4 ways to mitigate the risk of Digital Transformation Plans due to COVID-19?

COVID-19 has been the most massive pandemic seen by the world in recent times. I believe that it will impact consumer behavior because the virus is difficult to eradicate. There are two key data points to think about this.

1) As per research, this virus mutates continuously
2) Countries like Singapore are facing the re-emergence of the patients with the virus

So the world is in state of Uncertainty Uncertainty & Uncertainty

Now, when there are so many uncertainties, Digital transformation initiatives will impact in the below ways.

Hiring Reluctance

Companies will be reluctant to employ a lot of engineers on the roll. As it is happening today, the Government has asked not to sack any employee. It can lead to a considerable cost as 50–60% of the technology vertical’s cost is workforce cost. Companies may not see the value getting delivered.

Starting new Initiatives/Projects

Due to uncertainties & cost pressure, companies may put their new Digital transformations on hold for the time. As per some early estimates, these uncertainties looks like for this whole year of 2020.

Delay in planned Product/Solution launches

There is a considerable possibility of delays in the intended product & solution launches for the corporates. It can be due to the uncertainty, cost pressure, or market conditions. As per my experience, I can say that the delay leads to a demotivated workforce. It also led to dissatisfaction, which leads to the exit of excellent resources. We have to realize that there is never a shortage of jobs for unique resources.

As per my experience of more than fifteen years in the technology industry, I would like to suggest some of the below measures for the CIOs/CTOs.

Technology Selection

At least for some time, choose the prominent technologies. Prominence means that the resources & skillset are available. Due to uncertainties, talent expenditure will be cut off. If you invest in technologies for which resources are expensive, then those project may not kickoff

If you are working using microservices, it will be better to select the technology as per the availability & cost perspective.

Risk Mitigation

Invest in getting a competent technology partner for the next 6–9 months. It will help you sail through the uncertainties.

Build Operate Transfer

Explore the Build Operate Transfer with your technology partners. This model used to be very successful during the SAP era.
If you go for BOT, you can ask the partner company to hire the resources & work for you. Whenever this uncertainties end, you can transfer the resources to your company. It will help you expedite the development as well as optimize the cost during good times too.

Challenging In-House Assignments

Good engineers will get frustrated in these challenging times. Generally it happens because the focus shifts from growth to sustainability. It is always advisable to identify some futuristic inhouse projects & keep the team occupies with them

Though there may be many more suggestions, but I have mentioned only top 4. These are challenging times & we need to abide by

“Survival of the Fittest”