Driving growth through technology: Piyush Srivastav, The Muthoot Group, highlights top priorities for success

Technology is set to play a transformative role in shaping the future of businesses in India. As the country continues to witness rapid digitalization and technological advancements, businesses are presented with unprecedented opportunities for growth and innovation. Artificial intelligence, data analytics, cloud computing, and the Internet of Things (IoT) are some of the key technologies that will drive this transformation. However, before adopting new-age technologies, there are various factors that IT leaders of enterprises need to take into consideration. Piyush Srivastav, Head of IT - North, The Muthoot Group, recently spoke to Dataquest to shed light on how technology is shaping the growth of businesses in India, and what IT leaders must prioritise when it comes to adoption of cutting-edge technologies.

DQ: How do you see technology shaping the future of businesses in India?

Piyush Srivastav: Now, first and foremost, I believe that technology is more of an adoption, and fortunately, in India, we have embraced it rapidly, especially in the last 4 to 5 years. The willingness of the population to accept this change has played a crucial role in this process. Admittedly, there was some initial resistance, but with the introduction of technologies like social media, WhatsApp, and the convenience they brought, especially in areas like banking, people eventually became more receptive.

The COVID situation further accelerated this technological shift, as people had to rely heavily on mobile devices and digital platforms to stay connected and informed. The successful COVID drive, efficiently managed without any overlap, impressed many, and the ease of using a simple website for the process was commendable. Moreover, the Aadhar system has become an integral part of our lives, serving purposes from banking to various online transactions.

The integration of Aadhaar with PAN was another significant step, making it an essential requirement, and failure to comply invited penalties. This digital transformation has impacted almost 90% of our activities, with only a few manual interventions remaining. It was a necessary adaptation considering the circumstances we found ourselves in.

In terms of innovation, the government's initiatives have boosted India's innovation index, resulting in a thriving startup ecosystem. Presently, we stand as the third-largest economy in terms of startups, a remarkable feat from being at the 81st position a few years back. This acceptance of innovation is evident among all citizens, as they have incorporated technology into their daily lives.

However, there are some concerns to address, particularly regarding research and development. In developed countries, 70% of research comes from the private sector, but in India, it's only around 30%. The government plays a more significant role, contributing about 56% of the total investment. To foster growth, more initiatives are required, and collaboration between the government, private sector, and institutions like GIPA is essential. Encouraging research, setting up incubators, and supporting startups will contribute to the growth of innovation.

Despite the challenges, we are on the right path, and the vision of achieving a 5 trillion economy by 2027 seems promising. With everyone embracing technology and continued efforts to foster innovation, we are hopeful of achieving this goal within the next two to three years.

DQ: The technology landscape is ever-evolving. How do you strike a balance between adopting new technologies and ensuring the stability and reliability of existing systems?

Piyush Srivastav: There are two perspectives to consider. Often, we rush into adopting new technologies, assuming that one size fits all. However, this is not always the case. For legacy applications or existing systems that are running well, we need not be overly concerned unless issues arise. Nonetheless, we must keep an eye on how technology progresses in the next five years and be prepared to adjust our applications accordingly. Some new edge technologies can be seamlessly integrated, requiring minimal changes to legacy systems through an API approach. But when it comes to more significant changes, such as adopting cloud solutions or robotics, we must take a proactive approach to avoid falling behind and to ensure smooth integration with new technologies.

Take AI and IoT, for instance. IoT involves integrating multiple technologies, from hardware to machine learning and AI. Careful analysis and a comprehensive approach are crucial because even a single failure can jeopardize the entire solution. Adopting such new solutions requires assessing existing systems, and in times of change, it's essential to have a platform for integrating applications. Instead of modifying stable core applications, we should possess the right skills and partners to analyze the situation thoroughly.

Excitement around AI and other technologies can lead us to overlook the importance of having a well-defined use case that aligns with our needs. To leverage AI effectively, clean and appropriate data is essential for the algorithms to function accurately. Rushing into implementation without proper data preparation can lead to incorrect interpretations and results. Addressing legacy systems and technical debt is also critical, as quick, cheaper solutions may not yield desired outcomes in the long run.

In selecting partners for these technology endeavors, caution is vital. Evaluating their expertise and solutions in alignment with our business requirements is crucial. Excitement is widespread in the market, but we must exercise prudence because once we commit to a technology, reversing course becomes challenging, and the consequences of failure can be costly. Taking a thoughtful and strategic approach is key to successful technology adoption.

DQ: What should an enterprise’s strategy be when it comes to cloud computing to enhance scalability and flexibility?

Piyush Srivastav: I believe cloud computing is crucial, but it's not always mandatory. Whether we need to move to the cloud depends on our application's scaling requirements and the resilience we already have in place. Compatibility with other applications and the skill set available in-house are also important considerations. Many companies in the financial sector, for instance, hesitate to adopt the cloud due to concerns about maintaining customer information confidentiality. They explore different models to see how they can leverage cloud functionalities without compromising security.

One critical aspect to consider is how the cloud is configured and where the data resides. Options like public, private, and multi-cloud setups should be carefully evaluated. Additionally, merely moving to the cloud without ensuring quick and accessible data at the edge can be problematic. Companies may prioritize scalability, resilience, and support, opting for a SaaS model or managed services.

However, it's essential to ensure that data accessibility is not compromised. Thoughtful analysis is necessary before deciding on a subscription-based model, taking into account not only cloud hosting charges but also resource costs. Monitoring resource utilization is crucial to justify expenses, whether it's through in-house monitoring or reports from cloud partners.

There are various factors to consider while deciding whether to adopt cloud computing or not. Smaller applications and those that require future scaling may benefit from the cloud. Nevertheless, it should be an informed decision, especially considering the current work environment, remote work culture, and data security concerns. Cloud solutions must provide adequate security and consider how edge devices access the cloud. Network connectivity, devices, and data loss prevention (DLP) measures all play a vital role in ensuring a successful transition to the cloud. It's not just about cost-saving; it's about maintaining customer trust and data integrity.

DQ: Looking ahead, what are the top priorities for you as far a technology is concerned in driving the company's future growth and success?

Piyush Srivastav: In my view, technology becomes necessary where repetitive or mundane tasks exist. Our core skills should lie with our staff as they are our valuable assets, whether we are in IT consulting, IT companies, or any business domain, be it in-house or external. Automation and digitization should be the generic approach for streamlining activities. However, it should not be limited to simple conversion and transmission; instead, it should be intelligently implemented to create a comprehensive end-to-end solution. AI and the metaverse are factors that play a role in this process. The groundwork should prioritize intelligent automation and digitization, considering various factors like process automation and digitization of manual tasks such as office proposals and approvals.

Integration with the business environment is crucial for technologies like RPA and data analytics to succeed. The focus of management has shifted towards adopting IT solutions to reduce costs and ensure sustainable growth. Collaboration between IT and business is essential to find the right solutions and achieve effective ownership of implemented technologies. The industry now recognizes that a combination of different technologies is necessary for success, starting with a strong foundation of data. IoT, metaverse, and augmented reality are valuable tools that help achieve business objectives.

To encourage staff to think and innovate, it's essential to empower them by automating mundane tasks and providing opportunities for growth. This trend is evident not only in the business world but also in daily life. People now prefer convenient digital solutions, like banking online and ordering groceries for quick delivery. They are conscious of time and cost, making informed choices in various aspects of life. This reflects in their work life as well, where they value efficiency and smart use of time and resources.