Inflation is spiking in many markets at the moment, and it’s not just consumers who are exposed to its impact.
The business fallout of high inflation can be potentially catastrophic, which is why companies of all sizes need to take steps to counteract it.
Technology holds the key to this, so here are some examples of modern solutions that are making a difference and how they can be applied in different industries.
Artificial intelligence and automation are leading the way
Without question, it’s AI that has the best chance of enabling businesses to be more productive, efficient and cost-effective in their day to day operations going forward.
Most importantly, modern AI services aren’t just restricted to major corporations, but can be accessed and enjoyed by anyone, whether you’re starting a business from home or shoring up your established medium-sized enterprise against whatever the future might bring.
We need AI because without it, dealing with the amount of data that exists in almost any sphere today is impractical, if not impossible.
The emergence of big data solutions, powered by the cloud, affords access to AI-enhanced insights for everyone. So in terms of cutting costs and boosting productivity, making important decisions and cutting waste isn’t an insurmountable task, even with limited in-house resources.
Example: Commercial real estate technology
Experts perceive CRE tech as the best hedge against inflation, with cutting edge software tools powered by automation having a deflationary impact on this industry.
From allowing investors to make the right choices regarding which projects to back, to the process of managing major developments and bringing down budgets, the data-driven approach enabled by CRE tech means that inflation can climb higher still without becoming a limiting factor.
Clean energy provides an escape from fossil fuel price increases
One of the major hurdles that businesses have had to contend with during the current inflation crisis is that energy costs have been especially volatile.
Companies which are beholden to fossil fuels to power their operations are effectively at the mercy of things like international gas and oil prices.
However, clean energy from renewable sources tends to be less centralized, and is not something that can become much more expensive overnight because of events halfway around the world.
Wind, solar and hydroelectric power are becoming cheaper by the month, and businesses which adopt on-site access to these renewable resources are further insulated from the fluctuations of fossil fuels.
Example: Agricultural technology
Agriculture has traditionally been limited in its choice of energy sources because of the necessarily remote nature of businesses in this industry.
However, many of the types of clean energy mentioned earlier are within reach of farmers and landowners across the country and the world, because the land itself is what’s needed to generate power from renewable resources.
On-site wind turbines and solar panels, for example, make farms almost self-sufficient. And with the rollout of electric machinery, there is an even clearer route to decoupling agriculture from the tyranny of fossil fuels.
As consumers call for more sustainability across the board, it’s not just about fighting inflation, but also about repairing the reputation of organizations that have been put under intense scrutiny.
Final thoughts on countering inflation
Whether or not inflation is increasing, it makes sense for businesses to adopt the technologies which can automate and improve their operations.
Long term viability of small and large businesses alike is contingent on cost-efficiency and agility, both of which are offered by the latest tech, whether hardware or software-based.