Opinion Archives - Epidata /en/category/opinion/ Deploying Ideas Fri, 06 Jun 2025 15:26:35 +0000 en-US hourly 1 /wp-content/uploads/2021/04/cropped-logo_epidata_construccion-32x32.png Opinion Archives - Epidata /en/category/opinion/ 32 32 Economic Liberalization: A Growth Opportunity for Argentina’s Software Industry? /en/economic-liberalization-a-growth-opportunity-for-argentinas-software-industry/ Fri, 06 Jun 2025 15:25:11 +0000 /es/?p=18459 The post Economic Liberalization: A Growth Opportunity for Argentina’s Software Industry? appeared first on Epidata.

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The software sector represents one of our greatest opportunities for Argentina to once again become a developing country. However, without a clear strategy, a competitive exchange rate, and active policies, we risk wasting this unique moment.

Today, the software industry can no longer be viewed as just another sector of the Argentine economy; it is essential to the productive infrastructure of this new century. The current economic opening, with its progress and ambiguities, presents a real opportunity to consolidate our sector. But this will only be possible if we stop treating software as an appendage of industrial policy and instead make it the cornerstone of our productive growth.

From my perspective, reaching a standard of living comparable to developed countries is feasible through the software industry. To achieve this, we need a strategic plan, sustained investment, a competitive exchange rate, and a State that reorganizes the value chain of our productive matrix. It’s not enough to mention “AI” in a business presentation and then ignore the sector outside the circles that drive the country, failing to make it part of the value chain.

Considering current national measures, I view the opening of imports positively, as a result of lifting restrictions and repealing the Import Statistics System (SEDI). Improvements in customs processes have streamlined operations, making it easier to import hardware, software licenses, and key technologies for various sectors. This is vital for an industry that competes in real time with markets like Bangalore, Lisbon, or São Paulo. However, we have yet to achieve full liberalization: implicit rules, slow customs permits, and certain arbitrary practices still distort the intended objectives of these policies.

Another crucial aspect of this new context is the relaxation of foreign exchange controls. This new regime allows for greater predictability in export projections, which is positive.

Companies no longer need to devise complex structures to repatriate foreign currency. However, it’s important to note that we remain expensive in an industry that competes globally. Today, the dollar cost of a software developer in Argentina is higher than in regional competitors like Colombia, Mexico, Chile, and even Brazil.

Therefore, although the intent is good, it must be accompanied by other variables that support the sector. As long as the exchange rate remains unfavorable in terms of costs, our industry will only be attractive for highly specialized projects or for companies that value capabilities beyond price, which will limit business volume. From my point of view, Argentina is expensive in dollars and suffers from a lack of investment. In such conditions, competing through innovation becomes difficult.

In line with this, and considering the growing global demand for software development services and innovative solutions (source with 2024 growth data and 2033 projections), I believe Argentina has the opportunity to position itself as a key supplier in the global market. However, we must reclaim the position we once held. In the 1990s, Argentina accounted for 0.4% of global software exports and led the “Global South.” Today, that position has been lost due to a lack of scale, appropriate policies, and long-term vision.

The global market continues to grow—from USD 179.5 billion in 2024 to more than USD 540 billion projected by 2033. However, software employment in the U.S. has dropped to its lowest level in five years, according to the U.S. Bureau of Labor Statistics. Additionally, the Pragmatic Engineer blog noted that major tech companies have been hiring fewer engineers since 2022. Therefore, Argentina must stop thinking about exporting only talent; we must export value, because the world is looking for solutions—not just labor. This requires a new way of competing.

There are examples in our country that prove this is possible. Companies like Ualá, Auth0 (acquired by Okta for over USD 6 billion), and Technisys (sold to Galileo/SoFi) show that Argentine software has global potential.

Thus, it is feasible to expect exports to grow—but not employment—unless deeper changes are made. The industry is growing at a slower rate than the number of graduates from tech-related degrees, which reflects a worrying disconnect.

To reverse this situation, I believe the State must take on a more active role: coordinating value chains, promoting tech parks, rewarding R&D investment, and offering incentives aligned with performance and value creation. With well-aligned policies and measures, we could see ten new Mercado Libres in the next twenty years.

In conclusion, Argentina has a unique opportunity, but if we want the Argentine software industry to become our 21st-century flagship industry, we need more than economic liberalization: we need a strategic plan and a State policy that recognizes talent as an industrial resource. Argentina can become a global software powerhouse—if we decide to take the reins.

Trends – Statistical Data

  • In 2023, Argentina’s total exports reached approximately USD 66.788 billion, with the Software and IT Services (SSI) sector contributing around USD 2.445 billion—roughly 3.7% of total exports.
  • While software exports have grown significantly over the past two decades—multiplying by 16 since 2003—their share in the global market has declined, from 0.7% in 2011 to 0.25% in 2023.
  • In contrast, exports of primary products and agricultural manufactures—such as soybeans, corn, and wheat—continue to dominate Argentina’s export basket, representing a significant share of total exports.

About Epidata

We are a global private equity firm and leader in innovation outsourcing. At Epidata, we transform organizations by integrating technology, artificial intelligence, and applied knowledge to create real impact in people’s lives.

