Tech News

Study Reveals ‘tech intensity’ a Key Driver of Competitive Advantage Across Industries

Microsoft Corp. has recently announced the results of the State of Tech Intensity 2019 study that revealed what business and technology decision-makers see as critical to their future growth and success.

“Up until now, organizations have looked to technology companies like Microsoft to provide digital tools for improving efficiency, increasing productivity and driving innovation,” said Deb Cupp, corporate vice president, Worldwide Enterprise and Commercial Industries, Microsoft. “

Most organizations that are achieving greatest success are applying these tools and technologies to invent their own digital solutions to solve complex business and societal issues. In the process, they’re essentially becoming technology companies themselves as they drive progress and innovation in their industries”.

The study found majority of business and technology leaders believe that tech intensity is a key competitive driver, and there’s widespread agreement that the applied use of a creative, entrepreneurial mindset to invent new digital capabilities using advanced technologies.

73% of companies reporting are currently creating their own first-party intellectual property using next-generation technologies such as machine learning (39%), IoT (37%), AI (32%), blockchain (29%) and mixed reality (21%). Every company is becoming a technology company says the study.

The study also revealed broad agreement across industries that tech intensity is critical for current and future success. 75% of respondents believe that harnessing tech intensity is the most effective way to build competitive advantage and crucial to building competitive advantage in the future.

Around 50% surveyed predict that existing companies will be forced to compete with new entrants in their industry that are building their own digital capabilities and intellectual property. Among the industries where that expectation is the highest are media and communications, financial services, retail, and automotive.

Global impact of tech intensity

The research found that tech intensity will serve as a driving force for societal improvement, 43% for public services at lower costs, 40% went for improved connectivity in rural areas, and 40% chose reduced corporate waste. Other key areas where respondents expect to see improvements include health care (36%), consumer safety (36%), worker safety (33%) and access to financial services (33%). Only 8% said they don’t expect tech intensity to deliver any positive benefits for global communities.

In addition, while 47% of those surveyed said they believe richer, more connected and more digitally sophisticated countries will see GDP grow at a faster rate, 36% expressed confidence that tech intensity will actually make the global economic playing field more level.

Tech intensity and corporate culture

Another key finding of the study was the effect of tech intensity on organizational culture. For example, there is a nearly unanimous belief that staying on the cutting edge of technological progress is essential to retaining talent. 92% agreed that it is important to work for an organization that keeps up with software and application trends.

(Image Courtesy: www.insuranceblog.accenture.com)

Leave a Comment

Your email address will not be published.

You may also like