The world is ever-changing and advancing, and this change is developing faster than ever before expected. The world is changing in such a way that company leaders and scientists are uncertain what will happen in the future, they call it the VUCA world.
With advances in technology, from 3D printers to automated robots, they are constantly changing how companies do and make business. New research within AI and automatization proves how quickly and radically our society is developing. This increased rate-of-change is creating instability and uncertainty in global markets. Furthermore, the continued expansion of globalization is amplifying this effect. A term to describe our changing world is VUCA.
VUCA is an acronym first developed by the American military during the Afghan and Iraqi invasion, where the situation was Volatile, Uncertain, Complex, and Ambiguous. The acronym describes the countless unpredictable variables and factors that affect our adapting world. Therefore, it will be important for company leaders to rethink: leadership, organizational structure as well as company culture, to continue to establish a positive result into the future.
Because today we are seeing large changes in a less predictable future with exponential more options to chose from. It will pressure leaders to make faster decisions, at the same time as processing more information. Hence, leading in our VUCA world is difficult; the labor market is changing and leaders have to adopt new strategies within recruiting and leadership styles. Leaders have to accurately define and predict wanted and needed abilities with employees, but also to be able to organize in such a way that the right person is at the right place at the right time.
One such new ability is potential; the ability of adaptation and showing a continuous motivation to learn new things to handle the new challenges in the VUCA society. New technological breakthroughs in AI and automation has proven to become a competition for current jobs, such as in finance and accounting.
No one knows what the future will hold. However, through strategic and analytic examination of current and future trends in industries, leaders will be able to adapt to the same phase as the VUCA world is. And continue to show a positive result.