Humanizing Work Through Digital

Making the Work Experience More Democratic, More Networked, More Human

PoV

Colin Sloman

Robert J. Thomas

Digital

Business & Operating Models

Latest Thinking

Workforce

Cost Reduction & Efficiency

Technology

Humanizing work through digital by Colin Sloman and Robert J. Thomas

Digital is about cold efficiency and doing away with the human touch. Right? Wrong. Digital is making the work experience—and the workforce— more democratic, more networked, more human. In the early days of digital, technological advances were associated primarily with efficiency. Taking human intervention out of work and replacing it with automation and changing the very foundations of how work is performed. Now, with advances in collaboration and social media, digital is transforming work again. Breaking down traditional boundaries. Supporting the reorganization of work into open ecosystems to enable greater collaboration. Radically augmenting brain and brawn to enhance both the cognitive and collaborative side of work as well as the physical possibilities of human beings. Democratizing how work is conducted and forever changing our ideas of how an organization should be run from every level all the way to the top. In short, this new wave of technology is far from dehumanizing. In fact, it’s precisely what will make work radically more human: more tailored to individual strengths, more flexible and portable, more collaborative and more meaningful to employees throughout the organization. 2 | Humanizing work through digital

Reorganizing work Hierarchy. Bureaucracy. Functional silos. All are vestiges of the division of labor from the earliest writings of Adam Smith and Alexis de Tocqueville. Even two centuries ago their drawbacks were duly noted. Alexis de Tocqueville wrote, “Nothing tends to materialize man, and to deprive his work of the faintest trace of mind, more than extreme division of labor.” That’s because the very concept of “a job”—and the strict division of work— can effectively kill autonomy, inspiration, innovation and increase monotony, making tasks seem less significant and meaningful. Yet whole HR departments organize nearly every talent practice around the concept of jobs, and managers and employees use the notion of the job to hire, manage and organize teams. Digital is shaking the foundations of labor management to its core as functional roles and rigid job descriptions give way to people coalescing around joint goals and forming collaborative teams. Recent Accenture research shows that 79 percent of executives agree the workforce of the 1 future will be structured more by projects than by job functions. This new way of working opens the organization to sharing of feedback, ideas and innovation at all levels. 79 percent of executives agree the workforce of the future will be structured more by projects than by job functions. 3 | Humanizing work through digital

Boosting brain and brawn Digital advances such as virtual sensors, analytics, robotic devices, natural language processing, artificial intelligence, automated virtual assistants, 3D printers, wearable devices, collaboration software, and gaming capabilities promise to reshape work practices like never before. Investments in these innovations is growing. Accenture research shows that organizations have been making more investments in AI-related technologies over the last two years–78 percent more in machine learning and 77 percent 2 more in deep learning as well as embedded AI solutions. New digital advances will lead to greater experimentation and empowerment for the employees who use them, enabling them to make more strategic decisions at a local level. Organizations have been They’ll also allow employees to collaborate with each other and with the machines to boost productivity and make their jobs ultimately more fulfilling. making more investments Boosting both brain and brawn. in AI-related technologies On the brain side, the decoupling of the worksite and the machines in the field over the last two years— transforms the nature of work: from the traditional blue-collar to knowledge- 78 percent more in based roles with real-time access to data from industrial assets, such as fleets machine learning and of trains, airplanes, power grids or earth-moving equipment. It also affords a 77 percent more in deep new level of flexibility on where and how work is done. One example: Rio Tinto. At this mining company’s operations center in Perth, Australia, skilled learning and embedded equipment operators now sit in a remote command center and work side-by- AI solutions. side with data analysts and engineers to orchestrate the actions of huge drills, 3 excavators and other machinery across multiple mining sites. On the brawn side, firefighters, military personnel, surgeons, and nurses can now wear powered exoskeletons to boost their strength and endurance to perform better at work. Chicago firefighters have tested robots as their first line of defense. By using technology, firefighters can go into partially collapsed buildings and other perilous situations with a camera-equipped robot and assess the danger before risking human life. In an auto manufacturing trial, a human-robot team assembled the frame of a car 10 times faster than a team of three humans. How? For simple welds, a robot with a video projector would show a human where to place a specific part; then the robot would make perfect welds in five seconds per weld. For more difficult welds, however, the robot would defer to its human partner to perform better. Ultimately the accelerated assembly speed frees up time for workers to focus on trouble-shooting and more challenging (and therefore 4 more rewarding) tasks. 4 | Humanizing work through digital

