A lot of times when the prevalent industry trends are discussed among industry folks, there are usually two directions in which the conversation goes. It is either varying states of disbelief at the rate of change within the business and IT landscapes; or it is enthusiastic agreement on the importance of moving with the times and adopting a digital infrastructure. The former is born of a dedication to supposedly “tried and tested” methods, which arguably are worth next to nothing in this day and age. And the latter is what more and more business leaders and executives need to be doing at the moment.
The economy, for the most part, has begun to undergo a massive change in the way the entire infrastructure and various other components function. This is due to the onset of the digital age, which has made the idea of a “traditional” economy effectively obsolete; and in good time too, since the relevance of digital transformation is growing by leaps and bounds each day, with the completion of that transformation being predicted to be around 2020, according to some industry experts.
It is estimated that a whopping 212 billion (yes, Billion!) sources will be in connection with each other by the time the worldwide digital transformation is complete. To keep up with connectivity at this scale, the business of today has to radically transform itself into one that is not only connected to its customers via cloud based networks, but also internally linked through a similar network. But more than that, it needs a digital core, if it is to compete in the tough marketplace of today.
In a recent presentation in London on the importance of innovation in the current business landscape, Martin Frimodt, a Director at ATP and SAP Finance Head, spoke about how the ATP next generation business suite has revolutionary characteristics, and can potentially improve the way a business conducts its processes, both internally as well as externally. A next generation business suite is an ideal entry into the broader landscape, for the following reasons.
In his address, Martin Frimodt discussed how his company chose to adopt the new suite now rather than in the future, in order to have a stable and functioning array of financial services. At its base, according to him, was the IT team, who not only constantly analyzed the existing system, but also generated reports of how smooth the transition would be. In a way, IT was integral to the transformation and transition onto a new suite.
The process is currently underway at Frimodt’s company, and so far it has been easy sailing according to Martin Frimodt. This shows how a company that aims to usher itself and others along with it, into the new, efficient digital age, can do so without facing an overwhelming number of hiccups. Even when the task is as seemingly outlandish as bringing the world of IT into the world of finance, it can be done with the help of a good business suite.
For a small enterprise, operating on a local scale, the cost of migration can be very low. This is because the amount of data which needs to be transferred and the number of processes that need to be acclimatized to the new system may be proportionately less. However, this is not the case for a company that operates on a much larger scale, especially a company that is involved in people management and coordination on some level.
A company such as that requires a cost-effective solution to migrate onto a new, innovative system, while maintaining the integrity of the data. When it comes to saving cost, the digital core can actually prove to be beneficial due to the process efficiency.
Innovation is perhaps the single most important area that companies and businesses need to strive towards. This is not only because of the immense competition that is undoubtedly going to take over in the future between companies that wish to gain an edge, but also because of the future which is going to be digital, on an essential level.
According to Martin Frimodt, there is a sense of urgency in the business landscape; and urgency to innovate and move past the competition. If one were to compile all the potential advantages that come with innovating and transferring internal systems onto a better, more efficient platform; it becomes very easy to see why that urgency is so prevalent.
Following are some of the points which Martin Frimodt put forward; along with why they make for a need to innovate.