Connect with us

Technology

The future of work continues to be rewritten

Published

on

Pixaby
Depost Photos - Chaos
Share this:

This post references my recent presentation at Startupfest, Montreal. I’ve been studying the future of work for a number of years and it’s now come full circle in an environment and among business leaders who are more accepting of what’s in store in the coming decades and what they need to do to survive.

Currently, we live in this world of imbalance. Do you remember when business had a strong influence on how the markets behaved? We’ve seen this decline over the past few decades and business is being held hostage by their own doing. These corporations built these infrastructures based on markets that were predictable and environments that were relatively stable. The tables have turned and today markets are moving at a speed where business is struggling to keep pace. I’ve seen firsthand how technology has wielded its way into the marketing and media sector. It changed the way people consumed information, how they interacted with each other and how they bought. At the same time, it has obsoleted the very practices I’ve known be true.

Look at what’s happened in the last year alone: This digital disruption in retail has witnessed at least 21 U.S. retailers filing for bankruptcy protection in 2017 including Toys R Us, The Limited, and Payless. We have seen the demise of Sears in recent months.  The move to digital channels has been steady but incessant. Also, consider the changes within the $7.6 trillion global travel and tourism sector that necessitate continuous iteration of current business models. Because of Airbnb and Uber, which have, respectively, booked on average 100 million room nights per year and 40 million rides per month, pronounced shifts within this industry are happening today. At the heart of all this disruption is the explosion of adoption at the consumer level. The consumer is digital.

The most dangerous phrase … is: “We’ve always done it this way”

The way it was DONE could no longer be the way it WILL Be.

Consider the time it takes for a new product or technology to reach a significant milestone in user acceptance. It took the landline telephone 75 years to hit 50 million users. It took airplanes 68 years, the automobile, 62 years, and television, 22 years. Today, disruption is the new normal. Look at the impact of technology since the year 2000. YouTube, Facebook and Twitter were able to capture 50 million users in four, three and two years, respectively. These are nothing when compared to Angry Birds, which took a mere 35 days to reach 50 million users.

Creative destruction is moving at an accelerating pace. By leveraging the same systems, the same processes, the same best practices from legacy businesses to the predict market behavior, business will continue to chase the market and miss enormous opportunities.
Imagine a world in which the average company lasted just 12 years on the S&P 500.

A gale force warning to leaders: at the current churn rate, about half of S&P 500 companies will be replaced over the next ten years. The 33-year average tenure of companies on the S&P 500 in 1964 narrowed to 24 years by 2016 and is forecast to shrink to just 12 years by 2027.

Over the past five years alone, the companies that have been displaced from the S&P list include many iconic corporations: Yahoo! Staples, Dun & Bradstreet, Safeway, and Dell.

The environment is dictating how businesses organize

We have to consider the trends and what may seem like sustainable developments within the current environment, the interplay of technology and opportunity which will impact the way markets think, the way they behave and what they will expect. Four rising factors that will impact business include:

  1. Urbanization:  Throughout the world, urban populations are growing much faster than rural populations. Today, cities occupy just 2.6% of the earth’s crust, “but are home to more than 50% of the world’s population, generate more than 80% of the world’s GDP and use 75% of the world’s natural resources.” By 2030 60% of the world’s population will live in urban areas. This will have significant implications on demand for the world’s resources. It will also create an increased service economy and bring with it, more complexity. The growth of cities will mean consumer expectations will not wane. They want things fast, easy, convenient, and affordable
  2. The Gig Economy: By 2030, 43% of the workforce will be freelance. CEOs will need to encourage their organizations to adopt agile workforce strategies to meet the rapidly changing skills market. Increased competition will force companies to lower costs while improving productivity, which will mean they will hire for tasks vs headcount. To remain competitive, this idea of permanent workforce will not prevail. This will come at a time when workers will be interested in adopting more flexible working arrangements because it will grant them greater control, growth and even job security. The “liquid” workforce will also compel employers to continuously train staff and move them around the organization as needed.
  3. Social Responsibility:  Consumers in developed economies are becoming more value conscious and this is putting more pressure on companies to find ways to do more, and to do better. The buying model has shifted. The reputation of a company is now highly correlated with revenue. Employees will also weigh in and their collective voices will be more pronounced. Implications for employee retention will be profound as it is today. A study from Accenture for the World Economic Forum showed when there is a high level of trust in a company, it attracts new customers and strengthens existing ones. A high level of trust also makes employees more committed to staying with the company, and partners, and more willing to collaborate.
  4. Transparency:  If the Cambridge Analytica and Facebook data leak taught us anything, consumers are better informed, have higher expectations and demand much more transparency in how their information is being used. Trust becomes an important value in privacy and ethics, especially when data becomes the engine that drives many of tomorrow’s decisions. Mary Meeker references this Paradox of Privacy, where organizations seek to leverage personal information to provide more customization and, at the same time, are increasingly scrutinized in how they use the information. This is the first time the consumer is being given control over their own information. This wild west of rampant experimentation that created opportunism in business and in politics, at the expense of the individual, is over.

