Smarter consultants, and companies, are recognizing that old business models and methods are no longer relevant to a market of real-time knowledge and tools that don’t need advanced degrees to understand or use. Subsequently smarter takes on a new meaning and implied value in a market of higher expectations.
The word smarter implies having a high degree of intelligence; mentally acute, bright, knowing more etc. Bright implies quickness or ease in learning. Knowing implies the possession of knowledge, information, or understanding. So smarter consultants, and companies, are recognizing that the market itself is getting smarter because of real-time knowledge and tools. Subsequently these dynamics are creating a shift in how value is created in the 21st century from knowledge suppliers and organizations seeking to improve performance that satisfies the increasing demands of the market.
The word market represents all the stakeholders that contribute value to a market of exchanges and those stakeholders are now more than just investors, suppliers, employees and customers. The definition and considerations of stakeholder interest has expanded. A recent study, written up in the book, “Firms of Endearment,” by Thomas Donaldson and Lee E. Preston, illustrates a strong connection of firms operating with strong stakeholder principles outperform the S&P 500 by a 9-to-1 ratio. Read that again slowly!
Can You See The Shift?
Two decades ago, 70 per cent of McKinsey’s revenues were from strategy and corporate finance but most now flow from hands-on work on risk, operations and marketing. The traditional cash cow of strategic consulting work is expected to grow just 3.7 percent next year. So it seems that the market demand, 50% increase in the next 12 months, for executing sales, marketing, operational improvements and digital enhancements, is to execute upon what needs to be done in the short-term verse resources to think about what needs to be done in the long-term, strategy.
In an article titled “Continuous Productivity’ and the Next Generation of Work and Tools For Work” Steven Sinofsky writes: Continuous productivity shifts our efforts from the start/stop world of episodic work and work products to one that builds on the technologies that start to answer what happens when:
- A generation of new employees has access to the collective knowledge of an entire profession and experts are easy to find and connect with.
- Collaboration takes place across organization and company boundaries with everyone connected by a social fiber that rises above the boundaries of institutions.
- Data, knowledge, analysis, and opinion are equally available to every member of a team in formats that are digital, sharable, and structured.
- People have the ability to time slice, context switch, and proactively deal with situations as they arise, shifting from a world of start/stop productivity and decision-making to one that is continuous.
Today our tools force us to hurry up and wait, then react at all hours to that email or notification of available data. Continuous productivity provides us a chance at a more balanced view of time management because we operate in a rhythm with tools to support that rhythm.
Smarter Consultants and companies are recognizing that the rhythm of the market are influenced by real-time shifts in value produced by intangible resources. The new meaning of smarter is being able to recognize and measure the value of intangible capital.
Smarter is no longer a sense of knowledge rather it is a sense of value.