Internet of Things and on-ground delivery: Lessons in sustainability
Internet of Things as Disruption in works
This decade has witnessed a significant behavioural shift in purchasing retail commodities. E-Commerce has enabled enhanced consumer journeys with added convenience, transparency in processes & ease of available information. Industries are competing to build USP around convenience, quick service & quality. Technologies like AI, ML & IOT play a significant role in reducing the operation cycle, assuring quality & quick refined processes. So disruptions are expected in the conventional businesses right, left and centre. And IOT has the potential to serve latent needs, which the market could not even imagine.
It Takes time to become profit-generating.
However, there is an inherent challenge. Challenges that arise when old well-entrenched habits are thrown out. The existing systems and players carrying out businesses and often deriving benefits feel very uncomfortable and resist this change. Changing habits also cost a lot. New Gen organizations tend to respond with direct financial benefits to the marketplace, requiring a high frequency of cash-burn. And it may take a long time quite often. Therefore, it creates a need for funds from the early stages. The chances are that one may get completely burnt, extinguished, or bought out.
Does being bootstrapped help?
However, early-stage funding as Seed finding may pose its own issues. One, it may not happen adequately, and secondly and more importantly, financiers are likely to have objectives quite different from Promoters. Financiers might seek fast growth, realize returns seek partial or complete plugs back. Promoters are likely to seek a healthy Organization. To that extent, it reduces elbow room to the extent that it may suffocate and mar organizational health and trajectory.
Therefore it may be appropriate to seek investment to stay bootstrapped. Over time, however, Organisation should become self-sustaining. Promoters have ideas and less cash! Therefore, the challenge is to solve the riddle of generating surplus while operating in the initial years. One of the ways is to siphon out cash-generating, surplus creating silos in the initial years for a new set of habits to take root, let the market accept, see the value and pay for IOT benefits. It helps creating a healthier organization.
Marry Brick and Mortar with Tech to generate sustainability.
We found and practised a novel experiment to create surplus generating verticals while implementing IOT. It required a unique ability to eye opportunities, very hard work, entrepreneurial skills and testing ourselves. Therefore, bring in brick and mortar models alongside Tech and the Internet of Things in the initial years. It also helped create a healthy organization, nice Networth before going to the market for funds for growing xto10x.
This is the Humsafar way. Way to sustainable growth, a healthy Organization with a solid foundation. 10x around the corner !!