The Third Wave: An Iron Tale about the Business of Print, Vol. 10

Published: October 01, 2002, By Susan Kelly, Raine Consulting

This column is the tenth in a yearlong series of columns about the challenges facing the converting industry. Through our 2002 series of print and web articles, Raine provides critical insights, specific industry examples, and thought-provoking ideas about how technology is impacting converters today. We examine tactical-to-practical practices for decision-makers to inspire, innovate, and initiate action. This month, we continue our series with the second step when making technology choices.

Step Two: Understanding ‘Tech’ vs. ‘Net’ Readiness
To make smart technology choices, CEOs need to figure where are they now and where do they want to go. One way to accomplish this is to assess the company’s technology and business readiness factors.

There are two levels of readiness (i.e. tech and net readiness) when it comes to making technology choices.

Tech Readiness
The first is "tech readiness." Raine has developed two charts to help companies gauge tech and net readiness for both their companies and their customers. (For a copy of these charts, please access Raine's white paper The Third Wave: An Iron Tale about the Business of Print, downloadable free-of-charge at RaineConsulting.com.)

The first chart that refers to how "wired the inside four walls" are within a printing company. Tech readiness deals with the status of technology in operations or the supply chain. The three stages of "early," "developing," and "advancing" helps printers identify what stage they are at today and what they can expect as they approach the next level. There are three areas of tech readiness:

• content management: front end...everything from file creation to prepress
• collaboration: includes the sales process, quotation activities through to change management and reporting
• production & fulfillment: encompasses all manufacturing activities

As a general rule of thumb, the higher the state of Tech Readiness, the faster internal efficiencies from technology will impact the bottom line.

Net Readiness
The second chart refers to "net readiness." A printer can easily gauge their level of Internet readiness. In other words, when they go outside their four walls, how connected are they with the outside world or the demand chain (i.e. customers, suppliers, etc.) when conducting the business of print? There are two areas of net readiness:

• customer readiness: willingness and ability to integrate with their
• systems readiness: primarily CRM (customer relationship management) and e-procurement systems

As a general rule of thumb, the higher the state of net readiness, the faster new revenue opportunities appear on the scene and the higher the switching costs to customers and suppliers.

These charts are helpful creating a road map for success. They provide an easy way to identify and communicate to customers and employees the company’s current stage of progress and technology objectives. In addition a gap analysis between major customers and your company can be conducted. The gaps help indicate technology priorities as part of customer retention programs.

In the end, we don’t need to chart the ocean to know that it's big. However simple tools that provide meaningful direction are essential, especially when technology choices are becoming more complex and overwhelming every day.

Visit Raine Consulting at RaineConsulting.com.