What is tech strategy?
Tech strategy, or technological strategy, is a business area that plans and manages the technologies used in the company to design, monitor and manage workflows in order to achieve strategic objectives.
In other words, it is the business discipline that deals with business planning, management and technological architecture.
With digital transformation, technology has come to occupy a central position in companies of all sizes and segments.
At the same time, the available digital solutions have multiplied, giving rise to a series of tools, software and platforms that are implemented in the business to drive its growth.
Therefore, the tech strategy area emerges as a fundamental support point for companies to plan and choose the right systems to achieve their goals, starting from the strategy to select the technological resources necessary for the business.
We call professionals who work in this field “tech strategists” , or technological strategists – those responsible for analyzing which technologies should be adopted by the company and managing them to optimize results.
How can technology help companies achieve their goals?
Technology is one of the main means used to achieve business goals, as it allows streamlining processes, automating tasks and accurately measuring results.
For starters, every company needs a management system to centralize its information and connect the different areas.
This system is the ERP (Enterprise Resource Planning), which has modules for financial control, sales management, accounting organization, inventory control, human resources, among other resources.
Then you also need to have a system to manage the customer relationship , which is called CRM (Customer Relationship Management).
These are the two basic software that a business must implement to automate tasks and gain management agility.
In addition to them, it is necessary to seek tools to analyze data, automate marketing, manage the sales funnel, manage the processes of the People Management area, issue invoices and reports, among other fundamental management activities.
Taken together, these digital solutions represent an important competitive advantage for companies, as they eliminate repetitive tasks and save time and money .
In this way, any business objective can be achieved faster and more accurately with the support of technology.
What is the purpose of tech strategy in business?
The tech strategy emerges to ensure that companies choose the right technologies according to their goals, succeed in their implementation and manage to extract the maximum value from their assets, digital, physical or even reputational.
With the increasing availability of technological solutions available in the market, it is natural that entrepreneurs have doubts about the resources needed to manage their businesses efficiently.
Often, all the manager does is copy a technology used by the competitor and that has brought good results for him, but this tool will not always be suitable for the company.
Furthermore, it is necessary to have specific know-how in information technology to make the best possible use of the available digital tools, so that there is no shortage or surplus of resources.
With the tech strategy, there is a whole study and planning before implementing a new digital solution in the business.
The person in charge of the area must verify if the new technology is really necessary, if it meets the demands of the company, if it is compatible with its structure, if it requires very advanced training, among other essential issues in any innovation.
What kind of company needs to invest in technological planning and management?
In general, every company that needs some level of automation must invest in technological planning and management.
This does not depend on the size of the business, but on its demands regarding technology.
For example, a merchant who has a micro-enterprise does not have great technological needs to manage his store, and can opt for a simple management system and even use spreadsheets on a daily basis.
A startup, on the other hand, is entirely technology-based , and may need a dedicated tech strategy since the company’s birth, even if it has a very lean team.
In addition, medium and large companies that want to get ahead of the competition need a well-developed technological strategy, as a large part of their processes requires automation and digital control .
A factory, for example, needs production automation systems, quality management, control of raw materials and suppliers, control of production orders, etc.
The larger the company, the more complex the technological structure needed to automate processes and increase its productivity and profitability – and, of course, the more important the tech strategy will be.
How can tech strategy benefit companies?
The tech strategy provides a number of advantages for companies that adopt it.
Check out the main ones:
gain competitive advantage
Increasing competitive advantage is one of the main benefits of tech strategy for companies.
The more correct the technology strategy of a business, the greater its chances of outperforming competitors and delivering differentiated results.
For example, a company that manages to increase its revenue by 20% with the help of a marketing automation tool and a sales pipeline is a tech strategy success story.
Certainly, this organization will be more prominent in its segment and more likely to grow and reach a leadership position in the market, especially if its competitors do not invest in a good technology strategy.
In addition, technology plays a key role in scalability , as it allows revenue growth while maintaining a lean cost structure, as long as it is well implemented and planned.
Increase operational efficiency
Operational efficiency is measured by the company’s ability to deliver results at the lowest possible costs , eliminating waste and optimizing processes in all its activities.
With a tech strategy, it is possible to identify the key processes that must be automated to improve business results and eliminate any bottlenecks in operations.
In this way, the organization becomes more efficient and makes a more rational use of its resources, whether financial, material, human or technological.
Take a long-term view of the business
The tech strategy also offers a long-term view of the business, as it provides managers with greater visibility and greater ability to project results.
With the right data analysis tools, for example, it is possible to generate predictive analyzes from the history of the company and create several possible scenarios for the future.
In this way, the manager has a macro view of the business and the probabilities to make more accurate decisions and walk in the direction of prosperity.
In this context, artificial intelligence is one of the great assets of tech strategy, as it allows algorithms to map different scenarios and identify market trends.