Understanding the lack of resources to build and develop advanced technology
With the surveyed companies looking to hire more people, medium-sized companies are on a marathon to escape the crosshair of large companies spending millions on technology advancements and small startups with a very specialised team. Over 57% of companies in the mid-market are looking at technology, service and product development.
This desire to catch up has led to 40% of business and IT leaders to work and learn from each other in adopting new and emerging tech however third of the respondents say they have little to no formal strategy or processes in place to oversee the risks and opportunities attached to emerging technologies.
Asked what is holding back their IT governance, the executives cite issues such as lack of resources to build and develop such protocols, the cost, and
a lack of understanding of the importance of IT governance within the C-suite, among other factors.
This lack of formal oversight is problematic for many reasons. For one, it is critical that the board has a fundamental understanding of IT strategy given how technology is reshaping just about every facet of a company’s business. A lack thereof can leave promising opportunities untapped over time, and it can contribute to a lack of organizational efficiency. There also are plenty of issues to discuss as new technologies take hold, particularly as artificial intelligence and machine learning tools become more entrenched in day-to-day business and customer interactions.
“Traditional IT governance structures and processes can be bureaucratic and cumbersome, which can lead to project delays and extra cost. CIOs are now expected to develop IT governance processes that are agile, collaborative, and innovative. IT governance cannot just be about managing the risk: good IT governance can facilitate innovation and uncover new business opportunities.””Khalid Kark, research director, US CIO program, Deloitte
This forward thinking mid-market mindset will dominate executives’ agendas, and it requires organizations to take a hard look at their current approach to governance, potential changes to protocols, and, at times, their understanding and awareness of ethical obligations toward their industry where transparency and immediacy will be vital.
Optimism remains high as private company leaders take a collaborative approach to their technology investments. As executives consider investments to help their companies stay competitive in the long term, it’s positive to see so many executives stepping up to shoulder the responsibility.
Find the full Deloitte report: https://www2.deloitte.com/content/dam/Deloitte/us/Documents/deloitte-private/us-private-tech-report-2018.pdf