As Dave Gray, Author of the Connected Company pointed out,

“Business requires dismantling of its precious infrastructure”

New Mindsets: New Organizational Structure


The way business organizes today is through process and hierarchy. There are only a few people at the top. The work is divided and everyone gets their box in which they work. Rules ensure all decisions are run up the flagpole. The industrial revolution created this structure as well as a system of disseminated accountability. It was easy to hide behind your job description and claim, “It’s not my responsibility”. The division of work created these silos that stifled information sharing and ultimately, the speed of decisions.

Business 3.o must be:

  • ethical
  • empathic
  • nimble

Make no mistake – companies will be judged by their customers, their employees, their partners and their investors. How business innovates around these constituencies will determine their longevity.

Enter “Holacracy” 

What has been around for decades but hasn’t been as pervasive is this notion of self-management or HOLACRACY. This was developed through an agile methodology, which advocated the workflow. This allowed engineers to develop ideas without managerial direction. This “Fractal System is a complex, non-linear, and interactive system” and adapts readily to a changing environment. These systems are characterized by the potential for self-management especially in environments where balance does not exist.

So while the core functions are contained at the center of this org structure, including the policies and standards of the organization, the outer layer contains these pods of excellence, which allow for rapid experimentation, more fluid collaboration and where the members have direct accountabilities to the work unit. The individuals within these independent units are empowered to test, build, deploy, measure and iterate much more quickly than if they worked within today’s hierarchical structure.

Business Must Design for Ambiguity

…where complexity and uncertainty are the rules.  Three strategies that respond to this environment include:

    • The Perpetual Learning Organization – Digital business requires companies to act and respond faster than they ever have before.  While modifying the current communication and decision making structures will enable this, the widening business-to-market gap will mean closing the skills and knowledge gap between employees and a marketplace facing continuous change. This requires organizations to embed learning management systems to bring employees up to speed on market trends, to train and re-skill them on new technology, to encourage participation in new product development, plus modify job roles so they evolve with the new technology.  This will create an expectation of life-long learning within the culture.
    • Design Thinking – This is a strategic practice that radically changes the mindset of an organization from “static to fluid.” At the heart of this approach is to solve problems that are human-centered. In addition, collaboration is required cross-functionally to determine the impacts on all parts of the organization.  Rigorous data collection is required at all stages to ensure thorough identification of impacts to workflow and functional requirements. The focused group is created to speed up the process of innovation, get the required feedback and make autonomous decisions.  This method will discover redundancies in the current systems, but will also allow strengthening collaboration as employees within these groups will be much more energized to collaborate and own their solutions.  Projects will be able to go into production much faster as long as there is accountability and validation at each stage. This methodology fits squarely into the holocratic organizational strategy that ensures functional participation and empowers accountable experimentation and deployment.
    • Privacy by Design –  Data will drive everything in this century. Slowly boundaries are being severed between countries and organizations to contextualize information for the purpose of gaining increasing insight. What is also clear is the rise of the General Data and Protection Regulation (GDPR) that is telling organizations to slow down and put into place, standards and policy for the responsible collection, use and aggregation of information. Privacy by Design was developed by Dr. Ann Cavoukian, a 3-term Privacy Commissioner in Ontario. In the 1990’s, Cavoukian conceived of this idea to address the growing “systemic effects” as communication and information technologies integrated within increasingly networked data systems. When companies in the future are faced with petabytes of data being streamed from multiple feeds, there will be a mandate to explain model outputs. As well, functionally embedding privacy that is fair and moral into each layer of our systems will be required. Defining “fair” and “moral” needs to be functionally explicit. Continuous audits for fairness within systems and practices will also be required. The patterns that algorithms will detect will create opportunistic tendencies. This quote from an executive at Salesforce at a recent conference summed up nicely how business should respond: “Just because you can, doesn’t mean you should”. As we marshall into more disruptive technology using data, business will need to understand the long-term implications for the society at large.

This is the future of the “long-lived” company:

Connected companies learn and move faster, seize opportunities and link to a network of possibilities to spread their influence. ~Dave Gray

The future of work means destruction of silos. The panacea is a more fluid organization where decisions are made at the edges, where the business is in sync with its market, and where business perpetuates a value system that keeps it humming nicely.

Please reference the presentation here.

This post originally appeared on Forbes.

Share this:

Technology

80% of electronic waste in Canada went “uncollected” and “unrecycled” in 2020

According to University of Waterloo researchers, the amount of electronic waste in Canada has more than tripled in the last 20 years.

Published

on

Share this:

When you think of waste management and reduction, you might picture dump trucks of food waste, packaging, and of course — plastic straws. 

