• Home
  • About Us
  • Contact Us
  • Privacy Policy
  • Special Offers
Business Intelligence Info
  • Business Intelligence
    • BI News and Info
    • Big Data
    • Mobile and Cloud
    • Self-Service BI
  • CRM
    • CRM News and Info
    • InfusionSoft
    • Microsoft Dynamics CRM
    • NetSuite
    • OnContact
    • Salesforce
    • Workbooks
  • Data Mining
    • Pentaho
    • Sisense
    • Tableau
    • TIBCO Spotfire
  • Data Warehousing
    • DWH News and Info
    • IBM DB2
    • Microsoft SQL Server
    • Oracle
    • Teradata
  • Predictive Analytics
    • FICO
    • KNIME
    • Mathematica
    • Matlab
    • Minitab
    • RapidMiner
    • Revolution
    • SAP
    • SAS/SPSS
  • Humor

Crowdsourced Financing Tramples On Established Truths

June 5, 2017   SAP
278298 278298 l srgb s gl Crowdsourced Financing Tramples On Established Truths

Part 2 in a 4-part series. Read Part 1.

In the first edition of this blog series, I set out to illustrate how the new industrial revolution is redefining nearly every aspect of the enterprise, as change and innovation accelerate at an astonishing speed. Understanding the different technology breakthroughs is essential for finance leaders today, as fundamental business concepts are being turned on their heads. Establishing a flexible strategy for business-model changes, partnerships, and acquisitions to cope with the growing speed of innovation and competition has become the new mandate of a more strategic finance function that supports the leadership with innovation along the value chain.

This second article examines the crowdsourced funding aspect of this digital disruption.

An innovation beacon that’s kicking history into a new era

Access to capital, and the limits thereof, have traditionally been among the defining parameters of any economic system. Capitalism, at its very core, relies on the free flow of capital. In the past, however, an independent inventor, for example in a rural area, had close to zero chances of creating an expensive prototype of their invention, let alone bringing it to market at scale to challenge an incumbent vendor or brand with a new product. In the 21st century, with the advent and growth of crowdfunding sources such as Kickstarter, the history of innovation, manufacturing, and marketing is being “kicked” into a new era. This is having a growing impact on the world of finance.

Competition where you least expect it

In the “old” world, concepts such as cost, profit, cash, revenue per employee, or risk were the overriding concerns of most finance professionals. Now, in the new era of finance, strategic concerns such as time-to-market, market share, growth velocity, brand equity, and customer loyalty are taking a stronger hold in the minds of finance leaders. It is simply not enough any longer to “flawlessly manage” the finances of the enterprise. Today, finance leaders must step up to a strategic role to help their enterprises face competition, not only from established companies in their space, but from an ever-accelerating and growing phalanx of upstarts and innovators that simply weren’t there the year before.

The importance of an innovation ecosystem

The next generation of competitors will be able to tap into digital technologies, ubiquitous capital, and marginal-cost, distributed manufacturing. Their near-zero employee enterprises can leverage global distribution channels with minimal delay and cost. With this trend, it’s ever more important for enterprises to discover and evaluate the risks posed by this competition as early as possible. It has become imperative for the enterprise to become more agile in its go-to-market approach. Companies must realize the ever-growing significance of maintaining an innovation ecosystem of their own.

A new strategic mandate

Finance leaders are managing this new competitive landscape by:

  • Ensuring real-time flow of information to minimize competitive response times
  • Increasing the ability to change financial models, prices, and planning assumptions
  • Establishing a maximum of automation for routine tasks to free up time and attention to strategic tasks such as business model changes, partnerships, mergers, or acquisitions
  • Employing predictive foresight to preempt risks and maximize planning flexibility

The next blog in this series will explore cryptocurrencies – an innovation beacon that is challenging the most fundamental economic concepts. Look for that on Wednesday, June 7.

For a look at the technology behind cryptocurrencies, see Running Future Cities on Blockchain.

Follow SAP Finance online: @SAPFinance (Twitter)  | LinkedIn | Facebook | YouTube

Comments

Let’s block ads! (Why?)

Digitalist Magazine

Crowdsourced Financing Tramples On Established Truths

June 5, 2017   SAP
278298 278298 l srgb s gl Crowdsourced Financing Tramples On Established Truths

Part 2 in a 4-part series. Read Part 1.

In the first edition of this blog series, I set out to illustrate how the new industrial revolution is redefining nearly every aspect of the enterprise, as change and innovation accelerate at an astonishing speed. Understanding the different technology breakthroughs is essential for finance leaders today, as fundamental business concepts are being turned on their heads. Establishing a flexible strategy for business-model changes, partnerships, and acquisitions to cope with the growing speed of innovation and competition has become the new mandate of a more strategic finance function that supports the leadership with innovation along the value chain.

