This week looked into the issue of "Complexity in information technology." complexity refers to an emergent property of systems made of large numbers of self-organizing agents that interact in a dynamic and non-linear way and share a path dependent history. We learnt that it is actually divided into three main aspects:
Technical
Organizational
Societal
How an organisation manages the increasing complexity, rate of change and how to meet the demands of its customers quicker and efficiently? has become a nightmare to many CEOs. Therefore, an organisation needs to come up with enterprise architecture which is a tool for managing which facilitates the above challenges rather than depending on trial and error which is risky, costly and catastrophic. As its said. " failing to plan is planning to fail." For CEOs and their organizations, avoiding complexity is not an option — the choice comes in how they respond to it. Will they allow complexity to become a stifling force that slows responsiveness, overwhelms employees and customers, or threatens profits? In the 2010 IBM Global CEO Study this issue was discussed and looked into depth. It came to their attention that the most successful organizations are using entirely new approaches to
tap new opportunities and overcome the challenges to growth. Many findings arose:
1.The vast majority of CEOs anticipate even greater complexity in the future, and more than half doubt their ability to manage it. But those with a good enterprise architecture are always successful and have turned increasing complexity into financial advantage. This is made possible due to thurough planning and intergration of various models to cope up with the increasing change in the industry.
2. CEOs believe creativity is the most important leadership quality. Creative leaders are always innovative in how they lead and communicate and therefore allowing new experiments in the organisations which facilitates future inventions. Therefore this makes it easier to cope up with customers and new trends in the market. Capitalizing on complexity embody creative leadership, reinvent customer relationships
build operating dexterity
3. The most successful organizations co-create products and services with customers, and integrate customers into core processes. Customer feedback is very important in helping to improve quality, getting new ideas, assisting customers as well as retaining old customers and attracting new ones. Most organisations have customer care desk which receives customer queries as well as promoting products. Engagement and co-creation with customers produce differentiation. They consider the information explosion immensely valuable in developing deep customer
4.Better performers manage complexity on behalf of their organizations,
customers and partners. They need to simplify operations and products as well as change the manner of handling and accessing resources and gather new markets around the world. Increasing performance brings about competition with other products and therefore attracting many customers.
5. Lastly, CEOs need to demonstrate good leadership qualities.An autocratic leader is always opposed and has no good relationship with his / her workmates. In an uncertain and volatile world, CEOs realize that trumps other leadership characteristics. Creative leaders are comfortable with ambiguity and experiment to create new business models. They invite disruptive innovation, encourage others to drop outdated approaches and take balanced risks. They are open-minded and inventive in expanding their management and communications styles, in order to engage with a new generation of employees, partners and customers. his develops a harmonious working environment that would yield the success of the organisation in present and future.
Responding and handling complexity is a vital issue in an organisation.It can determine the way forward of the business as well as how to cope up in a tough market. CEOs need to be flexible and very aware of the ongoing trends and changes in the market. They should be able to batch updates and applications. From there they can remediate the complexity by focusing on the people, process, and technology associated with the underlying activities.They need to have full access to all the information. CEOs need to be equipped with new knowledge and skills that will enable them to face current issues without using outdated methods.
REFERENCES:
IBM Global Business Services USA(May 2010), Retrieved on 6th Feb,2013 from http://ibm.com/capitalizingoncomplexity
No comments:
Post a Comment