There’s no alternative to sustainable growth and the year 2017 must promise more innovation to keep up with the developments of this decade.
Indeed, the quest for sustainability in volatile times as these, is already starting to transform the competitive landscape, which will force IT companies to change the way they think about products, technologies, processes, and business models. The key to progress, particularly in times of economic crisis, is innovation. By treating sustainability as a goal today, early movers will develop competencies that rivals will be hard-pressed to match. That competitive advantage will stand them in good stead, because sustainability will always be an integral part of development.
It isn’t going to be easy. Enterprises that have started the journey, tend to face different challenges at each stage of their growth and must develop new capabilities to tackle them, as we will show in the following pages. Mapping the road ahead will save companies time—and that could be critical, because the clock is ticking. Balancing business efficiency with innovation can be overwhelming but to thrive in today’s global marketplace, companies will need to simultaneously do both to stay relevant and competitive.
IT Companies often face this either-or conundrum— Innovation or Efficiency? Should they be balancing their books, meeting market expectations and retain investor confidence. There is a constant need to prioritize one over the other (e.g. operational efficiency first, innovation later) before moving to the next, all while navigating increasingly complex and competitive landscapes. In other words, focus or fail.
So which must companies focus on? The short answer: good companies do both. But great ones understand the timing of each and prioritize accordingly, industry experts say.
A logical first step involves getting your own house in order before attempting to master more complex innovations. While efficiency in IT companies includes waste reduction and affordability, innovation is all about disruptive business models and product revolutions, which are more difficult to accomplish. However, an innovate-first approach doesn’t always work either, especially where infrastructure has largely eroded.
Ultimately, knowing when to innovate or economize is a judgment call. Understand where your company’s strength lies. Know which question to ask first, is a great place to start thinking about the Innovation Vs Efficiency question.