What is future readiness?
Before launching into an explanation of what future readiness is, it might help to look at what it isn’t. Take, for instance, the recent high-profile case of a once-successful company that fell by the wayside because it failed to adapt and innovate.
Not so long ago (which is eons in tech time), Angry Birds was everywhere. Developed by games developer Rovio and released in 2009, this cute physics-based puzzle – featuring a group of aggrieved avians upset over the theft of their eggs by pilfering pigs – was one of the first games to exploit the capabilities of touchscreen mobile devices. It became an instant classic. In fact, the game was so successful that it rapidly became a global phenomenon and spawned a vast range of merchandise. At its peak, the Angry Birds empire had an estimated worth of over $1bn. Today, few people play the game.
Rather than develop new products or explore new markets, Rovio put all its eggs in the Angry Birds basket and failed to diversify. It also ignored the winds of change; the mobile gaming landscape was evolving fast, with newer, more innovative games constantly coming out and gamers looking for the next new thing. By 2016, Rovio had lost more than half its market value and was in big trouble. Having a one-hit wonder doesn’t mean being future-ready. You need to be a constant hitmaker in today’s environment – a tall but necessary order for any company.
Unfortunately, Rovio’s story is far from unique. So, what does being future-ready look like? Our multi-year research shows that companies that maintain an edge over competitors all show strong near-term results while preparing to change the game for the long haul. They anticipate external changes, adapt to them, and exploit them to their advantage before others. They know that, if they don’t, someone else will.
All this takes a great deal of strategic foresight and tactical adaptability as the global environment –technological, societal, and geopolitical – grows more uncertain. Companies must scale up new capabilities to stay competitive, or, like Rovio, risk getting left behind.