John Love MBA, CPA, CMA’s Post

How can companies not just survive but thrive in an era of constant change and disruption? I’ve been reading through the PWC 27th Annual CEO Survey and it’s pretty stark. Globally, 45% of CEOs of businesses over $100M are concerned their business will not be viable in 10 years unless it can adapt. That number is 56% for CEOs of businesses under $100M - the vast majority of businesses. I believe there are two paradigms beginning to have an impact on companies and without addressing them effectively, the chances of survival are remarkably lower. 1️⃣ The Perfect Storm Paradigm The number and scale of challenges faced is increasing, as is the concurrency of these challenges. The Perfect Storm. 2️⃣ The Purpose Performance Paradigm People are re-evaluating their relationships with their workplaces, their communities, even the political system. They are not content with that which is seemingly performing, if it’s not also a net contributor to improving society and the environment. To address these: ➡️𝗢𝘂𝗿 𝘃𝗶𝗲𝘄 𝗼𝗳 𝘄𝗵𝗮𝘁 𝗹𝗲𝗮𝗱𝗲𝗿𝘀𝗵𝗶𝗽 𝗺𝗲𝗮𝗻𝘀 𝘁𝗼 𝗮 𝗰𝗼𝗺𝗽𝗮𝗻𝘆 𝘄𝗶𝗹𝗹 𝗻𝗲𝗲𝗱 𝘁𝗼 𝗲𝘃𝗼𝗹𝘃𝗲 and more importantly, ➡️𝗖𝗼𝗺𝗽𝗮𝗻𝘆 𝘃𝗮𝗹𝘂𝗲𝘀 𝗻𝗲𝗲𝗱 𝘁𝗼 𝗮𝗹𝗶𝗴𝗻 𝘄𝗶𝘁𝗵 𝘀𝘁𝗮𝗸𝗲𝗵𝗼𝗹𝗱𝗲𝗿𝘀’ 𝘃𝗮𝗹𝘂𝗲𝘀 𝗮𝗻𝗱 𝗽𝘂𝗿𝗽𝗼𝘀𝗲, in particular 𝗲𝗺𝗽𝗹𝗼𝘆𝗲𝗲𝘀’ 𝗽𝘂𝗿𝗽𝗼𝘀𝗲. Leaders who create alignment with employees sense of purpose, beyond career advancement will thrive. Otherwise they run the risk that the challenge to attract and retain talent leaves them playing second fiddle to those that do. See the comments for my substack article on this topic.

The term VUCA has become a guiding principle, encapsulating the multifaceted challenges posed by a Volatile, Uncertain, Complex, and Ambiguous world. Originally coined in the military domain, VUCA has seamlessly transitioned into the corporate lexicon, representing a paradigm shift in how organizations perceive and respond to the dynamics of their environments. Volatility, the first component of VUCA, underscores the speed and unpredictability of change. In a world where technological advancements, geopolitical shifts, and market fluctuations occur with astonishing rapidity, organizations must develop an agility that enables them to pivot swiftly in response to unforeseen circumstances. Embracing change as a constant becomes not just a mantra but a survival imperative. Uncertainty, the second facet, acknowledges the lack of predictability in various aspects of the business environment. Rapid shifts in consumer preferences, regulatory landscapes, and global events contribute to an atmosphere of perpetual uncertainty. Successful organizations are those that cultivate a capacity for scenario planning, fostering resilience to thrive in environments where the only constant is change. Complexity, the third element, signifies the intricate interplay of various factors that shape the business landscape. Globalization, interconnected supply chains, and diverse stakeholder interests contribute to a web of complexities that demand holistic thinking. Leaders must navigate this complexity by fostering interdisciplinary collaboration and embracing systemic approaches to problem-solving. Ambiguity, the final aspect of VUCA, encapsulates the lack of clarity in understanding cause-and-effect relationships. In an ambiguous environment, leaders are confronted with incomplete information, making decision-making a challenging endeavor. The ability to make informed decisions in the face of ambiguity requires a blend of intuition, experience, and a willingness to embrace calculated risks. To effectively navigate the VUCA landscape, organizations must adopt strategies that align with the inherent nature of each component. Developing a culture of continuous learning and adaptability is paramount. Leaders need to foster a mindset that views change not as a disruptor but as an opportunity for growth and innovation. Embracing technology and data-driven insights becomes essential for staying ahead in a volatile and uncertain marketplace. Moreover, collaborative and inclusive leadership becomes crucial in addressing the complexity of interconnected systems. Organizations need to break down silos and encourage cross-functional collaboration to tackle challenges that span multiple dimensions. Building a diverse and resilient workforce capable of navigating ambiguity becomes a strategic imperative, ensuring that the organization can thrive in the face of uncertainty.