This second article examines the crowdsourced funding aspect of this digital disruption.

An innovation beacon that’s kicking history into a new era

Access to capital, and the limits thereof, have traditionally been among the defining parameters of any economic system. Capitalism, at its very core, relies on the free flow of capital. In the past, however, an independent inventor, for example in a rural area, had close to zero chances of creating an expensive prototype of their invention, let alone bringing it to market at scale to challenge an incumbent vendor or brand with a new product. In the 21st century, with the advent and growth of crowdfunding sources such as Kickstarter, the history of innovation, manufacturing, and marketing is being “kicked” into a new era. This is having a growing impact on the world of finance.

Competition where you least expect it

In the “old” world, concepts such as cost, profit, cash, revenue per employee, or risk were the overriding concerns of most finance professionals. Now, in the new era of finance, strategic concerns such as time-to-market, market share, growth velocity, brand equity, and customer loyalty are taking a stronger hold in the minds of finance leaders. It is simply not enough any longer to “flawlessly manage” the finances of the enterprise. Today, finance leaders must step up to a strategic role to help their enterprises face competition, not only from established companies in their space, but from an ever-accelerating and growing phalanx of upstarts and innovators that simply weren’t there the year before.

The importance of an innovation ecosystem

The next generation of competitors will be able to tap into digital technologies, ubiquitous capital, and marginal-cost, distributed manufacturing. Their near-zero employee enterprises can leverage global distribution channels with minimal delay and cost. With this trend, it’s ever more important for enterprises to discover and evaluate the risks posed by this competition as early as possible. It has become imperative for the enterprise to become more agile in its go-to-market approach. Companies must realize the ever-growing significance of maintaining an innovation ecosystem of their own.

A new strategic mandate

Finance leaders are managing this new competitive landscape by:

  • Ensuring real-time flow of information to minimize competitive response times
  • Increasing the ability to change financial models, prices, and planning assumptions
  • Establishing a maximum of automation for routine tasks to free up time and attention to strategic tasks such as business model changes, partnerships, mergers, or acquisitions
  • Employing predictive foresight to preempt risks and maximize planning flexibility

The next blog in this series will explore cryptocurrencies – an innovation beacon that is challenging the most fundamental economic concepts. Look for that on Wednesday, June 7.

For a look at the technology behind cryptocurrencies, see Running Future Cities on Blockchain.

Follow SAP Finance online: @SAPFinance (Twitter)  | LinkedIn | Facebook | YouTube

Comments

Let’s block ads! (Why?)

Digitalist Magazine

Crowdsourced, Established, Financing, Tramples, Truths
  • Recent Posts

    • C’mon hooman
    • Build and Release Pipelines for Azure Resources (Logic Apps and Azure Functions)
    • Database version control: Getting started with Flyway
    • Support CRM with New Dynamics 365 Field Service Mobile App
    • 6 Strategies for Achieving Your Business Goals in the New Year
  • Categories

  • Archives

    • January 2021
    • December 2020
    • November 2020
    • October 2020
    • September 2020
    • August 2020
    • July 2020
    • June 2020
    • May 2020
    • April 2020
    • March 2020
    • February 2020
    • January 2020
    • December 2019
    • November 2019
    • October 2019
    • September 2019
    • August 2019
    • July 2019
    • June 2019
    • May 2019
    • April 2019
    • March 2019
    • February 2019
    • January 2019
    • December 2018
    • November 2018
    • October 2018
    • September 2018
    • August 2018
    • July 2018
    • June 2018
    • May 2018
    • April 2018
    • March 2018
    • February 2018
    • January 2018
    • December 2017
    • November 2017
    • October 2017
    • September 2017
    • August 2017
    • July 2017
    • June 2017
    • May 2017
    • April 2017
    • March 2017
    • February 2017
    • January 2017
    • December 2016
    • November 2016
    • October 2016
    • September 2016
    • August 2016
    • July 2016
    • June 2016
    • May 2016
    • April 2016
    • March 2016
    • February 2016
    • January 2016
    • December 2015
    • November 2015
    • October 2015
    • September 2015
    • August 2015
    • July 2015
    • June 2015
    • May 2015
    • April 2015
    • March 2015
    • February 2015
    • January 2015
    • December 2014
    • November 2014
© 2021 Business Intelligence Info
Power BI Training | G Com Solutions Limited