Innholdsfortegnelse for November/December 2019 i The European Business Review

According to a recent International Data Corporation (IDC) Digital Economy Model, by 2023 over 50% of all worldwide nominal gross domestic product will be driven by digitally transformed enterprises. And, by 2025, at least 90% of new enterprise apps will have embedded AI capabilities.1 Gartner estimates that by 2021, AI augmentation will generate $US2.9 trillion in business value and recover 6.2 billion hours of worker productivity.2 In study after study, there is evidence of the growing use of AI across all business functions, including the supply chain. Yet, with all of the fervor and excitement around AI, many don’t fully understand what it is and how it can help improve operations including margin growth, service levels and risk mitigation. This article discusses the importance of embracing Artificial Intelligence (AI) in…

Once the important paradigm of knowledge management was accepted by both the scholars of the academy of management and executives, knowledge cycle model began to make sense. The focus of this article is based upon the critical role of knowledge cycle model which allows a rich basis to understanding the mechanisms by which knowledge management and operations risk is influenced. A Birds-Eye View of Knowledge Knowledge, with its wide classifications, can be classified into individual and collective knowledge. Knowledge can also be classified using individual, social, and structured dimensions. Knowledge, with its wide classifications, can be classified into individual and collective knowledge. Executives recruit followers based on their individual knowledge which refers to the individual’s skills, prior-knowledge, and proficiencies or sometimes referred to competencies. Collective knowledge, on the other hand,…

Transforming an organisation is never an easy task, especially when competitive pressure becomes merciless. There always seems to be a faster, better, bolder, brighter business model emerging in the digital age: Asset-light and hyper-agile new businesses attack incumbents and fight for market space and customer attention. Competitive advantages erode even faster because (almost) everything can be copied. This digital business landscape demands different, agile and hyper-aware leaders and forces organisations to transform and adapt at an ever-increasing speed. But how much agility can one organisation generate? When does it become breathless activism? And how do agile leaders manage their energy and resources? Is it time to pair agility with resilience? Agile leaders are, first and foremost, good learners. Research shows that the qualities of nimble leaders match traits associated with…

After more than 20 years in R&D management positions – the last eight as chief technology officer and member of the board – Jürgen Götzenauer, PhD started his own advisory company earlier this year. Such a move might be unremarkable in the United States, where almost 14 percent of those who are working age are running their own businesses, according to the Global Entrepreneurship Monitor (GEM) study. But the average for the European Union is just over 7 percent, and according to the European Commission, only 37 percent of Europeans would like to be self-employed (as opposed to 51 percent of Americans). But the EU numbers are on their way up: Götzenauer has joined a growing number of European entrepreneurs who have left the corporate world to go solo. According…

Stereotyping is not inherently bad, but it is undoubtedly restricting. Most especially in the industry of finance and professional service where such limitations can be detrimental to one’s career. In this article, the author highlights the importance of shifting from a perspective of general categorisation to embracing – as well as protecting – diversity in the industry. Some sectors have a popular stereotype attached to them. We identify tech start-ups with bright young millennial things. We almost certainly all have the same image in our minds when someone mentions a banker. And when it comes to finance and professional services – we probably think of people in blue suits. Stereotypes are hard to shift. They are not necessarily negative – but often they don’t reflect the full picture, seizing instead…

Partnering with diverse groups of companies is proving to be a rewarding way to attract new customers and expand existing relationships. But managing these networks is a relatively new area for most banks, especially in Europe. A replicable operating model will help. Banks are increasingly turning to new and diverse partnerships to spark growth – for good reason. Ecosystems that offer complementary products and services via a single platform can open new revenue streams for all companies involved. In most cases, banks will receive fees in exchange for allowing its partners access to their customer database. In some cases, banks suddenly find themselves able to follow customers far beyond the boundaries of their traditional relationships. Take the DBS Property Marketplace in Singapore, for example, in which the Singapore-based bank (DBS)…

As AI advances, there is a need for better frameworks to understand how to create value from changing human-AI relationships. This article offers a practical guide for managers and executives looking to leverage human-centered approaches to AI. “I think the problem was that our systems designed to recognise, and correct human error failed us.”1 This was the explanation given in 1999 by Carl Pilcher, science director for solar system exploration at NASA’s Jet Propulsion Laboratory, when a failed measurement conversion led to the 125 million Mars Climate Orbiter slamming into the Martian surface. This problem was succeeded 14 years later when a calculation error in the design of a new Spanish submarine2 led to a fatal flaw, such that the submarine could submerge but could not resurface – an error…

Today, Procurement teams need to embrace the agile ways of working in order to work in synch with their stakeholders. The present article describes how an agile vendor selection process has been adopted by a Software procurement team. It describes its advantage, how it is performed and when it is relevant. This methodology can be adapted to other market domains if the mindset and the success factors are maintained. Agile methodology has been rocking the IT World in recent years. Companies use it for developing software; it helps them to be more collaborative and effective when uncertainty prevails. The Agile transformation is now calling for change in the Procurement function as the standard supplier selection process does not fit the agile mindset. The present article will outline what agile means…

Admincontrol provides software solutions for secure collaboration and easy sharing of documents in business processes, such as board and management work. In this interview, Managing Director Møyfrid Øygard gives us an insight into what has made the company an ongoing Nordic, as well as European, success story. Q Good day, Mrs Øygard. It is a pleasure to have this interview with you today. Can we start by asking how do you jump-start a busy day to make sure that you are best prepared to make quality decisions? A What I need to make a good decision is simple: a good night’s sleep, a walk with my dog, and a light breakfast, accompanied by a glass of water. Q You mentioned that decision-making nowadays is harder than ever before. Can you…