We maintain strategic partnerships with global innovation leaders such as Salesforce, Mulesoft, Google, GitLab, Red Hat, UiPath, Datadog, Atlassian, Couchbase, Cloudera, and AWS.

Since 2003, we have co-created solutions with companies and governments to address the challenges of the future.

Growth is in our DNA. We grow with our clients, through ideas, with knowledge as our driving force.

At Epidata, Deploying ideas means transforming knowledge into progress.

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AI in IT: 5 Keys for Startups to Maximize Profitability and Efficiency /en/ai-in-it-5-keys-for-startups-to-maximize-profitability-and-efficiency/ Wed, 28 May 2025 14:15:08 +0000 /es/?p=18428 The post AI in IT: 5 Keys for Startups to Maximize Profitability and Efficiency appeared first on Epidata.

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Startups are embracing artificial intelligence (AI) to scale efficiently, optimize resources, and build sustainable business models from day one. According to Salesforce, a partner of Epidata, 90% of small and medium-sized businesses in the United States say AI makes their operations more efficient—and this trend is beginning to replicate in Argentina and across Latin America. It’s a profound transformation in how startups operate.

5 Recommendations to Improve Profitability and Efficiency Through AI

Here are five essential keys to harness AI’s potential, along with a complementary perspective on its strategic role in long-term planning:

1. Smart Automation: Fewer Resources, Greater Impact

AI-powered automation has become a critical ally for startups operating with lean structures. Reducing manual work in repetitive tasks—such as customer service, administration, or internal process management—allows teams to focus their energy on strategic activities.
This technology saves time, streamlines workflows, and enables individuals to be far more productive. The result is a more agile operation with lower fixed costs and greater scalability from day one.

2. Focus on Growth Before Monetization

In early stages, many startups prioritize user growth over immediate revenue. AI plays a key role at this point, enabling analysis of user behavior, personalizing experiences, and identifying loyalty-building opportunities.
With data intelligence, acquisition campaigns become more cost-effective. This helps lay a solid foundation for monetization at a more mature stage, once a strong user community is established.

3. Boosting Productivity with AI as a Copilot

AI not only automates—it also enhances individual and team capabilities. Platforms integrating AI are becoming powerful tools, assisting with writing, coding, analyzing large datasets, and even making real-time informed decisions. According to a Forbes Advisor survey published by HubSpot, 64% of respondents believe AI can significantly increase productivity. For startups that need to do more with less, that edge can be critical for growth.

4. Attracting Investment with an AI-Driven Value Proposition

Having AI at the core of a business model not only improves results but is also increasingly attractive to investors. In Latin America, according to PulsoCapital, AI-focused startups raised $110 billion in 2024—62% more than in 2023. This trend shows how the market values companies that embrace technology from the beginning as a differentiator. Betting on AI is not just an operational decision—it’s a strategic positioning move for capital.

5. Learning from European Leadership

Europe is setting the pace in the consolidation of AI-driven startups. The Spanish Association of Business Schools (AAEN) notes that the continent already has 1,600 early-stage AI software companies, with one in six in a growth phase backed by over $8 million in funding. This maturity translates into more robust business models, refined processes, and value propositions with strong technological components. Today, one in every 12 startups incorporates AI, reflecting a structural shift in entrepreneurship.

AI as a Strategic Pillar in Long-Term Planning

Beyond immediate benefits, startups that integrate AI from the beginning are laying the groundwork for a more flexible and adaptive operation. In a market where technology and customer expectations constantly evolve, smart systems enable faster iteration, greater adaptability, and anticipation of change.
Moreover, by building their tech architecture around AI, startups are better positioned to scale globally, integrate with other platforms, and respond quickly to growing demands.

With the global AI market projected to reach $407 billion by 2027, according to HubSpot, this becomes a competitive necessity for companies aiming to innovate while maximizing profitability and efficiency.

About Epidata

We are a global private equity firm and leader in innovation outsourcing. At Epidata, we transform organizations by integrating technology, artificial intelligence, and applied knowledge to create real impact in people’s lives.

We maintain strategic partnerships with global innovation leaders such as Salesforce, Mulesoft, Google, GitLab, Red Hat, UiPath, Datadog, Atlassian, Couchbase, Cloudera, and AWS.

Since 2003, we have co-created solutions with companies and governments to address the challenges of the future.

Growth is in our DNA. We grow with our clients, through ideas, with knowledge as our driving force.

At Epidata, Deploying ideas means transforming knowledge into progress.

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Artificial Intelligence in the Public Sector: Trends and Opportunities /en/artificial-intelligence-in-the-public-sector-trends-and-opportunities/ Thu, 03 Apr 2025 19:13:38 +0000 /es/?p=18148 The post Artificial Intelligence in the Public Sector: Trends and Opportunities appeared first on Epidata.

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Artificial Intelligence (AI) could contribute up to $13 trillion to the global economy by 2030, according to estimates published by the World Bank. Its impact on the public sector is already undeniable: more than 50 governments worldwide are developing specific strategies for its implementation.

