Can Bitcoin change the world? In 2017, the majority of experts in this there was no doubt, however, cryptoseal, increased the pressure regulators, as well as the hype over tablconv and national cryptocurrencies have many cool minds. However, to write off from the accounts of Bitcoin no one is going. This is evidenced by the trust the younger generations, the growing interest of institucionales and positive forecasts for 2020. Also sure analyst Chris Dannen — co-founder of new York investment cryptomeria Iterative Capital and CEO of trading platform Trading i2. The expert States that almost all global corporations need in Bitcoin, but are still just do not realize it. Based on his opinion — read the material.
That could force corporations to massively adopt Bitcoin?
During the boom of cryptocurrencies in 2017 on cryptocephaline was not overcrowded. They were visited by rich investors and tech giants, various companies EN masse has announced the revolutionary blockchain projects, and easily collected during the ICO millions of dollars of investment.
Alas, the most «promising» ICO turned out to be a Scam, the course of digital assets collapsed, cryptomeria began to experience difficulties, and the hype around the cryptocurrency has eased considerably. In 2019, the scenario has changed conferences under the auspices of the blockchain technology promoted inefficient corporate products, kamery sold useless tokens, and cryptomeria looking for capital. Revolutionary projects at these conferences were not announced, and representatives of large technology companies, they are almost not visited. However, Bitcoin needs in another, because new technological product is almost impossible to achieve mass adoption without the attention of major players.
However, though not super-fast pace, crypto-industry continues to grow, and investment in Bitcoin on the part of institucionales only grow. Hardly 2020 will be a turning point and will promise us mass adaptation digital money. For large companies, any technological change is always a painful procedure. To move on to the use of coins, corporations will have to change the automation of financial operations, to reconfigure well-established business processes to spend a lot of time and money to develop new software and retraining staff.
The impetus for such a scenario can only become an extremely serious problem requiring immediate solutions. If this is the problem now? Yes. It’s just not evident so clearly to a ball in a quest to find a solution. What is this problem and how Bitcoin is able to solve it?
Risks of corporate collapse
First, let’s take a look at these figures:
- In 1958 the life cycle of large companies the average was 61 years. In 2016, this figure stood at 24. For 58 years the viability of influential corporations decreased almost three times.
- US citizens spend about 750 million weekly hours to performing their work duties. About half of this time brings no value.
- The average performance of the shares is 25% of the largest public companies in 1965 was 12.9%. By 2015, profitability has fallen to 8.3%.
- The number of jobs is increasing much faster than payment for their implementation. According to the new book, Aaron Dignan «Brave New Work», from 1976 to the present day, the growth of labor productivity outpaced the wage growth in 5.9 times.
Once the flagship of the company, for example, Borders Group, Nokia and Blackberry failed to cope with the realities of today’s economy and maintain its position in the market. Even giants such as Microsoft, are not able to increase staff salaries, despite the enormous number of analytical specialists, a lot of expensive business consultants and a team of distinguished graduates of prestigious universities who work there.
Why in spite of the appearance of so many modern technologies, things are worse than 50 years ago? The fact that digital technologies so completely transformed all spheres of activity, that forward planning, and implementation of complex business processes and hierarchical management model began to bring in the fraction of dividends. Early on these three pillars was built a Foundation of success for large organizations, but today they are losing relevance. Bureaucracy and complex corporate hierarchy impede the development of modern business — custom, fast and unpredictable. Large companies began to transform into a hulking bulldozer and don’t have time to respond to the changing market.
In the past decade, the Corporation that managed it is time to realize, began to change the principles of operation and to reorganize the business with the goal of reducing hierarchy and bureaucracy, introducing effective and simple digital technology. This helped them to increase profitability, to avoid the unenviable fate of his many competitors and prevent premature collapse. Someone restructured its work less, some more, but none have achieved perfection — still challenges remained in almost all corporations, as clearly demonstrated by the figures given above. Their basic working principle remains the same.
Large organizations need to become more flexible, otherwise in twenty years from all of today’s «top» may not remain and a trace. But what «medicine» can help the whales of the market in the new decade, when the physical world Alfreda even more, and the pace of business will increase?
The solution — transition to work with the «dual OS»
In theory, large and «unwieldy,» the company will be able to keep up with the realities of modern business, if you switch to a new model of governance proposed by Professor at Harvard business school, John Kotter. He has developed an original concept «companies with dual operating system», based on a proper combination of two aspects:
- The traditional hierarchical management model that is still used in all top companies.
