Prof. Dr. Mike Friedrichsen
Academic Director of the Institute
Welcome to the Institute for Digital Economy and Transformation!
We focus on the Relationship between Technology and the Human Element.
We are following a Philosophy of bringing Humans and Technology in Consonance.
Running behind the newest technology – this is what we have usually been doing for the last fifty years – is a lost competition. The technology is developing faster than we humans are willing and capable to change.
We must change perspectives, re-assess our relationship to technology and develop the capability of building new capabilities. The continuously changing business environment, where disruption becomes the new ordinariness, leads to a rise in
societal conflicts. Organizations have a higher inertia than technical developments and business strategies. This is due to the human element.
Digitalization, automation, Internet-of-Things and artificial intelligence, pave a way for a journey with no precedence in the human history. Currently we are looking at an era where machines replace human workers across many fields.
The discussion if the human will dominate the machine or if the machine will dominate the human is omnipresent and generates anxiety. Managing this relationship effectively is for humanity as important as managing the climate change successfully.
The still typical instruments and methods of management, which come from a calculable and predictable world, are not suitable for the accelerated disruption, but man is human after all, and subject to his repetition compulsion: he is insecure, afraid, has something to lose, so he reaches for the tried-and-tested – the so-called best practices – even if the framework conditions have already radically changed. It is true for employees, managers, consultants and leaders.
Organizations must become environments with the capability to build new capabilities for their employees. The organization must be able to contain and develop the relationship between the human and the technological element. It is not about humans or AI, but about humans and AI. It is about Augmented Workforce – the relationship between humans and AI.
In the transformation process from A–the old to B–the new target state, technical problems and challenges of organization dynamics are often treated separately, asynchronously and with incorrect emphasis. From this imbalance arise inefficiency that can turn into toxic situations.
The field of Digital Economy and Transformation provides a safe environment which both the human element and the technology need in order to augment each other.
The transformation takes place mainly in two continuously reiterating phases: 1-2-1-2-1-2…
Phase 1: Systemic diagnostics, which evaluate the transformational potential of the organization, by putting in contrast the existing organizational capabilities with the needed technical requirements in order to achieve a specific business goal.
Phase 2: Systemic execution, which gives the human element the same importance as strategic, financial and technological challenges.
The Institute for Digital Economy and Transformation provides a framework which helps leaders to successfully build businesses and organizations by avoiding planning fallacy, removing inefficiency and turning around dysfunctional teams through a replicable and stable process. It helps them to quickly change directions when needed.
Don’t judge upon what we say.
Judge upon what we do.