Even the RBA is warning us not to be complacent about digital disruption.
In an unusual but welcome move, the RBA is warning Australia to be aware of the risks of digital disruption and not to be left behind as other countries move to take advantage of new ways of doing business, facilitated by digital technology.
The RBA’s Chief Information Officer, Sarv Girn, presenting at the CEDA Adjusting Australia Series on June 11 2014, warned that, “the velocity of change we experience as a consequence of digital technology is unprecedented and in most cases unpredictable.”
He described digital disruption as “innovating to break the ranks of status quo, it redefines the norm, and changes the markets and competitors around us.”
“As an executive the way you deal with digital disruption is more critical now than ever before; do you see it as a risky threat or an innovation opportunity, and what questions must you ask to ensure you don’t become extinct? Surviving with a status quo mindset may not be enough when challenger business models are thriving in this digital age.”
Girn suggests three golden rules that executives and directors should consider when it comes to digital disruption:
- Have a clear and conscious strategy regarding your digital direction.
- Create a culture that fosters innovation in your organisation.
- Determine the collaborations that you will need to be successful.
Perhaps the most important message of Girn’s address is that the biggest risk of all in the areas of digital disruption is do nothing at all.
A transcript of his speech can be found at: Digital Disruption – Opportunities for Innovation and Growth.