In an interconnected world with digital disruption rapidly taking place across all industry sectors, it is of paramount importance that organizations re-visit their business models. In the network economy of today, business depends more and more on networked partnerships. These partnerships require organizations to strengthen their core value chain (e.g. suppliers, distributors and customers), while at the same time expanding their reach and engagement by collaborating with inter- and intra-industry partners.
Changing an organization’s structure to embrace collaboration and partnerships can be difficult, as most organizations operate in a challenging duality: on one hand dependent on others’ success to gain success themselves; on the other hand, required to outperform those same organizations to acquire differentiation, market value and a sustained competitive position.
However, with a focus on sustained growth and innovation, collaboration and partnerships are increasingly the way forward. A report by the World Economic Forum highlights that significant value can be created when a young business and an incumbent organization work together to share resources and collaborate on innovative ideas.
Klaus Schwab, founder and executive chairman of the World Economic Forum highlights the importance of collaborative and flexible structures that reflect the integration of various ecosystems and which take fully into account all stakeholders.
The ICE framework
To help organizations operate in this dynamic and evolving environment with unprecedented speed of change and digital disruption, the three spet ‘ICE’ Framework is a recognized model that helps a lot.
The fundamental beliefs underpinning this framework are that organizations must extend their reach and intensify their engagement with internal and external partners. This can be achieved at three stages. At each stage, we propose a particular leadership role, a strategic push and an engagement focus.
The thinking behind the framework is that organizations can enhance their innovation capabilities by first evaluating and building on their existing competencies, secondly by acquiring new competencies through collaboration, and thirdly by co-creating dynamic eco-systems with mutually empowered partners.
In each of the stages there is a need to have a small local presence. That’s why the business solutions of HDS can help any organization to adopt this business model that helps prepare for the digital transformation.