Redefining the role of leadership Like water, digital technology insinuates itself into every nook and crevice of an organization. Digital breaks down silos and hierarchies and hastens the evolution of organizations into more fluid and networked forms. It connects people across geographies and functions. It makes work processes more transparent and encourages the intersection of people and ideas that can lead to breathtaking innovation. It helps grow complex ecosystems of vendors and alliance partners by dramatically reducing the cost of collaboration. In the process, digital gives greater prominence to the practice of “horizontal leadership”—that is, the ability to exercise influence without formal authority. 58% Horizontal leadership encourages collaboration and decentralized decision- making: vital elements of the digital enterprise. Indeed, skill in horizontal leadership is what enables executives to “let go” and trust that effective work can be conducted by teams and that effective 58 percent of executives decision-making can be carried out at the edges of the organization. The shift felt technology improved to horizontal leadership is evident in Accenture research results: 48 percent of communications by high-growth companies say their leadership team has worked to incorporate 5 a broader range of perspectives and skills. What’s more, high-performing allowing them to connect companies have invested in collaborative tools like interactive portals, social with a team, or the networking, SharePoint and wikis and have found them to be 80 percent broader organization, 6 effective at improving productivity. easily and quickly. Horizontal leadership is a critical element of management in the digital age, but it is not the only one. Thanks to the ubiquity of digital applications like instant messaging, web cams and social media channels, leaders have never been more visible to their people. In fact, Accenture research found that 58 percent of executives felt technology improved communications by allowing 7 them to connect with a team, or the broader organization, easily and quickly. Couple this with increasingly flat organizations, and the old command and control style of management is rendered more and more old-fashioned. Instead, leaders who communicate their priorities, goals and expectations directly to employees have more opportunities to engage directly with them through social and collaboration platforms. This can encourage meritocracy by tapping employees throughout the organization for the best ideas. 5 | Humanizing work through digital

Three fundamental changes To become more agile, accommodate changing worker demands, and harness the new open talent economy, organizations will increasingly change in three fundamental ways: Break the hierarchies Instead of hierarchical command and control units, companies should resemble interconnected networks. Ecosystems of companies, third-party suppliers and independent agents that hold specialized skills and workers Paradoxical who define their own jobs. leadership in the age of digital Enter the digital race Robotics, automation, technological augmentation, and collaboration tools Leaders need to manage are here to stay. Embrace them proactively instead of playing catch up to paradox in the digital competitors that have already improved the work experience through digital. age by: And gained the advantages. • Guarding core values Enable the multi-skilled worker and shared purpose Coach and enable employees to constantly develop new skills that are needed across the ecosystem and by the organization and seek out new opportunities to create value for their throughout contingent organizations. And have them focus on human skills that will reign in the labor while experimenting age of the machine—developing capabilities machines won’t likely take over: with products, services ideation, communication, analysis, experimentation, and the ability to and organizational make sense of data. structure • Letting go of tight control in order to free up employee creativity • Mastering complexity but guiding through simple rules • Exercising judgment in the face of an unprecedented volume of information 6 | Humanizing work through digital

The “human” in “human capital” We are shifting to a world where the innately human characteristics of collaboration, coaching, entrepreneurialism and fluid temporary teams are fast replacing hierarchy, bureaucracy, functional silos and traditional notions of the job. New digital technologies are driving that change through more bespoke roles and rewards, and a more democratized workplace. You could say digital is putting the “human” back in “human capital.” Through digital, people can co-create highly personalized work experiences and lead and manage in ways that free employees to exercise judgment and unleash their creativity at all levels of the organization. Leaders will need to loosen the old school “command and control” grip on hierarchies and instead manage today’s liquid workforce—networks of employees and external talent pools often at the far ends or outside the organization. Digital isn’t a panacea. Just having the technology won’t instantly imbue an organization with a greater sense of human touch. Humanizing the workforce through digital takes a conscious effort. Organizations that embrace these changes from leaders down to front line workers will be able to enjoy more engaged, satisfied employees, improve workforce productivity and effectiveness, and achieve new levels of meaning, innovation, agility, and operational excellence. 7 | Humanizing work through digital

Join the conversation About Accenture @AccentureStrat Accenture is a leading global professional services company, providing a broad range of services and Accenture-Strategy solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all Contact the authors business functions—underpinned by the world’s largest delivery network—Accenture works at the intersection Colin Sloman of business and technology to help clients improve their London, England performance and create sustainable value for their [email protected] stakeholders. With more than 384,000 people serving Robert J. Thomas clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Boston, Massachusetts Visit us at www.accenture.com. [email protected] About Accenture Strategy Accenture Strategy operates at the intersection of business and technology. We bring together our capabilities in business, technology, operations and function strategy to help our clients envision and execute industry-specific strategies that support enterprise-wide transformation. Our focus on issues related to digital disruption, competitiveness, global operating models, Sources talent and leadership helps drive both efficiencies and growth. For more information, follow @AccentureStrat 1 Accenture Technology Vision, 2016 or visit www.accenture.com/strategy. 2 Accenture Technology Vision, 2016 3 ”Recombination at Rio Tinto: Mining at the push of a button,” by Robert J. Thomas, Alex Kass, and Ladan Davarzani, Accenture, 2014. 4 “Digital Business Era: Stretch Your Boundaries,” Accenture, 2015. 5 “Traits of Truly Agile Businesses,” Accenture, 2014. 6 “High Performers in IT: Defined by Digital,” Accenture High Performance IT Research 2013, as cited in “Masters of the Digital Universe,” Accenture Outlook 2014, No. 1. 7 “#ListenLearnLead,” Accenture, 2014. This document makes descriptive reference to trademarks that may be owned by others. The use of such trademarks herein is not an assertion Copyright © 2016 Accenture. All rights reserved. of ownership of such trademarks by Accenture and is not intended to Accenture, its logo, and High Performance Delivered represent or imply the existence of an association between Accenture and are trademarks of Accenture. the lawful owners of such trademarks.