Capterra interviews change management expert Jack Shaw to discuss opportunities for SMBs to utilize AI, Blockchain, and IoT.
A momentous event in history can change the trajectory of someone’s life. For Jack Shaw, that pivotal moment was watching the first moon landing when he was a teenager. And by the time he graduated from Yale, he was already fascinated by technology and excited about what it meant for the future.
Shaw entered the software business in the early 1980s. Back then, he was intrigued by emerging technologies such as electronic data interchange (EDI) that enabled companies to exchange data without someone having to re-key it; an experiment between some universities and government agencies called the internet; and the initial attempts to develop artificial intelligence (AI) technology.
However, Shaw says it wasn’t until he saw the first graphical web browser that he made the switch from simply watching emerging technologies to monitoring them, to actively understanding the impact they have on businesses, society, and people’s lives.
In our wide-ranging conversation, Shaw discusses the opportunities, challenges, and risks of emerging technologies such as AI, blockchain, and the Internet of Things (IoT) and shares information SMBs can use to understand these technologies and start adopting them quickly. He also offers advice on how to avoid the pitfalls that can come with moving too quickly without understanding the impact of these technologies and reminds us not to get lost in the complex details.
“It's way more important to understand what these technologies do rather than know the technical details of how they work,” Shaw says.
Once you know what a technology is capable of, SMBs can start exploring options that can move their business forward, not only for the short-term, but also for years to come.
3 emerging technologies SMBs can use for growth
While technology companies are always developing new technology, Shaw cites three emerging technologies that SMBs should be adopting sooner rather than later.
Generative AI
With its game-changing capabilities, it’s no surprise that the buzz around generative AI hasn’t subsided since ChatGPT came onto the scene in November 2022. What makes generative AI different than previous AI models is its easy-to-use interface that responds to questions and requests.
“Artificial intelligence is far more than just the generative AI that has emerged over the last six to eight months with such tools as ChatGPT and Google Bard, Anthropic's Claude and Microsoft Bing and so forth,” Shaw says.
“Every part of every business and every industry is going to be dramatically changed by AI.”
Jack Shaw
Change management specialist
Because of this, Shaw believes it’s crucial for every company executive, manager, and front-line employee to become familiar with it quickly. Generative AI accesses large sources of data, learns patterns, and uses this “learning” to create (i.e., generate) different types of content within seconds, including text, graphics, and videos. And that means SMBs can use this emerging technology to create their own unique content in a much shorter time than ever before.
Blockchain
The word “blockchain” comes from the fact that data is stored in blocks, which are linked together over time in a chaining process. This technology is extremely powerful because it combines synchronization technology and cryptographic technology. Blockchain stores data on dozens to thousands of computers that sync data, and the data can be shared directly with others instead of having to have a third-party intermediate involved. Plus, it’s virtually immutable.
"In a lot of people's minds, blockchain is still conflated with Bitcoin, and you can't do Bitcoin and other cryptocurrencies without blockchain,” says Shaw. “But Bitcoin and cryptocurrency are just the tip of the iceberg of business and social applications of blockchain technologies."
Blockchain can be used in a variety of scenarios. Here is just a sampling:
Share relevant, authorized, and available data among dozens or even thousands of entities without having to have a third-party intermediary involved
Update information and allow everyone authorized globally to see it easily
Store records of various kinds of information ranging from identity and ownership of assets to business transactions and contractual commitments
Internet of Things (IoT)
An IoT device is often used to help people monitor and manage the physical world. Think about self-driving vehicles that are continuously monitoring the surroundings to be able to adjust instantaneously and avoid accidents; they can’t wait for data to flow back and forth from the cloud.
Another example is using IoT to monitor weather patterns (e.g., temperature and moisture) and communicate that information to broader external systems that collect that data from the IoT devices, something organizations could never hire enough people to do.
