Like it or hate it, there’s no escaping the inevitable march of technological progress. Technology invades our homes and our businesses, in some cases dramatically changing the way in which we work and interact with others.
Every sector has its own challenges, but companies as a whole have all had to adapt in recent years to a whole raft of measures, all designed to leverage technology to replace manual processes. When you think about areas such as reporting and filing of accounts, auto enrolment, the reporting of health and safety breaches and VAT returns, all of which have moved online, it’s perhaps little surprising that the World Economic Forum recently concluded that we are now entering the Forth Industrial Revolution. Their conclusion is that technological change will require a seismic shift in skill sets over the next five years.
Of course, it doesn’t really matter what age you are; some people naturally find themselves at home technology, whilst others struggle. The Institute of Chartered Accountants of Scotland (ICAS) may have recently suggested in a letter to members that the 58% of their membership which are aged over 50 may find an increasingly technological future too much contemplate and consider handing over to the next generation; but in truth the way in which we adapt to technology is as much a product of our outlook as it is of our abilities.
Key principles of Corporate Governance
Take corporate governance for example. The key principles of the corporate governance code cover delivering growth in long-term shareholder value and maintaining a flexible, efficient and effective management framework within an entrepreneurial environment. Within this broad framework sit areas such as vision and strategy, risk management, structure and process.
How an organisation interprets each of these areas and delivers them in practice will depend not only on business size and sector, but also on the attitudes, values and outlook of the board. Some will adopt a fully hands-on approach, requiring two way dialogue on a regular basis whilst others will focus on specific areas and devolve responsibility wherever possible. Either way, the most effective boards will make the best use of technology in order to strengthen their governance and reporting regimes.
At the end of the day business comes down to people interacting with others. If technology can help in that interaction in any way; whether through timesaving via the automatic collation of statistics, the provision of flexible training, the use of social media, or any other means then it is something to be embraced rather than feared.