But a less discussed type of waste is building up in Canada: electronic waste, or e-waste, meaning electronics that no longer work or are needed. Examples include:

  • Computers
  • Televisions
  • Stereos
  • Fax and copy machines
  • Headphones and radios
  • Electric appliances
  • Other electronic products

The study reminds readers that electronic waste has a large number of hazardous materials in its composition, including: 

  • Mercury
  • Cadmium
  • Lead
  • Arsenic
  • Chlorofluorocarbons (CFCs)
  • Brominated flame retardants (BFRs)
  • Polybrominated diphenyl ethers (PBDEs)
  • Polychlorinated biphenyls (PCBs)

Now, Canada doesn’t show up in the top 10 countries with the biggest e-waste generation. We’re looking at China, the US, and India as the top three. 

Still, a study by researchers at the University of Waterloo found that Canada’s e-waste tripled in the last two decades. 

Canada doesn’t have many up-to-date studies on national e-waste

Released in May 2023, this University of Waterloo study is reasonably named the “first comprehensive estimate of e-waste in Canada.” 

Researchers estimated e-waste figures based on data from import and export statistics, as well as in-use stocks of electrical and electronic equipment from 1971 to 2030. 

E-waste has tripled in the last twenty years in Canada

The study mentions how society has dramatically advanced with digitization and technology, resulting in newer electronic equipment by the year. 

However, this increase resulted in the simultaneous decommissioning of older electronic equipment because they become irrelevant or unusable faster. The result?

“Faster stockpiling of waste electrical and electronic equipment.”

Just how much waste are we talking? The study’s 60-year historical and projected period suggests a total of 29.1 million tonnes of e-waste, with consistent growth each year at 0.5%. 

But how did Canada fare in the years we have solid data for? Researchers note: 

  • 252 kilo tonnes in 2000
  • 954 kilo tonnes in 2020

While businesses account for more significant outputs of e-waste, the study calculated a per-capita e-waste generation of: 

  • 8.3kg in 2000
  • 25.4 kg in 2020
  • Estimated 31.5 kg in 2030

How to move forward with e-waste

The study’s data presents an opportunity for policymakers to better understand: 

  • Life cycle of electronic products
  • Reasonable targets for waste reduction
  • Resource circularity potential for e-waste management

Read the full University of Waterloo study.

Share this:
Continue Reading

Business

 Leading insurance company Chubb goes all in on AI

A look at how the billion-dollar insurance company plans to embrace AI in all business areas.

Published

on

Share this:

Insurance claims aren’t supposed to take longer than a few weeks to settle — but some can take as long as several months. This is just one business challenge that AI helps insurance companies overcome.

And Chubb, one of the world’s biggest insurance companies, has taken note. 

Founded in 1882, Chubb is a leading insurance company based in Switzerland with offices worldwide — including a new tech services center in Greece. 

CEO Evan Greenberg recently shared a company-wide adoption of artificial intelligence (AI) on a larger scale with investors. 

The company’s newest services center in Thessaloniki, Greece, is expected to spearhead AI initiatives to improve digital transformation, efficiency, and customer experience. The common denominator? AI, specifically automation, machine learning, and cybersecurity modernization. 

So, what can AI do for the average insurance company?

  • Fraud detection: Insurance companies lose over $40 billion per year due to fraudulent claims, a contributor to increased premiums. Machine learning overcomes human limitations when detecting fraudulent indicators. The algorithms continuously improve based on data, which can save insurance companies tons of money. 
  • Risk assessment: Every insurance underwriter uses customer-provided data to assess risk and determine coverage accordingly. But if customers fabricate information, or if underwriters make mistakes, risk could either be over- or under-accounted for. AI helps companies minimize the chance of dishonesty seeping through by catching human-crafted answers versus accurate ones. 
  • Customer service and overall efficiency: Indeed, most people have a negative perception of insurance companies. But quicker claims, risk assessments, policy purchases, and settlements will support better customer experiences in the insurance industry — all thanks to a customer-centric shift powered by AI. Some companies are already using AI-powered chatbots to support customers in finding the most suitable policies for their needs and income. 
  • Labour savings: A double-edged sword, AI development in the insurance field will allow companies to hire fewer underwriters and agents, which saves on labour costs. Still, McKinsey points out that this shift would result in transitioning the agent’s role from handling “busy” work and “data collection” to “process facilitation and product educators.” 

Greenberg attributed AI to improved operations like underwriting, customer experience and service, marketing, and more. The benefits are fuelling the company’s shift to wider-spread adoption. 

Read the full story here

Share this:
Continue Reading

Business

Technology Helps CEO: It’s possible to make money and do good at the same time

Charles Buchanan says an investment in tackling digital poverty is both a social good and a long-term investment for corporate leaders.