“The IoT concept has been around for more than 20 years,” Shaw says. “But now it has become a viable emerging technology that people and businesses are increasingly using in many different applications, and that, in turn, can be integrated back into tools such as blockchain and AI.”
Prepare your business for implementation
Even though SMBs don’t have the same amount of time, money, and resources that large enterprises have to research and evaluate technology, Shaw says they can still prepare their business to implement emerging technologies by taking these steps:
Consult with third-party advisors
Shaw explains that SMBs have their hands full keeping their IT infrastructure and systems up and running, so they have to depend on third-party services to assist them in monitoring this kind of environment. This is why the services that organizations like Gartner provide are particularly important because they assist organizations in understanding and keeping up with what’s going on in the external world.
Get buy-in from senior leaders
Shaw also recommends sharing a vision with your company’s executives of what your business could be doing better or differently two to five years from now. If you just focus on this year or next year, he says, that can cause people to make excuses like they don’t have the right people or budget to take this on right now. However, when you focus on a few years out, those short-term excuses go away. He also suggests not talking about anything 10 to 20 years into the future because that “might as well be science fiction."
Next, discuss what emerging technologies could help your company achieve your vision, how the technology works, and how your company can get from where it is today to where it wants to be in the future. Shaw says it’s important to keep this discussion high-level because unless someone asks, executives don’t want to know all the technical details.
The perils of not being on the forefront of emerging tech
Shaw suggests that SMBs start educating themselves as early as possible on emerging technologies, and mostly focus on gathering information instead of just purchasing or leasing a piece of software. He says ideally, someone on an SMB’s IT team should be “spending half their time or more just looking at the future.” Otherwise, the business could miss out.
In addition to monitoring AI as an emerging technology, companies should also be using AI to gather information and monitor their industry.
“What leading-edge things, not just with technology but also with business ideas, are people doing in your industry? How much of that is applicable to you? What regulations are being brought forth or considered or looked at that might impact your industry positively or negatively?”
Jack Shaw
Shaw shares how over the past 15 to 20 years, the internet has allowed us to gather information and assess our businesses and ecosystems and develop much better plans than we could have 30 or 40 years ago. And he expects the same thing to happen with AI technology, only, instead of making something 10 times faster, easier and better, it will make it thousands of times so. Thus, if companies aren’t researching and adopting AI technology now, they will soon be left out when society makes the lightning speed jump into the future with AI.
Don’t overlook other crucial technologies
Shaw says many SMBs use industry-specific software applications such as ERP and others to help them manage their business. Those software providers are small enough that SMBs can and should have a discussion with them about what their roadmap is for incorporating emerging technologies such as AI, blockchain and/or the Internet of Things into their solutions. Shaw suggests asking them, “How are you going to help us get from point A to point B because we’re going to depend on you having that in your solution? And if it’s not part of your solution, then maybe we need to be looking at one of your competitors who is looking further down the road than you are, even if you meet our needs today.”
Steps for staying tuned to emerging technologies
Although there are many challenges and risks that can come with emerging technologies such as AI, blockchain, and IoT, there can also be many rewards. However, Shaw says most SMBs are so consumed with solving their immediate problems that it can be difficult for them to put significant effort into anything else. But, if they want to grow and be successful, they must proactively monitor their environment. Summing it up, Shaw gives SMBs this advice:
Continually invest in the future of software by proactively researching and evaluating it as well as adopting and using it.
Start using generative AI technology as a tool. Shaw says companies shouldn’t just be using AI for tasks such as writing but also to start monitoring their environment in multiple ways.
Utilize blockchain. Most SMBs will typically be involved in a single blockchain ecosystem. For that, your company will need software that is smart enough to know it is interacting in a blockchain environment and that understands how to communicate through the internet and participate in a shared communication exchange. You’ll also need blockchain software that integrates with internet software as well as your company’s existing systems.
Once you do, your SMB will be in a much better position for the future.
For more on navigating the tools and trends for the future of work, check out the following guest pieces at Capterra: