Technology Problems Madole Labs

The Biggest Issues IT Faces in 2022

June 20, 2022 0 By Madole Labs

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biggest issues it faces today

The world is becoming healthier and better connected and more needs to be done around the biggest issues IT faces particularly challenges around its stabilization. Decision-making by power elites is rightly questioned on a regular basis. An educated generation is rising up, highlighting the problems of unethical decision-making. Technology remains at the forefront as the reason and solution to issues faced internationally today.  This article focuses on certain aspects of key problems being faced by the information technology industry today and defines them at a high level.

Demand For Transformation

In this age of digitalization, a company must evolve to stay competitive. The rise of e-commerce has spurred an increase in the number of companies that use technology to improve their operations. Retailers are ramping up their online presence. They are experimenting with AI and VR to provide a more seamless customer experience. Delivery platforms such as Uber and Lyft are also looking to leverage these innovations to improve customer experiences.

The digital revolution has sped up business practices in almost all industries, regions, and sectors. According to the McKinsey Global Survey of executives, companies have accelerated digitization by three to four years. In some regions, this process has taken as long as seven years. Nearly all companies say they have a temporary solution to this crisis. However, this crisis will not disappear overnight.

Traditional companies are also struggling to adapt to the new business environment. They face increasing pressure from customers and other stakeholders because of the rapidly evolving digital environment. Keeping up with these multiple expectations requires proper planning, overall cooperation, flexibility, and focus. Companies that lack an IT department may find it difficult to learn the latest digital transformation technology and processes. So, it is crucial to ensure that all stakeholders are on board with this transformation process.

Customer Experience

While customer service is still very important to any business, the way in which a company interacts with customers has undergone a revolution in recent years. New technologies enable companies to connect with customers in a whole new way. While people are the lifeblood of a business, a company cannot exist without a customer. Because of this, companies have been focusing on improving the customer experience to attract new customers and retain existing ones.

To improve the customer experience, businesses must first identify the customers they serve. Once they have a sense of how to address their needs and help them solve problems, they will be more likely to stick with that brand. It’s no surprise that a business that puts the customer first tends to do better than competitors. Fortunately, new technologies are opening up a whole new world of customer experience opportunities.

Cybersecurity Threats

Cyber attacks have become increasingly sophisticated, with nation-states using their hacking skills to attack critical infrastructure and disrupt communications. Cybercrime is now a major threat to the private sector, individuals, and governments. By 2021, it was posted that the number of state-sponsored attacks had doubled over previous years. Those attacks are more destructive and difficult to detect than ever before. While worldwide governments take cybersecurity threats very seriously, they seem to be moving too slowly to combat these attacks.

While Canada and the United States have taken steps to counter these threats, the world’s data remains vulnerable to state-sponsored attacks. The recent conflict between Russia and Ukraine has highlighted the potential consequences of state-sponsored cyberattacks. These malicious events can cripple organizational and governmental systems, which has made cybersecurity an even bigger priority. One recent incident involved a Russian computer worm (RSOCKS botnet) that slowed down the internet and cost North American companies millions of dollars. 

The pace of change in the industry has made cyber security a highly competitive business. As companies invest in technology to run their business, they are layered with new systems, creating new vulnerabilities. Moreover, adversaries are becoming increasingly sophisticated, leveraging advanced artificial intelligence, machine learning, and other technologies to speed up attack times. And no organization is safe from cyber threats – small and midsize enterprises face just as many as large businesses. 

Enterprise Cloud Strategy

An enterprise cloud strategy is a plan that aligns a company’s business strategy with its use of digital resources. The most impactful areas in today’s business tech are cloud environments. To create a successful cloud strategy, industries need to evaluate their business models and how it fits into the digital ecosystem. 

