- 40% of companies that have experienced revenue loss lack the digital technologies needed to keep up with their competitors.
- Having budget restrictions, too many platforms or decision-makers to manage, vendor lock-in and the build-versus-buy dilemma all act as hurdles on the road to adopting new solutions.
- 50% of executives across industries will invest in technologies that give their enterprises an edge over their competitors and contribute to their digital transformations.
- On average, companies use 110 different software solutions at a time.
- Companies must reduce the complexity of their technology assessment and buying processes to overcome their business problems.
Regardless of your industry, odds are there’s software that can help you address any challenge and boost company-wide results. In fact, every business’s survival has become largely dependent on the technologies they rely on to grow, improve processes and earn revenue.
But some business leaders are hesitant to adopt new tech solutions, which can negatively affect their bottom lines. According to McKinsey & Company, 40% of organizations that have seen significant revenue loss in the past few years lagged behind their competitors when it came to their use of digital technologies.
That said, buying a new tech solution can spark a wide range of challenges, resulting in organizations delaying the purchasing process and leaving major problems unresolved.
“If you’re unwilling to use SaaS products to explore ways to improve the value your business delivers, you’re potentially missing out on a lot of learning and growth,” says Dan Seaman, VP of product management at Viafoura.
So we compiled a list of the main challenges organizations encounter when adopting a new tech solution, and how to overcome them.
Having a tight budget can create a major mental barrier for professionals and deter them from buying the technologies they need to resolve recurring business challenges.
Yet many organization leaders understand the importance of taking on new tech solutions. McKinsey & Company reports that over 50% of business executives are willing to invest in solutions that offer them competitive advantages or can further their digital transformations.
A quick fix:
With so many executives pushing for the adoption of digital tools that can better their companies, you may be able to get some wiggle room in your budget through a convincing business case. The most persuasive ones zero in on the potential value and ROI of the technology in question.
“Some vendors offer revenue-share models that cost zero dollars to use… and split the risk and reward between customer and vendor,” Seaman explains. “This type of model removes the mental barrier of having to get more budget and do ROI calculations.”
Managing too many platforms
Statista reports that enterprises all over the world rely on an average of 110 different SaaS applications.
Taking on a complex new tool that will change internal workflows in an environment with dozens of other software solutions can be highly off-putting to an organization’s workforce, and may result in pushback from staff.
A quick fix:
Focus on adopting streamlined, intuitive platforms that prevent teams from getting overwhelmed by its features or from needing extensive training. Tech solutions that offer users a frictionless log-in and authentication experience as well as drag-and-drop front-end tools can also help reduce the overall complexity of a platform.
Too many decision-makers
When assessing a tech solution, every interested stakeholder will have different types of questions and concerns. So if a large number of these decision-makers are involved in the buying process, it can complicate and delay the potential adoption of a solution.
A quick fix:
Alex Lea, a senior account representative at Viafoura, outlines that the easiest way to speed up the buying process with multiple decision-makers is to be upfront about who will be making the purchasing decision.
“By being forward about the people who are (involved in the buying discussion), vendor representatives can focus on what’s actually going to solve their problems,” Lea says.
Many organizations can become so dependent on a single software vendor that moving to another seems nearly impossible.
A quick fix:
Avoid vendor lock-in by making sure your company will be able to own and access all relevant data from a potential solution in a portable, usable format.
“If everything the vendor does is opaque and is locked in, that’s a risk,” Seaman says. “If you know you can export all of your data to another vendor, that risk is eliminated.”
The build-versus-buy conflict
It can be challenging to decipher whether it’s worthwhile to go the final mile and purchase a tech solution or build one in-house with or without open-source code. Unfortunately, this conflict may stop business leaders from adopting a robust product that will ultimately save them money and time in the long run.
A quick fix:
Even through an open-source solution, creating a tech product in-house requires hidden time and cost investments around infrastructure and support. Plus, open-source software typically doesn’t give organizations access to their data or rich solutions that offer substantial value.
To find the best path forward for your business, weigh the importance of data ownership and the benefits of building versus buying a solution against the existing resources that you have.