Experts say we’re entering a new stage of the digital revolution, one where software will completely take over and revolutionize business operations.
“Successful companies that are disruptive are integrally tied to their software.” Says Brett Young in Why Software Will Eat Construction. Young explains that companies like Amazon, Pixar and Fed-Ex owe their success to software. Why? Because they’ve integrated software so seamlessly into their workflow that it’s become their main strength.
All three of these companies are first and foremost software companies. The way they leverage technology and incorporate it into their workflow forms the core of their business model – the goods and services they offer are secondary. Put simply, it’s not what they do, it’s how they do it.
The Software Revolution
Embracing technology wholeheartedly requires courage. There’s the cost of investing in software, the time spent training staff and the challenge of integrating new digital tools with current operations. Digital transformation can be a daunting process.
But, when it comes to the complexity of construction workflows, the only way to improve productivity is to accept and exploit the software revolution. And make no mistake, this revolution is not slowing down.
Take the cloud, for example. The International Data Corporation reported a 14.5% growth in cloud IT infrastructure revenue between 2015 and 2016. Their latest reports only see cloud investments ramping up in 2017. Companies that are standing firm and refusing to embrace technological change will soon be pushed out.
Scale Through Software
Businesses can no longer afford to ignore technology, and this is because scale is only achieved through software. Again, the cloud is a perfect example. Not so long ago, when a business wanted to expand operations they had to invest in expensive hardware. Today, however, cloud solutions provide new levels of flexibility. Many vendors offer pay-as-you-go structures so that you only pay for the storage you need. Start small and add on as your business grows, it’s really as simple as that.
Every Company is a Software Company
Software systems are more varied, robust and flexible than ever before, and this has allowed new business models to emerge. Companies like Uber and Airbnb are just the beginning. Who knows what other new software-born innovations are coming, especially within the construction software industry?
Brett Young’s prediction: “Someday soon, there will be companies that won’t be architecture firms or engineering firms or construction firms. There will be software firms that use technology to deliver AEC services faster, cheaper and better.”
If your firm is reevaluating its software, you’ll want to find out Why a Digital Transformation Might Save Your Business.