From delivery-only kitchens for restaurants to custom-made 3D prosthetics, technology is transforming the world around us on a daily basis and the possibilities this creates for businesses are limitless.
In fact, technology has long been a driving factor behind the growth or demise of businesses. The ability to not only keep up with but strive ahead of, your competitors is often directly impacted by the tech you use – and how you use it.
What impact does technology have on business growth?
An organisation’s productivity, effectiveness, visibility and profitability are all directly impacted by the technology they use – both positively and negatively.
Some traditional examples of technology in action include the machinery used to create or package products, or the computers that employees do their work on. If technology such as this doesn’t perform effectively it risks hindering growth, or even preventing organisations from fulfilling their contractual obligations. In those situations, brand reputation would be damaged.
So, getting the more traditional applications of technology to work for your organisation is now a question of “good housekeeping”. Getting this right isn’t optional anymore. If you don’t, you will fall behind both client expectations and your competitors.
But, once you start to think about how technology is intertwined in all aspects of business, and life in general, it quickly becomes clear that it can boost business growth in ways previously unimaginable. For example:
- Realising an eye-popping growth rate of 107,117% over four years, Deliveroo has disrupted the fast-food delivery market by leveraging technology and an evolving innovative business model. By capitalising on the demand from both consumers and restaurateurs, while simultaneously using data to predict future trends, the company has been able to repeatedly pioneer new directions for the industry to take. For example, the introduction of delivery only kitchens means that their partners can increase their revenue, without taking on the cost of restaurant overheads.
- If you are in the pharmaceutical industry, imagine what you could achieve with early access to the best technology that allows genes to be switched on and off. Technology supplied under license by companies such as Synpromics is enabling ground-breaking work to take place across multiple sectors. In fact, they are now involved in 27 commercial collaborations, which no doubt has been the driving force behind their staggering 2,485% growth.
- 3D printing technology has the potential of revolutionising the way prosthetics are produced as well as the way medicines are being delivered. If these are your areas of business, early access to the latest 3D printing technology and expertise could propel growth like never before by ensuring that your products serve your customers in the best way possible. The fact that we now have the ability to custom make prosthetics that are a perfect fit for the wearer and tablets that can be engineered to contain the exact dosage of multiple drugs, releasing each at the required times for the individual, mean that off-the-shelf pharmaceutical solutions are quickly going to be left behind.
The examples given above are only just beginning to scratch the surface of how technology is changing the way we do business. With each technological development comes new advantages and opportunities, and the realms of possibility continually widen. If you’d like to read more about this evolution, you can find some interesting articles here and here.
How to use technology to maximise growth
Game-changing technology today is so advanced that most businesses must turn to the supply markets to buy or license it. When committing to new technology, make sure it matches the needs of your business – now and through the next stages of growth. So, how do you “future proof” in a fast-moving environment where the “next stage of growth” may turn out very differently from how you initially imagined it? Being mindful of compatibility, scalability and “switch-ability” will stand you in good stead. It will give you enough flexibility to pivot and re-think.
Also, negotiate with the supplier to ensure that you don’t end up paying for any aspects of the product or solution you won’t use. Technology just for the sake of it has no value. On the other hand, fit-for-purpose tech solutions that support corporate strategy and form the basis for fresh strategic thinking, is invaluable. For example, Deliveroo’s introduction of “delivery-only” kitchens was enabled by its technology. That service innovation has created a whole new category of “restaurants” capable of operating with a much lower overhead.
But even if you are not looking to change the way you do business, conducting regular reviews of the tech you use and whether it still serves you well is imperative. It ensures your organisation operates at its peak. Look at areas where you spend the most money on technology – from your business website and mobile phones to your specialist software and machinery. If something is no longer fit-for-purpose, you spot unusual cost trends, or if there is a better alternative out there, take action!
But to know about “better alternatives” you need to talk to suppliers. Find out what’s available today, and also what’s in the pipeline. What are they working on that hasn’t yet been brought to market?
Where is the key to growth through tech hidden?
The constantly evolving nature of technology means that you need to be agile and capitalise on new innovation to stay ahead of the curve. Sometimes all it takes to get ahead is to get there first. Continuously watching for emerging tech should form a part of your growth strategy, but having strong relationships within the sectors that supply what you require makes the process more effective.
The best way to do this is to deepen your existing supplier relationships and utilise their expertise. By honing this connection and becoming a preferred client, you can leverage their technology and innovation quicker than your competitors. Procurement shouldn’t just be focused on saving money, but on eliciting as many benefits for your business as possible out of the supplier relationship.
If you’d like to discuss how we could help you derive maximum benefit from your technology spend, book a free call with Armand Brevig, our Managing Director, using the form below.
