“Companies can still do well in the current environment, and there are great opportunities to make good deals and investments. But businesses can’t have a single model worldwide – they need regional and local models,” said Dr Nuno Fernandes, a Professor of Finance at IMD.
Dr Fernandes and Dr Hischam El Agamy, Executive Director of IMD, said senior executives in the Middle East are challenging some of their previous assumptions about how they lead their businesses and their employees.
Good people management is more important than ever, because business leaders need to build confidence in their teams at a time of high uncertainty. But leaders must also adjust their overall strategy to the fast-changing global business landscape.
“Globalization means there is no safe haven and no place to hide. Managers need to look at their business portfolio differently, and the challenge is to identify opportunities nobody has seen before,” said Dr El Agamy.
Dr El Agamy highlighted a number of challenges facing the region’s senior executives.
One is demographic pressure, with UN figures indicating that more than half the region’s population is below the age of 25. It is therefore crucial that education systems give young people the skills that businesses need. A second big trend is technology and innovation, which Dr El Agamy said “Should be seen as an integral part of your business model if you want to keep a competitive edge.”
But Dr El Agamy said the new business dynamics in the region also offer exciting new possibilities for senior executives.
“The business landscape in the Middle East is changing fast, and the shift of global economic power is creating some volatility. But in the years to come, I think this era will be seen as one of great business opportunities,” he said.
Wednesday, May 2- 2012 @ 14:17 UAE local time (GMT+4) Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Mediaquest FZ LLC.