- A network of «supertempo» — a highly specialized freelance professionals of the highest class.
To superteam appeal, when it is necessary to solve some specific task. These are temporary employees who work quickly and efficiently, and then move to another project. Their fee usually ranges from $2500 a day, and in the year they earn about $600 000. Initially it may seem costly, but it can save millions of dollars on consultants and to avoid lengthy analytical and organizational processes.
A big company can create a network of high quality supertempo, which will apply as necessary. They solve problems faster and more efficiently than departments staff members and in case of necessity they resort to their own teams. Some of them can work even as unpaid volunteers.
So a big company with two operating systems bases its work on the basis of both models, taking from each the advantages and eliminating the disadvantages. A hierarchical system will provide quality planning, budgeting, recruitment of personnel, evaluation of the effectiveness of the business processes and so on. In those places where a hierarchical model is weak — in the timely identification of important hazards and great opportunities, rapid development and implementation of strategic initiatives, innovation — the cause will take a network of trusted supertempo.
According to Harvard professors, the ratio between staff and non-staff should be somewhere in the 10%/90%. That is only one tenth of the experts have to sit in the office and work on the basis of the hierarchical model, the rest is carefully selected freelancers working in the non-normalized chart with unstable salary.
Everything looks great, but it is unclear what does the bitcoin. The fact that the transition to the concept of dual operating system there are a few problems. One of them is connected with the technical implementation of payment of salaries and emoluments. To pay full-time experts just — do you have a list of permanent employees and monthly salaries. You once a month transfer the same amount on the credit card. However, when it comes to network supertempo — the situation is completely different. Especially if we’re talking about large companies with a large army of freelance specialists.
Reward supertempo depends on the amount and type of work they perform. Their functions are non-standard, they do not work every day and not always from morning to evening. Moreover, the number of attracted external collaborators is constantly changing, as are their names in July, you may have Phil, and in August, Peter and Lucy. Now imagine that these Peter, Lucy, and Filov thousands, they live in countries with different national currencies, work in cities where you have no office, perform all the different functions and require quick payment upon. To organize the process of payments for all these people, you will need an army of HR managers with again a hierarchical model. The optimal alternative — the transition to a completely new kind of financial infrastructure. And here comes to the aid of bitcoin.
Bitcoin as a tool of implementation of the concept of «dual OS»
Ideologically and technically, the Bitcoin network is a decentralized structure, without leaders and hierarchies. It fits perfectly into the concept of any non-hierarchical organizations, such as the network supertempo.
- Any employee in any country (almost) can easily create a secure bitcoin wallet without having to get any permissions.
- Specialists can get paid in BTC at the exchange rate of the national currency and using specialized sites have the option at any time to exchange cryptocurrency for Fiat.
- Companies do not need to fill many papers and conduct the expensive and slow international payments through banks. Bitcoin allows for fast transactions of any scale anywhere in the world. Including in those countries where banks work difficult.
- Bitcoin allows you to simplify the financial statements, as all transactions by default are recorded in the blockchain.
- There are situations when the execution of some tasks is allocated a certain budget. Give each employee a corporate credit card and paper to write permissions on the costs, long and expensive. However, the Corporation could solve this problem with Bitcoin at the software level. For example, to develop customised crypto with multipurpose, allowing certain non-employees to use a specific amount of budget for the implementation of specific goals.
- Crypto-market continues to develop in the coming years, corporations will be able to spend bitcoin payments through the Lightning Network or similar channels. This will provide instant and free transfers where and to anyone.
So, we see the process chain, which is to the immediate need for bitcoin and/or other liquid digital assets. So:
- Due to the bureaucracy and complex hierarchical model of large companies are finding it difficult to keep up with the growing business sector and digital innovation. Therefore, they need a restructuring work.
- To improve the situation, can a model with dual OS, where 10% of employees work in the office hierarchy, and the remaining 90% — of freelance professionals.
- To use the model with dual OS is very difficult and costly without switching to digitized financial infrastructure. To ensure profitable and quality cash relationships with freelance professionals at the moment is possible only through cryptocurrencies.
Large company in need of digital assets, simply yet do not realize it. However appears they have problems in the coming decade will require new solutions. Bitcoin has the potential to get to critical corporate compartment.
Some large corporations have already started to adapt its activities to the work of dual OS, without even realizing it. They attract more and more freelance professionals are not aware of how widely able to scale this structure. And with the expansion of their activities in this segment the integration of cryptocurrency becomes only a matter of time.