The world of business has certainly changed over the years. How businesses operate today is wildly different than how they operated only ten years ago. The driver of this change of course has been the progression of technology. This is why businesses spent $2.1 trillion on technology investments in 2017.

However, there isn’t just a single benefit to investing in technology for companies. Tech can provide your business with a wide range of different benefits and advantages. Below is an overview of just a few of the ways that technology has a huge on impact on today’s businesses.

Ecommerce

One of the biggest ways technology has changed business regards the manner consumers purchase products. Today, a huge chunk of purchases are not made in brick and mortar stores. Instead, they are made online. The size of ecommerce is also growing steadily. By the near 2020, it will have grown to the size of $4 trillion in sales each year.

It’s not too hard to imagine a future in which ecommerce replaces brick and mortar entirely. In the future, nearly any consumer good will be available for purchase online with quick and efficient delivery options. Drones, like the ones Amazon and DHL are investing in, can deliver products three times faster than an automobile can.

Automation

Back in the early part of the 20th century, science fiction authors envisioned a world in which all manual labor was performed by robots as opposed to human beings. As the second decade of the 21st century closes, we are certainly much closer to that possibility now than ever before. The use of robots to perform tasks that once had to be performed by human beings is known as automation.

Automation is absolutely transforming the business world. Fortune has predicted that 800 million human jobs could be replaced by robot automation by the year 2030. The benefits for businesses are clear. Robots can perform routine tasks quickly and with precision unlike a human being. They don’t need breaks. They don’t need paid leave. They don’t even need compensation, and they certainly don’t sue their employers.

However, the huge impact this will have on the job market is something society still needs to grapple with. All these tasks being replaced by robots could be extremely detrimental to many people who will see their employment prospects disappear. It’s something that must certainly be addressed if the dynamics of a healthy economy are to be maintained into this future landscape dominated by robotic labor.

Big Data

Another way technology is changing the business world forever is through the power of data. Today, businesses can record data on a scale that was impossible in the past. This includes data regarding products, sales, customers, advertising, machine processes, machine components, suppliers, factory workflows and much more. The storing of a high volume of business relevant data for the purposes of forming strategic advantages is known collectively as big data.

Big data is a big deal for companies these days. It allows a business to take a resource that had no value before, its data, and transform it into a significant competitive advantage. This is in part thanks to software that can perform big data analytics.

This software can take all of a company’s data and analyze it for the purposes of plotting business strategy. For example, based on past sales data, future sales trends can be forecasted. This can allow a company to do a better job of keeping the right amount or product in stock. Profits can be significantly increased as a result.

The business world has changed a lot in recent years. This has mostly been thanks to the progression of technology. There will be even more significant changes in store for businesses in the future. This includes things like improved automation and drone delivery. Overall, new and improved technology is certain to improve efficiency, slash costs and widen profit margins.

 

by: Vincent Stokes