Our Current Market and 2016 Predictions
We are living and working in exciting, but turbulent times. Technology is reshaping the way individuals consume information, practice their daily routines, and interact with businesses. These changes are developing at a speed that is unprecedented in modern history. In many respects we are embarking on another industrial revolution as we migrate to a digital environment with improved automation, data management and analytics, a new labor pool, and changed processes.
Companies are being challenged to rethink their current strategies and evaluate their options to respond to the impact of digitization which drives the unrelenting search for lower per capita costs, improved scale and scope, enhanced data management, and disruptive innovation.
- Should companies acquire or merge to reach scale and scope at a global level?
- What are the most effective cost cutting measures? Layoffs? Automation?
- How do you continue to improve efficiencies?
Some organizations are looking towards implementing tools that have worked to institute changes such as statistical controls, Six Sigma, black belts, just-in-time production, process mapping and simplification, kaizen, “lean”, technological advances in measurement and analysis, and so on. Some companies are responding by enhancing scale and scope through consolidation, while others are looking to spin off a portion of their operations so that they could focus on their core. There is more than one model for business success.
Companies are also analyzing data differently, and thinking about things in different ways. Now that everyone has a lot data and knows what’s going on, they can think about how to disrupt processes and market their company in a specific way. As data becomes more democratic, more companies can get in the game and become successful. The big winners here are the platforms: Google as the platform for information search, Facebook as the platform for social interaction, and Uber as the platform for transportation. Recently, the big plays in the market have been platform plays. This is unlikely to change in the near future. Opportunities for new platforms abound with 3D printing, nanotechnology, robotics, artificial intelligence, super computers, and others, all of which have the potential to further disrupt the status quo.
The vast amount of digital data and platforms, especially in social media, result in endless opportunities to reach new potential clients. However, it also floods the system. Marketers constantly need to come up with new ways to catch people’s attention, disrupt the public’s processes, and get them interested in their product or service. We’re seeing more guerilla marketing than ever before, which is really a result of the current market. The companies who will be successful in marketing will be those who can constantly push forth new and creative ideas on digital platforms, specifically in social media.
So much has changed in the marketplace, even within the last year. It will be interesting to see where 2016 will take us.