Like Kodak, at your peril, ignore digital

In 1888, much of the world was transported by steam-power and horse-drawn carts. It wouldn’t be for another 15 years before Henry Ford forever transformed transportation by installing his first moving assembly line. That one advancement caused major social, economic, technological, and political disruption. What was the lesson for business? Adapt or die.

George Eastman had a knack for innovation and at the time of his death in 1932, he was worth an estimated USD $95 million (roughly USD $2 billion today). Eastman founded the Eastman Kodak Company (Kodak). In its time, Kodak was a technological, innovative, and marketing powerhouse. In fact, the company could claim to be the Google of its day. In many executive level reports, Kodak was delivered a clear message; change is coming. Why did the Google of its day fail? It did little to prepare for that change and at the highest levels, failed in their strategic choices.

We live in an age where the speed of change is unprecedented. It has been speculated that at some point within the next 10 years, Moore’s Law will become extinct and quantum computing, despite current difficulties in development, when successful, will result in a capability explosion (amongst other things) for machine learning and automation. The implications for business are obvious. Adapt or die.

According to research conducted by BStar, 61% of accountants do not have a digital strategy in place to help attract new clients. In an increasingly competitive environment where the spectre of new Asian-based market entrants and financial planning-accounting alliances are becoming prevalent, accountants who do not acknowledge or prepare for digital disruption, weaken their competitive position and may fail to achieve operational efficiencies. Mind you, there’s opportunity in disruption.

In 60 seconds, Google hosts over 3 million search enquiries. The market has an appetite for information and someone needs to supply it. This is your great opportunity. Sure, you’ll need to understand the nuances of digital marketing strategies but something in your immediate control is to create great content, content that solves problems for consumers. By solving a problem, you create value. By solving multiple problems, you establish credibility. Establish credibility and you become an authority. Become an authority and suddenly, you’re trusted. That all starts with the strategic decision to invest in digital.

In 1888, after hiring and firing an advertising guru, Eastman penned the company’s slogan “You press the button, we do the rest”. When the market stopped pressing the button, despite countless warnings and many well-reasoned reports, Kodak failed to adequately equip itself to deal with that disruption. Given today’s incredible speed of change, increasing levels of competition, and an insatiable global appetite for online information, the question is, will your business learn from, or replicate Kodak? Will your business adapt or will your business die?