If we have learned anything from the pandemic it is that, for your organization to succeed, you need more: more collaboration, more partnerships, more focus on culture and sharing and more data and insights.
But not necessarily more technology. The rush to spend trillions on digital technology could lead businesses down the wrong path if it’s not done right, creating more silos and barriers.
Recent research from Accenture shows that while businesses expect to see revenue gains from digital investments of around 11%, on average they get only half of that – or they even end up with significant unexpected costs.
Recovery is about using the right digital technology; it can be critical to success. So, how does collaboration help?
Everything is a people story before it’s a technology story. If you are to solve the technology problem, you need to understand and address the people factor.
- People create silos
- Technology follows that structure
- Siloed organizations create disconnected experiences
Technology projects aren’t just about the tech. Too many businesses suffer from internal competition on digital projects, and when different departments don’t collaborate, they end up creating their own siloes. When you need multiple departments to collaborate, you must have clarity, focus and understanding from all involved. Without that, you get missed targets and higher costs. With it, the business works.
Outside of your own walls are lots of opportunities to collaborate as well. Find partners who complement what you do, that improve the scope of what you can achieve.
A good example is Adamos, our global alliance of international machine manufacturing visionaries, including Dürr AG, DMG Mori, Zeiss AG and ASM Pacific Technology. Software AG supplies the technological core for Adamos, with our IoT and integration technologies, to jointly address the huge opportunities of the Industrial Internet of Things (IIoT).
This joint venture not only brings together companies with a range of expertise around manufacturing, but also includes legal experts and supply chain specialists: Collaboration that goes beyond factory floor technology.
In the next two years, ecosystem collaboration like this will drive 20% collective growth in customer lifetime value.
Double down on cultural change
Every business will make an investment in digital transformation, and many will not live up to expectations. In most cases, it’s not the technology that kills these projects, it’s the environment into which they’re thrust.
Cultural change is the key component to positive technological change. Internally, you need to double down on initiatives that encourage more collaboration – inside and outside your business.
Externally, it helps boost customer lifetime value. Get the right group together and get connected. This gives you better reach and capability, which helps deliver a better product/service.
We speak from personal experience. We are on our own multi-year transformation journey to return Software AG to sustainable, profitable growth. We’re building a new partner ecosystem, with the likes of Adamos, Adobe, Microsoft, T-Systems/Deutsche Telekom and others – which helps us to scale our business and collectively help customers become truly connected enterprises.
Learn more about our long-standing partnerships with Adobe, Microsoft and T-systems in this video below.