Recently a new IBM study on more than 1,700 CEOs from 64 countries and 18 industries worldwide market reveals that CEOs alter the nature of their work by adding a strong dose of openness, transparency and aid workers in what until recently called the hierarchical management model (command & control) and which was a feature of modern business for more than a century.
The advantages of this fast evolving trend is clear.According to a study by IBM, companies that exceed in performance of their competitors have 30% more likely to recognize that openness – which is often characterized by greater use of social media as an important factor in promoting cooperation and innovation – has key influence in their organizations. Companies with the highest performance adopting new business models that draw on the collective intelligence of an organization and its networks, to devise new ideas and solutions that will lead to increased profitability and growth. To build stronger relationships with customers, partners and a new generation of workers in the future, CEOs will shift the focus from the use of e-mail and phone as primary communication vehicles, use of social media networking as a new route of direct contact and communication.
Today, only 16% of CEOs using social media platforms (social business platforms) to connect with customers, but this figure is to be hurled at 57% over the next three to five years. While social media is the method used less than all other methods of interaction with customers today, over the next five years will occupy the second position immediately after the personal transactions. After decades of use of the hierarchical control model, this shift has important implications, not only for themselves CEOs – and for their organization, management, employees, and for universities, business schools and providers of information technology. IBM’s research revealed that technology is a powerful tool for reshaping organizational structures. More than half of CEOs (53%) plan to use technology to facilitate wider collaboration with external organizations, while 52% are turning their attention to promoting greater cooperation within their organizations.
” One of the major research findings reveals how CEOs are aware of the impact and influence of social media, “said Bridget Van Kralingen, Senior Vice President of the Division IBM Global Business Services. Rather than repeat the usual discussion about the depersonalization of human relations, their opinion is in favor of deepening them and the use of dynamic social networks to harness the collective intelligence to create new models of cooperation . “