It can happen in industries as old as time or relative newcomers to the economy. Someone’s always getting disrupted.
Today, we’re going to look at the top 4 disruptions that you need to be aware of for the new year.
1. AI-powered software
Software will increasingly be powered by AI. And no, we don’t mean that we’ll all be working with the personal butlers of science fiction.
What we mean is that organizations need to watch out for AI-driven software that is faster, more efficient, and can make better decisions that “dumb” software that we have right now.
What’s more, robotic process automation or RPA will continue its march to automate tedious, repetitive tasks and streamline operations to keep rising costs in check.
AI-Powered Business Applications Landscape
Source: Work-Bench
Why now?
Because we’re finally in a place with enough data to deliver on all the promises AI enthusiasts have made. Data organization, storage, recall, and use has been improving for years, and now we can effectively “feed” the AI machine.
That means better AI, better decisions, and (we think) more digital disruption, both for IT teams and for end users.
2. Robotics will augment more jobs
Any conversation about AI and data quickly turns to robots. And robotic disruption for traditional roles is certainly coming… and it’s coming soon:
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Tesla continues to automate their assembly line
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Robots are used in warehouses to do everything from pack groceries to sort packages
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Robots are used to power human exoskeletons
The uses are practically endless, and these are just a few.
But what we’re sure of is that organizations will continue to use them even more.
One interesting thing to note about this particular disruption is that it’s easy to become over-optimistic. It’s easy to assume that robots will solve every problem and that robots and people are a zero-sum game.
We think what’s more likely is that people over the next year will begin to work more alongside robots rather than be replaced. But the disruption is still coming — working alongside robots will change work patterns, jobs, requirements, and more for countless people and organizations around the world.
3. Cloud technology will expand into regulated/protected spaces
Currently, cloud dominates HR, CRM, and ERP software, with hybrid and private cloud options common. But over the next year, two things will happen.
First, even more cloud technology will be deployed. Businesses who cling to on-premise solutions will move, and more products and services will be offered over the cloud.
Second, the demands for cloud technology will continue to rise. The imminent IoT explosion will require cloud computing to work, and businesses will be forced to choose: go cloud or go home.
What this means more businesses will be on the cloud, more resources will go into cloud technology, and we’ll finally be able to say goodbye to the lingering on-premise solutions.
Cloud technology will also improve in quality, and with 5G right around the corner, the last remaining justifications for on-premise solutions — speed and security — will finally fall.
4. Digital revenue streams will supplement traditional ones
Making money from digitalization is a wonderful thing. John Deer re-entering the spare parts market and linking their smart parts to their IoT platform to stop people buying knockoffs, for example, was a stroke of genius.
Not only are digital markets clearly the future, but they also stand to be outrageously more profitable than their analog counterparts. So what’s the transformation? We think that it’s twofold.
First, IT teams can expect to be moved closer to a revenue generation. Uniting IT, sales, and marketing teams around product lines with systems that promote growth marketing initiatives will be the norm.
Second, IT teams and organizations can expect to see further doubling down on analytics and data to drive business decisions, and greater efforts to unite disparate business silos.
These initiatives will unfold as both new technology building and buying, as well as increased efforts to clear the technical debt that enables better connection, communication, and integration.
Where do you stand on digital disruption?
Just like there are constantly new products on our shelves, there are constantly new digital solutions looking to carve a space in an incumbent market. It means that digital solutions are constantly getting better, that new approaches to old problems are being tried, and the status quo is never as safe as it seems.
With digital disruption comes enormous opportunity, both for technology companies to make their solutions better, and for businesses to better serve their customers. Are you going to embrace digital technology or simply exclude it from your 2019 plan?
Contact us to learn how our technology experts can help you on your path to digital transformation.