At the regional level, in Latin America and the Caribbean, AI could contribute up to 5.4% of GDP by the same year, according to the United Nations Development Programme (UNDP). Additionally, the CEPAL highlights that AI can make development models in the region more productive, inclusive, and sustainable.

In this context, several AI trends in the public sector are emerging to improve citizens’ quality of life. Based on our experience, we want to share the most relevant ones.

5 AI Trends for the Public Sector

From our perspective in innovation outsourcing—where knowledge and people make the difference—we present the most important trends today and those that will continue to expand in the coming years:

1. Intelligent Virtual Assistance for Citizen Services

Traditional chatbots have evolved into intelligent virtual assistants capable of handling inquiries and processing transactions across various government sectors such as taxation, healthcare, education, and security.

Thanks to Natural Language Processing (NLP), these systems better understand citizen requests and provide more precise responses. Various projects have demonstrated that AI can reduce information search time by up to 60% and decrease repetitive inquiries by 50%, optimizing citizen service management.

Moreover, their 24/7 availability reduces the burden on traditional service channels and enhances user experience by speeding up the resolution of questions and procedures.

2. Intelligent Process Automation in Public Services

AI implementation in government services is optimizing administrative efficiency by automating repetitive tasks and reducing bureaucracy. By eliminating inefficient manual processes, governments can reallocate resources to more strategic tasks and improve service quality.

For example, we have recorded cases where intelligent automation has reduced software testing times in the public sector by 85%, achieving 99% error detection when combining automation with expert human oversight.

3. Real-Time Data Monitoring and Security

AI systems are revolutionizing cybersecurity in the public sector through continuous monitoring of government databases. Thanks to adaptive learning, these systems can detect and neutralize threats in real-time, strengthening the protection of sensitive information.

Additionally, predictive models help anticipate vulnerabilities and cyber risks, minimizing the impact of potential attacks. This technology has proven to reduce detected vulnerabilities in production environments by up to 92%, ensuring more robust and reliable systems.

4. Quality Control and Automated Testing in Government Systems

The quality of software used in the public sector is crucial for ensuring operational continuity and data security. AI-powered test automation helps reduce system development and maintenance time while ensuring proper functionality across all levels (unit, integration, system, and acceptance testing).

In our experience, certain QA automation processes have reduced testing times in the public sector by 85% and improved error detection accuracy by 99%.

5. Security and Agility in Software Development for the Public Sector

For governments, ensuring the security and reliability of digital systems is key. Thanks to advanced methodologies, the time required to launch new functionalities and regulatory adaptations has accelerated by 87%, ensuring that digital public services evolve at the speed citizens demand.

Additionally, cybersecurity automation has reduced Mean Time to Recovery (MTTR) from incidents by 75%, enabling a more efficient response to security issues.

In summary, artificial intelligence is transforming the public sector, offering innovative solutions to enhance efficiency, security, and citizens’ quality of life. As more governments adopt AI strategies, the potential for transformation continues to grow, positioning technology as a fundamental pillar for state modernization.

This article, written by Greymar Jiménez, Public Sector at Epidata, was published in Revista Noticias. To read it, visit this link.

About Epidata

Epidata is a global private company specializing in innovation outsourcing, providing services in software development and design, application modernization, RPA, machine learning, and Big Data, among others. Its solutions transform businesses, optimize operations, and enhance digital experiences for clients and collaborators.

Epidata partners with leading companies in innovation and knowledge, including Microsoft, GitLab, MuleSoft, Salesforce, Oracle, Atlassian, Invgate, Red Hat, UiPath, Datadog, Snowflake, Google, and AWS. It operates in Argentina, Brazil, Chile, Colombia, Peru, Uruguay, and the United States (San Francisco, California), with a proven track record of supporting multinational corporations.

www.epidata.net

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Why is work experience no longer a determining factor? /en/why-is-work-experience-no-longer-a-determining-factor/ Thu, 30 Mar 2023 14:20:21 +0000 /es/?p=16148 The post Why is work experience no longer a determining factor? appeared first on Epidata.

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At Epidata, we firmly believe in building work teams based on values such as merit, responsibility, and diversity, through policies that promote equal opportunities. And this implies understanding that work experience is no longer a determining factor when selecting new talent.

Having “X” years of work experience, in such a dynamic world as the present, does not in itself signify a value. On the contrary, it is human values and technical knowledge that determine someone’s aptitude for a position, regardless of how many years they have been working in a particular industry in the same way. 

Therefore, it becomes necessary to lead a paradigm shift in personnel selection processes, which involves ceasing to promote and conduct searches for collaborators based on the criterion of “work experience”, and beginning to focus on knowledge. 

For this reason, at Epidata we will stop considering all job offers that focus on “work experience” as valid, discriminating selection according to “time” variables. We invite you to discover why we believe that time is not a teacher. 

Time is not a teacher: values and skills are more important than work experience

The world of work is characterized enormously by a particular trait: its dynamism. We do not use the same applications, languages, or development methodologies that we did 10, 5, or even 2 years ago. After all, the pandemic has generated a change in perspective around technology, but also about the way we work. 

