The digitalization flattens the organizational hierarchy and blurs the functional, organizational and geographical borders in the business ecosystem.
Digital makes a significant impact on every aspect of the business from people, process to technology, both horizontally and vertically. The digitalization flattens the organizational hierarchy and blurs the functional, organizational and geographical borders in the business ecosystem. It is like the gigantic puzzle with many misplaced pieces, you have to put them all in the right places to discover the real meaning and unleash its full potential. You cannot make a true digital paradigm shift without an in-depth understanding of the digital fluidity and embracing the multitude of digital management practices.
Digital Fluidity
Build Digital Multiplier to Improve Business Fluidity? When jumping into the “VUCA” digital new normal –volatility, uncertainty, complexity, and ambiguity, organizations that do not respond to external environmental changes timely will quickly outcompete as more nimble and adaptable companies catch up the digital trend and run at a faster speed. Organizations need to be in flow for communicating fluently and operating smoothly. Business leaders should envision where the future will be for the business in order to adapt to changes timely. It’s important to identify core business competencies, break down silos or overly rigid hierarchy, and build digital multipliers to improve business fluidity.
Tuning Organizational Structure from Hierarchy to Circular for Achieving Fluidity, Flexibility, and Fit With the increasing pace of changes, hyper-connectivity, and interdependence, organizations across vertical sectors are at the turning point, take the multidimensional approach to make the digital paradigm shift. From the organizational structure perspective, the overly rigid pyramidical organizational structure forms communication gaps, encourages silo mentality, creates the performance bottleneck, also decelerate business speed. Therefore, fine-tuning underlying business structure and processes is a critical step for improving digital business fluidity, flexibility, and overall digital fit.
How to Drive a Frictionless, Immersive, and Relentless Digital Transformation? Due to the abundance of information growth and disruptive nature of technologies, forward-looking organizations empower their IT to drive changes and lead the digital transformation. The thing needs to be clarified is that digital is not just about applying a few fancy technology gadgets or designing a cool website, it is much broader and deeper than that. Digital transformation is also not just about using the latest technologies as a single dimensional enhancement, but a multidimensional evolution based on sociocultural, sociotechnical, socioeconomic, organizational, scientific, philosophical, psychological, and artistic, etc., lens. These dimensions interact and mutually influence each other. It is the digital paradigm shift. The visionary digital CIOs must continually ask themselves: How to run IT as a change agent, and how to drive a frictionless, immersive, and relentless digital transformation?
Digital Flow: The Future of Knowledge Management? Digital means flow, data flow, information flow and knowledge flow; there is a shift from more traditional knowledge management approaches to techniques that involve enhancing the "flow" of knowledge within an organization to improve access and use. As the accepted model of knowledge management is too hierarchical, too centralized for the fast-moving, increasingly social or collaborative digital enterprise of today, so it makes sense that something like flow management is seen as a more fitting.
CIOs as “Digital Master”: Setting Stages to Keep Digital Flow? Digital means change, choice, fluidity, speed, and innovation. In a dynamic digital workplace, the organizational structure should be solid enough to keep people or things in order; but fluid enough to keep information and idea flow. Organizations, like individuals, need to be in flow to operate smoothly and adapt to change effortlessly. An organization can approach such a flow zone when people are ready for moving to a fluid structure, and digital leaders are eager to set stages to drive a frictionless, immersive, and relentless digital transformation.
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