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Addressing complexity in business: a new kind of interlocutor for companies

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In recent decades, there has been a considerable increase in complexity, accompanied by an increasing specialisation of resources. With the introduction of technology and the consequent implementation of a connected world, "watertight compartments" have been broken and a transversality has been introduced that allows for the connection of very different areas, multiplying exponentially the complexities that were already present in these areas.

 

 

How the concept of complexity is reflected within the life of companies can be summed up as simply as it is effective.

"complexity is the number of different things you do in your business."

In redefining corporate business models, an ongoing and necessary process that is in place in order to stay in the marketplace in a changing world, the forces of supply and demand meet with needs that are not always compatible:

  • there is a demand from businesses for a multidisciplinary and transversal intervention to manage specific needs with high P&L impact
  • the offer of this type of service is instead made by companies that tend to make the intervention only if within their scalable model in order not to overstep the possibilities offered by your organisation

When, in the context of a world that has become complex, this type of demand and supply meet, it can be seen that a given service is provided by the "supplier" company only if it is traceable to its own scalable model of intervention.

There is a multitude of real business needs, however, that are not of interest to solve for established companies that are in the market with a scalable model.

A concrete example is that of a company that qualifies as specialised in vertical software applications and that may be interested in selling a specific management system having a potential pool of 1000+ customers, while it is not interested in responding to the particular needs of the same customers in the same technological field or sector because they are too specific and diversified from customer to customer, and therefore not referable to a scalable intervention model even in terms of available resources.

It's a dynamic that applies to so many areas, not just software companies;

it is increasingly frequent to find companies that, while qualifying as experts in a certain generalised field, "skim the surface" of the client company's needs, solving them through their own scalable model only in part.

Therefore, there remains a space to be covered of deep and high impact needs that many companies have and for which they cannot find a qualified interlocutor.

 

The natural evolution of the labour market

The natural response of the labour market to the fragmentation of skills is a redistribution of skills from structured companies to a growing liquid labour market - this can be easily measured by the growth of the co-working space phenomenon we are witnessing in recent years.

You need an entity that allows you to create compelling business cases for all stakeholders involved around specific needs that a company may have, acting in an area of value creation opportunity where established companies currently have no interest in intervening.

 

Correct allocation of responsibilities and definition of the business case as enabling factors

It is necessary to tap into the labour market in its "liquid" composition in order to:

  • Identify and manage in a harmonious way extremely different competences [business, strategy, technology, finance].
  • Identify, validate and manage an ad hoc business case that allows all stakeholders to be recognized for the correct value

The existence of a competent entity that acts as a guarantor for these two points makes it possible to solve business problems that are otherwise not solved.

If you liked this article, then you'll appreciate Quodigi's support: we provide consulting and advisory services on web strategy and digital transformation. We have developed IO, the web intelligence platform designed for business decision makers. Learn more about what we do to support your company in its digital growth!

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Ernst Vittorio Haendler
Ernst Vittorio Haendler
Following a degree in Aerospace Engineering and some work experience in Italy and abroad at the European Space Agency and then in the technology intensive sector of Aerospace & Defense, he starts his entrepreneurial activity in 2012 founding the startup Beast Technologies following all aspects from vision, conception and execution of a digital business, raising funding and bringing to market a new product currently sold in 35 different countries through web channel. Following this experience, Ernst-Vittorio joins Quodigi as a Partner in 2017 bringing his vision and experience in business modelling, project management and technology intensive teams, and dealing in the broadest sense with all aspects of business development on the digital plane.
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