Since the pandemic, more and more organizations decided to build a better workplace by orienting themselves towards remote work, understanding all the virtues of productivity, efficiency, and comfort, without losing sight of the commitment to take on new innovative challenges for the market.

But are job search processes up to such a transformation? It seems not. We consider that measuring a person’s professional “value” by the years they have been doing a task does not make much sense. In the present day, evaluating work experience when hiring someone could be counterproductive. 

Having “10 years of experience” does not necessarily mean something relevant to the current industry. Does this mean that experience is worthless in the market? No, quite the opposite. According to the RAE, experience is “knowledge of something, or skill for it, acquired by having done it, lived it, felt it or suffered it one or more times.” Experience is knowledge, and the focus is on measuring knowledge, not “task years”. 

Epidata, promoting equal job opportunities since 2003

The elimination of searches based on the “years of work experience” criterion is just one of how we have been promoting equal opportunities since 2003. Since then we have worked on several things that we decided to do because we truly believe in them. 

For example, “blind CVs” is another way to avoid discrimination based on work experience, as well as sex, and other prejudices. We feel that it is a form of discrimination that has become naturalized in the market and that needs to be changed. Therefore, we emphasize and seek to ensure that there is no discrimination of any kind at Epidata.

Thus, the selection parameters for new collaborators are based solely on the company’s competencies and values. This has resulted, for example, in our management team being one of the most diverse in the market, with a mix of ages, religions, tastes, styles, nationalities, and a large majority of women.

Knowledge and Merit: The Key to Continuing to Grow in the Business World

Now, it’s time to stop discriminating based on “years of work experience”. In an increasingly changing world, where professionals have to adapt to the emergence of new technological challenges, the ability to transform and assimilate new skills becomes one of the determining factors in the workplace.

If we want to promote constant innovation in the market, guaranteeing developments that transform the lives of millions of people, it becomes essential that selection processes adapt to the current reality. This implies removing the selection criterion based on “years of experience” and replacing it with true knowledge and adaptability.

This will be one of the keys to the future of work, which will result in the creation of the best workplace in the coming years. The desire to grow and the acquisition of modern technical skills should guide future team selection processes at work because time is not a teacher.

About Epidata

Global privately-owned company specialized in innovation outsourcing, dedicated to providing software development and software design services, application modernization, RPA, machine learning and Big Data, among others. Its solutions transform businesses, optimizing operations and co-creating better digital experiences for customers and employees.

Epidata has alliances with leading innovation and knowledge companies such as Microsoft, GitLab, Mulesoft, Salesforce, Oracle, MariaDB, Red Hat and UiPath. These partnerships help other companies to stay current.

Epidata operates in Argentina, Chile, Colombia, Peru, Uruguay and the United States (San Francisco, California), where it has a track record of successful support to multinational corporations such as Stanford Research Institute International, JP Morgan, Tenaris, Turner, Telecom, HSBC, Monsanto, Walmart, Asana, among others.

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Mobile UX Design: why improve user experiences? /en/mobile-ux-design-why-improve-user-experiences/ Wed, 21 Dec 2022 13:32:56 +0000 /?p=15510 The post Mobile UX Design: why improve user experiences? appeared first on Epidata.

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Did you know that more than 67% of users who browse the Internet do so via a mobile device? According to the Digital 2022 Report by Hootsuite and We Are Social, this digit currently represents 5.32 billion people worldwide. For this reason, it becomes essential to work on Mobile UX Design for your brand. Find out why.

The importance of a good Mobile UX Design for your company

Firstly, you may be wondering what Mobile UX Design is.  When we talk about “UX”, we refer to User Experience. And “Mobile” implies the use of mobile devices, such as a smartphone. Consequently, it is all about the user experience on mobile devices.

But which experience? All those that a person experiences when interacting with a brand’s platforms across the digital ecosystem. When a user engages with a company through an application or a website, he builds an image of its brand, which is determined by the quality and usability of its services.

Does the software work well? Is it easy to use? Are there any bugs? When browsing, the user will evaluate our services, based on these and other questions. If he notices problems, it could be said that there are “pain points”. That is all those weaknesses (or pain points) that make the User Experience not optimal

Types of mobile pain points that can occur in your company

If you don’t work on these issues, you could be missing opportunities for improvement. Therefore, here are some types of pain points that may exist in your company:

  • Engagement. It is noticed when the interaction between the customer and the brand is negative. For example, if the user talks to a bot and does not get a satisfactory response.
  • Journey. It occurs if there is no information regarding something the customer needs to know. For example, if the web page does not show the shipping status of a product.
  • Service. These are all the problems that hinder the brand’s service. For example, if an application is full of ads, the user could delete it.

Commonly, some of these faults exist in your company. But don’t worry: our Mobile UX specialists can optimize your digital performance so that the users feel more satisfied with the experience provided by your brand. And this is something we were able to achieve with our Mobile UX Design success story at Efectivo Sí

Discover one of Epidata’s UX/UI success stories: Efectivo Sí

Efectivo Sí has become one of Epidata’s UX/UI success stories. It is a non-bank financial institution and a leader in the personal loan sector. Nevertheless, in the past, Efectivo Sí needed to enhance its digital channels. In this way, it was necessary to transform its website into an intuitive payment gateway. 

