As leaders in organizations of all kinds grapple with the forces reshaping their world, and with challenging questions about businesss role in society, they are finding that the keys to business success have changed. In many industries, growth is harder to sustain, survival is not a given, and a narrow focus on financial performance is not enough. In this publication, BCG suggests the following five imperatives for success in the 2020s.
Master the New Logic of Competition
To succeed in the 2020s, companies will need to put aside the old rules of the game and compete on multiple new dimensions.
- In a dynamic and complex environment, planning and predicting wont necessarily lead to business success.
- Successful companies in the coming decade will compete on their ability to learn faster than their rivals, adapt to constant change, imagine entirely new possibilities, and collaborate in business ecosystems.
Design the Company of the Future
Todays organizations were created for stability. Tomorrows must be built for change.
- As the familiar paths to business success disappear, survival depends on the ability to learn and adapt. Indeed, the future of business hinges on learning.
- Technology will help companies gain insight from data, but companies still need people. It takes a new kind of enterprise to figure out the most potent combination of artificial and human intelligence.
Apply the Science of Organizational Change
Large transformation efforts often fail, so why even try? Because standing still is not an option.
- Companies must change even when things are going well. Indeed, the capacity for continual change is a critical imperative for business success in the 2020s.
- Business leaders can turn change into an opportunity. Theres no recipe to follow for transformation, but data and analytics make it possible to decode what works and what doesnt.
Embrace the Business Imperative of Diversity
Diversity isnt just a moral issue. In the business world, as in the natural world, diversity is a crucial source of strength and adaptability.
- Research shows a link between a companys diversity and its capacity for innovation and resilience.
- For business success, its not enough to increase the diversity of the workforce. Leaders also need to create an environment where new perspectives are welcomed and encouraged.
Optimize for Both Social and Business Value
The future of business must be about more than business.
- As the publics trust in business wavers, political and economic uncertainty around the globe increases, and climate change intensifies, companies must be part of the solution by creating social as well as economic value.
- Companies will thrive in the 2020sand beyondonly if they have sustainable relationships with the social, political, and environmental systems they participate in.