
It really is getting harder to outpace the other guys. An with the advent of both internet and wireless technology the pace for competitive advantage gets completely accelerated. A central catalyst in this shift is the massive increase in the power of IT investments which more recently includes unified communications technology.
Based on Harvard Business Review study since the mid-1990s, a new competitive dynamic has emerged—greater gaps between the leaders and laggards in an industry, more concentrated and winner-take-all markets, and more churn among rivals in a sector. This accelerated competition has coincided with a sharp increase in the quantity and quality of IT investments, as more organizations have moved to bolster (or altogether replace) their existing operating models using the internet and enterprise software.
The Internet and enterprise innovation are now accelerating competition within traditional industries in the broader economy. A key to this is that organizations are automating and investing in IT that provides innovation and automation to core business processes within an organization. As a result, an organization with a better way of doing things can scale up with unprecedented speed to dominate an industry. In response, a competitor can invest in further UC/IT process innovations throughout its business to recapture market share. Winners can win big and fast, but not necessarily for very long.
An interesting statistic fro mthe same Harvard Business review study indicates" Corporate investments in IT surged during this time—from about $3,500 spent per worker in 1994 to about $8,000 in 2005, according the U.S. Bureau of Economic Analysis (BEA). (See the exhibit “The IT Surge.”) At the same time, annual productivity growth in U.S. companies roughly doubled, after plodding along at about 1.4% for nearly 20 years."
This points out that investment in innovation and technology are the lifeline to organizational productivity and competitiveness. Organizations that want to both survive and thrive need to invest in enterprise applications that enable organizational effectiveness. Unified communications is a critical framework to address the key investments organizations need to look at to deliver innovation around key business process such as customer service, sales, & support.