Through a Mobile UX Design optimization, both on Android and iOS, we improved the usability of their digital channels. The result? Today, their users can perform various tasks simply from a smartphone, which increases the number of end customers who can use such a service. 

What are the benefits of a UX Mobile audit? 

That said, are you interested in learning more benefits of performing a good UX Research Mobile work, like the one we have achieved at Efectivo Sí? Here they are:

Increased traffic and sales

As we mentioned before, a huge amount of users are choosing to surf the Internet through a mobile device. As a result, all your company’s platforms can offer good usability on these devices. This will allow you to increase conversions and achieve a successful sales funnel

Decrease in bounce rate

A bounce happens when a user only spends a few seconds in contact with your website, but then decides not to move forward. This can be a problem, as something happened so he did not continue with the process. For example, the bad usability of the web on cell phones. If you optimize your mobile ecosystem, this rate will go down.

Increased user ratings 

Finally, another benefit of working on the Mobile User Experience is that your brand or applications will have a good valuation by users. For example, if your design for an app works well, it will possibly have a high number of stars in the Store. And this will influence more people to download it. 

UX Design for mobile apps: a necessary task to increase your digital performance

In conclusion, good Mobile UX Design work can be the key to improving usability on these devices and getting all your projects to unleash their potential. If you want to optimize these areas in your company, do not hesitate to consult our specialized UX/UI services

About Epidata

Global privately-owned company specialized in innovation outsourcing, dedicated to providing software development and software design services, application modernization, RPA, machine learning and Big Data, among others. Its solutions transform businesses, optimizing operations and co-creating better digital experiences for customers and employees.

Epidata has alliances with leading innovation and knowledge companies such as Microsoft, GitLab, Mulesoft, Salesforce, Oracle, MariaDB, Red Hat and HelpSystems. These partnerships help other companies to stay current.

Epidata operates in Argentina, Chile, Colombia, Peru, Uruguay and the United States (San Francisco, California), where it has a track record of successful support to multinational corporations such as Stanford Research Institute International, JP Morgan, Tenaris, Turner, Telecom, HSBC, Monsanto, Walmart, Asana, among others.

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Every Company Is a Software Company (And Further Mythology) /en/every-company-is-a-software-company-and-further-mythology/ Mon, 24 Jan 2022 12:23:21 +0000 /?p=10544 The post Every Company Is a Software Company (And Further Mythology) appeared first on Epidata.

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Politics, economics and, in general, social sciences have historically been areas that posed questions to society. Clearly, these disciplines were (and continue to be) present in our daily lives and activities. On the other side, we have the case of mathematics, physics or the so-called exact sciences, much more “distant” and intangible and, therefore, far away from everyday life. However, in the Fourth Industrial Revolution era, the issue of software has become crucial: the future of the world is digital. In his essay “No Silver Bullet”, Brooks (1975) identifies software’s four essential problems: complexity, conformity, changeability and invisibility. His argument here is that software is seen as something capable of adapting to any circumstance or environment. It is seen as something easy-to-run, where adding a “little button” in an app is much easier than building a new floor in a building (for who would ask for the latter?). This perception produces confusions and bold statements even in the sharpest minds. However, it is important to keep in mind, paraphrasing Brooks, that software is not embedded in space (and is also  in the exact sciences side). 

Software development is not for everyone and, contrary to the belief of some people, not all companies are software companies.

Can and should all companies be software companies? For the former CEO of General Electric, Jeff Immelt, the answer is (or used to be, at least) yes (Twentyman, 2015). Moreover, the executive has also stated that millennials, regardless of their area of expertise, should also learn to program. These types of statements, attractive in interviews and social media, create the idea that being a software company is something simple and suitable for almost everyone. Nothing could be further from the truth. Should a Human Resources whiz, or a born leader capable of motivating a team in the most adverse circumstances, be limited to the writing of lines of code? If Flannery O’Connor were a millennial, should she also learn to program? If so, would she still contribute to literature the way she did?

In order to be a software company, you have to be born a software company. Digital innovation and technology are our essences: they are the air we breathe. Programmers are the core of our business, and generating disruptive solutions is the engine that drives us forward. These processes are neither simple nor quick: they are long-term and demand full-time efforts. There is no way we can build airplanes or hospitals during the day and disruptive IT systems at night. That is unless we are not only a software company but also the Batman of digital transformation.

As I have mentioned before, building software has essential problems that were identified by the software engineer and computer scientist Fred Brooks in his essay “No Silver Bullet” (1975). By that time, it was beginning to be discovered that making software was much more complex than making hardware. This complexity is what makes the software industry exciting, with conundrums such as the next great innovation in the health sector (something that is surely keeping Immelt awake). 

