In the next year, the US will have a new and perhaps radically different president, the UK may have voted to leave the EU, migration will continue to be a massive issue, the ongoing stagnation of the oil price will influence economies and the climate change imperative will drive business strategy for the next 20 years and beyond. Add to that massive leaps forward in technology which will continue to impact on all of us – 3D printing, drone technology, home networking, driverless cars and humanoid robots to name but a few – See here. It’s like the stuff of Minority Report!
The world and, consequently, the world of business is going through change at warp speed, influenced by the rapid change of economic, political, social, technological, environmental and other factors.
Thomas Freidman, in his book, The Earth is Flat, says “…there is something different about the flattening of the world that is going to be qualitatively different from other such profound changes: the speed and breadth with which it is taking hold….This flattening process is happening at warp speed and directly or indirectly touching a lot more people on the planet at once. The faster and broader this transition to a new era, the more likely is the potential of disruption.”
Businesses are having to adapt more quickly than they ever have before and in order to do so they need massive reserves of what we might call psychological capital – innovation, resourcefulness, imagination, resilience, adaptability, self-management and vision.
This calls for a new type of leadership – a leadership that is less about proven methods, implementation and compliance and more about vision, adaptability and courage. The world the we are experiencing, the ‘new normal’ as Friedman calls it, has been described as a VUCA world. Coined in the late 1990’s, the military-derived acronym stands for the volatility, uncertainty, complexity, and ambiguity—terms that reflect an increasingly unstable and rapidly changing business world. This new VUCA environment will require HR and talent management professionals to change the focus and methods of leadership development.
A VUCA leader is one who embodies what is called the “VUCA Prime,” which flips the acronym to focus on vision, understanding, clarity, and agility – all key characteristics for navigating teams and organisations through this new landscape. The foundation stone for building these characteristics is the radical and intentional development of self-awareness and a new enthusiasm and passion for learning new skills, new approaches and new mind-sets. For those interested have a look at this article by Erika Andersen on ‘Learning how to learn’ written for Harvard Business Review March 2016 issue http://tinyurl.com/zgcpcxq
The ability to acquire new leadership skills and knowledge quickly and continually is crucial to success in a world of rapid change.