tagged with: MIT CISR
I have been completely MIA from my blog the past year, but that will change soon. Starting in January I will start posting updates more or less weekly, with new articles for business and technology leaders; highlights from my research with HBR Analytic Services and MIT CISR, and observations from my travels speaking at conferences and hosting dinners and roundtable discussions with CIOs. Sign up to get notifications so you don't miss anything!
CIOs are facing a dilemma. On the one hand, they must innovate with technology to help their businesses grow again as we come out of the recession. On the other, because the recovery of 2010 will be slow and drawn out, they must continue to cut costs and focus on operational efficiency. In fact, 57% of executives surveyed by Accenture in November 2009 said that innovation and cost reduction are equally important to their company's ability to achieve future growth.
The holy grail of post-recession business will be profitable growth. The very idea of profitable growth is full of contradiction, as growth generally requires investment. With revenues unlikely to outpace that investment in what economists are predicting will be an anemic, drawn-out recovery, companies that have already been doing a lot of cost cutting will have to become even more efficient. This will put unusual pressure on executives to place the right bets when it comes to investments (based on strong customer insight and market knowledge). And it will require excellent management abilities and flexible, responsive, lower-cost IT.