I remember the day when one of our Executives - Nick Donofrio visited us in India. He is like the chief mentor for all the members of the IBM technical community and he has seen IBM and the IT industry for many years. He was addressing a Technical Exchange event few years ago and then someone in the audience asked him this question – “Sir , you have seen technology for so many years now – can you tell us what’s going to be the next big thing in terms of invention/innovation”. Everyone was all ears waiting for the answer - is it the next version of the internet, the search, a web2.0 application or may be an intelligent mobile app. But his answer was that he believes that there is not going to be any next big thing in technology. The next big thing for all of us is going to be Business model innovation. Even today his statements holds very true. Businesses that are able to reinvent their business model are succeeding and managing to stay on top and others vanish from the scene.
There are lots of innovative and technical things happening all around us like
- Mobility and doing more and more using mobile devices
- Social Media – thinning the line between work and life and business having reach to your social network
- Hyper –connectivity
- Big Data and its related analytics giving the business insights that were not possible few years ago.
I believe the next big thing is going to be how well you can use all these elements for business seamlessly and cost effectively. The key to succeed is to use technology to do this business model innovation and do it faster.
How do you do it faster ?-- The answer is cloud. This is something that I’m saying based on the data that IBM has got analyzing over 2000 customers cloud adoption patterns. All of them have seen the below advantages with Cloud.
- Cost Flexibility
- Business Scalability
- Market Adaptability
- Masked Complexity
- Context Driven Variability
- Eco-system Connectivity
Considering all these factors, I think the next big thing is Cloud Enabled Business Model Innovation. I was able to relate with some of the latest announcements that we have made in the cloud easily because they are just restating my same belief. As discussed in this interesting video by IBM's Saul Berman (Innovation & Growth Leader), 60% of the customers that IBM interviewed is saying they would consider cloud immediately and 70% of the them intend to use cloud to enable business model innovation. Based on the rate at which they adopt the new technologies they may be an Optimizer (looking at improving existing model), Innovator (looking at new model) or a Disruptor (who is ready to bring in game changing ideas).
So as today’s IT leaders, let us broaden our focus from merely delivering technology to solving larger business issues. One great opportunity for that is to tune in or be present for the SWG Universe India 2011. You will get a chance to listen to some great speakers who will talk about how to use cloud for business model innovation.
Cloud enabled Business Model Innovation I feel is the next big thing that could change IT and Businesses. – So come let’s Rethink IT & Reinvent Business