Exponential Change, Adaptability, and the Future of Successful Companies — SingularityU Germany Summit 2018
Leapsome was excited to attend the Singularity University Germany Summit June 4–5th, and learn from incredible speakers, engaging attendees, and transformative ideas. Stephan Balzer and his team pulled together a truly inspiring event. As the conference unfolded, a clear theme of “exponentials” emerged: exponential change in technologies, exponential growth of new business models, and the exponential thinking required to reach for that growth and change.
What ultimately drives these transformative ideas and change? The answer from Singularity’s thinkers: bold innovation driven by a culture of learning and adaptability.
It’s Only Up From Here
Technological change used to be a linear progress with only rare key step changes or “Gutenberg Moments” (moments in which technology forever changes how we interact with the world, much like the first Gutenberg printing press did). However, Singularity speakers vocalized how this change is now accelerating rapidly. Step changes and “Gutenberg Moments” are now happening every year, whether through robotics, nanotechnology, artificial intelligence, autonomous vehicles, or blockchain. In fact, the trend line of change is becoming not simply steeper but exponential, which means doubling itself regularly.
As Jeffrey Rogers, Director of Faculty Development at Singularity University, exclaimed, “You think the current rate of change is hectic? It’s never going to be this mellow again!”
Going Back to the Sandbox
Linear thinking has costs in our new exponential world. Linear thinking keeps companies seeking only incremental gains so as to avoid any mistakes. The opposite is working on bigger problems and bolder solutions, encouraging learning and failures and reaching step-change gains. Rob Nail, CEO of Singularity University, proposed companies invest in “sandboxes” — idea testing grounds that encourage trying, failing, and learning before going big.
Corporates: Driving Innovation
Innovation is not limited to startups. Speakers highlighted examples of traditional medium and large sized companies focusing on “exponential change,” from Adidas’s new focus on a culture of ideas, to Mercedes’ and Volkswagen’s embrace of virtual reality (VR) technology for user manuals and employee training, to General Electric’s use of 3D printing, simplifying 900 separate airplane engine parts down to just sixteen.
AQ is the new IQ
What enabled the embrace of exponential changes by even these large, corporate companies? Two words: adaptability and people. Amin Toufini, Director of Strategy at Singularity University advanced “AQ,” the adaptability quotient or ability to adapt, is the new IQ.
The good news is that AQ is coachable. Companies can empower employees to test new strategies, learn from feedback, and then scale learnings quickly.
Bottom’s Up to Culture Transformation
Pascal Finette, Singularity University’s Chair for Entrepreneurship and Open Innovation, closed the summit with this key message: culture is the key to a successful transformation, and people are the core of culture. He presented a seven-step model for transformation:
- Market
- Business Model
- Operating model
- Organization
- Culture
- Mission
- People
Research shows that companies often stop transformation at the top three “skeleton” layers and ignore the bottom four “soft body” layers, causing transformation efforts to fail. Not investing in culture, Finette emphasized, is perhaps why 87% of employees across the globe are disengaged, 85% are looking for a new job, and 58% trust a stranger more than their own manager.
What is the solution? Finette shone the spotlight on addressing transformation from the bottom up, starting with culture, mission, and people. Culture can spur innovation, and people create culture. Employees must be engaged and given the support to learn, fail, innovate, and adapt for companies to move forward. Google X, for example, Google’s “moonshot” factory, literally applauds teams who fail, and rewards them for it.
Leapsome: Digital Tools for Tangible Change
In our Deep Dive session at the Summit, Leapsome discussed together with Florian Klages, Head of People & Culture (formerly Corporate HR) at Axel Springer, and Hannah Scherkamp from Gründerszene on how a learning and feedback culture can build corporate agility and adaptability. Florian also mentioned adaptability as the ultimate skill of our times and culture as the leverage to transformation and speed. At Leapsome, we are giving companies concrete tools to bring about this culture shift and become become more agile and adaptable.
Leapsome is a software platform for continuous feedback, 360° performance reviews, pulse surveys and agile goals/ OKRs. The platform provides a layer of people analytics and personalized learning. Our customers report that the changes in digital feedback and learning culture are translating into culture change, fostering an environment tangibly embracing active improvement, adaptability, and future-focused thinking.
Thanks to Singularity University’s Germany Summit & Stephan Balzer for hosting us!
