From Disrupted to Disruptor: What Ahead for Private Companies in 2019
By Jason Downing
It’s impossible to talk about business today without hearing the word “disruption.” And there’s no denying that contemporary business operations are markedly different than a decade ago due to disruption. Technology is streamlining tasks, allowing the human worker to focus on more meaningful work. How should private companies think about and plan for disruption?
With 2019 kicking off, companies across industries and sectors are beginning to track against their business objectives for the year ahead. For private companies it will be imperative for them to drive disruption as opposed to being disrupted. Deloitte Private’s annual Private Company Issues and Opportunities report asked subject matter leaders across the world for their take on what makes private companies tick and below are a few key highlights on how they are harnessing the technological disruption for their own advantage.
- Real-Time Analytics
Every industry is in the business of analytics. All 30 teams in the NBA, for example, have a data analyst on staff. This translates to the private space as well. In Deloitte’s most recent global survey of private companies, 62 percent of respondents said they’re using technologies such as predictive analytics to increase efficiency, while 46 percent of respondents say the technologies help them improve customer engagement. As technology is introduced to more areas of private businesses, the amount of data available will grow in parallel, along with the challenge of competing for a limited pool of data scientists.
- Internet of Things
Regardless of industry or size, today almost every company operates in a global environment. Connecting the innumerable assets, information, and interactions in an efficient way is imperative. This is where the internet of things (IoT) comes in. Using IoT, private companies can assess how customers use company products, improve process monitoring, and provide essential data on hard to reach equipment. But, connectivity for connectivity’s sake doesn’t automatically result in business value. That’s up to the people using the technology to convert the innovation into a positive investment.
- Robotic Process Automation
One of the most impactful changes in the private space has been the adoption and implementation of robotic process automation (RPA). More than 90 percent of respondents in Deloitte’s global survey believe that RPA has met or exceeded their expectations on productivity, compliance, and cost to implement. Another recent Deloitte survey on RPA found that more than 80 percent of organizations report having a happier workforce as a result of the technology, which reduces costs and time-consuming activities, resulting in humans taking on more meaningful tasks.
In a perfect world, these emerging technologies would work in unison, but the unfortunate reality is the technological advancements can also introduce new threats to businesses. In the year ahead, private companies will continue to formalize cybersecurity preparedness throughout the business, from suppliers to employees, to enhance cyber protection and response across the organization.
The disruption happening around us is palpable, and businesses are dealing with these rapid changes more effectively every year. Perhaps the biggest key is having the appropriate talent on board to deal with the transformation and get the most out of the technology being implemented. What private company leaders can do is harness their inherent agility to move from disrupted to disruptor.
Jason Downing is Vice Chairman & US Deloitte Private Lead