The first step is for companies to take a close look internally at their business and the direction the business is heading. What are the business goals, and how does the business plan to achieve them? It's essential to determine the path to success and the steps required of people, processes, and technology to reach those milestones. Only then can businesses identify the areas where technology can play a crucial role in supporting these goals.

A thorough examination of people, processes, and technology will help you identify areas where innovation can be a catalyst for business growth. As you meticulously analyze your goals, you will be able to develop a custom roadmap of potential projects to chart the course to future success. Of course, these projects must be evaluated from an ROI and possibly an NPV standpoint to determine which ones are worth doing. Once you identify the most worthwhile projects from a theoretical standpoint, you will next need to identify practical gaps or impediments to implementing the projects.

Some of the more common gaps or impediments are skills gaps, capability deficiencies, and funding problems, which require further internal analysis.

The funding component is ubiquitous and must be addressed. Often, relying solely on the corporate budget will not be sufficient. This is where tough decisions come into play. Countless organizations have failed due to issues related to funding. If the lack of funds influences you to make decisions based on an inadequate budget without considering the downstream impact, you risk becoming diverted from the path you've created, thus resulting in a partial or ineffective technology solution.

Additionally, funding that is not secure can result in the dreaded "bridge to nowhere" with a partially completed effort gathering dust and rust. One approach to avoid this is to look internally for areas from which you could free up budget dollars to augment your corporate-approved funding. Perhaps you can phase out older, costlier, less effective technology to make room for innovation. Look at outdated technologies and functions that are not delivering the desired business value. Next, consider reducing, eliminating, or outsourcing them and earmark the savings for your new strategic efforts.

Skills and capability gaps represent another dilemma you will face.

Do you develop these skills and capabilities internally?

Can you afford to do so?

Should you use vendor partner(s) for this?

Most companies will land on a hybrid model where critical skills and capabilities are at least partially in-house, and vendors are used strategically. Vendor models may include training of internal or external personnel, staffing augmentation, and SLA-based solutions. If you use an outside vendor, make sure that they have a do-it-with-you philosophy that avoids loss of control. To the extent that it is important to you, also make sure that your contract has provisions for appropriate knowledge transfer back to your own organization so that you are not captive to your partner.

Finally, businesses must remain focused on their unique goals and aspirations. By carefully examining internal capabilities, making tough decisions, and selecting vendors strategically, companies can navigate the ever-evolving tech landscape and position themselves for success in the digital era.