Australian businesses must take action on remaining competitive in the digital age or risk becoming irrelevant on the global stage, accounting and consulting firm Grant Thornton Australia has warned.
The caution comes as Australia slipped down the rankings in the World Economic Forum’s Global Information Technology Report 2016, coming in 18th place.
Matthew Green, technology advisory partner, Grant Thornton Australia, said while Australia continues to move around the index, our position is now marked by “continual decline, a far cry from ninth position in 2004”.
He said embracing new technology will be critical for Australian mid-size businesses, as the growth engine of the economy.
“In order to develop Australia’s capacity for innovation, diversify the economy, and build resilience, the government and businesses should embrace ICT even more enthusiastically. We want to see effective policies that encourage mid-size businesses to innovate and invest in the use of ICT,” Green said.
He believes Australia should aim to make the index’s top 10 by at least 2020, but government policy will be needed to support digital and technology initiatives, innovation and learning, and entrepreneurship.
“With additional policy support to encourage mid-size businesses to invest in embedding and leveraging digital technology as part of the core business strategy, we will begin to see a significant shift in businesses ability to survive and thrive in a constantly evolving business operating environment,” said Green.
When it comes to digital investment, Grant Thornton recommends focusing on initiatives that will accelerate business growth, such as:
- Digitising new customer experiences,
- Using analytics for enhanced planning, management and engagement with customers,
- Integrating digital investments into core business strategy, by embedding digital into operating models and developing digital skills for all aspects of internal operations,
- Taking digital risks through new technologies,
- Investing in revenue-generating mobile applications, such as e-commerce, customer engagement, supply chain integration and outsourcing applications,
- Minimising cybersecurity risks, and
- Investing in customer and service technology, to reduce costs and deliver a better experience.
