Tweet

THE CORPORATION 2030

Guest post by: G.J. Miller

Article Overview: “As regulations and costs collide with trends, and corporations adjust in order to stay viable – what will they become?” In other words, what will corporations look like in, say, 2030? Based on what I know about coming trends and expected regulations, as well as what others have shared with me on this topic, here are my predictions.

THE CORPORATION 2030

There are many, many forces impacting business today. To name a few, there are Government regulations and reporting requirements (Employment Law, Health & Safety, Environmental, Tax), skills shortages, Boomers vs. Millenials, rising costs, customer demands, impact of global economies and changing market needs. Only changing market needs potentially contribute to the creation of revenue and only if a company’s strategic plan is on target. Even if we focus on those things that relate to employees, there is significant cost and a whole lot of headache.

For several years now, I have continually puzzled over one question: “As regulations and costs collide with trends, and corporations adjust in order to stay viable – what will they become?” In other words, what will corporations look like in, say, 2030?.

Based on what I know about coming trends and expected regulations, as well as what others have shared with me on this topic, my predictions are:

TECHNOLOGY

If we extrapolate the impact of technological advances and the need to contain costs within the auto industry to other businesses, it is possible to envision wholesale change in the way work is done. Once upon a time, automotive assembly lines were operated by many individuals but robotics has significantly reduced the number of people required to build a car. Are we far off a scenario where computerized robots prepare the food delivered to us through the fast food drive through window? Improve roads or dig holes along stretches of highway for telephone poles or light standards?

ORGANIZATIONS

Companies will continue to reduce costs as the cost of doing business rises. If technology takes on the load in manufacturing and labour organizations, what will happen in the knowledge industry? We already experience automation in customer service as we talk to computerized voices or respond to instructions by following prompts in order to find a real person. People complain now about the lack of customer service or how difficult it is do business with some organizations but that has not stopped the advance of technology as a solution to rising costs.

Children the age of 3 can log on to computers and find age appropriate sites to colour and play games and the latest generation in the workforce tends to be more comfortable with technology and communicating without human interface. You Tube, Facebook and Twitter are the key methods of communication for millions of people, without even leaving their homes and technology has enable access to others 24/7 using Blackberry’s and iPods.

Underlying each of these steps is some sort of process. The key is having a consciously structured process through the three steps. That process needs to generate alternatives, identify the best possible solution and then require an ‘impact analysis’ to determine the ramifications of choice.

WORKFORCE

I am predicting that the “Corporation” of 2030 will consist of less than 10 full time employees. Only founders and executive positions pertinent to the business will hold what we now understand as ‘employee’ status.

The workforce will become more and more ‘transient’ as we move toward 2030, until the work is project and contract based. We are currently preparing for skill shortages and dealing with multi-generational workforces, but the Boomers will move on and the remainder of the workforce wants work life balance and meaningful work. Organizations have accepted that employees will stay, on average, two years but the length of tenure will continue reduce over the next 20 years as the generations shift within the workforce.

The workforce will become more and more ‘transient’ as we move toward 2030, until the work is project and contract based. We are currently preparing for skill shortages and dealing with multi-generational workforces, but the Boomers will move on and the remainder of the workforce wants work life balance and meaningful work. Organizations have accepted that employees will stay, on average, two years but the length of tenure will continue reduce over the next 20 years as the generations shift within the workforce.

The amount of time a person spends with a company will be directly proportionate to project timelines and skills availability because people will want to be kept motivated and companies will need to ‘share’ skilled people on an as needed basis. Yes – I said ‘share’ – and that means inter-organizational collaboration of some sort on a global basis. Technology will allow this somehow.

Imagine the processes currently used within an organization to manage workforces to ensure full shifts, coverage for employees off sick or on vacation and consider it possible that such an HRMS could exist on a global basis with companies actively accessing this database of skills and availability. Combine that with automation, global talent pools and evolved technology that allows us to work from anywhere and you have access to people who are skilled to do the work, love technology, only want work in a specific area and are physically and technologically mobile.

What do you get? Corporations with 10 or less full time employees and workforce with a constantly changing face.

PREPARATION DURING THE TRANSITION

BUSINESS

Businesses will need to invest in new technologies and development. They will need to create a culture that embraces change and develop creative strategies to deliver to customers as well as retain key people during the transition. These are not new words – but they have new meaning.

PEOPLE

HR people have long said that organizations need to develop their people for their current AND future roles – even if it means they will leave. This is more imperative than ever. The best thing companies can do for their people and the business is prepare them as specialists in their field and business owners. Train employees to manage a business and think outside the box – expect it.

Even today, this would benefit the business, provided the culture allows people to speak up and not fear making a mistake. But a smooth transition is possible if every employee understands how to run a business and contribute to its growth from a whole different perspective. As organizations downsize toward 2030, people will then be prepared to start their own business or hone their skills of interest and become “me incorporated”

GOVERNMENTS AND UNIONS

The most important hurdle, of course, is government and unions. They must understand that organizations cannot continue to be subject to onerous reporting, taxation and regulation and continue to thrive. In fact, they will not.

This view of 2030 means governments must understand that contract employment is the wave of the future. Contract employment, for any length of time, cannot be synonymous with employment status and taxes must be collected in some other way. Payroll tax, taxable benefits – all things of the past for corporations, just to name a few.

And what of unions? People will get work based on their skills and reputation and will no longer be interested in keeping it for 20 or 30 years. Certainly unions will need to take on an entirely different role. Or, perhaps they will no longer exist.

FACT OR FICTION?

Only time will tell, however, it is apparent that things continue to change and 2030 will look very different. Organizations will need to keep a close eye on the future and factor what they consider to be the impact of current trends into their strategic workforce plans. 100% accuracy is impossible, but staying the course and not doing some potential problem solving can only mean being left behind. Put your thinking cap on and let your imagination run wild. Some would certainly say that I have!

Related Articles
  Business Structures
  Looking for Franchise Finance? You May Be Sitting On It Already
  The Corporation in the Year 2030
  When Opening A Small Business, Choosing the Right Business Structure is Something that Should Not Be Taken Lightly
  Types of Business Organizations
  Income Tax Benefits of Incorporating or Forming a Limited Liability Company
  Be in Business for yourself, but not by yourself
  How To Choose The Right Structure for Your Business
  Basic Structures
  IV. C. Private Contractors and Builders: THE ROLE OF THE PRIVATE SECTOR
  Business Growth Requires Individual Effectiveness
  Selection of a Corporate Name
  Defining and Understanding the Corporation and Its Accounting
  Howard Hughes Quotes
  Why Should I Incorporate My Business?
  Which Franchise Concepts Can Stand the Test of Time
  Senior Care Franchises Poised for Exponential Growth
  America's New Fuel Efficiency Standards
  McDonald’s Middle East Franchise reports a 3.4 percent surge in sales
  Which Company Structure is Right for You?

Article Tags: future corporations



Related Forum Posts


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Anger Solutions at Work: Why Customers Get Angry

Attracting Passionate Employees

12 Principles to Spark Innovation

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.