Future Organizations and Leadership from the Perspective of Systemic and Human Dynamics

Previously in two parts discussed the two main dynamics shaping the organizations and leadership of the future, and in this context System Waves and Generations We had examined this. Based on this, we aimed to better understand the spirit of the times from the perspective of complaints and employees. Looking at the elements that disrupt the routine of work life, we can summarize them as follows under two main headings: the demands of the system and the expectations of employees. 

System requirements:

SUSTAINABILITY: Human sustainability and developments in the field of health 

SUSTAINABILITY: Environmental sustainability (depletion of resources) and advances in environmental technologies

Demographic changes (increased diversity in areas such as migration, race, age, gender, generation) 

Technology-Digitalization – Personalized models (big data management)

The breakdown of power balances and the new capitalist mindset

What employees expect:

Awareness of being part of the whole, the search for meaning, and the ability to realize oneself

Ethical work practices and corporate citizenship in line with human values

The demand for happiness, authenticity, flexibility, and different working models

A new leadership approach that is virtuous, sincere, wise, service-oriented, and spiritually profound

Competencies required by new business models:

Technical competencies capable of meeting the need for instant development of technical skill sets (an increase in technology that complements rather than replaces humans, due to increased investment in automation and artificial intelligence)

High cognitive flexibility, including problem solving and critical thinking.

The inclusion of cognitive flexibility (the ability to adapt to specific situations, switch from one thought to another, or approach different problems with multifaceted strategies) in the required competency sets.

As can be understood from the summary above, the fifth wave we are currently experiencing and future new waves are forcing companies to adopt new organizational structures that are learning-oriented. These structures are characterized by a lack of hierarchy, low bureaucracy, and internal cell models with Gig workers (Gig is a term originating from the music industry; it refers to short-term work for musicians who perform on stage. It is a new economic model created by freelance workers.) different forms of collaboration (temporary, part-time, independent work modelsProblem- and solution-oriented structures are beginning to come to the fore in today's organizational structures. With the impact of the pandemic, flexible working models have become one of the preferred models for companies, compared to the classic office-based work system. Studies show that structures where people leave their jobs and contribute to organizations/work from outside the organization are increasing worldwide. With the increase in these structures, the need to rebuild the working models of large organizations has emerged. In addition, issues of diversity, equality, and inclusivity within organizations are emerging as areas that organizations need to work on to gain competence.

As a subheading of systemic and human dynamics, when the demands of the system and the expectations of employees come together, the need for change in organizational structures emerges. Companies that used to define success in terms of EBITDA values still define EBITDA as a success criterion today, but they also define their success through different metrics. Nobel Prize-winning economist Muhammad Yunus uses the concept of social enterprises for changing organizations and states that "non-profit" companies will have a greater presence in the business world. Whereas institutions were once viewed as profit or benefit-oriented, this new field also includes social impacts. States are also adjusting their regulations to support non-profit organizations.The United States state of Vermont has defined new legislation for social enterprises with this new purpose, which is an example of such regulations.)

The fifth wave brings a leader focused on enabling services who "serves the whole community" and, by exemplifying virtue, courtesy, truthfulness, teamwork, meaning creation, harmony, and integrity as role models, "inspires" in the broadest sense of the word, "facilitators who raise their employees' aspirations to be the best they can be." (pioneers) will embody the attributes of that definition, regardless of what future leadership is called. As seen, 19th-century reactivity gave way to proactivity in the 20th century and to "coactivity" in the 21st century. Understanding the context of this period correctly and directing efforts toward improving and developing it will also bring about an era of thinking together, producing together, working together, and managing together.  

Pınar Ersoy Özdoğru