Financial problems caused by coronavirus can stop or at least seriously inhibit their IT investment plans. Those entities that will have funds for investments will plan them differently.
– After the shock that the economy is experiencing at the moment, companies will analyze each investment many times in terms of whether it is resistant to a repetition of the current situation – says Szymon Włochowicz, Head of Delivery at Hicron. That causes increased interest in implementing remote services and automating business processes. The IT industry can support this, which is why it may undergo a period of prosperity in the coming months.
– According to all forecasts, our economy will be in a recession. Both from the investment and demand side, the coming months will be very weak. This will naturally stop the investment – says in an interview with Newseria Biznes news agency Szymon Włochowicz, Head of Delivery at Hicron.
According to forecasts, after a pandemic, many companies will suspend investments: some because of the loss of some markets, and others because their investment projects regarding processes implemented “the old way”, in a way that is out of touch with the current situation. Instead, new investments and new ways of doing business will appear. Tools, services, and the offer will also have to change. Therefore, despite black predictions, the IT industry can get out of this situation unscathed.
– This will be since companies must adapt to the current situation and prepare for similar events in the future. Therefore, we will observe a very large increase in IT investments, primarily related to performing work remotely, without contact with people. Business processes will be remodeled to perform them using electronic devices – telephone, computer, or tablet. For this purpose, however, support from the IT systems will be needed, which will generate investments – forecasts Szymon Włochowicz.
Changing the business model and way of providing services, focused on contactless service, will require the development of infrastructure and appropriate IT systems: high-speed Internet connections, VPNs, remote work systems, and cloud solutions that will allow companies and employees to perform tasks from anywhere. Investments in these areas should significantly accelerate in the coming months and years.
– We will observe the growing importance of digital commerce via the Internet and smartphones and the automation of all processes that enable contact-free handling of matters – from sending documents by e-mail instead of in the traditional form, by collecting parcels by couriers without signing, to opening parcels without contact via the application. Business models, as well as the ways of providing services, will change into contactless solutions that do not require direct, interpersonal contacts – says the Head of Delivery at Hicron.
The process of planning and implementing investments in the IT area will also change. As Hicron experts emphasize, technological anti-crisis strategy in business can take the form of one of three variants. Companies can choose to implement smaller IT projects, which, however, will bring significant improvements and savings. They can also focus on strategic projects and completely change business in a digital direction. The third option is to use this time to sort out the technology’s less-prioritized areas.
– Each investment should be inspected many times and from every angle – in terms of whether it defends itself in a world where another pandemic may occur. Companies will look for solutions resistant to such situations – says Szymon Włochowicz. – An example comes from the automotive industry, which starts using video calls to present cars. A previously unthinkable solution today is used by many brands to sustain the provision of services. It also limits the potential client’s contact with salon employees.
The situation will also force changes in the approach of the IT industry. Its new offer – adapted to times of crisis – should be more flexible, scalable, and assume shorter contract periods. In a situation when companies limit employment, they must have access to external IT specialists who will plan and implement the necessary changes.
By digitizing processes, the IT industry will help rebuild the economy affected by the recession and adapt it to new realities.
– On the other hand, there will be investments not only in IT but also in the internal structures of enterprises. Sometimes it will be necessary to reorganize certain processes, which, for example, will enable remote work in distributed teams. Hence the need for new tools – not only IT but also organizational, enabling efficient project management – says the expert.
This article originally appeared on biznes.newseria.pl
Find out more ideas on how to effectively manage your business during the crisis. Click HERE.