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Thursday Dec 12, 2024
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COVID-19 is revolutionising business practices through the transformation of ‘People + Process + Technology’. The most important factor will be ‘People’ rather than Technology, since the Technology 
already largely exists.
In Part 2 of this series, we examine the readiness, or lack thereof, of technological processes in Sri Lanka’s state and private sector in transforming their commercial operations into digital marketing in the post-COVID era. Data for this analysis was compiled from Globalwebindex.com, Statista.com, and Datareportal.com.
We also recommend that institutions adopt a structured approach toward technological transformation, instead of implementing ad hoc measures. Focusing on the People factor of People-Process-Technology, and examining the challenges faced by Sri Lanka as a case study, the authors have developed a ‘5C Model of Technological Transformation’ that could be utilised by companies and other institutions in the developing world to galvanise their transformation.
They say “necessity is the mother of invention” and in the face of COVID-19 it is a matter of utmost urgency to digitally transform our workplaces. Companies that are able to use technology better to reshape their business models by fast-tracking digital transformation will be best positioned to survive in the post-COVID era.
Lessons learned from early days of COVID
The early weeks of Sri Lanka’s lockdown exposed glaring deficiencies in processes with regard to logistics, communications, law and order, etc. Examples include inability of supermarkets and government agencies to distribute food stocks, despite ample stocks of rice and vegetables in the country; and the chaos surrounding provision of curfew passes.
However, it would not be incorrect to state that many institutions already possessed the technology and did not need to make significant investments in hardware or software. Rather, it was a paucity of knowledge among employees on how to utilise technology and reengineer processes, that led to bottlenecks.
Innovation ecosystem in Sri Lanka
Entrepreneurs are an important instrument for maintaining thriving business environments and economic growth. Innovation and ntrepreneurship are a key issue in Sri Lanka’s National Export Strategy (NES) 2018-2022, which seeks to strengthen the country’s national business environment and increase access to financing for start-ups, among other objectives. The strategy seeks to create a national business environment.
The International Trade Center (ITC) has carried out a network study of institutions assisting entrepreneurs in Sri Lanka to further strengthen Sri Lankan government support for small businesses. However, there were few startups within the Sri Lankan startup ecosystem. One or two prospective startups may be sought by an investor. This is not enough, however, to build a diverse national portfolio.
Enabling ICT environment
As we showed in Part 1 of this series, Sri Lanka presents a tremendous challenge for the adaptation of ICT in general. ICT education is of particular concern. A key factor is the need for modernisation of ICT education, but few schools outside of the major cities possess necessary facilities and teachers. In view of these limitations, it will not be feasible to rapidly provide computer laboratories in schools.
There is also an issue over access to broadband internet throughout the country, which is necessary for educational purposes. In rural areas there are few teachers of ICT. In some cases the reason for ICT adoption was driven more by poorly advised strategies than the country’s requirements, especially in rural Sri Lanka, given the lack of support infrastructures for ICT.
Local politicians, for example, often pledge to provide schools with computers in preparation for elections, but the effectiveness of such strategies is yet to be seen due to a lack of broader support for ICT.
Why we should invest in digital literacy
The shift in workflow brought about by technology has also brought an exponential increase in the demand for digital literacy, the term which refers to the skills needed for participating in a knowledge economy.
For the average worker, what does digital literacy look like? Digital literacy means embracing consumer-oriented technology for business integration and automation such as Salesforce, the leading global CRM or Workato. In reality, a new position has been developed by consumerised company apps: System Admin, who specialises in managing a certain software, or a group of tools, such as the Atlassian Suite. It is mastery of such software that will empower businesses.
There are three approaches to enable the individual to learn and to invest in technology programmes.
Digital literacy creates new opportunities
Technical skills are definite requirements in today’s labour market and will continue as high-tech components become involved in growing numbers of jobs. Even if you don’t work in the technology sector itself, you will probably need to reach a certain degree of digital literacy.
The high level of demand for tech skills is reflected in the mean pay for employment in the technology sector. Even if you don’t want to work as a developer or engineer you can still increase your income capacity by being digitally educated. It might also totally open up a new career direction.
Digital literacy increases efficiency and flexibility
Digital literacy isn’t just an entrance to a more accessible career. It is a way to develop, regardless of your profession, in your current career.
Digital literacy is easily linked with community
In addition to career resources and versatility, digital literacy is a significant benefit to the community. Not only are entire networks built for communication and chat, but growing technology also contributes to robust user communities.
E-readiness factors and related issues in Sri Lanka
Connectivity and technology infrastructure: This measures access to basic fixed and mobile telephony, personal computers and the internet for individuals and businesses. All the characteristics of the level of competition on the telecoms market include affordability, efficiency and reliability
Political stability: How stable are the country’s Executive and Legislative branches of Government? How efficient is the Judiciary?
Consumer and digital adaptation: How prevalent are ecommerce practices? What part of the online retail trade is carried out? How does the Internet use conventional business systems to be revamped and automated? How are businesses helped to develop logistics and electronic payment systems in this effort? What is the level of finance and government funding needed in IT?