Let’s say, for a moment, that all companies are software companies. What would happen with their strategic differentials, those that are the engine of competitive leverage (as defined by Porter in Competitive Strategy: Techniques for analyzing industries and competitors)? What would happen to companies in general? Would they be different or “more equal”? What would differentiate companies if they are all software companies? How would this prompt us to keep innovative? If we are all good at the same thing, none of us is. If we are all the same, how do we specialize in those processes and structures that make development possible?

Today, the world’s engine is digital. We are living in the Fourth Industrial Revolution, whose center is technology. Software is the key to transforming traditional businesses into innovative ones, as well as keeping organizations afloat in the market. It is a differential that not everyone can develop. This is something important to consider, even more so if we take into account Martec’s Law, which states that technologies transform exponentially while organizations do so logarithmically. In other words, some technologies go in spaceships while organizations only by climbing stairs. Every eighteen months we have a micro-disruption born in Silicon Valley that shapes, for the next five years, the priorities of those among us who are industry players. Let’s keep in mind that we are not considering, in this analysis, other innovation centers such as those in Israel, Japan or Germany. In the past, it was Artificial Intelligence, today it is Deep Learning and, in the future, it will possibly be Self-Supervised Learning and many other innovations. Injecting innovation is complex, but it is the only way to close the gap and prevent emerging competitors from becoming direct threats.

Source: Crespo, B. (2017). "Digital Transformation: A Concept Born of Fear".

Source: Crespo, B. (2017). “Digital Transformation: A Concept Born of Fear“.

Quoting Nobel laureate, Bernard Shaw:

If you have one apple and I have one apple, and we exchange apples, then both of us will still have one apple. But if you have an idea and I have an idea, and we exchange ideas, then we both have two ideas.

In the same way, true innovation can only be co-created between companies and external experienced agents, getting the best of each one to generate a formula that fits the needs of a specific situation.

In an increasingly digital world (a process accelerated by the pandemic), software has emerged as a very important subject in everyday life. Somehow, like politics and economics, it has become a cross-sectional issue. It is seen by society as something with a direct impact on our daily lives and activities. But one thing is to evolve, as a company or agent, and start to approach new technologies by acquiring the innovations created by others, while it is quite another one to be the creator of those innovations. In other words, let the cobbler stick to his last.

Check the following co-innovation success story: Automation: How to Achieve a Significant Reduction in Process Execution Times”.

Bibliographic references: 

Brooks Jr., F. P. (1975). “No Silver Bullet” in The Mythical Man-Month: Essays on Software Engineering. Pearson Education.

Crespo, B. (2017). “Digital Transformation: A Concept Born of Fear”. Insights: Knowledge-driven content. https://www.ie.edu/insights/articles/digital-transformation-concept-born-of-fear/ 

Poter, M. E. [1980] (2004). Competitive strategy: Techniques for analyzing industries and competitors. Free press.

Twentyman, J. (2015). “GE shows why every company needs to be a software company”. I – Global Intelligence for Digital Leaders. https://i-cio.com/innovation/internet-of-things/item/ge-shows-why-every-company-needs-to-be-software-company 

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On Diversity (Reloaded) /en/on-diversity-reloaded/ Wed, 19 Jan 2022 14:53:00 +0000 /?p=10578 The post On Diversity (Reloaded) appeared first on Epidata.

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How many times have we heard the dichotomy between soft and hard? Software vs hardware, soft skills vs hard skills, soft power vs hard power. At Epidata we wonder whether it is possible to talk about soft diversity and hard diversity. Let’s see what this comparison would look like.

Soft vs hard

By the end of November 2021, we published  On Diversity a short article about what could be defined as soft diversity. Our main argument was that in a world threatened by transnational problems, only through coordinated action could satisfying solutions be reached. We also argued that this same reasoning could be extrapolated to the inner dynamics of a company: a diverse team would be an advantage in a multifaceted and unforeseeable environment:

Cultural diversity, in addition to being a key piece to knowing more than one single story and to building a “tolerably fair” society, is something essential to improving professional performance. It is not accidental that a diverse team (with management that defends and supports it) reaches better solutions, is more versatile, and has a better capacity to adapt”

(Epidata, 2021).

Besides, in our previous article, we quoted The Mix That Matters (BCG, 2017). This short report argues that: “The positive relationship between management diversity and innovation is statistically significant, meaning that companies with higher levels of diversity get more revenue from new products and services”. In other words, diversity unleashes innovation by creating an environment where different and original ideas are heard.

But are there any more statistical arguments to rule in favor of diversity? According to the Institute for the Integration of Latin America and the Caribbean (INTAL in Spanish), which is an agency of the Inter-American Development Bank focused on the Bank’s Integration and Trade sectors, the most diverse companies tend to outperform less diverse ones in profitability: “The analysis of 2019 finds that companies in the top quartile for gender diversity on executive teams were 25 percent more likely to have above-average profitability than companies in the fourth quartile, up from 21 percent in 2017 and 15 percent in 2014” (INTAL, 2021). Let’s take a look at Figure 1:

Figure 1: Diversity in executive teams. Source: INTAL, 2021.

