Organizations across every industry — from manufacturing to finance — continue to make sweeping changes to their IT systems in the hopes of creating and optimizing business processes. It’s often referred to as digital transformation, and it’s difficult to navigate.
In fact, according to Forbes, 84% of digital transformation strategies fail to achieve their goals. The biggest challenge is aligning IT with corporate goals in an environment that’s constantly bombarded by new technologies and no small amount of hype. To improve the chances of success, decision makers always need to be one step ahead.
Here are three new technologies that will drive digital transformation in 2019 and beyond:
#1. Artificial intelligence
Companies are generating more data than ever before, to the extent that even small businesses are dealing with multiple terabytes of company data. That amount of information is impossible for most teams to understand without help from advanced IT solutions. This problem is the primary push behind the rise of artificial intelligence, machine learning, and deep learning.
Repetitive tasks, such as data entry and analysis, are rapidly being replaced by machines as businesses look for ways to work smarter rather than harder. In the manufacturing sector, for example, AI is helping companies predict inventory needs and sales forecasts with enterprise resource planning systems. This provides modest-sized operations with a better analysis of consumer behavior so they can streamline production and save money.
#2. Blockchain technology
In the past, most IT systems followed some sort of centralized structure, since hardware and software were too expensive to be spread across a myriad of locations and personnel. But when data is stored on a single server or within a solitary user account, hackers have an easy time gaining access to it. It’s a single point of failure that’s easy to exploit.
That’s not so with blockchain. It keeps information safe from tampering by decentralizing and distributing it across hundreds or even thousands of physical machines. If a hacker compromises one of the computers that store the ledger, but the other 999 show the correct information, any attempts to manipulate the data are rejected.
Blockchain has enormous benefits for every industry, but financial organizations will benefit the most from this. Banks, credit unions, and lending firms can use this technology to prevent fraud and account tampering. Beyond increased security, this technology also has the potential to change how people exchange valuable goods, simplifying things like title transfers and escrow accounts.
#3. Internet of Things (IoT)
The rise of internet-connected smart devices was an inevitable result of faster and more widespread internet connectivity. For evidence of this trend, look no further than the projected number of internet-connected devices in 2020: 31 billion, or four devices per person. IoT gadgets come with limitless opportunities for good and bad outcomes.
There is no better example of what is possible with IoT devices than the casino that was hacked by way of its internet-connected fish tank. On the one hand, a relatively inexpensive trinket handled the tank’s temperature control, food dispersal, and cleaning. On the other hand, that device opened a digital backdoor for cybercriminals to carry out a high-tech heist. You should only jump on board the IoT train if you have adequate IT support systems in place.
Are you ready for digital transformation?
There’s no shortage of hype when it comes to digital transformation, and the complex nature of today’s technologies means it’s important for business leaders to tread carefully. Things that work for one organization will only bring problems to another. To create lasting change within your organization, every technology you use should be tied to a specific organizational goal.
Capstone IT provides highly responsive technology guidance to businesses in Rochester, Buffalo, NY, West Palm Beach, and the Treasure Coast. Call us today to schedule your free 30-minute digital transformation consultation.