Population growth, demographic changes and sociological trends are creating new markets around the world. So much so that the world's top companies are now targeting Brazil, Russia, India, China and the Middle East.
Yet many managers fail to realise that to compete in these markets, they need to think and act very differently. Their out-of-date approaches to leadership won't work.
To help you survive, here are 10 "new world order" lessons for managers and organisations:
1. Be where the markets are
The markets of the world have moved. More than 52 per cent of the world now lives in 496 major cities. Managers need to ensure their organisations are expanding into these mega-cities. They need to be where the markets are.
2. Avoid business colonialism
Business colonialism is when you force a concept from one culture onto another. Just because something works in your home culture, doesn't mean it is right for other cultures. They need to respond to local needs and make the new markets the centrepoint of their business.
3. Move beyond globalisation
Managers need to move beyond the concept of globalisation. Instead they have to think about "peopleisation" and go to the people with what they need. With peopleisation, organisations need to understand the needs of individuals in the markets they want to reach. They then need to create new products and services for those individuals.
4. Don't underestimate the speed of change required
If you travel regularly to Beijing, Mumbai or Dubai, you'll notice the difference. Managers need their organisations to react more quickly. Those unable to create the right growth and speed trajectories will be left behind.
5. Cut bureaucracy
Simply put, bureaucracy — whether it uses standardised procedures or is more rigid with formal rules — hinders action.
6. Collaborate
Instead of only thinking about competition, managers need to focus on collaboration. Networks will be a defining organisational principle.
7. Don't be held back by your legacy
Thinking about your company's legacy and historical reputation will tend to slow you down because your orientation becomes geared more towards "perceived" positive public opinion. In other words, you stop taking risks and start coasting. In the new world order, this approach could kill your organisation.
8. Develop a new world talent strategy
Managers need to approach talent management with a different mindset. Globally speaking, highly talented employees — who are mobile, open and able to handle ambiguity — are in short supply.
9. Identify and develop managers
Senior managers who can operate globally are the essential element of a talent strategy. However many organisations don't understand how they should identify and develop the next generation of managers. This is a key challenge that needs to be overcome.
10. Adopt new skills and attributes
An amateur rider and a seasoned jockey may both hold a horse in check. However one will slow the horse down and the other will drive it for speed. Managers act the same way in organisations. What type of manager are you?
Are you ready to lead in the "new world order"?
The writer is Vice-President Leadership Solutions, Kenexa.
