Adapting to Change

2023-09-05 by Ismo Aro & Toni Kortepohja
How Our Unique Business Model Embraces Business Agility

In a world where only the fittest survive, the doctrine of evolution teaches us a critical lesson: it's not the strongest that survive but those who adapt quickly to changing environments.

The modern business landscape, marked by rapid technological advancements and shifting market dynamics, requires companies to be agile, adaptable, and resilient. For us, at NorthCode, this agility is embedded in our very DNA. Here's how our unique ownership and operational model promotes business agility:

1. Ownership Model: Collective Resilience during Downturns

In NorthCode, every employee is not just a stakeholder in the decision-making processes but also an owner of the business. This dual role serves as a powerful motivator, ensuring everyone's investment in the company's success. This model shines particularly during economic downturns. Any dip in sales is first reflected in our collective profit before it would have any impact on our ability to pay salaries. This shared risk creates a sense of unity and drives us to adapt, innovate, and overcome challenges collectively.

2. Open Strategy: Continuous Adaptation Driven by All

NorthCode’s strategy isn't a once-a-year boardroom activity. It's an ongoing, inclusive process where every employee-owner contributes. The parent company handles the tactical execution derived from the strategy, ensuring seamless operations. It also sets the stage for strategic discussions, performing the necessary groundwork. This inclusive approach means our strategies are grounded in diverse perspectives, ensuring adaptability and resilience.

3. Beyond Budgeting: Real-time Financial Adaptability

Traditional budgeting can limit a company's ability to respond to unexpected challenges or opportunities. Instead of setting rigid budgets, we monitor our financial health in real-time, relying on key performance indicators to inform our decisions. This continuous oversight ensures we remain financially agile, ready to invest in opportunities or trim expenditures as required. In essence, our business model—built on collective ownership, open strategy, and a beyond-budgeting approach—ensures we remain agile. Just as in evolution, our ability to adapt rapidly to our environment ensures not only our survival but our thriving success in the dynamic business world.

Ismo Aro CTO

Toni Kortepohja CEO