With the intelligent age reinventing the way how business is done,
the global economy is constantly shifting and evolving.
Mid of last century, most companies could expect to last forever. In today’s fast changing world, companies are chased by disruption everywhere: A shrinking life expectancy of companies on the Fortune 500 index from 75 years to 15 years as reported by Steven Denning (on Forbes) speaks a straight language: Fast Innovators – hungry for success – disrupt established markets.
Not necessarily fueled with better products but better customer service strategies,
do companies leapfrog industry borders and sell additional products and services into existing markets and leave established market leaders perplexed behind.
Modern ERP need to support this fast and dramatic shift without losing its capabilities to run like a clockwork.
Companies need a high degree of agility to cope with ever changing business environments.
If they play it right and exploit new market trends, they can pitchfork themselves way ahead of competition.
Measuring value in the intelligent age
The new technical possibilities and customer behavior makes the digital storefront a MUST have in the digital economy. Companies want to be where the customers are. It is a logical consequence of the Segment of ONE. Customers want to be treated as individuals, not in a segment with others any more.
But what´s next after digitalizing my storefront? It creates a huge new promise to the market, that needs to be fulfilled.
But the commercial feasibility depends not only on the technical ability but mainly on the degree of automation your system can provide. Else you burn money with every single transaction across your company.
As a learning, we can´t consider an intelligent ERP simply as a technical upgrade or a chance for another minor or major optimization. The technology is here, to fundamentally rethink and redesign your core business processes to the better.
As complexity often hinders the ease and speed of transformation, core business processes need to be reimagined and modified. That way, companies can simplify their work processes and recap benefits in the long run, provided proper measures are taken to redesign their processes and convert to the intelligent age.
To make this measurable, a value lever model based on 3 main levers was defined, embracing efficiency, effectiveness, and agility.
- Efficiency is the ability to do things right by achieving more outcomes with the same input or less effort. This can be achieved, for example, by giving people the right information in the right context. With faster and embedded analytics through a digital core, they can make decisions more efficiently.
- Effectiveness can be described as doing the right thing. Simplification enables businesses to focus on fundamentals and scale them accordingly. They can now spend time on value-adding tasks since many processes are automated.
- Agility is a mix of flexibility and speed. The pace of adoption to change defines a company’s success. It is only possible with a digital core and the flexible extension of a modern platform.
A survey to get your point of view
To get your point of view, we are running a master thesis and are collecting your feedback as valuable input for our considerations.
Please find below the link to the thesis survey. The target group of the survey are Experts/Leaders from non-IT industry who use enterprise software solutions as part of their work.
The survey can be conveniently taken also from mobile devices and would take approximately 10 mins.
We are looking forward to your contribution.
Bert & Dilip