June 11, 2020
Trust, speed, and relevance may be the most important currencies during a crisis. Businesses must adapt quickly and leverage technology to gain a competitive advantage, according to ZDNet. Economy has increased pace of its transformation to digital economy. Brian Solis, global innovation evangelist at Salesforce, describes this as the NovelEconomy which consists of three phases: Survive (reaction to crisis), Alive (build, secure, and o...perationalize for transition state), and Thrive (next normal business continuity, disruption proofing, and innovating forward). The forward-thinking leaders need to be a highly agile business able to adapt to changing business models and priorities that could span the next one to two years. The heart of this is digital transformation which is robust, agile and compliant. According to research in Harvard Business Review, of the $1.3 trillion spent on digital transformation in 2018, an estimated $900 billion was wasted when initiatives didn't meet their goals. COVID-19 crisis is forcing every company to embrace digital transformation without previous mistakes. There is fast growth of importance of cloud technology, AI and on-line services. Implementation cycles in any business processes should be as short as possible for instant reaction. Digital transformation will take investment and every industry will be different. Constellation Research predicted changes in IT spend by industry in their post-COVID-19 playbook. Most industries due to bad time will decrease their spend from -3% (telecommunications) to -27% (travel and hospitality). But government, food and beverage, technology, healthcare and real estate will increase spending (13%, 11%, 9%, 9%, and 3% respectively).