The link between tech and productivity may be elusive but there is one aspect of technology where the return on investment and the impact on growth is undeniable: decision making. Whether technology can make us more productive rests on our ability to use it effectively and move away from instinctive value judgments towards data driven decisions.
The fascinating article in the FT questions the direct link between tech and productivity from gathered data.
‘Chad Syverson at the Chicago Booth School of Business has calculated that the unrecorded value of the digital economy to the average US citizen would need to be $8,400 per year — or a fifth of net disposable income — to make up the difference in the productivity gap’.
The article covers various reasons for this shortfall, such as mismeasurement and time delays of realising technology benefits but misses the real problem with technology for businesses. Digital transformation has been largely technology lead but in order to be successful it has to be people focused. Tech is often implemented as a bolt on before strategy is in place, adoption and usage are low and productivity doesn’t measurably improve. Like Carlo Gagliardi from PwC explained, businesses need a strategy for the digital age rather than a digital strategy. That is why mHub was built to help leverage tech investment to drive adoption; making things simpler and making IT work for people. Our customers have witnessed direct and measurable productivity gains and return on other tech investment because of this.
As well as user focused apps like mHub and driving tech adoption, there is further hope. The aspect of productivity and growth where technology does have a clear, profound and measurable impact is in decision making.
From the article…
‘Brandauer’s Mr Crozier takes this view. His company’s £400,000 IT investment was necessary even if it took time to bed in. “We’ve gone from making decisions based on gut instinct, to judgments based on data,” he says. The company is seeing measurable benefits and expects the investment to have paid for itself inside 18 months, he says.
This is just as well. All of our future living standards depend on this small example becoming commonplace.’
The mHub digital workplace app provides people with the information they need, whenever they need it, wherever they are, on any device regardless of internet connectivity. It also provides them with the crucial data and business intelligence that they need to make better decisions.
We are about to enter a data-driven, precision age of decision-making; the speed and accuracy of which will have a direct correlation to gaining competitive advantage. The age of ‘it feels right’ has gone. The impact of mHub technology on productivity and growth is clear and undeniable. If you are making a decision without the right data and information, you will either be lucky or wrong.