NetApp : Why you should be embracing new technology now

When embracing new technology, we want to avoid adopting technology for technology's sake. Every new technology needs to support a business objective - not a technology "output." Tech output can be described as new functionality delivered, defects resolved, and so on. Most companies focus on the technological outputs because they're relatively easy to measure and report on. However, measurements should focus more on outcomes than on outputs: customer churn, net promoter scores, application availability, time to production, and more. How, or what, to measure could be a post all its own.

There are compelling reasons for companies to be leaders in adopting technology. Technology adoption and appropriate usage increase the performance gap between leaders and laggards. Let's use AI as an example of embracing technology. McKinsey's Notes from the AI frontier: Modeling the impact of AI on the world economy states that leaders in AI adoption could experience a doubling of cash flow by 2030, whereas laggards should expect a 20% decline. In addition, one of my earlier posts discussed change. That post referenced McKinsey's Navigating a world of disruption, which reports that in their study of nearly 6,000 of the world's largest companies, they found that the top 10% captured 80% of the economic profit. Just as telling is that the finding that the bottom 10% destroyed more economic value than the top 10% created.