Successfully Navigating Today's Market Conditions with Tech-Driven Solutions
There are multiple challenges impacting businesses, from information explosion to compliance and technology adaption, which in turn is affecting document management.
The first major challenge is the rate at which information in various formats—physical, electronic and other media types, is increasing. According to IBM, 90 percent of the data has been created in the past two years, equaling 2.5 quintillion bytes of data each day. Experts anticipate that the annual increase of data generation will be 4300 percent by 2020. The vast majority of businesses are not prepared to handle or drive value from their growing troves of information.
The swelling velocity of information is not the only significant issue plaguing businesses.
Regulations, such as HIPAA and the Dodd-Frank Act, dictate how this information is supposed to be managed. The regulatory environment for most industries has changed significantly in the recent years. For example, there has been a 17 percent increase in major federal regulations in the past seven years, according to the D.C. think-tank, the Heritage Group. This statistic does not take into account global changes impacting multinational businesses. For most companies, it is hard enough to adhere to regulations—let alone keep up with them and implement the needed changes as they evolve.
The swelling velocity of information is not the only significant issue plaguing businesses
The third significant hurdle is technology adaption, which can help solve for these other challenges. However, a top barrier to adaption is the lack of internal know-how for companies of all sizes.
As a result, more and more businesses are looking to document management providers to help them successfully navigate today’s market conditions with tech-driven solutions.
This increase in demand presents an opportunity for providers. Analysts at Technavio, a leading market research firm, estimate that the global document outsourcing market will grow steadily at a CAGR of approximately 6 percent by 2020, opening the doors to providers positioned to solve the evolving needs of clients.
With business conditions continuously changing, clients are looking for their vendors to provide ongoing “innovation” for them. In fact, there is a trend for clients to insert the term “innovation” into contracts.
Despite this trend, the large majority of companies struggle with defining innovation—an admittedly overused buzz word that all too often is a canned response for some of organizations’ biggest challenges. The overuse of the word has led to a loss of insight of what innovation actually is and how it is achieved. Without a common description, an organization has a slim chance of achieving it.
Most believe that innovation is only a big bang idea that drastically changes the status quo. However, innovation can be defined as creating a new system or process or enhancing existing ones. In simpler terms, it is looking at all of the pieces out there and figuring out how to connect them in a new way that drives additional value.
For instance, my document outsourcing company takes a different approach to innovation by serving as an aggregator and integrator of solutions to bridge the full document lifecycle. This is a divergence from the norm. This difference means we can create an end-to-end, workflow package comprised of the right tools to solve clients’ individual challenges. This approach eliminates clients having to buy and manage services and tech platforms from multiple providers. One point of contact also makes it easier to manage information across an enterprise and provide transparency in support of compliance. This is innovation.
Companies and providers that partner to continuously innovate to keep up with changing business conditions and challenges will both gain the competitive advantage.