How Global Forces Will Shape Corporate Cultures

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I found two  good summaries of the impact of external global forces on corporate cultures and organizations for the next 10 to 50 years.

The first one  in an interesting article by Mark Bodnarczuk,  the Executive Director of the Breckenridge Institute®

I-Four Global Forces That Will Shape Organizational Culture for the Next 50 Years:

  1. Advances in Science and Technology
  2. The Global Redistribution of Knowledge, Power, and Wealth,
  3. Competing Political, Cultural, and Religious Ideologies,
  4. Sustainability of the Physical Environment

Conclusion: These global forces will define how organizations must interact with customers and respond to competitors in order to achieve sustained business performance.

II-Global forces: An introduction

This second article  was written for  McKinsey quarterly June 2010

Most business managers, confronted with the global forces shaping the business landscape, also assume that their ability to sculpt the future is minimal. But they can react to such forces or, even better, anticipate them to their own advantage. Above all, they ignore these forces at their peril. McKinsey quarterly June 2010

McKinsey has identified five forces, or crucibles, where the stresses and tensions will be greatest and thus offer the richest opportunities for companies to innovate and change:

1-The great rebalancing. The coming decade will be the first in 200 years when emerging-market countries contribute more growth than the developed ones. This growth will not only create a wave of new middle-class consumers but also drive profound innovations in product design, market infrastructure, and value chains.

2-The productivity imperative. Developed-world economies will need to generate pronounced gains in productivity to power continued economic growth. The most dramatic innovations in the Western world are likely to be those that accelerate economic productivity.

3-The global grid. The global economy is growing ever more connected. Complex flows of capital, goods, information, and people are creating an interlinked network that spans geographies, social groups, and economies in ways that permit large-scale interactions at any moment. This expanding grid is seeding new business models and accelerating the pace of innovation. It also makes destabilizing cycles of volatility more likely.

4-Pricing the planet. A collision is shaping up among the rising demand for resources, constrained supplies, and changing social attitudes toward environmental protection. The next decade will see an increased focus on resource productivity, the emergence of substantial clean-tech industries, and regulatory initiatives.

5-The market state. The often contradictory demands of driving economic growth and providing the necessary safety nets to maintain social stability have put governments under extraordinary pressure.

Globalization applies additional heat: how will distinctly national entities govern in an increasingly globalized world?

McKinsey‘s Conclusion:

What we do know is that the forces driving the emergence of this new world are too powerful to be denied and that running a 21st-century company is exponentially more complex than running a 20th-century one, of any size.

Companies must pay attention to more stakeholders, more regulations, and more risks—and watch to see what their customers are tweeting about them. That complexity is greater, but so, we believe, is the opportunity.

About Anne Egros, Executive, Career and Expat Life Coach

Zest and Zen is a blog about Expat Life Challenges, Global Leadership, Intercultural Communication, Health and Wellness, Nutrition, Change Psychology, Life Transitions
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