A global survey from McKinsey, “IT Under Pressure” by Naufal Kahn and Johnson Sikes, recognizes IT’s strategic importance but also highlights growing levels of dissatisfaction with its effectiveness. According to McKinsey there has been a notable shift in organizations’ priorities for IT, away from managing costs and towards delivering enhanced business effectiveness and information availability.
One of the major instruments of business effectiveness are collaborative technologies which enable organizations to break down the functional barriers that hinder the free movement of information across critical business processes such as the R2R (Record to Report) process.
Collaborative technologies positioned in the cloud encourage knowledge sharing and enhance process visibility. And it is this ability for everyone engaged in the process to see the how their actions affect and support others in the process that leads to marked changes in productivity. So even though cost containment and reduction may no longer be the driving force behind this new IT agenda, the pursuit of process excellence should still deliver cost savings. Process effectiveness and cost saving are two sides of the same coin.
Read the McKinsey Report HERE