How Are Tech Companies Driving Change In The World?
Although it’s hard to imagine a life before the internet, it wasn’t too long ago that that was the norm. Who remembers the distinct sound of dial-up? Or the old brick-sized mobile phones of the late ’80s?
With the fast pace of emerging technologies changing the world, Big Tech affects nearly all industries. Many aspects of business operations have undergone a complete digital transformation. Out-of-the-box thinking is crucial to keeping up with competitors. It is no longer “business as usual.” But exactly how are tech companies driving change in the world?
Tech Companies Driving Change through Digital Transformation?
According to IBM, Digital Transformation is a customer-driven approach to using digital technology and adapting to business model processes to achieve a better customer experience. After all, a business can only survive through customer relationships.
Businesses have an increased chance of success by placing the customer first and working “from the outside in” to adapt strategies and processes. An effective digital transformation strategy will contribute heavily to this success and longevity.
The simplest way to explain digital transformation is with an example we are all too familiar with; Netflix. Or rather, Blockbuster.
Blockbuster was a successful franchise. Unfortunately, they failed to keep up with emerging technologies and their customer’s needs Netflix leveraged technology and algorithms to adapt its service based on what viewers wanted.
As a result, Netflix grew into the giant company it is today, while Blockbusters went out of business. Netflix’s success and the decline of Blockbuster can be attributed, in large part, to Netflix’s effective digital transformation strategy.
Who Are Leaders of Digital Transformation?
A digital Transformation Leader is an individual responsible for the management and catalyzing of the digital transformation journey of an organization.
Digital transformation leaders are important in identifying strong opportunities for leveraging digital technologies and developing strategies. They also oversee the implementation, improving the customer experience, operational efficiency, and the drive for innovation.
In addition to this, they have a rooted understanding of digital trends, emerging technologies, and their potential impact on business models.
Digital Transformation Initiatives
A Digital Transformation initiative refers to how strategic efforts are performed by organizations to integrate and adopt digital technologies and practices into their business processes, business models, and operations.
These initiatives aim to leverage the power of technologies and digital tools to drive innovation, improve customer experiences, and ensure competitiveness in a fast-changing digital space.
Examples of Digital Transformation Initiatives:
- Process optimization: Improving organizational efficiency through reengineering by optimizing existing processes to eliminate bottlenecks by leveraging digital tools This can involve digitizing paper-based processes, automating tasks, and integrating systems for data flow and productive collaboration.
- Technology adoption: IT modernization; implementing new digital technologies such as artificial intelligence, cloud computing, remote readiness, the Internet of Things (IOT), and automation to streamline operations and enable data-driven decision-making.
- Culture and organizational change: Promoting a digital-first mindset and culture across the organization, encouraging employee collaboration, innovation, and continuous development
- Data-driven decision-making: Leveraging data analytics to gather insights and make verified and informed decisions to drive business growth. This can consist of establishing stringent data governance frameworks, implementing data analytic tools, and leveraging predictive analytics for optimization and forecasting.
- Customer experience enhancement: Using platforms and digital channels to provide a personalized and fluid customer experience. This may include building mobile apps that leverage social media for engagement, improving website usability, and implementing customer relationship management (CRM).
How Are Technology Companies Affecting Society?
Technology is so ingrained in society that imagining life without the Internet is hard. It feels almost surreal to think that Facebook has only been around for about twenty years!
The biggest technology companies (Amazon, Alphabet (Google), Meta (Facebook), Microsoft, and Apple) have improved our lives in many ways. Unfortunately, their effect on society is a double-edged sword.
The positive effects of technology companies on society include:
- Increased communication and community. It is easier for businesses to connect with people across the globe, and access to mobile apps has significantly contributed to this.
- Social Media led to increased social awareness and transparency. Companies, policymakers, and people in power can no longer hide their wrongdoings from the public. Prime examples are the Smithfield Trail and the murder of George Floyd, which sparked global protests.
- Access to free education and information. You can learn anything online to improve your skills and career. Never before in humanity’s history has so much knowledge been accessible so quickly and for so little.
Unfortunately, technology companies also have adverse effects on society, such as:
- Increase in cybercrime like hacking, phishing attacks, and identity theft
- Increase in obesity and lifestyle-related diseases. Convenient delivery services like Amazon mean we hardly need to leave our homes.
- Technology negatively affects our mental health. Depression and anxiety are on the rise. We are exposed to cyberbullying and addicted to technology.
- Big Tech influences politics by using social media to manipulate individuals.
- Eye strain, poor posture, a lack of exercise, and poor sleep patterns are all associated with the increased use of technology. Exposure to blue light makes our bodies alert and makes it difficult for our minds to switch off and sleep.
How Are Technology Companies Affecting Individuals’ Thoughts And Actions?
How technology companies affect an individual depends, to an extent, on the individual’s mental and emotional strength. Thus, children are at the highest risk of being negatively affected by technology and, therefore, technology companies.
For many, short videos’ endless scrolling and popularity have decreased our attention span. Further studies are needed to prove that the rise of ADHD in children is linked to our shorter attention span, but it would make sense.
Our inclination to compare ourselves to others can lead to depression and dissatisfaction.
Memory needs to be practiced to stay strong, but with Google at our fingertips, why bother to memorize anything?
In many ways, technology can make us lazy. Moreover, the debate about whether technology is limiting human creativity remains ongoing. We play video games and spend hours in front of Netflix. We have limited reasons to visit friends in real life, and AI tools can produce the work of a professional artist in seconds.