Businesses across all industries have discovered that executive coaching is one of the most versatile and powerful change management tools available to organisations today. Celebrating its 20th Anniversary this year, the Academy of Executive Coaching (AoEC) has been delivering just that. CEO Gina Lodge speaks to us about their world-class accredited coach training and coaching-based solutions and sets out what makes them one of the world’s most trusted executive coaching company today. Q Good day to you, Ms Lodge! Thank you very much for meeting with us today. To start, can you share with us some of your favourite morning routines to kick-start and ensure a productive day ahead? A I usually begin my day by walking in the forest with our dog, which is uplifting at any time of…

Employee autonomy is becoming one of the latest trends in business management with many industries failing to implement and benefit from the change successfully. The article debunks 3 myths of employee autonomy and provides solutions to utilise when it comes to addressing autonomy in the workplace. As digitisation is accelerating the pace of business, assigning accountabilities to employees, rather than relying on organisational structure to direct them, is becoming an idealised pathway to organisational agility1 . In other words, having responsible and self-directed employees on board comprises a promising asset for organisations in an uncertain and dynamic world. Business magazines have long written about ways to promote employee autonomy, as seen in the many articles about Google’s 20% time2 , the HR policy of Netflix3 or Spotify’s unique approach to…

Even with today’s rapidly progressing society, there still exists a certain stigma towards the topic of salary or compensation. Employees have taken on what is called “pay secrecy” that breeds the issue of “pay communication”. In this article, the author highlights two aspects that further elaborate this matter, namely organisational restriction and employee restriction. A female worker believes, with all the current press stories, that she is unfairly underpaid compared with her male colleagues. She asks one what he is paid and he “confesses honestly” his full package. She becomes enraged and goes public. His employer takes disciplinary action against the man because he has signed an employment contract which prohibits employees from discussing their pay terms with others. Shocked to the core, he decides to sue his employer. Time…

The value of intangible goods is making an unprecedented contribution to the global economy as the world becomes progressively digitised, with many products and services shifting from the marketplace to the market-space. This article discusses and outlines the formative steps to commercialising intellectual property in the creative industries and the impact the creative economy is making globally. The value of intangible goods is making an unprecedented contribution to the global economy as the world becomes progressively digitised, with many products and services shifting from the marketplace to the marketspace. While the price of intangible goods such as patents, intellectual property, and brand equity carry a mystique and value challenging to calculate, its presence in the global economy is unapologetic. Further, add the importance of social and cultural capital into the…

The trade war between the US and China has escalated to a point far beyond the expectations of many. In what started as volleys of tariffs and a WTO complaint against China’s “forced” technology transfer policies, now involves expanded export controls, inbound investment restrictions, restrictions on labor mobility, an FBI task force on economic espionage from China, visa limitations, and an embargo (albeit a temporarily relaxed one at the time of writing this article) against Huawei, a leading Chinese telecom firm. The supply chain disruptions from the trade war are immense.1 And Western firms are increasingly fearful of regulatory reprisals in China.2 While reconfiguration of manufacturing supply chains involving China has been on the forefront of many managers’ responses to the trade dispute,3 currently available advice is sometimes ill-informed about…

Michal Sztanga, managing director of Polish software developer Future Processing, explains how his company takes “getting alongside the customer” to a whole new level. Coming up with the right solutions,, he says, involves – first and foremost – asking the right questions. Q Thank you so much for sharing your time with us, Mr Michal Sztanga. To start with, for a successful business leader like you, what are the best morning routines to jump-start a busy day and your quick tips for improving productivity for a day’s work? A You are welcome. Thank you very much for considering me a successful business leader – I prefer to think of myself as a member of the successful Future Processing team, who just happens to have a responsibility to do what he…

“Values values on the wall, just do the business and forget them all” wrote Liran and Dolan (2016)1 as a title for one of many articles Dolan wrote with colleagues on working with values in organisations. The message is clear. In many cases, organisations do not consider values seriously. They adorn themselves with nice values and miss the core idea of values – managing the way we think, feel and behave. The objective of this short paper is to propose a series of ideas on how to render the MBV concept truly operational, so that the full potential of this revolutionary concept can be rendered instrumental. The tools and methodology have been developed and experienced in different settings and they really do not fail – they deliver excellent results. How do…

The purpose of this article is to explore soft leadership to meet the rising expectations of the millennials globally. It unfolds the attitudes and actions of millennials who are often misunderstood globally for their personality and behavior. It debunks myths about millennials with truths. It underscores their challenges and expectations, and compares and contrasts with other generations. It offers tools and techniques to inspire and engage millennials globally, and explains the role of CEOs and leaders to bridge the generational differences. It concludes to celebrate the generational differences to achieve organisational excellence and effectiveness. “I do not write for this generation. I am writing for other ages. If this could read me, they would burn my books, the work of my whole life. On the other hand, the generation which…

In today’s society, it is hard to conceptualise innovation without the context of technology. It is imperative to understand the technological shift that can impact one’s managerial strategy greatly. In this article, the author highlights key lessons regarding innovation that centre on time, risk taking, identification of innovators, value propositions, customer-centric approach, and alignment of internal teams. Much of today’s conversation about innovation is captivated by new technology – and with good reason: technology is responsible for many of the step-change transformations that have taken place in business in recent years. Across industries, it is necessary for leaders to stay contemporary with emerging technologies and also to deploy them appropriately across their organisations and end markets. Yet, as important as it is for executives to stay current with relevant technological…