Use of IT and Digital Strategy for Productivity

Referring to the basic concepts of economics, we know that an increase in productivity is a stimulus for an economy to grow. Better productivity leads to more employment, less inflation and as a result less decline in GDP. Customer demand increases and we tend to reach an equilibrium position hitting the pinnacles of success. On a small scale, this concept can be applied to organizations and corporations as well. But productivity depends on many factors including employee skill development, digital transformation, and organizational structure. The locus of all these indicators of productivity is the use of IT and digital strategies to help employees do better and more. Production of new products and reimagining business processes with differentiated business models will lead to competitive business advantage. The following are some digital strategies that can help to increase productivity.

Platform Play:

Many organizations are reshaping and redefining their core business values and that could help them to reach their target customers. This also helps their potential customers to interact more directly benefit from network effects. The digitalizing platform will help the organizations to alter the way value is distributed in a value chain.

New Marginal Supply:

Today many organizations use digital technology to tap into the previous inaccessible supply of resources at marginal cost. An explicit example can be the use of online reseller options for customers allowing them to sell used products to one another.

Customized Digital Products:

Many clothing brands are using digital services to create new products with digital features typically to satisfy customer demand in the market. Also, they provide their customers to customize the articles themselves typically to interact with customers and reach their product demand.

Less Authoritative System:

Digital change asks for reforms in organizational structure, customer interactions, stakeholder's interaction, organizational culture and skill and behavior of the employees. Many digital strategies and use of software can reduce the authoritative management system to open systems. This will help employees to involve in the decision-making process and participate actively which will increase the productivity of the organization.

Metrics:

The use of analytics to calculate IT, HR and business metrics helps to create a digital scorecard. For example, you can gauge user engagement to tracking daily active users and time spent in collaboration software. This will help to quantify positive impacts on workforce effectiveness, employee agility and employee satisfaction and retention, the information you can use later to assess change management and refine your approach.