional management practice that impedes the growth of a company is the resistance to technological change. Many believe that digital transformation can foster business growth and opportunities. However, Artificial Intelligence (AI) brought disruption to most industries yet redefine various occupations.
Elon Musk, CEO of Tesla and SpaceX, believes that the history of automation showed how some jobs were replaced by new innovative ones. For him, digital transformation means that the right technology, the right processes, and the right apps breed efficient and effective collaboration and communication.
Moreover, Elon Musk enables us so have a sneak peek of the future. He manifested that digital transformation is acquiring technologies that will impact your business especially in improving the ways of doing business.
Narrative Science’s Quill explained thoroughly that technological change does not obsolete human effort. But this change allows employees to spend time on how data can make sense in solving bigger problems of the company rather than spending time gathering information from different people.
One type of solution that provides this type of change is the implementation of Enterprise Resource Planning (ERP). However, in 2018, Gartner mentioned that “90% of organisations will still lack a postmodern application integration strategy and execution ability, resulting in integration disorder, greater complexity and cost”.
Aside from technological change, managers are still identified as someone intimidating. These are people whose job is to plan, direct, and control. These things do not help the young generation and even the company to thrive in the future.
“This outdated idea makes young ones focus only on honing hard skills, quantitative ability sand measurable deliverables that fit the rigid needs of a traditional manager,” Tannya Jajal said.
More so, this type of traditional management practice does not work in today’s digital era. Management should focus on honing employees to be creative, critical thinkers, and innovative.
Interestingly, Google, Amazon, and SpaceX reinvented traditional practices. As cited in Qulture Rocks, Google believes in “creating a meritocratic environment, where the best performances are correctly identified and rewarded.”
To create a work environment where leaders and employees can be successful in the future, managers and top management should promote collaboration and innovation. Traditional management practice is no longer viable and has no guarantee to the company’s future success especially with the rapid change of technology.