Published

on

Share this:

Charles Buchanan says there are ghosts among us.

He’s not a psychic. He’s no spiritualist leader. But he is an evangelist of sorts for a perennial problem in our increasingly connected world — technology poverty. 

Buchanan’s haunted by the fact that nearly 19 per cent of Canadians barely interacted with the internet in 2020. 

“I don’t like the word ‘class’ but there are two clear, distinct digital classes,” he says. 

“The people in the upper class don’t even know the people in the lower class because we engage digitally. They’re not on Facebook, they’re not on LinkedIn. They’re not visible. To us they sort of don’t exist.”

That digital non-existence has far-reaching implications for the individuals who can’t connect, and for society at large. But it’s not just individuals who struggle. 

Many non-profit organizations also lack the cash, time or in-house skills needed to keep up with the digital transformation, impeding their ability to provide services and remain relevant. 

It’s why Buchanan works tirelessly through his social enterprise — Technology Helps — to bridge that digital divide, working with non-profits as well as politicians to try and break down barriers and increase access not only to hardware like computers, but to the skills needed to navigate and thrive in a connected world. 

The problem

Technology poverty is a big problem, no just for the sheer number of organizations and individuals experiencing it, but also in terms of its breadth. Everything from slow internet connections, to lack of computers to a lack of education and training all fall under its umbrella. 

Its consequences are equally far reaching. 

According to Technology Helps, only 59 per cent of low-income homes in Canada have internet access, compared to 98 per cent in the highest income brackets.

Buchanan worked with the City of Calgary on its digital equity task force. The City indicated they were limited in resources to support the project.

“I said to them, whatever money you don’t have today, you better have 10 times that money tomorrow, because the people who are digitally isolated today are going to be your social justice challenges tomorrow, they’re going to be your unhoused problem tomorrow, they’re going to be your healthcare problems tomorrow,” he said.

He’s now preparing to give out around 500 laptops through the city program.

Technology poverty is pronounced in rural communities, low income families and particularly in Indigenous communities, where access to high-speed internet is hard to come by. Indigenous participation in the tech sector is significantly lower compared to non-Indigenous Canadians. 

The front lines of those social battles are non-profits, who are constantly chasing funding and trying to prioritize where to spend. According to Technology Helps, the sector saw big drops in funding and increased demands for services during the pandemic. 

A study released in 2022 by Sage — an accounting and HR software company — found four out of five Canadian non-profits were facing internal challenges when it comes to digital transformation, and that it was causing internal friction in the organizations. 

Those challenges include lack of staff with the right skills for the transformation, challenges and delays caused “different and disparate systems,” and the burden of in-depth reporting.  

Despite those challenges, nine out of 10 organizations responding to a survey for the study were focused on some form of digital transformation in the wake of a pandemic that shook the sector. 

A newer study by Sage released in 2023 showed another aspect of the challenge: many Canadians are rethinking contributions and volunteering in tight economic times and have new criteria for donating. 

The vast majority of respondents are looking to give to efficient organizations with up to date digital engagement and tools. 

Speaking on a panel at the recent mesh conference in Calgary, Buchanan says he has helped clients embrace technology to help streamline their operations, reach more clients and even raise more money. 

Paradoxically, however, those organizations which adopt technologies for greater impact require their clients to have a basic digital ability and access.

Changing the binary

Tackling the problem will require changes in the way we think about technology and the nonprofits struggling to keep up. 

For Buchanan, it means killing the binary thinking that says “we make money over here and we do good over there,” and trying to convince those in the corporate world that an investment in tackling digital poverty is both a social good and a long-term investment. 

Non-profits, he says, need more help and more resources. 

Alison Pidskalny, a strategic advisor with Pixelated Ventures who sat on the mesh panel with Buchanan, says non-profits also have to start thinking about how they can use their skills to generate new revenue and help fund their own operations. 

“That’s where I think digital transformation has particular opportunities, where you’ve got a highly skilled population that are doing something or offering something to a certain client segment, that all you have to do is be strategic and think about how do we shift it a little bit to the left and turn it into something that a broader market might want,” she said during the panel talk. 

Pidskalny says the Calgary YWCA is using its expertise in creating conflict-free and inclusive workplaces to develop a program that can be used by the private sector. 

“You can package it up and, using digital technologies, make it accessible and scalable for a totally different client segment,” she said. “It’s incredibly brilliant, but it’s also generating a new form of revenue for YW Calgary.”

Buchanan says public and private funders need to start thinking about long-term investments in digital technologies and the social good that comes from it. Every day, month and year it’s delayed, the problems and the costs only increase.

“They’re still investing in programs, or just putting money into annual programs and things that look good, rather than long-term for impact,” he said. “So the biggest change will be for the next generation to acknowledge what the end game looks like, what impact are we trying to have?”

Share this:
Continue Reading

Featured