An enterprise cloud strategy is an important blueprint that lays out specific recommendations for cloud adoption and a foolproof plan for implementation. Whether you’re a start-up or a mature business, a move to the cloud has become an essential investment. The product development industry has already “crossed the chasm” in terms of DevOps, and is shifting to new technologies, leveraging project management methodologies such as Agile. In addition to these automation advantages realized by implementing DevOps, an enterprise cloud strategy is critical to the success of your cloud adoption efforts.

A good cloud strategy serves both your short-term and long-term business goals. The strategy team should include representatives from IT, networking, and other business-centralized departments to design a roadmap for the cloud deployment and migration process. They should also coordinate with stakeholders and ensure successful implementation. The team will be a key decision-maker in determining the best model for your company. It will also analyze your current applications and determine whether they can be moved to the cloud. 

Supply Chain Disruptions

The largest single cause of supply chain disruptions is the surge in demand for physical goods, a result of record stimulus programs and a shift in consumer spending from services to consumer durables. The movement and production of physical goods return to normal as demand declines and the economy begins to heal. Analysts from Morgan Stanley predict that these production and movement issues will ease by the end of the year. But this does not mean that supply chain issues are over.

The global economy is facing the worst shortage of resources in decades, which is putting pressure on supply chains. This has led to a disruption of global production and business investment. The global economy is already feeling the effects of these disruptions, which may be only temporary. But what causes them? The supply chain is interdependent and messy. Take COVID-19, for example, which spread around the world from late 2019 until 2022. The country imposed a national lockdown on factories and caused significant delays and product shortages.

Although supply chain disruptions are nothing new, this is an unprecedented scale. Pandemics expose the vulnerability of global supply chains and cause a shortage of goods that impacted nearly every industry and household. The Suez Canal blockage of 2021, and global trade conflicts also created widespread shortages of goods. Even though this may have been an extreme case, many organizations still rely on inflexible legacy systems that were built before the emergence of the internet and increased globalization. They were not designed for today’s challenges.

Cost Containment

Healthcare costs are at an all-time high. According to a 2019 article from the Centers for Medicare and Medicaid Services (CMS), costs will continue to increase by about 5.5 percent annually until 2027. To keep costs in check, hospitals must focus on cost containment. How can hospitals reduce their costs? How can healthcare providers use data to make more informed decisions?

Often, costs incurred by providers differ significantly from the amounts paid by patients or third-party payers. Medicare and Medicaid physician and hospital payment levels are two examples of costs incurred by providers. Provider profits are generally considered to be excessive. In the absence of cost containment, providers are tempted to use payments from high-payment payers to cover costs for low-payers. Consequently, it is critical for healthcare to develop a policy that focuses on total expenditures.

Health care costs are often inflated by legislation that controls the growth of physician services. Certificate of need legislation, for example, tends to divert expenditures and raises costs. Furthermore, price controls on physician services follow a rise in physician services. Ultimately, cost containment strategies must consider rates of growth and their corresponding effects on access. Using clinical effectiveness and economic efficiency criteria to quantify the impact on access implies normative judgments on the part of policymakers.

Competition For Talent

The current global economy has created a new competitive landscape, making it harder for companies to attract the top talent. During the 2008 – 09 recession, North America had a large surplus of people but a shortage of jobs. This meant that companies were able to pick and choose who they wanted to hire.  Today, in 2022 the demand for qualified people has now exceeded the supply. This has led to increased competition for top talent, especially among smaller enterprises.

To succeed in this new world, industrial companies must reinvent themselves as enticing employer brands. With a growing number of talented employees looking for a new opportunity, they must become desirable destinations for top talent. That requires developing a compelling employer brand and redefining their value propositions as employers. And the challenges are as big as ever. Today’s most talented workers aren’t content to work for the same company they’ve had for generations.

The competition for talent is so fierce that many major companies are taking unusual steps to retain top employees. For example, Apple has started giving engineers bonuses for staying four years. These measures are intended to keep top talent at Apple and discourage defectors. However, if smaller companies are not spending their resources on recruiting and retaining talent, their competitors will, and they could end up being priced out of the market.

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