Infosys’ blog on industry solutions, trends, business process transformation and global implementation in Oracle.

« Look before you leap supply chains from on-premises to cloud | Main | Internet of Things (IoT) in field service management (FSM) »

Trends that will disrupt the Hi-Tech industry


The Hi-Tech industry is typically characterized by segments like telecom, computing, software, semi-conductors, advanced machinery/instrumentation, aerospace, biotechnology etc. However, its boundaries with automotive and industrial manufacturing continue to blur, given the increasing leverage of 'cutting edge' technologies in these segments.


The global business scenario has changed significantly over the last few years. Specifically, the hi-tech industry has undergone tremendous changes in terms of technology advancements, innovations, globalization and digitization. These changes now pose the following primary challenges to the Hi-Tech industry -


  • Globalization and the power of emerging economies is increasing the complexity of the business environment. Shrinking cost-arbitrage opportunities between different economies increasing the cost pressure, and consequently increasing the pressure on margins

  • The growing power and ubiquity of technology continues to give customers greater information and choice (about what products and services they can buy), thereby increasing the need for companies to be current with respect to technologies

  • Customer expectations from product vendors and service providers continue to rise.

  • Responsive customer service solutions that can track complex and dynamic patterns to deliver a superior customer experience. These are fairly complex and change at a rapid pace.

  • Product obsolescence, shorter technology cycles leading to a need for greater pace of innovation.

  • Need for increased supply chain visibility and real-time collaboration

  • Pressing environmental concerns and increased competition owing to globalization


    Three strategies to help ease the transition into the future -


    Some of the key strategies that will disrupt the hi-tech industry are -

  • Adoption of robotics - Robotics is already influencing supply chains within the automobile industry and this trend is set to witness extreme adoption across the hi-tech industry. With the usage of robots as replacement of human labor in performing simple or repetitive jobs, several tasks within warehouse systems can be easily automated, thereby reducing labor cost and human error and improving operational efficiency. The usage of drones has already started to disrupt logistics within the hi-tech industry (and several other industries).
  • Implementation of Internet of Things (IOT) & data science - Known as the next step in the evolution of the internet, internet of things generates big data, that is fast enabling smarter analytics. With capabilities to extract, collate, organize, and analyze this data, organizations now have access to better insights, in order to make more strategic business decisions. The power of intuitive insights can trigger new advances in technology and automation, thereby increasing efficiencies. With rapidly increasing device connectivity, mobile applications are already making significant in-roads within industries such as consumer and commercial telematics, consumer electronics, remote health monitoring, etc.
  • Ensuring faster innovation - Organizations are bringing their products to the market faster by leveraging open innovation networks. Several companies have aggressively adopted the concepts of 'intrapreneurship' - enabling employees to develop processes through focusing on in-house innovation and creativity within the organization. These organizations continue to measure and continuously improve the innovation process.
To address the above challenges and keep pace with these disruptive changes, organizations must become more responsive. Organizational agility is going to be the core differentiator for companies in today's rapidly changing business environment. The winning players in the hi-tech industry will be those that can prepare themselves for increased complexities, global uncertainties and rapid change, thereby ensuring profitability.

Post a comment

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)

Please key in the two words you see in the box to validate your identity as an authentic user and reduce spam.

Subscribe to this blog's feed

Follow us on

Blogger Profiles