How do financial leaders drive organizational change? In today's rapidly evolving business landscape, organizational change isn't just a choice – it's a necessity for sustained success. And at the heart of this transformation journey are the unsung heroes of the corporate world: financial leaders. 1. Strategic Visionaries: Financial leaders are more than number crunchers; they're strategic visionaries who understand that change isn't just about shifting processes, but also about realigning the entire organization's goals. They align financial strategies with the bigger picture, ensuring that every financial decision contributes to the overarching transformation. 2. Data-Driven Decision Makers: In an era of data abundance, financial leaders harness the power of analytics to guide decision-making. Their ability to interpret financial data helps them identify areas that require change, allocate resources efficiently, and track the progress of initiatives. 3. Risk Mitigators: Change often comes with risks, and financial leaders are adept at evaluating and mitigating those risks. They create financial models that simulate the impact of change scenarios, enabling the organization to make informed choices that minimize potential setbacks. 4. Cross-Functional Collaboration: Successful change isn't confined to the finance department alone. Financial leaders collaborate across departments, fostering teamwork and breaking down silos. By bringing diverse perspectives together, they ensure that the change initiative is holistic and sustainable. 5. Resource Allocation: Change initiatives require financial resources, and financial leaders excel in optimizing these allocations. They prioritize investments, allocate budgets, and monitor expenditures to ensure that resources are channeled effectively toward transformational goals. 6. Communication Champions: Effective change demands transparent and consistent communication. Financial leaders simplify complex financial concepts, making them accessible to all stakeholders. Their communication skills bridge the gap between financial jargon and operational understanding. 7. Change Champions: Financial leaders don't just facilitate change; they embody it. By embracing new technologies, methodologies, and approaches themselves, they set an example for the entire organization. Their adaptability paves the way for a culture of innovation. In an era where disruption is the norm, financial leaders serve as anchors of stability while guiding organizations through transformational seas. Their expertise transforms numerical data into actionable insights, financial strategies into driving forces, and uncertainty into opportunities. Let's celebrate these change catalysts who navigate the intricate balance of finance and transformation. Their leadership propels organizations forward into a future where change is embraced, not feared. #FinancialLeadership #OrganizationalChange #ChangeCatalysts #InnovationInFinance

Great Korn Ferry advice from Elise Schroeter Lars Rønn and Lydia Glover in Chief Executive Group Shareholder activism, global unrest, inflation, fallout from the pandemic and the uncertain impact of AI’s infiltration into the workplace resulted in 2023 setting records for CEO turnover. In addressing the Top three keys to a CEO’s success, it starts with prioritising a clear purpose - "Executives who prioritize a company’s purpose and values are more likely to be effective leaders. In fact, 88% of CEOs we surveyed believe having a clear purpose and vision contributed to their success as a new CEO. Although driving business decisions based on purpose may cost the company in the short term, a purpose-driven strategy will likely provide long-term gains—whether related to impeccable customer service or supporting ESG initiatives." My feeling is that effectively operationalizing that purpose then decides how purpose-driven that organisation is going to be.........translating the "why" into the "how"..........moving from strategy to implementation......... #purposedriven #datadriven #projectlighthouse #employeeexperience #customerexperience

According to our researches, 96% of programs experience turning points. These Turning points begin when a sense of progress becomes stagnation. If improperly addressed, this harms workers’ motivation and willingness to invest the discretionary effort required to transform. CEOs can successfully navigate critical moments by bringing humans to the centre of the process. This is key to greater success in transformation programs. To find out more, please read the article below. #EYFinance #EYFinanceTransformation Annagiulia Di Pasquale Graham Whelan Pallavi Pinto

Making bold moves in business can pay off big time! According to McKinsey data, CEOs who shift at least 30% more than the industry median are more likely to rise to the top quintile of economic profit. And making three or more bold moves makes such a rise six times more likely! It's also worth noting that CEOs who make these moves earlier in their tenure outperform those who move later. If you're an internal hire, don't be afraid to ask yourself, "What would an outsider do?" to help guide your strategic decisions. #BoldMoves #BusinessSuccess, #coachingcanhelp

Are your people truly ready for change? Workers are less likely than CEOs to answer ‘yes’ to that question. If the misalignment isn’t fixed, says PwC's Peter Brown, reinvention may falter. Read here to find out more.

💡 CEOs as Superhumans for Ongoing Progress You probably think that a CEO should be more creative, competent, problem-solving and patient than other employees. To put it simply, a CEO should be a superhuman to the employees, so that the employees can easily trust the CEO's abilities. ⭕ There are two controversial trends over the last 30 years that could indicate a revolution in management: 1️⃣ The presence of the CEO behind the scenes 2️⃣ Only the advancement of the company's goals is important, not the employees Historically, boards of directors expected their CEO to manage the company's resources and ensure that the business was running smoothly, rather than being concerned with personal growth and interests. ⭕ But since the 1990s, the role of the CEO has become more public-facing. Most successful businesses of the last 30 years depend on owners with big personalities and big visions, such as Bill Gates, Jeff Bezos, and Elon Musk. These celebrity CEOs create a public image of success that permeates other organizations. ➕ At the same time, the role of corporations in society has changed, putting new demands on CEOs. Today’s CEOs have to be a strong communicator who can inspire and motivate employees, rather than simply managing resources. And they need to have a vision of how their company will address social and environmental issues, and be transparent about their impacts. ➕ Most surprisingly, business leaders are now the most trusted group in societies. Edelman’s 2023 Trust Barometer showed that, while people see government officials, journalists, and the rich as decisive forces, they’re more likely to see CEOs as a positive force in society. That’s a tough expectation to live up to. Are you also aspiring to be a superhuman? What are your plans to become a superhuman? Translated by Alireza Ahmadirad #management #business #progress #problem #mba #dba #businessanalyst #ceo #ceos #employee

It’s not enough to say pretty words and have nice ideas about how we could work together in a way that is more meaningful and satisfying. (We can leave that to the likes of McKinsey and Deloitte). Our job at Intelligent Management over the years has been to find a way that radically improves organizational performance and that, in doing so, radically improves organizational culture. The two go firmly hand in hand. #companyculture #organizationalperformance #systemsthinking #complexity