Digitization projects have become a top priority for many organizations in recent years. A PwC study revealed that 60% of senior business executives said digital transformation is the most crucial factor in their growth in 2022.
Companies have started to rely increasingly on technology to function. During the pandemic, technology became the true lifeline for businesses.
If it weren’t for technologies that allowed businesses to continue remotely, it’s frightening to think how many would have closed permanently.
Organizations are now looking to level up their digital investments. This means improved and new products in the market and more streamlined internal organizational processes.
But the thing is…
If it were that easy to rework a business’s technology use and incorporate new methods and solutions, wouldn’t every organization be doing it perfectly?
The reality is that business leaders are currently trying to keep their businesses afloat amid an unstable global economy, brought on by Covid-19, escalating energy costs, and changing consumer demands.
The threat of a looming recession and shortages in the supply chain adds to an ever-long list of challenges that companies face today.
Top that with a critical change such as digital transformation (which is a 360-degree pivot for most organizations) brings further uncertainty.
But resisting digital transformation change means an even bigger problem – being left behind.
In the past, we have seen businesses that have failed because of their unwillingness to embrace new technology.
Do organizations even have a choice?
Leverage Technology to Solve Problems
It’s no secret that the business landscape is constantly changing and evolving.
What’s hot today may be passé tomorrow, which is why it’s so important for organizations to stay on top of emerging technologies.
After all, the last thing you want is to be caught flat-footed by a new disruption that has the potential to upend your entire industry.
Capitalize on Data
Statista reports that, in 2020, the total data created and used worldwide reached 64.2 zettabytes- which is equal to 64.2 billion one-terabyte hard drives. By 2025, this number will surpass 180 zettabytes of data created each day.
We owe this exponential growth rate to the speedier adoption of IoT devices which accelerate interconnectivity demands. For example, on average a connected car produces 4 terabytes of daily data.
Data is a huge gold mine for businesses today. They need to solve critical problems or create opportunities for stakeholders to capitalize. And emerging technologies will play a decisive role in this journey.
To take full advantage of data, and its application through emerging technology, it is essential for companies to have access to the right combination of business and tech talent. The tech team must be highly skilled and trained on how to utilize these advancements in technology.
At UniAspect Digital, we help our clients capitalize by enacting data-driven culture. It starts from the top and filters down. Clearly communicating a goal to become more data-driven is vital, but employees throughout the organization will be more likely to adopt this mindset if they see the approach in action.
Data that exists in separate silos within an organization is often difficult to compare and understand, making it hard for informed business decisions. A data architecture modernization journey should be a priority when mapping out digital transformation, as it affects many areas of the business.
However, data architecture is a difficult task that requires not only understanding various technical complexities but also process complexities. Having a team of data engineers, data architects, data scientists, and business analysts who work well together can help speed up the modernization process.
Integrating the Tech Stack
Developing a clear funding plan and road map that is mindful of enterprise goals and the costs of new technology will help keep everyone’s efforts and resources in line.
For selective technology updates where an enterprise system is left intact, organizations can assess potential areas for improvements in their existing information architecture and technology landscape.
This will help them make better decisions about which incumbent technologies to replace with relevant emerging ones.
Digital Governance
Another critical factor to contemplate is if the technology is currently unregulated by any government organizations or whether its use will intersect with pre-existing regulations.
Proper regulations and governance are necessary to ensure that businesses or consumers can safely use the technology. This builds trust in the solution and ensures long-term success.
But digital governance becomes complicated when businesses operate in different jurisdictions. For example, storing data in a multi-cloud environment and accessing it from different geographical locations.
According to McKinsey, 70% of companies will employ hybrid or multi-cloud management technologies, tools, and processes.
Businesses must be careful about managing data to comply with the different regulations on storing and using data that may exist in many countries.
Companies need to do their research before implementing any new technology into their pre-existing business model to avoid issues in the future.
Another point to consider is that merely being transparent is not enough. Your IT team needs to understand and decipher all the data with sophisticated technology performance capabilities as well as new roles, such as data diagnosticians and bot managers.
Organizations that see new technology as an opportunity to improve infrastructure rather than just chasing current trends will be the ones who reap the real benefits.
As the saying goes, “the only constant is change.” This couldn’t be truer when it comes to the business world, where new technologies are emerging all the time. Leaders need to develop a vision to design systems to manage and track the use, reuse, and performance of emerging technologies.
Expansion of the digital landscape means your organization needs to broaden its capabilities around cybersecurity, privacy, and data.
Consumers are becoming wary and demanding that organizations cultivate the practice of ethical use of data and responsible AI.
Advantages that many current businesses have over others- such as existing customer relationships and private data- could be lost unless businesses change how they manage and take care of that trust.
Companies should consider putting identity and trust management at the core of their customer experience and business processes.
