The digital transformation will lead to profound changes in business models, organizations and work practices. Competitors and business models will emerge that were previously unthinkable. Value-added processes are changing radically, new trends are becoming increasingly clear. It is already clear that power is no longer generated by a traditional hierarchy. Instead of a clear organization, flexible and autonomous working groups will be increasingly established, which in the traditional sense of the word no longer have a boss. Disruption is the name of the process in which an existing business model or an entire market is completely transformed by a growing innovation.
VUCA is another term that has found its way into management in this context: today’s world is characterized by volatility, uncertainty, complexity, ambiguity, four terms whose English initials describe new challenges to corporate management. VUCA is an acronym used by the American military to describe extreme conditions in Afghanistan and Iraq. This terminology resonates with a growing number of companies to meet the ever-changing challenges of politics, business, society and the environment. It helps to find and discuss systemic and behavioral errors that are characteristic of organizational failure.
One method to meet the requirements of digitization is the concept of agility. Agility is the ability of an organization to be flexible, active, adaptable and proactive in times of change and uncertainty. The concept comes from the manufacturing industry and has manifested itself in response to the slowness and bureaucracy of organizations to adapt to changing market conditions. Agile methods, which are increasingly used in software development, sometimes involve high rates of change.