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Innovate to survive and even thrive

Innovate to survive and even thrive

Money makes the world go round and so does technology.

And if the flow of money slows, it follows that spending would drop off too. And the logical conclusion would be that sales of technology will also diminish.

But, this is not a given.

Throughout history investment in technology has pushed humankind through the tough times, and often some of the greatest innovations have emerged in times of desperation. Hence the old adage: necessity is the mother of all invention.

A desperate post-World War One Germany invented autobahns and Volkswagens to ride them on. Unfortunately this inventiveness was subsequently diverted into building a brutal war machine, which bestowed upon the world advanced aircraft, guided weapons and long-range rockets.

Under siege, Britain developed the radar and made great advances in radio communications, while the Bletchley Park codebreakers can be regarded as the forebears of today’s computer coders, and hackers for that matter.

On the other side of the Atlantic the US acquired the nuclear technology that delivered the weapon that has overshadowed the world for the past 60 years.

These technologic advances were borne out of great sacrifice – food was rationed while bombs, bullets and shells churned out of factories across the world.

While the current expected downturn in the local economy will not have as severe an impact, many livelihoods across a range of industries will be threatened.

Just a week ago we saw an unprecedented action by the nation’s truck drivers, who under strain from higher fuel, protested over an increase in road user charges.

These costs will inevitably flow down the supply chain into each of our pockets, and in the case of resellers, will chip away at their profit margins.

On the upside, technology is also widely regarded as being able to solve many of the ailments brought on by a slowing economy, as highlighted by Ingram Micro’s Jay Miley and Express Data’s Paul Plester in our last issue.

But, it appears not everyone in the industry is equally insulated from the looming economic troubles.

Our most recent online reader poll showed a near equal split between people who say they are starting to feel the pinch and those who don’t believe the IT industry will be affected anytime soon.

This split suggests there are two kinds of operators in the channel – those who innovate with the times, and those that do not.

Businesses that are good at what they do and that are being innovative will not only survive, but can thrive, when purse strings tighten.

On the other hand, those who keep moving along doing what they have always done, at best will just manage to get by.


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