Create Strategic Differentiation through Knowledge and Be Profitable!
When I say the ‘future’; I will not be lecturing about the influence of biotechnology, nanotechnology, genetics, and neurology. I will discuss my predictions of the next three to five years. Even today, nearly three million e-mails per second are sent in the world. For example, there is a prediction for 2020 that the number of devices connected to the Internet will reach 50 billion. That means, “We will be part of a world that is connected to everywhere, with almost everything, even our brains.” We will try to deal with a life where we are connected online to the entire universe 24/7. Access and analysis of the big data and information will be one of the most important competitive advantages. In terms of competition between Countries and Communities, the greatest power will become accessing ‘live and accurate information and trends, based on data’. The smartest approach will be to use information as an asset to translate into meaningful analysis and interpretations to create a valuable know-how.
Currently, the world’s data volume is estimated to be around 2.8 ZB (Zetabyte).
The digital world is expected to double its size every two years until 2020. It is revealed that in 2020, for instance, the health sector will be able to generate 300 billion US dollars in revenue through Big Data. It looks like more than half of this is going to be obtained from clinical data and decision support systems. As a result of big data projects, for example, John Deere, has been saving 1 billion US dollars with the stock control systems it activates; Coca-Cola has been saving 50 million US dollars with annual truck route regulation systems. Those who can create non-standard information and those who differentiate this information will be profitable.
One of the trends that will shape the future is the ‘cashless society’.
Mobile-based systems and flexible swap tools will play an important role. A research by Datajack.com is noting that almost half of people download an average of 10 mobile apps per day. As of 2015, it is considered that 39.7 billion US dollars of revenue can be obtained from the mobile applications market.
The point in question: ‘Owning’ or ‘Accessing’ – New Data shows that more people want to get access to things rather than owning them.
We have already started to live in a world where we use things if and till, we need them. According to the IDC data in 2016, 14,9% of packaged software will change into ‘software as a service’ (SaaS) sector [the ‘renting’ model as we know it]. In the same period, 17,3% of the applications will be accessed via cloud.
Whether we want to or not, we are now traceable via our mobile phones and, we will be fully traceable via micro, human integrated devices in the future. Although this feels like an attack on our ‘personal rights’ it will enable the development of brand-new applications in healthcare, financial services, security and social networks. According to the survey results analyzed by SAP with over 250 companies operating in over 50 countries, 5% of the companies’ turnover will be obtained from machine to machine communication (M2M) by 2015 and, only mobile operators will have a share of 65 billion US dollars. Transportation and logistics, infrastructure services, automotive and financial services will be the leading sectors. On the other hand, the popular smart meters and monitoring services will facilitate the transition to dynamic pricing.
As the world speeds up, how far can we go with our traditional Information Technology Management structure? All developments indicate that in order to be able to have a competitive advantage in the future, it is essential for the companies/organizations to access live information and create value by the transition to Information Technology Management. Maybe we must be inspired by Albert Einstein’s quote “imagination is more important than knowledge,” and pivot our thinking and help the transition of Information Technologies.
Let’s start with the question: “How can we increase the value of Information Technologies in our ‘work’?”
First, Information Technology Management should increase its own value by enhancing innovative ideas and then should gain the ability to realize innovative projects to be able to initiate its own transformation.
Publication: OPTIMIST September 2014