Furthermore, McKinsey & Company, one of the top advisors and counselors to many of the world’s most influential businesses and institutions, found out that:

[…] the greater the representation, the higher the likelihood of outperformance. Companies with more than 30 percent women executives were more likely to outperform companies where this percentage ranged from 10 to 30, and in turn, these companies were more likely to outperform those with even fewer women executives or none at all. A substantial differential likelihood of outperformance—48 percent—separates the most from the least gender-diverse companies”

(McKinsey & Company, 2020).

On the same hand, McKinsey & Company (2020) pointed out that regarding ethnic and cultural diversity, findings are equally compelling: “[…] in 2019, top-quartile companies outperformed those in the fourth one by 36 percent in profitability, slightly up from 33 percent in 2017 and 35 percent in 2014”.

Moreover, in their article How Diverse Leadership Teams Boost Innovation (2018), Boston Consulting Group explains that those enterprises whose management teams count with greater diversity have 19 percent higher incomes due to innovation. As INTAL (2021) points out: “This finding is significant for technology companies, start-ups and industries where innovation is the key to growth”. Let’s see Figure 2:

Figure 2: BCG’s diversity and innovation survey, 2017. Source: BCG, 2018.

Another brilliant finding was exposed in Delivering through diversity (2018), a report that was written by McKinsey & Company. It’s a fact: gender diversity is correlated with both profitability and value creation.  See Figure 3:

Figure 3: Correlation between gender diversity and profitability and value creation. Source: McKinsey & Company, 2018.

Summarizing, in McKinsey’s 2017 data set, a positive correlation between gender diversity on executive teams and both their measures of financial performance was found:

[…] top-quartile companies on executive-level gender diversity worldwide had a 21 percent likelihood of outperforming their fourth-quartile industry peers on EBIT margin, and they also had a 27 percent likelihood of outperforming fourth-quartile peers on longer-term value creation, as measured using an economic-profit (EP) margin”

(McKinsey & Company, 2018).

In conclusion, forward-looking companies aiming to develop and remain competitive in today’s world should seek ways to employ and empower more women and other cultural groups not only as a moral obligation but also as a sound business strategy. 

Diversity, whether concerning gender, ethnicity, sexual orientation, professional experiences and personal backgrounds, allows a company to take on new perspectives and develop a holistic view and better approach to the objectives set: these are the benefits of soft diversity. But on the same hand, as these statistics prove, diversity has also “tangible” consequences that ensure the success of a company and its economic profit: and these are the benefits of hard diversity.

Who would dare not to bet on diversity now? Find out more about how Epidata lives this challenge!

Bibliographic references

Epidata. (2021). On Diversity. /en/on-diversity/ 

Instituto para la Integración de América Latina y el Caribe (INTAL). (2021). Diversidad y productividad empresarial

Lorenzo, R. (2017). “The Mix That Matters”. Boston Consulting Group. https://www.bcg.com/publications/2017/people-organization-leadership-talent-innovation-through-diversity-mix-that-matters 

Lorenzo, R. (2018). “How Diverse Leadership Teams Boost Innovation”. Boston Consulting Group. www.bcg.com/en-us/publications/2018/how-diverse-leadership-teams-boost-innovation 

McKinsey & Company. (2018). Delivering through diversity. www.mckinsey.com/business-functions/people-and-organizational-performance/our-insights/delivering-through-diversity 

McKinsey & Company. (2020). Diversity wins: How inclusion matters. www.mckinsey.com/featured-insights/diversity-and-inclusion/diversity-wins-how-inclusion-matters

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On Diversity /en/on-diversity/ Tue, 23 Nov 2021 14:20:56 +0000 /?p=10525 The post On Diversity appeared first on Epidata.

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Let’s go from the macro to the micro:

Globalization implied, among other things, the erosion of national borders and, with this, a profound change in States’ sovereignty. Drug trafficking, climate change, terrorism and, as a product of all of them, the migratory phenomenon (which ranges from Central and South America to the remotest corners of the Middle East) show that, since these problems are not restricted to a mere national border, only coordinated action (carried out by the different agents of today’s world) is needed to solve them. Nothing like the latest pandemic to exemplify this.

This reasoning can also be taken to a smaller scale; we can say the same thing about the inner dynamics of a company. Who would dare, in today’s turbulent world, to venture out alone and without the help and experience of others? An interesting point here has to do with the apparent correlation between multinational SMEs —something that seems almost an oxymoron (small but with international scope)— and respect for diversity. This international scope is attributed, at least partly, to the attitude of curiosity and shared learning, as well as to the multifaceted environment in which these exchanges take place and these enterprises emerge.

Diversity in the business world

Cultural diversity, in addition to being a key piece to knowing more than one single story and building a “tolerably fair” society, is something essential to improving professional performance. It is not accidental that a diverse team (with management that defends and supports it) reaches better solutions, is more versatile, and has a better capacity to adapt. Quoting Boston Consulting Group:

“The positive relationship between management diversity and innovation is statistically significant, meaning that companies with higher levels of diversity get more revenue from new products and services”.

