By Atul Soneja
In 2023, the IT industry saw significant advancements in technologies such as Generative AI (GenAI), Digital Twins, the Internet of Things (IoT), and Machine Learning (ML), presenting organizations with a sustainable way to achieve excellence across industries. As we look ahead to 2024, emerging technologies, sustainability concerns, and evolving consumer preferences will shape the landscape of business and innovation. With unprecedented technological ideas, organizations have the opportunity to transform their operations and thrive in the ever-evolving business world.
The Era of Hyper-Automation
The upcoming year promises an exciting development in the form of GenAI, which will be integrated into everyday applications such as search engines, office software, design tools, and communication platforms. This integration will reveal its full potential as a super-smart hyper-automation engine. With the ability to take over routine tasks, including information retrieval, scheduling, compliance management, and project organization, individuals will be able to boost their productivity and efficiency. As per a report, hyper-automation, combined with other technologies, can automate work activities that currently occupy 60-70% of employees’ time by 2024. This development offers immense value to sectors such as software engineering, R&D, customer operations, marketing, and sales, making it an indispensable part of the IT industry.
In this rapidly evolving world, organizations are constantly searching for ways to enhance customer service and drive growth. One of the most promising ways to achieve this is by embracing hyper-automation technologies such as AI-powered tools, Natural Language Processing (NLP), chatbots, and virtual assistants. By doing so, organizations can provide a more personalized customer experience, streamline their operations, and free up their employees’ time for higher-value activities. These technologies hold the potential to revolutionize customer interactions, enabling forward-thinking organizations to achieve long-term success.
Embracing Industry 4.0: The Interconnected Transformation
The year 2024 is poised to catalyze accelerated digital transformation across various industries such as IT, manufacturing, electronics, semiconductors, among others. Organizations are embracing advanced technologies such as AI, ML, and IoT to streamline operations and improve their products and services. For instance, automotive manufacturers can reduce downtime significantly by leveraging augmented reality (AR) for remote troubleshooting and training. With the integration of blockchain technology, supply chains will become more transparent and secure, enabling real-time tracking of products from source to destination. This will also facilitate personalized mass production, where 3D printing will revolutionize the creation of bespoke products for various industries ranging from fashion to healthcare.
According to areport, the market size for the Industry 4.0 vertical is expected to rise from USD 94.42 billion in 2023 to USD 241.58 billion by 2028. In the years to come, digital transformation will be closely intertwined with big data analytics and digital twins, resulting in improved business efficiency and better decision-making processes. These transformations will rely heavily on predictive maintenance and process optimization, particularly in terms of business sustainability.
Customer-Centric Innovation for the Win
As competition in the technological landscape continues swelling, organizations are increasingly focusing on customers to drive innovation. As permarket projections, the global customer experience management market is expected to grow at an impressive CAGR of 16.6%, from $16.91 billion in 2023 to $52.54 billion by 2030. In 2024, customer-centric innovation will take centre stage as organizations aim to tailor their products and services to meet individual preferences and behaviours. Retail giants are anticipated to use advanced AI algorithms to create personalized shopping experiences, significantly increasing customer satisfaction scores.
In addition, data analytics and IoT devices will be integrated into various other sectors, including the hospitality sector, resulting in predictive maintenance of amenities and personalized services based on real-time preferences, thus reducing customer complaints. The shift towards hyper-personalization and proactive problem-solving will revolutionize customer interactions and drive revenue growth across diverse industries. Organizations will prioritize customer journeys and rely on real-time feedback to sculpt offerings that resonate with their audience’s ever-evolving expectations and desires. Continuous improvement mechanisms, such as feedback loops, will be incorporated to dynamically fine-tune offerings based on valuable insights gleaned directly from customers.
Collaboration and Open Approaches: Peremptory for Organizations
Gone are the days when innovation was unlocked in silos – today, organizations are opening themselves up to collaborative ecosystems and open approaches to ensure operational excellence in a rapidly altering environment. In 2024 and beyond, the IT industry will undertake heightened partnerships with a range of collaborators, including startups, research institutions, government, and other organizations, to drive innovation while also embracing open models, such as crowdsourcing and innovation challenges, to tap into external expertise and ideas. For instance, an automotive manufacturer partnering with tech companies and local municipalities could deploy shared data from smart sensors embedded in vehicles, reducing traffic congestion and decreasing accidents.
Similarly, healthcare providers adopting open platforms for sharing anonymized patient data could accelerate medical research, potentially reducing R&D costs and expediting the discovery of novel treatments or therapies. Further, organizations are projected to witness a significant market share and revenue increase by actively participating in collaborative ecosystems. To foster sustainable innovation, the industry must unite through collaborative efforts.
Building Resilient Organizations to Propel Economic Growth
As we move into the new year, organizations must build resilience against unforeseen disruptions, whether in a global economic slowdown or geopolitical turmoil. Innovative supply chain management and disaster recovery planning can help organizations withstand unexpected occurrences. This is especially important for organizations with a global footprint, like in the IT sector, which must adopt resilient models to navigate the rapidly changing world. Embracing experimentation and learning from failure are two key ways to foster change and build agility, which is crucial for survival. In addition to agility, sustainability is no longer a luxury but a necessity. Organizations must focus on resource efficiency, reducing environmental impact, and creating social value to thrive in the long term. For example, a renewable energy enterprise collaborating with governments and research institutions can bolster its resilience against climate-related challenges while increasing energy output from sustainable sources and minimizing environmental risks. By embracing change and innovation, organizations can build a better future for themselves and their stakeholders.
In the current business landscape, organizations that prioritize the development of resilient ecosystems can benefit from significantly reducing operational risks. Investing in resilience can ensure adaptability and sustainability in the face of uncertainties, enabling them to remain competitive in the long run. As we move towards 2024, organizations must prepare for unprecedented innovation to drive transformation and promote business excellence across all key areas. In order to stay ahead of the curve, they need to evolve and adapt across the value chain, from digitalization to sustainability.
The author is Chief Operating Officer, Tech Mahindra
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