Future-Proofing Strategies for Business Success: A Report

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Intra-Organisational Communication (Memo Report): Management Best Practice
Review
Image: Future Proofing Strategy
Source: Carroll, 2018
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Contents
Memo to the colleagues...................................................................................................................3
Executive Summary.........................................................................................................................3
1. Introduction..............................................................................................................................3
2. Identification and adoption of changing trends...........................................................................4
3. Focusing on the interests and needs of the shareholders.............................................................4
4. Social License..............................................................................................................................5
5. Social Responsibility...................................................................................................................5
6. Sustainable Business....................................................................................................................5
7. Communication............................................................................................................................6
8. Conclusion...................................................................................................................................6
9. Recommendations........................................................................................................................7
References:......................................................................................................................................8
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Memo to the colleagues
20/March/2019
To,
The colleagues
Subject: Requirement of future proofing strategy in the business organization
Executive Summary
The memo provides an analysis of the need for proofing strategy to be implemented by the Board of
Directors of the company. According to Tesla, the company should make necessary changes in the
operations of the business as per the changing trends.
It has been stated by the organisation, Tesla that the adoption of change is the base of success. The report
represents the adoption of change so as to make survival in the marketplace against the competitors and to
attain success. The report is about making changes in the technologies to focus on the opportunities and
risks associated. The report explains the changes the company needs to make in its operations so as to
create value for the shareholders, consumers, suppliers, etc. The company should fulfill its corporate
social responsibility to create its positive goodwill.
The companies explain the need for future proofing strategy to their colleagues and implement the same
so as to determine the risks which may occur in the future and take corrective measures in advance for the
same. The company should fulfill its social responsibility; identify the interests and needs of the
shareholders, communication of the strategy to the employees to the organization.
1. Introduction
Future proofing strategy is the strategy which is used by the companies to anticipate the future risks and
challenges which companies may face due to various uncertain events and take corrective measures to
handle and overcome such situations. Future proofing strategy is a method which reduces or minimizes
the level of stress by developing several ways of resolving the uncertain risks of the future. This strategy
is mainly used in industrial design, electronics, design for change in climate, and in the electronics
industry. The board of directors is planning to implement the future proofing strategy in its business to
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anticipate and forecast the risks and take preventive actions so that it does not affect the profits and
operations of the business.
The memo is prepared to explain to the colleagues about the need for the future proofing strategy in the
company. It should consist of the reasons why and how the strategy is beneficial for the organization as a
whole. The memo will include understanding the interests of the shareholders, fulfilling of social
responsibility by the company, adoption of changing and advanced technologies to face the risks more
effectively, and transformation of business into a sustainable business model.
The objective of the memo to increase the goodwill of the company in the marketplace and attain
competitive advantage.
2. Identification and adoption of changing trends
The company should adopt the future proofing strategy to identify the changing trends and anticipate
future changes to reduce the stress of future events. Identifying the changes adoption of the same as it
emerges is the key to success. The company aims to adopt advanced technology and implements the same
while preparing business models. The executives of the company focused mainly on the risks and
opportunities associated with the adoption of new technologies. These changes help the company in
building its relationship with society.With the changing trends companies always need to identify the
customer needs and changing demands and tries to fulfill the same by determining the marketplace and
strategies used by the competitors and focus on innovation to improve its goodwill and increase its
profitability (Datta, et. al., 2017).
3. Focusing on the interests and needs of the shareholders
The company should focus on the needs of the shareholders, consumers, suppliers, employees, planets,
future generations, and communities. The company should determine the factors which are important to
fulfill their needs and take corrective actions. The shareholders, employees, consumers, etc. play a vital
role in the operational activities of the business. And it is essential for the organization to fulfill their
needs and requirements to retain them into the company. If any of the concerned class discontinues it's
dealing with the company, the company can face loss and lead in diminishing of the image of the
company (Benn, et. al., 2016).
4. Social License
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David Murray proposed the Corporate Governance Principles and Recommendations, which
incorporates the social license concept to operate business activities. The concept can create several
uncertain, unnecessary, and complexities to the principles at first but the business organizations will have
to accept the social responsibilities.
5. Social Responsibility
The company must have a social purpose and should take steps to contribute to fulfilling the needs of
society. The society is where the company conducts its business activities. The company should have
some social responsibility towards its society. The CEO of the BlackRock has given an ultimatum to its
investee companies regarding either to find a purpose towards the society or find a new and different
source of funding. The companies should contribute positively towards society and focus on their needs
as well. It is the responsibility of every business organization to contribute towards its society. This led to
increase in goodwill of the company and building of a relationship between the companies with its
society.This also helps in increasing the revenues of the company and increasing the trust among the
customers (Grayson, et. al., 2017).
