4. Build partnerships to supplement your strengths
If you’re a company that wants to bulk up your digital capabilities, do you train people internally? Do you partner with another organization? Or do you acquire another company that does what you need?
The answer is different depending on the circumstances and the company. But increasingly, many companies are going for the third option – which is one of the reasons that mergers and acquisitions spiked last year, as more and more established businesses have acquired tech companies that can supplement their offerings.
However, there is a lot to be said for the power in partnerships. In addition to the digital capacities we’re building internally, we’ve set up partnerships with companies like LinkedIn, IBM and Microsoft. This means that we can combine our strengths to improve our client offerings in areas like data analytics, security, and digital enterprise.
Together, these four principles underline an essential reality for businesses today. The strategies that worked for the last 30 years – the same ones that drove many companies to the top - are the very qualities that could hold them back in the future. Fortunately, the very tools that have unleashed the threat of disruption also make it possible for businesses to adapt and evolve faster than ever. Technology may be the cause of many challenges today - but if we approach it right, it’s also the solution.
This article was previously published on LinkedIn, February 2016, under the headline "Opportunity or Threat? Four Principles of Digital Disruption."