We’ve seen the “big quit” en masse, with employees reassessing their careers and making bolder-than-usual moves into new jobs. They are not alone – their employers are also reevaluating their goals and purpose. Call it the “great dispersion” that has leaders across industries questioning and reassessing their business journeys.
That’s the word from Scott Galloway, author and professor of marketing at New York University, speaking at Infosys’ recent Cobalt event, where he provided his predictions for the future of digital – or post- digital – 2020.
Setting the scene, Ravi Kumar, President of Infosys, joined Galloway to discuss accelerating into the digital realm. “CXOs now have a lot of confidence in the digital platform, thanks to the pandemic,” he says. “They have a trusted brand, they have a consumer base, they think they should straddle industries like Amazon has. We have an oil company that wants to get into self-driving retail because they can turn their gas stations into electric vehicle charging and then there’s a wait time for them to do retail . One of them has already said that he wants to do financial services and health care.
With accelerated digital engagements, “it’s time to reassess where the value of supply chains is coming from,” says Galloway, as the locus of business value is shifting. “We are on the cusp of a third major tectonic shift in our economy. The first was globalization, the second digitization. The third is dispersion.
With dispersion, the challenge is to find the sources of value — “whether it’s an admissions department or a campus,” says Galloway. “Whether it’s a doctor’s office or a hospital office, whether it’s a store and shelves. We scatter it on our porches, our smart speakers, on micro-campuses. »
For example, he says, “before the pandemic, less than 1% of doctor visits were virtual, now it’s 30%,” he says. “Think about Covid – 98% or 99% of people who have contracted Covid have never set foot in a hospital, let alone a doctor’s office,” he says. “Health care is dispersed away from traditional sources of added value. You can’t get an appendectomy over the phone, but you can get consultation, physical therapy, medication.
Industry leaders will need to “walk through their entire supply chains, to see where they traditionally add value. Is it dispersed to something else, to technology? If so, how do we take advantage of it?
Galloway then tackled his own industry – higher education. “My industry has benefited from the concentration of value in the admissions department,” he says. “My colleagues and I are drunk on a luxury strategy of rejection, where we think that we are no longer civil servants but that we are a Chanel bag. Where my dean will stand up and brag that we have refused 92% of the applicants this year, which I think is the equivalent of a homeless shelter leader bragging about turning 92% of people away last night. That’s not what we’re here for.”
The wide dispersion here, provided by technology, “would disperse education away from these concentrated cultures of rejection. The fastest way to double capacity at NYU or UCLA is to take a third or half of our sessions online. You can follow half of the sessions of these teachers online without loss of quality. And overnight, you double the capacity.
As digital transformation disperses and accelerates, Galloway urges business leaders to examine the trends and take stock of where they want to be in 10 years, both business and personal. “It’s a useful exercise to take the two or three biggest trends in your industry and your business and pull them back 10 years and are we here right now,” he says. “What would that mean in terms of capital allocation, operating strategy and hiring?”
There are also personal implications, says Galloway. “What is your relationship with your spouse, your relationship with work, or your mental well-being? Look at the trends and take that 10 year trend and say, do you like where it is? »
Ten years is not that long, he adds. “Anyone over 40 knows that 10 years is like a season now. It’s happening so fast it’s just crazy.