| | OCTOBER 202019CIOReviewEmerging technology is changing the way we live, fundamentally, at a pace so rapid it can feel overwhelming at timesTim Browntheir competitors likely already are innovating and adapting, and their customers' expectations are being shaped. That, in turn, affects customers' impressions of the firm's value, products, and services.That product pressure means business owners must be positioned to go to where their customers are and market to those expectations. Knowing how your customers interact with technology and where they go for information will tell you how to design and promote your products and services.Here are examples of disruption leading to innovation.Financial services -- More than ten years ago, a national bank with a direct banking model sought a way to compete with other banks. Bank leaders developed a new innovative way for clients to deposit checks, starting with a home printer scanner process. However, they soon realized that smartphones could be used to take photos of the checks, making it possible for individuals to make deposits from virtually any location. The technology itself -- taking photos with a smartphone -- was not innovative, but its application was groundbreaking. Although they faced considerable fear about the security of making deposits via smartphones, the bank's leaders were courageous to take prudent risk. What came to be known as Remote Deposit Capture solved the bank's problem and made them competitive with traditional banks.Health/medical care -- Innovation is accelerating exponentially in medicine and medical care, with techniques such as gene mapping and bioinformatics leading to new or refined treatments. For example, in the 1990s, genome sequencing, the mapping of a person's unique DNA, cost $2.7 billion. Today the cost can be as low as $700. The information gathered in genome sequencing ranges from significant discoveries in medical research to so-called personalized medicine, in which products can test an individual's sensitivities to specific drugs, and doctors can determine which treatment is most likely to help a cancer patient, all based on a patient's genes.Supply Chain and Manufacturing -- This sector is perhaps the best example of the impact of disruption. Businesses as large as Amazon, Walmart, IBM, and auto manufacturers have experienced massive change and produced numerous new products and services by incorporating innovations such as blockchain, IoT technology, RPA, and AI. Production innovations include robots that can process product orders, assemble products, and RPA systems that can conduct financial and administrative transactions.Transportation -- The most recent and recognized disruption and innovation in transportation likely is the development of driverless or self-driving cars, but self-driving trucks also are being used in the trucking industry and evaluated by the U.S. Postal Service. However, safety concerns have prompted innovation for decades with developments such as cruise control, lane assistants, airbags, adaptive headlights, and even rear-view mirrors and anti-lock brakes. All these innovations have one thing in common -- they are rooted in problems that need to be solved.Ultimately, when it comes to technology and long-term success, if you and your business are not moving fast enough, you will lose out. Your business must be nimble, skilled in your field, and committed to a culture of learning. You also must be willing to solve problems that arise and take calculated risks that can lead to innovation.By building that "innovative muscle," you will have the speed and agility to move quickly to your everchanging market and your customers' expectations, helping to ensure your ability to deal with disruption and succeed over the long term.
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