Yet, if you apply discipline, you can use technology to improve your life. Free online education can change your career or improve your professional competitiveness.
How Are Technology Companies Affecting Business?
- Tech companies have a massive influence on businesses. Companies that can adapt will thrive.
- One of the most significant effects on businesses is the rise of E-commerce. The days of brick-and-mortar stores and local clientele are over.
- E-commerce allows businesses to reach a global customer base and increase sales. It has also reduced operating costs as a physical store is no longer needed.
- Social media has become a huge marketing asset for small and large businesses.
- Many software tools can replace staff and further reduce operating costs.
- Streamlined processes and virtual communication have increased efficiency and productivity.
- How much technology affects a business depends on its ability to adapt and its desire for a successful digital transformation.
Examples of digital transformation within a business include:
- Using AI to gain in-depth knowledge of customer behavior to improve the marketing strategy
- Leveraging social media to gain real-time customer feedback and improve products or services
- Using apps and effective UX/UI to improve customer service and increase customer satisfaction
The Impact Of Technology During The Pandemic
When the COVID-19 pandemic hit the world in early 2020, those less familiar with or comfortable using technology had a much harder time.
The positive impact technology can have on society became evident during the pandemic. While isolated, we could contact our loved ones through social media and video calls.
Big tech companies thrived, but the pandemic allowed small companies like Codecademy and Zoom to grow.
E-learning became the norm as schools moved to digital classrooms. Many lower-income households struggled with no internet connection or personal devices. The technological gap between wealthy and lower-income communities also became more evident.
Most notable was the effect on employees. Employees realized that much of their work could be done remotely, saving them incredible time and money. No need to spend hours in traffic anymore!
Flexibility in working environments became a demand for employees, leading to The Great Resignation.
Remote work also had a positive effect on businesses. Employers can choose from a global market without being limited to skilled workers within a region.
How Are Tech Companies Different From Other Companies?
Technology is everywhere, and most businesses use it to streamline their operations. So, what makes a tech company different from other companies?
Technology is an essential and integral part of all tech companies. If a company can’t exist without its developed or adapted technology, it can be seen as a tech company.
Tech companies use technology to reach a larger customer base and position themselves above competitors. Their use of analytics, algorithms, and AI to continually improve their products or services gives them a further edge over competitors.
Tech companies are not limited to the technology industry. Two great examples of tech companies are Airbnb in the hospitality industry and Burcon Nutrascience in the food industryIndustries Changed By Technology
Technology has had a significant influence on nearly all industries.
Some industries changed by technology include:
- Food industry: lab-grown meats and streamlined production
- Finance: bitcoin and cryptocurrency
- Media: The gaming industry has revolutionized thanks to technology
- Automotive: self-driving cars can reduce accidents and allow disabled people to drive
- Textiles: digital pattern making, virtual fitting rooms, and recycling plastics into textiles
Are Tech Companies Good Or Evil?
While some tech companies are evil, usually due to corporate greed, not all are unethical.
Some companies are using the power of technology to shape the future for the better. So, instead of focusing on the many bad seeds, let’s take a look at the good ones:
Google is helping to close the education gap by offering free courses. They also translate educational books into local languages and make educational content available offline.
Burcon Nutrascience uses technology to create plant-based meats, which are far less environmentally destructive than animal-based meats.
Abalobi App is a small tech company based in South Africa that connects small-scale fishermen directly with consumers. Their transparent supply chain and traceability can be applied to many other industries.
Are Tech Companies Greedy?
Corporate greed is not solely evident in the tech industry. Not all greedy companies are tech companies, and not all are greedy.
But there is one tech company that is notoriously known to be greedy: Amazon.
Amazon was exposed for not paying their delivery drivers their full tips, denying workers an annual increase, and forcing staff to work long hours.
In 2021, six people died at an Amazon warehouse after a tornado hit the warehouse. Although they received the tornado warning in time to take shelter, they were forced to stay and work and were threatened with being fired if they left.
What Are Technology Companies Doing To Reduce Their Carbon Footprint?
With the Paris Agreement taking effect in 2015, every business’s top priority is reducing its carbon footprint. So, what are tech companies doing to play their part?
Many tech companies have goals of being carbon neutral or negative. The following methods are helping them achieve their goals:
- Recycling. Companies like Dell and Cisco partner with distributors and other companies to recycle their old products
- Carbon offsets. Large tech companies have excellent buying power. Google uses its funds to buy carbon offsets to reduce its carbon footprint
- Microsoft uses its power to advocate for policy changes related to carbon emissions
- Investing in technologies that reduce carbon emissions
- Google added a feature to Google Maps that allows users to select routes according to carbon emissions
Summary: How Will Technology Change The World In The Future?
In the late 1980s, no one could have predicted the internet and technology’s effect on society. Much like then, it is hard to know how the rapidly advancing technological world will change the future.
Based on current trends and best practices, it is evident that organizations will continue to commit to digital transformation efforts using cloud adoption, Artificial Intelligence, Data-driven decision-making, and various other tools.
Technology has created many improvements in our society. In the coming years, tech company innovations will cause the real world to become more integrated with the digital world, especially as virtual and augmented reality become more mainstream.
As we are indoctrinated into digital citizenship, we must understand the benefits technology affords us while also paying attention to the harmful effects it can have on our lives. We should understand the risks and manage our mental and physical health. Technology can add to our lives but should not replace real-world connections.
You Might Also Like
