Plumbing Africa September 2019 | Page 43

BUSINESS AND TRAINING 41 • Leaders continue to focus more on using advanced technologies to protect their positions than on making bold investments to drive disruption. Many executives are seeing payoffs from their investments in technology, but others are finding it difficult to move forward. Challenges include being too focused on short- term results, not fully understanding Industry 4.0 technologies, and too many technology choices. • The skills challenge has become clearer. The breadth of the skills gap is more evident to leaders, as is a sobering awareness that current education systems will be inadequate to meet the challenge. Nearly twice as many leaders said their organisations will strive to train existing employees rather than look to hire new ones. But research from Deloitte’s annual Millennial Survey suggests that leaders and young employees differ on which skills are most needed and who is responsible for developing them. With these findings as context, we found some leaders are making better progress than others in dealing with challenges within the areas of society, strategy, technology, and talent. We grouped the leaders who seem to be getting it right into four personas. Social Supers Certain leaders stand out for their ability to do well by doing good. These Social Supers consider social initiatives fundamental to their businesses, and their optimism about creating societal impact influences their outlook in several ways. They were more likely to say their workforce composition is prepared for digital transformation, and far more willing to train their workers. Companies with leaders who identify as Social Supers are also growing more than those who haven’t successfully found the balance between doing good and making a profit. Data-driven Decisives Some executives are overcoming challenges by taking methodical, data-focused approaches to strategic decision-making. These Data-driven Decisives are almost twice as likely to say they’re prepared to capitalise on Industry 4.0 opportunities, and their organisations are already reaping the economic benefits of embracing it. In the past year, almost half of such organisations generated annual revenue growth of 5% or more, while only a quarter of other organisations saw such results. Disruption Drivers These leaders understand that investments in disruptive innovations set their organisations apart from competitors. They are confident, which gives September 2019 Volume 25 I Number 7 • Leaders acknowledged the ethical implications inherent in new technology, but few companies are putting policies in place to manage those threats. Klaus Schwab, the man who first coined the phrase Fourth Industrial Revolution. them an advantage when coping with the unknowns of Industry 4.0, because more-assured organisations will be better prepared to implement disruptive technologies. Disruption Drivers’ organisations typically have more defined decision-making processes, and they are more likely to make data-driven decisions with input from diverse sets of stakeholders. Talent Champions These executives are preparing employees for digital transformation. They are more likely than others to invest in employee retraining for the future of work. And while doing so, the Talent Champions are also committed to societal impact and are seeing early returns from their progressive efforts — and 64% have already generated new revenue streams for their organisations through socially driven initiatives. Concluding The report contains a much more detailed look at what defines the four leadership personas, but in general, we can see that “doing good” is good for business; that using defined strategic processes and data to make decisions can create competitive advantages; that companies benefit from a long-term view towards investing in Industry 4.0 technologies; and that leaders who place a premium on training will be more successful. Industry 4.0 is something that affects every industry around the world and to be successful, a strategy or at least an understanding of it is essential for businesses going forward. As we look ahead, the qualities of leaders will define the future stability of organisations. Leaders who embody the characteristics of the successful leaders above are not only improving their own bottom lines and growing faster than their counterparts, but also are visionary in the ways they lead their companies into the future. How will you lead in the Fourth Industrial Revolution? PA www.plumbingafrica.co.za