Legal and policy: The creation of e-commerce is based on the overall legal structure of a country and on specific legislation regulating internet use. How easy is a new business to register and how secure is privacy, in particular intellectual property, which can easily be the target of digital age piracy? Governments which promote the development of an internet-friendly legal environment are given high marks for policy and compliance.
Social and cultural: To what degree is Sri Lankan society and culture accepting of the revolutionary transformations that will be required to traditional practices in the post-COVID world?
Supporting services: Without intermediaries and auxiliary services, no organisation or industry can operate efficiently. In e-business, consulting, IT, and back office solutions are included.
Laws in Sri Lanka pertaining to digital transactions
It is pertinent to touch upon the readiness of Sri Lanka’s legal regime to facilitate digital transactions and to protect the rights of parties involved in transactions. This is an area which institutions need to be proficient in if they are to utilise digital marketing. Sri Lanka’s legal regime appears well placed in this regard with a range of legislative enactments in place including the following:
One notable lacuna in the legal regime relates to data protection. Although a Data Protection Bill has been prepared, it has yet to be approved by Sri Lanka’s Parliament, and it is of paramount importance that this matter be attended to at the earliest possible instance.
In addition, Sri Lanka has a number of statutory institutions that are collectively able to enforce the law in terms of transgressions during digital transactions and in terms of facilitating digital commerce. These include:
Golden Triangle
This is a basic holistic model for process improvement known and used for cross verticals (industries) that Sri Lanka must get back to. It is equipped with three key components – People, Process, Technology.
Three reasons why digital transformation is People, not Technology
It require a shift in mindset
When individuals within an enterprise are not interactive, introducing the new technology systems and technologies would accomplish very little. Employees must be able to vary their thoughts about how the business and its clients will achieve success. In addition to acknowledging the positive impact of digital transformation on the workplace, every worker must also embrace the notion that digital technologies entail changes in the way they function.
It requires behaviour change
Employees must adapt their approach to their careers, use data and use modern digital technologies in order for a digital transition to take place. There would be no permanent shift to merely implement new technology because people need the expertise and experience to integrate new technologies into new and already existing workflows.
It requires the support and drive of leaders
The first step in cultural change is understanding that it is people first, and that it is a leader’s job to find ways to involve and motivate their team. Leaders must spot new trends and put together their thoughts in multiple perspectives. They should rapidly bring on board the digitally savvy talent of tomorrow. Leaders must establish collaboration among the team. It is about working relentlessly to break down silos and getting people working together to solve customers’ and the organisation’s issues.
People and the C5 Model of Digital Transformation
The C5 Model of Digital Transformation developed by the authors of this article provides insights into the most critical roles in digital transformation.
Catalyst: The spark within an institution behind the movement to install technology, adopt new processes, and persuade people to accept the new processes.
Connector: Those who are attuned to what is happening, not only in IT but in other business areas as well. They know people and the work that is going on in the institution.
Contender: Those who provide the necessary support. They think objectively about the way forward and do not fear facing the status quo. This is the opposite of those who doubt and block changes.
Contortionist: Someone who can help an organisation to adapt to changes and unexpected turns.
Co-pilot: The path and support that keeps the ship on the right track; remember where we want to go and the road that we decided to take.
The C5 Model is a people transformation strategy that aligns the business strategy (Organisation + Market) and places the employee function firmly at the centre of creating the employee value proposition. The implementation of technology and the transformation of work processes requires the most important ‘People’ factor to be already in place. It requires a change in traditional and antiquated mindsets to ones in which the above five types of persons would be given sufficient importance in order to implement changes to technology and work processes.
Process
Every shop, every office, every factory, is a work process and must be viewed as such. The more modern the work processes, the more cost-effective and efficient an organisation will become. The addition of technology will bear full results only if they are married with work processes that would fully utilise technology.
Technology
The technology exists in abundance for the requirements of post-COVID-19 operations in most industries. However, the ease of implementing such technology requires the ‘People’ element to be fully in tune with and aware of what technology is already available and what processes can be revolutionised by the implementation of new technology.
Conclusion
It is of paramount importance that Sri Lanka’s commercial and state institutions become more firmly focused on the urgent need to empower their People with the relevant knowledge and attitudes; implement simple new Technology; and transform their Processes to become more geared toward digital commerce. This can be described as a global race of survival to become more competitive, where institutions and nations that lag behind may fall by the wayside.
[Dr. Nicholas Ruwan Dias is a Digital Architect at Aegon Asia, based in Kuala Lumpur. He holds a BSC in Computing from the University of Greenwich, Masters in Computer Software Engineering from Staffordshire University and PhD from the University of Malaya. He is completing a second doctorate (DBA) from Universiti Utara Malaysia.]
[Niresh Eliatamby is Chairman of Chaos Theory Ltd., a research based consultancy in Colombo, is an author, and a lecturer in HR/tourism/marketing. He holds an MBA from London Metropolitan University and LL.M. in International Business from Cardiff Metropolitan University.]
(Copyright Nicholas Ruwan Dias and Niresh Eliatamby.)
