Do you really need to invest in new technology?

There’s delicate to strike a balance when adding more complexity with minimal benefit and letting systems get outdated.

Every company must think about the future of its business and put processes in place to reach its goals. It has never been more evident than in the year 2022.

Changes in the world have occurred in ways that we would never have thought of, and consequently,  businesses must adapt and think about how they’ll be able to operate in the future.

In this light, you could be tempted to slap everything onto new technologies. There is no doubt that certain tech improvements have been crucial this year.

Tools and services that allow you to connect with remote employees have helped keep many companies on the right track during these turbulent times. But what is the best way to make these investments?

Just because you’re changing how you run your business in one particular area, does that mean you have to upgrade all of your operations?

Technology advancements will improve internal processes, such as managing resources and accounting, and external interactions with customers, clients, suppliers, partners, and customers.

But is the drive to change and innovate using technology often affect the company? Many questions need to be addressed as to whether the changes are needed. Do new technologies bring the world a new solution or improve the efficiency of methods? Also, is it acceptable to let technology remain and adopt the ‘do nothing’ route?

What’s the issue in the end?

Technology isn’t an answer to organizational issues. It is a part of the solution as a tool within the toolbox, but it’s not magical fairy dust. Bryan Betts, the Principal Analyst at Freeform Dynamics, tells IT Pro the magazine that it could be employed “as means to attain a goal, not as a goal in and of itself.”

Let’s look at the sales on websites. If they’re not performing well, they may not be due to website issues. It may be due to organizational factors, high prices, or even issues regarding the overall quality of the service and the product itself.

Technology advancements should not be introduced without having been thoroughly thought out and justified, planned and mapped out, both organizationally and financially.

Betts offers a few warnings: “Introducing new technology for itself is not going to be more than adding costs for support and training. Sometimes, we overlook how the “transformation part of digital transformation is the organization and its processes.”

It’s also the case that emerging technologies must be carefully evaluated to ensure that what they can – and don’t offer is comprehended. Dr. Ying-Ying Hsieh, Associate Professor in Innovation and Entrepreneurship at the Imperial College Business School, tells IT Pro:

“Taking up innovation in the workplace requires a thorough analysis of the viability and suitability. Managers can only make informed decisions if they have a piece of extensive knowledge about the technologies.”

Beware of creating an unfinished backlog.

Although implementing cutting-edge technology solely for the sake of it isn’t advisable, businesses that stick to traditional methods of operation could be putting off problems to deal with in the future. Reducing IT expenditures, in general, could be a waste of money. For instance, consider the issues that could arise if an older version of a popular application is still being used because the staff loves the application. It’s incorporated within other systems so deeply that it’s hard to decouple.

Newer products will be ignored even though they can be more user-friendly, less user-friendly, and provide more valuable features. The integration with different products is likely to become harder and could eventually be impossible. The time-consuming solutions will become more costly.

In time security will become an issue. At some point, a change will need to be implemented, and, perhaps, when it is, it will be too late. Saved a little money to avoid the inevitable.

Consider, for instance, the transition from Windows 7 to Windows 10. For many companies, it is a gradual transition from an older platform, across various teams or departments, in conformity with a costed schedule, budgeted and scheduled plan will be likely to be more efficient than being difficult to accomplish certain processes or tasks when the old system gets a bit shaky.

Rolf von Roessing, ISACA (Information Systems Audit and Control Association) vice chair of ISACA’s board, informs IT Pro: “Spending as minimal as you can on any IT asset can be a huge risk if there aren’t reserves to fund the ‘big jump’ that will be required when  outdated technologies  are eliminated.”

Pay attention to the technology game changers.

Particularly in the current economic climate where companies are responding to the “new normal at a rapid pace, and disruptive players appear to take advantage of the new environment monitoring the world in the world around you is crucial.

It’s important to keep an eye on your competitors and the technology changing the game globally. Both elements of the broader horizon scanning process affect how an organization develops.

Hsieh uses the bank example to illustrate the point. They were the first into computers for the delivery of services. “Their older systems were developed in the 1960s and 1970s However, banks still use them to manage customer accounts, because they’re too large and complex to be changed,” she says.

Startups are challenging these banks, and newer banks with user-friendly apps, back-end systems, and traditional technology struggle to keep up with them. These banks competing with them can quickly respond to changes in customer demands, launch new services, and are proficient in meeting the requirements of regulators. They could be more profitable as well.

This kind of experience doesn’t only apply to banks. Hsieh states: “Large firms or industry executives can be held back by the competence they have built.

In the management world we refer to it as the “competency trap,” that prevents the business from growing and creating new ideas.”

By the end of the afternoon, it’s perhaps not ideal to be adamant and use the tools you’re given until they’re falling over. However, it’s also crucial to view technology as it is – it’s a tool to accomplish a goal or assist the organization in making better decisions instead of solving problems as a whole.

By Mia

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