How to achieve successful ROI from Technology investment?
In 25 years of my consulting & technology career & building businesses, I observed & experienced unique situations only found in high-tech industry.
- Since 1960, only 16-18% of tech was deployed in production, and successfully adopted. That is worst track record for any industry.
- Tech labor was sold in the name technology solutions.
- Solution to business pain and need wasn’t focus but comission from labor and license trading.
- Businesses bought as well as were sold technology solutions without clarity about value propositions (services or products), business model, vision, leadership, culture, processes.
- Businesses sought, negotiated & bought technology like commodities and vegetables because tech shops were poor in educating, engaging, marketing & selling tech solutions.
- Tech shops (aka labor contractors) are lead by tech managers (not leaders) without deep understanding target market, value proposition, business model & without experience of business pain & needs.
- Most of tech shops lack attitude, skill & knowledge about product management with complete ignorance about the fact that project, program, account or portfolio management isn’t product management.
- Lack of quality product managers leading to substandard design, development & tech support and implementation that is in compliance with business & product roadmap.
- Under-participation (76%) of technlogy in architecture, design & quality phases.
- We came across many unique stories. Example1: A large enterprise (INR 6000+ Cr annual revenue) sitting on dozens of ERP licenses without implementation (with big blot on annual balance sheet) whereas their sizable team slogs with excel worksheets 90 days every year.
- 60-68% of programming efforts are wasted in software development with complete ignorance of the fact that well planned & designed high product require only 18-20% efforts in programming phase.
- 73% of digital transformation initiatives across the global market have been complete failure.
There are many such situations that puts Indian tech industry & startup ecosystem at disadvantageous position. They have failed to monetize an opportunity to service 60 million strong MSME (Micro, Small & medium businesses).
As business owner, we at Aaruni Technology Solutions offer checklist to ensure well informed decision, risk management, ensure value for your investment.
- Adopt automation only if business has demonstated matured foundation of clear business model, business culture & processes.
- Adopt technology solution that is designed & developed on strong foundation of matured value propositions (services or products), your business model, vision, leadership, culture, processes so as to assure you the successful automation, adoption & ROI.
- Adopt new & latest technology adoption only if it has consistently demonstrated true business value across various industries, segments or sectors consistently for at least 2-3 years.
- Adop particular technolgy stack that gurantee talent availability & lower learning curve.
- Adopt technology that gurantee & lowers TCO (Total Cost of ownership).
- Adopt technology that is free from or delivers minimum tech debt.
- Chose tech company that have demonstrated experience in product management, market aware leadership (not tech background CEO) skills .
- Chose tech company that assure complete participation & investment of attitude, skill and knowledge in planning, design phases in order to reduce development & quality testing efforts & ultimately cost.
- Chose tech company that help you express your business needs and pains in simple language and free from technology words, corporate jargoan/ language.
- Chose tech company that captures essential measuring units business requirements a] user base (roles, titles, designations) who would access technology, b] volume of transaction across processes, c] user based distribution across geographic locations and projected business growth across above three criteria. In other words users, volume of data & user locations.
- Chose tech company treat software as product. Chose tech company that practices approach to software development as hardcore product development life cycle that is compliant to your business growth roadmap and product roadmap (chronologically ordered & scheduled releases 1.0, 2.0, 3.0 etc..)
- Chose tech company measure price of technology solution development based upon business impact, features that commits the delivery of business benefits (financial & non-financial).
- Chose tech company that is against labor contracting with uniform hourly billing leading to gross disrespect of tech talent. Chose tech company that doesn’t practice or advocate Time & material engagements. Chose tech company that offers menu/ outcome/ milestone based engagement.
- Chose tech company that doesnt outsource core business functions such as marketing, sales, human resource recruitment, operations, quality, research, management etc. and deliver you the customer experience less than your expectations.
To every MSME (micro small businesses) companies…….
If you have read and appreciate the content and seek business, management or digital transformation consultation reach out to us. We assess your business readyness to adopt technology and seek solution your current business pain/ need/ challenges reach out to us.
To every IT Services companies with annual growth of nn% not 3/5/10X……
If you have read and appreciate the content and desperate/need to improve profitability, reach out to us. We propose to pivote business model aligned to strength of your business, team and vision.
Read our blog articles
Digital Process Automation
How can we help you?
Contact us for Free Consultation on "How to adopt digital technologies to transform your business?