A recent Queensland Chamber of Commerce event, showed the poor state of engagement with the digital economy by Queensland businesses with nearly 70% realizing less than 10% of revenue through the internet. Improving in this area is a cultural challenge and not a technology challenge.
So how can organizations engage? The answers are different for different sized businesses:
- Small and micro business. These businesses rarely have dedicated IT resources, but the tools on the market are accessible to everyone. Create a basic web site as a reference point. Think about whether you should have a mobile version (recommended), an online payment gateway, videos, maps, blogs and a Facebook presence. Some sites may gain an advantage with more than one language. You might be able to get a keen teenager to throw something together for a small sum, but someone must go in and continually review the site.
- Medium sized businesses often have limited IT resources who manage key business systems and interface with external providers. Focus your internal resources on the systems that directly relate to the business niche. Buy everything else from the cloud (email, web, Salesforce.com etc.). Make sure that your IT resources are kept in the loop on business decision making – these all have technology impacts these days.
- Larger businesses and enterprises need a different approach to technology. A professional IT department is needed with an IT strategy that forms part of the business strategy. If you can state your competitive advantage, you should have an investment plan that develops the technology to support this differentiator. IT should be buying most services from the cloud and integrating them for the business. Service management might be the most boring term in the universe, but it is key to making a transition to the cloud.
I once did some work with the Congalese Red Cross. They had no IT systems outside of their head office in Brazzaville. One year they had to postpone their annual general meeting, which was not a simple as sending an email or a phone call. They had to dispatch messengers to all their branches – an exercise that cost as much as hosting the meeting!
The digital economy has brought us a long way. If you don’t jump on the bandwagon will you end up with your own story like the Congalese Red Cross?