"Race, Race against the dying of the
light"
This rephrasing of the Dylan Thomas poem essentially
says that as a manager one has to keep in pace with the technology that is
travelling at the speed of the light. For instance, take the entertainment
industry. One can easily witness the improvement in technology over the years
and how the industry has been surviving by acclimatizing itself with the
ever-expanding horizons of technology. We can enumerate the industry scenario
with the help of an example. In 1997 when Reed Hastings found the organization
called Netflix, it was yet another DVD rental store. Through innovation, the
model has been turned to mailing the DVD and later the individual DVD rental
went away and the monthly subscription came in to the picture. One might think
this as a management innovation and not a technical advancement; but this is
the reason they were able to technically advance themselves.
Netflix advanced itself with the advancement of
technology by introducing the option of Video on Demand via internet. They saw
that the internet will be the future. Then the streaming service took the rapid
growth. They promoted their new technology by giving free streaming hours at
the beginning. Their online streaming service took a huge leap and so they were
not worried when the DVD rental business went down. They don’t have to worry as
they have reinvented themselves with the technological growth. Netflix has more
than 32% of market penetration in the online streaming sector. The sector has
grown as a giant. Netflix through this success has even started making TV
series exclusively available to Netflix subscribers. In February 2013 it
started its original content with the series House of Cards with Kevin Spacey
in it. The plot was directed by David Fincher who is also an executive producer
for the series. They found the huge success which led to the production of many
more tele serials such as Lilyhammer, Orange is the new black and Hemlock
Grove. These series were also renewed for another season. Even after this
astounding success many doubted regarding the success of the model in the future
but what they failed to see is the data they have. Netflix has clear idea about
their subscribers through the efficient Management Information System they possess,
which records the preferences of the subscribers. It helps them to understand
their taste and gives them suggestions based on their taste and preferences. It
is the one differentiation factor that made them not a step ahead but miles
ahead of the competitors. Although their competitors Walmart, Amazon and
Comcast have a pretty good customer base they didn’t have the edge Netflix have
over the others in the streaming arena.
In the hindsight it is evident that the competitor who
was present at the initial stage of the competition is not at all present now.
The reinvention of the company along with the technological development is the
only reason for Netflix to be the market leader. This can be extended to all
sectors. Another classic example is the Hilton hotels. Hilton hotels uses a
Management Information System named OnQ. This software helps them identify the
Diamond Customers, helps the hotels to learn the customer preferences and much
more. The system stores every possible data available regarding their business
and that leads to the higher leverage in making a decision. This information is
integrated to the umbrella of hotels under Hilton hotels. This way Hilton
differentiates itself to the customer by making them feel special. They are
operating according to the philosophy of “Customer Really Matters”. In today’s
growth of competition it is important for any company to keep up with the
growth of technology. Today the data is the king and which drives the business.
As Sir Arthur Conan Doyle rightly said, “Data, Data, Data… I can’t make bricks
without clay”. The search for data has been increased tremendously.
The above quotes and examples and citing lead us to
the term BIG DATA. Big Data today gives too much of data managing which is a
bigger job the data itself. Today managing the Big is the challenge and without
technology, even thinking of it is nearly impossible to say the least. Making
inferences from the big data is the biggest challenge every industry is facing
and to even make that possible it is essential to travel along with state of the
art technology. Data analytics has nearly changed every field of business. Big
data and the Data analytics not only have helped in the field of business but
also in the field of sports. Sports analytics has been taken seriously today. Be
it from the Peter Brand’s Sabarmetrics or simple data analysis such as HARO,
HARD and HART in hockey, they are effective in forecasting the variables in
sport.
Today the Data is no more considered as just an
information provider but rather it has evolved into a tool to display one’s
competitive advantage. They are the decision variables which help the
organization to direct them on a new path; it may even lead to path breaking
decisions. Data scientists are in very high requirement. All they need is an effective
way to store the data and an efficient way to analyze. It might be repetitive
and one may feel the overabundance of the data but it is the biggest asset to
an organization and the defining differentiator of the organization. It helps
in building a business model to analyze the existing situational model. It
nearly brings everything to perfection.
One can clearly say that the growing technology has to
be appreciated and it is essential to embrace the technology. Change is inevitable,
and survival is possible only for the fittest player. Only if a player can
embrace the technology and able to optimally use it, he can move further up the
ladder. Being ‘old school’ might look majestic for a while but aligning oneself
with appropriate technology will only help in sustaining the competition.
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