Organizational Soft Asset

 So managing those crucial soft assets of business becomes strategically important to harness change and improve organizational performance and maturity. 

Digital transformation represents the next stage of business maturity, which can improve how the enterprise works and interacts with its ecosystem, with people at the center of its focus. Organizations possess several soft assets, including:

Human Capital: Human capital refers to the economic value of people's experience and skills. Investing in employees through training, skill development, and job enrichment can foster commitment to organizational goals.

Brand: A strong brand can create pricing power, provide a competitive edge, and promote customer loyalty. Brands can create associations, protect against competitors, and turn consumers into brand ambassadors.

Organizational Culture: Organizational culture can be viewed as an organization’s psychological assets. A strong organizational culture can drive motivation and performance.

Social Capital: Social capital involves the ability of individuals to gain benefits and solve problems through social networks, trust, and resource sharing.

Intellectual Property: Intellectual property law governs the rights to control the use of ideas and information. Copyright, patent, trademark, and trade-secret laws are components of intellectual property law.

Stakeholders' value: Stakeholder theory recognizes the value of incorporating stakeholders’ interests for enhanced management and ethical considerations. Stakeholder management involves identifying and analyzing relevant stakeholders and their impact on the organization. Organizations need to be agile to adapt to technological changes to maintain effectiveness, which may require cultural changes.

Resilience as an organizational asset: Resilience in an organization refers to its ability to maintain normal operations and productivity after experiencing a disturbance. Organizational culture impacts resilience, and can be either functional or dysfunctional.

Digital organizations and systems have the characteristics of hyperconnectivity, nonlinearity, , and unpredictability. Digital encourages autonomy and innovation. That means the guiding principle, in fact, become more crucial to be defined as core decision criteria and behavior guideline to practice a multifaceted management discipline. So managing those crucial soft assets of business become strategic important to harness change and improve organizational performance and maturity. 

Posted in: Digital Master,Digital Maturity,Digitalization