Businesses are shifting gears, and are adapting to emerging technological trends that have the potential to revolutionize performance. Customers increasingly prefer digital solutions, demand faster and more efficient service, and seek individualistic experiences — and businesses are complying. The spurt in mobility and internet use has presented businesses with vast amounts of data about their consumers. This has led to widespread adoption of technology-led innovations, with the Digital Five Forces driving the most disruptive ones.
Enhancing Business Operations with the Digital Five Forces
Social media, cloud computing, mobility, artificial intelligence and robotics, and analytics — collectively known as the Digital Five Forces – are helping businesses enhance their customer centricity, drive profitability, and improve business value. By enabling simplification, rationalization, and standardization, these five forces are helping business operations stay agile and relevant to the changing business environment. They can deliver significant improvements in:
Workforce management: Enhanced efficiency and predictability of business operations through standardization and optimization of processes.
Financials: Improved top and bottom line by enabling delivery of business operations at competitive price points. Example: Opting for transaction based pricing instead of FTE based pricing.
Customer service: Improved customer satisfaction (CSAT) — a critical lever to judge the effectiveness of business processes. Likewise, enterprises can also improve their customer retention and acquisition strategies.
Risk and compliance: Assured 100% adherence to compliance norms. With the help of digital technologies, risk management can be fortified to ensure zero compliance related losses.
Challenges in Leveraging the Digital Five Forces
Given all the expectations riding on digital technologies, CIOs are tasked with leveraging the emerging solutions in a way that ensures a consistent customer experience across channels. A couple of key points they need to focus on to ensure successful implementation are:
Ensuring cost-effectiveness: While these technologies enable business operations to deliver effectively, the CIO has to strategize the most cost-effective way to actualize these innovations — and make the most out of the Digital Five Forces.
Understanding the ecosystem: Technology is ubiquitous, and the line that divides IT operations and business operations is blurring. This has prompted business executives to acquire sound knowledge of IT systems, and the CIOs must leverage this advantage to enable better communication between processes and IT.
It is important to note that innovation in business operations is dictated by organizational needs and plans, and not by technology alone. By deploying a comprehensive implementation plan, CIOs can overcome the underlying challenges and benefit from the potential of the Digital Five Forces.
In this six-part series, I will delve into each of these game-changers and how to make the most of them, starting with the one that is most visibly impactful – social media.
For more information, read our paper, ‘Strengthening Business Operations with the Digital Five Forces.’