6. Sustainable Business
These businesses are those which have a low negative impact on the environment.The companies
following the sustainable business model often have human rights policies and progressive environment.
BlackRock is one of the largest suppliers of the ETFs i.e. sustainable exchange-traded funds it includes
the largest low- carbon ETF.There are several competitors such as Aviva, BNP Paribas, the Norwegian
sovereign wealth funds, and HSBC have committed to assist the companies related to carbon-intensive to
a lower-carbon future. The companies should promote in its business sustainable business model so that it
cannot harm the environment by any negative impact. The businesses should take proper care of their
environment and should adopt the strategy of recycling. The future proofing strategy will be helpful in the
resistance of any wasteful effluents which may harm the environment. The future proofing strategy is
implemented by the board so that the company can determine the products which can harm the
environment in future in some or the other way and hence it helps in ensuring that the company does not
produce any harmful products in current as well as future market (Witjes, et. al., 2016).
6.1 Reuse of sustainable products
The strategy is implemented so that the company takes extra efforts in reusing its wasteful products so
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that it does not harm the environment more.Recycling and reusing of products is essential and considered
to be the responsibility of the companies (Mansour, et. al., 2015).
7. Communication
The communication of the strategies is important because it helps in providing detailed information to the
colleagues and other employees which company is planning to implement in its business operations in
order to gain competitive advantage and increase goodwill of the company.The employees and colleagues
should have information about the execution of the strategies by the company so that they can contribute
in the same and help the company in accomplishing their goals and objectives (Tange, et. al., 2017).
8. Conclusion
From the above report, it is being concluded that future proofing strategy is important for all the business
organizations as it helps in identifying and forecasting all the risks which may hamper the business
organizations and affect its business operations in a negative manner. The report concludes that the
company should take proper concern about the interests of its shareholders, community, consumers,
employees, etc. It should fulfill its social responsibility to improve its positive image in the market
industry and gain a competitive advantage. The company should implement a sustainable business model
to promote recycling and reusing of wasteful effluents so that it can prevent the environment and save it
from getting damaged.
9. Recommendations
Recommendation 1: The company should promote saving the environment by conducting campaigns.
This will help in increasing its goodwill and building relationship with the customers.
Recommendation 2: The company should not forget its social responsibilities in which it operates its
business activities. The corporate social responsibility is the major responsibility of the companies
towards its society and it led to the building of the company's relationship with society.
Recommendation 3: The company along with focusing on improving its profits also focus on the needs
and desires of the shareholders, consumers, suppliers, employees, communities, planet, etc. so that it can
retain them. Higher retention helps in improving the authenticity and goodwill of the company. It also
leads to the building of trust among the customers.
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The future proofing strategy is helpful as it will not only help in identifying the risks but also help in
determining the changing trends and preferences which the customers are following. It will be useful for
companies to adopt the future proofing strategy to minimize the stress level and improve working
efficiency.
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References:
 Benn, S., O'Leary, B. and Abratt, R., 2016, Defining and identifying stakeholders: Views
from management and stakeholders, South African Journal of Business Management,
47(2), pp.1-11.
 Carroll, A., 2018, How Businesses Can Future-Proof Their Digital Strategy, [Online],
Irish Tech News, viewed 20 March 2019, <https://irishtechnews.ie/how-businesses-can-
future-proof-their-digital-strategy/>
 Datta, H., Knox, G., and Bronnenberg, B.J., 2017, Changing their tune: How consumers’
adoption of online streaming affects music consumption and discovery, Marketing
Science, 37(1), pp.5-21.
 Grayson, D. and Hodges, A., 2017, Corporate social opportunity!: Seven steps to make
corporate social responsibility work for your business. Routledge.
 Mansour, A.M.H. and Ali, S.A., 2015, Reusing waste plastic bottles as an alternative
sustainable building material. Energy for Sustainable Development, 24, pp.79-85.
 Tange, L., Löwgren, A., and Post, T.J., 2018, Internal Corporate Communication:
Aligning Employees for Strategic Sustainable Development.
 Witjes, S. and Lozano, R., 2016, Towards a more Circular Economy: Proposing a
framework linking sustainable public procurement and sustainable business models.
Resources, Conservation and Recycling, 112, pp.37-44.
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