Leverage Technology to Transform Your Business
Technology is a driving force in many transformation journeys. However, considering it to be a dominant or even standalone factor is risky. Instead, technological transformation should be approached comprehensively. Its impact and dependency on other areas of action should neither be underestimated, nor ignored.
Technology, as we understand the term today, relates to the tools, machinery, hardware, and software used to facilitate the production of goods and services. The influence of modern technology on business identity and success cannot be overstated. How a company leverages technology to collaborate and communicate, as well as to organize, perform tasks, and create and deliver products and services, has become a key determinant of success.
Keeping up With Technological Progress Is Difficult
However, as technology continues to advance at an increasingly rapid rate, most companies have a difficult time keeping up with the pace. Organizations cannot integrate new technologies as quickly as they are developing in the current economic environment. Moreover, individuals working within organizations are regularly unable to cope with advanced technical changes. As a result, employees and companies can leverage only a fraction of the possibilities that new technologies yield. Thus, modern businesses face a much higher threat of disruptive and game-changing competition scenarios.
Therefore, it is crucial for businesses to successfully manage technology portfolios. Companies must invest wisely by implementing major changes at ideal points in time, selecting the most suitable technologies for appropriate scenarios. Furthermore, they must exploit these technologies optimally by effectively integrating them within the organization and enabling employees to utilize them effortlessly. Unfortunately, this is not an easy task.
During Transformation, a Comprehensive Perspective Is Key
When businesses engage in transformation journeys, they often face changes to their technology portfolios that reach way beyond standard “technology lifecycle upgrades.” Whether this entails the use of radically new technologies within the organization, or the creation of truly innovative solutions, the impacts of such changes will echo through the organization more broadly. Thus, Entrepreneurs and Senior Executives as well as Business and Project Managers need to ensure that the design and implementation of technological transformations follows a holistic approach.
In order to successfully leverage a new technology, the future users – be it internal staff of customers – should be educated on how to successfully integrate and utilize such technologies. Moreover, organizational processes should be re-designed. Perhaps new staff must be hired, new structures have to be implemented, and new solutions should be developed. It may even be necessary to establish new client relationship models.
Today, technology is an essential part of nearly every business. If it’s not yet a visible part of their corporate culture, companies should strongly consider connecting the dots and develop norms and values in a way that includes the perspective on and the use of technology. The degree to which technology is part of corporate DNA, whether it is an essential part of the value proposition for clients, or if it is the kind of technology that employees must work with on a day-to-day basis, influence mindsets and behaviors of internal staff as well as external stakeholders.
Ignoring the reciprocal impact of different Areas of Action will reduce the benefits of technological change, and may generate immense waste in terms of money, time, and effort. This is something that very few businesses—especially those in periods of technological or other forms of transition—can afford.
A Focused and Balanced Transformation Approach Reduces Waste
In order to minimize the risk of friction, fatigue, and failure in your transformation journey, you should carefully assess the technological aspects of the transformation.
To successfully accomplish this task, perform a detailed evaluation of the direct potential benefits that the technology or tool can provide with regard to the specific transformation scenario you are facing. Consider which conditions support the realization of each specific benefits. Furthermore, identify potential hurdles, as well as options to mitigate corresponding risks.
Questions to consider:
- How does a new technology support the overall business and transformation vision?
- Which new technologies and products (either developed in-house or acquired in the economic environment) would yield a sustainable competitive advantage?
- How can the expected benefits be described, controlled, and measured?
- Which prerequisites are needed to achieve targeted benefits?
- How does your technology strategy and approach reflect on your corporate culture?