Traditional ways of working are ebbing fast. Most companies have installed sophisticated IT infrastructure such as ERP (enterprise resource planning) systems, payroll programs etc. More companies are moving towards automation and digitization. Industry 4.0 involves automation, robotics, artificial intelligence, IoT (internet—of-things), cloud-based working, big data etc. Needless to say, this involves big money.
A well -defined post-pandemic IT strategy should guide cuts and investments. Consider following three points while building your tech modernization strategy-
- Define the target product portfolio based on current and new business with strongest prospects and most feasible funding models.
- Invest efficiently and stick to the plan, operational and commercial excellence will deliver the strategy is full potential.
- Create clear structure and processes for executing the new strategy across the organization.
Companies will also need to greatly improve their IT productivity to lower their cost base and fund rapid, flexible digital solution development.
Firstly, this requires quickly reducing IT costs and making them variable whenever possible to match demand. This means figuring out what costs are flexible in the near-to-medium terms. For example- by evaluating nonessential costs related to projects or maintenance and reallocating resources. Using process design methodologies such as CMMI (Capability Maturity Model Integration) can give first-class improvement in IT productivity while lowering costs to minimal.
Secondly, this involves defining a future IT product platform, establishing the skills and roles needed to sustain it, mapping these skills onto the new organization model and developing leaders who can train people to fill the new or adopted roles. Using process improvement methodologies such as- Design Thinking, TRIZ or Hoshin during new product platform development ensures a customer-centric product.
Thirdly, the adoption of cloud and automation technologies will need to be speeded-up, including bringing cloud operations on the premise and decommissioning legacy infrastructure.
Increasing the speed and productivity of digital solutions is key. To deal with the crisis and its aftermath, companies not only need to develop digital solutions quickly, but also to adapt their organizations to new operating models and deliver these solutions to customers and employees at scale.
Solving this challenge requires integrating business processes, incorporating data-driven decision-making and implementing proven change management models to manage the change. There are different ways to do this …