Poor communication, lackluster analytics, and deflated financial performance are just some of the results of poor visibility into your business.
Often, silos are the root cause of these problems.
A silo is a metaphor for how a system or department isolates information. In other words, it is hard for people or software to know information that exists behind barriers.
Silos Stifle Innovation
A department or even an entire company must “[break] down traditional barriers” to innovate, according to a PricewaterhouseCoopers report, “tapping a much wider ecosystem for ideas, insights, talent, and technology, and incorporating the customer throughout the innovation process.”
Traditional R&D has been kicked to the proverbial curb by open innovation, design thinking, and co-creation. “Almost twice as many companies favor these models,” PwC has found.
A final takeaway from the report is that organizations should initiate collaboration between the business side and the innovation side from the start. “That requires knocking down silos within a company,” says the report.
One way to knock down these silos is through optimizing business technology.
What Is Business Technology Optimization?
Business technology optimization (BTO) helps companies “ensure that every dollar invested in information technology, every resource allocated, and every application in development or production meets business goals,” writes Jayaprakash Kannoth.
HP, a longtime champion of BTO, says the strategy helps to:
- Facilitate alignment between IT and lines of business to drive results and efficiency.
- Automate domains among IT, strategy, and operations in order to reduce cost and risk, while increasing speed and quality.
- Automate processes to decrease redundant work, increasing cross-team sharing, and keep efforts aligned with business goals.
How Can Businesses Harness Silos With BTO?
First, evaluate whether the silos in your business must be demolished.
Kaya Ismail points out in CMSWire that silos can be beneficial in four areas:
- Nurturing employees focused on an area of expertise
- Keeping one or more employees specialized for a certain client
- When collaboration prohibits execution
- When agencies must protect information about competing clients
Companies should likely embrace silos in these cases.
The second step in harnessing silos is to look at using business intelligence software to get analytics for your organization..
These tools provide a competitive advantage since most organizations don’t use technology for this purpose. By allowing you to parse and predict data, you’ll be able to better understand the health of your organization. Consider choosing a BI tool that will allow you to get started sooner rather than later so you can improve performance more quickly.
Break down your silos with BTO, and see rapid improvements in your organization.