We usually use the expression “you’re like a Swiss army knife” to refer to an instrument famous for its multiplicity of functions and where all of its parts have the possibility of contributing. We can draw an analogy between this and those companies that bet on diversity. As Harvard University’s Business Review argues: “Diversity unlocks innovation by creating an environment where ‘outside the box’ ideas are heard” (HBR, How Diversity Can Drive Innovation, 2013). 

Diversity, whether concerning gender, ethnicity, sexual orientation, professional experiences and personal backgrounds, allows a company and working group to take on new perspectives, advocate for equity among human beings and, enriched by these differences, develop a holistic view and a better approach to the objectives set out to achieve. 

For us, it is very important to cultivate and defend the culture of diversity. Let’s be part of this commitment and build not only a better future, but a more comfortable one, with a higher standard of living and more promising results.

Find out more about how Epidata lives this challenge!

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Innovation, savings and growth with RPA /en/innovation-savings-and-growth-with-rpa/ Wed, 06 Jan 2021 17:48:49 +0000 /?p=9018 The post Innovation, savings and growth with RPA appeared first on Epidata.

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By: Adrián Anacleto

The willingness to automate repetitive and boring tasks that also have a strong tendency for human errors to be made during their execution is not a new thing. It began at the end of the 1960s, with the first sensors capable of regulating the temperature of an environment. Thirty years later, the BPM (Business Process Modeling, which is a set of tools that allows the modeling, optimization and automation of some business processes based on the structuring of rules, behaviors and company standards) universe was consolidated. This way, it created an organized workflow that integrates users, systems and data.

The concept of RPA (Robotic Process Automation) could be understood as the natural evolution of BPM, as it allows replicating 100% of repetitive daily activities from beginning to end. Its appliance is ideal to replace some of the typical issues in companies: Administrative processes, billing and payment, conciliation, loading of receipts or tickets, etc. RPA learns and executes administrative tasks and is able to follow a step-by-step sequence, be trained and interact with external systems to exchange information. However, unlike artificial intelligence, it doesn’t make decisions based on business logic. In addition, it doesn’t generate changes in the underlying technological infrastructure either, as it can work with any platform placed in front of it, just as a human would.

Therefore, everything that historically took up huge amounts of time can now be diverted to a software capable of, among other functions, combining two spreadsheets, obtaining external data from a website, verifying the validity of a bill, loading the data into the ERP or some other system that is indicated, or preparing reports. The tool’s robotic capabilities range from the ability to optically recognize letters in any document (including handwritten ones), to listening to voice calls and interpreting their content, differentiating accents and idioms.

A company that needs to process ten million tickets a day to produce a single accounting entry finds in RPA the perfect ally to exponentially grow the potential of its workforce. The robot is dedicated to solve repetitive activities 24 hours a day, seven days a week while the people, who were previously dedicated to that, can become agents of added value and take care of activities that range from fraud detection to sales process performance analysis, as well as an infinite number of possibilities according to the specific needs of the business.

The adoption of RPA implies a revolution in the working way, the execution of processes and the delivery of results. Companies that decide to explore the possibilities of this technology need to undergo a cultural change first, with strong change management support.

However, technology doesn’t stop there: The ease of integration with machine learning allows us to predict the next generation of RPA with increased intelligence, capable of making simple decisions in the face of disjunctions or conditional situations. In addition, as technology develops, more and more pre-built models are being used to cover the most diverse processes, so their implementation and operation will tend to be increasingly simple and their large-scale corporate deployment is expected in the next five years. Just as there are data or document warehouses today, it is to be expected that soon there will be bot warehouses that will cover all the needs of activating repetitive processes that the company or any of its employees in particular may have.

In conclusion, RPA is a solution that cannot be ignored by smart companies, particularly to those that devote all of their resources to value-added activities and making their businesses grow. The best way to get started in this transformation process is well accompanied. We are looking forward to hearing from you at info@epidata.net to begin discovering the benefits that RPA can bring to your company.

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Adrian Anacleto, CEO of Epidata, talked about the effects of the Knowledge Economy Law /en/adrian-anacleto-ceo-of-epidata-talked-about-the-effects-of-the-knowledge-economy-law/ Mon, 04 Jan 2021 17:44:59 +0000 /?p=9015 The post Adrian Anacleto, CEO of Epidata, talked about the effects of the Knowledge Economy Law appeared first on Epidata.

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The Executive Power regulated the Knowledge Economy Law last Monday.

In October, after several months of debates, the Chamber of Deputies turned the project into law that promotes tax incentives until 2029 for companies and entrepreneurs of design, adaptation and development of software production and services related to new technologies.

Overall, and beyond the fact that the main chambers of the sector agreed that it is good to have a regulatory framework and that “it is better to have some benefits than none”, the executives assure that the enactment took longer than expected.

Adrian Anacleto, CEO and founder of Epidata, says that the delay in this regulation made the industry lose the possibility of creating thousands of jobs and generating a billion pesos in turnover, which directly affected the GDP.

We welcome the regulation of the Knowledge Economy Law along with the new benefit of the 0% drop in export taxes. Now it is our turn to look forward and hope that the law is implemented accordingly.

Adrián AnacletoCEO of Epidata

You can read the full article at the following link: http://bit.ly/ArtInfoTechnology

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