When Technology Becomes Business-Critical
In many organizations, technology has shifted from being a support function to becoming an increasingly decisive part of the business. Products, services, customer experiences, and internal flows are shaped to a growing extent by software – even in organizations that have not traditionally seen themselves as technology-driven.
When business rules and decision logic are embedded in systems and platforms, technology becomes part of the core business rather than a layer on top of it. This creates new opportunities to develop offerings, streamline ways of working, and improve customer experiences.
At the same time, experience shows that many organizations get stuck digitizing existing processes. Instead of rethinking how work should actually be done, old ways of working are automated. The result is often complex solutions that preserve yesterday’s logic in new technology – with limited impact despite significant investments.
Technology Understanding as a Leadership Issue
When technology becomes business-critical, it is no longer sufficient for expertise to be isolated within a single role or function. The ability to understand what software enables – and the consequences of different choices – needs to exist at executive and board level.
This does not mean that everyone needs to be a technical specialist, but rather that leaders must be able to ask the right questions and make informed decisions. What should be built in-house? What should be bought? When is it time to rethink established ways of working? In organizations where technology is seen as central to the business, these questions become a natural part of leadership.
In the podcast conversation, the term software-first is used to describe this perspective: starting from the role of software when designing the organization. Not as a goal in itself, but as a way to understand how business logic, customer value, and technology are connected.
The Consulting Role When Technology Is Business-Critical
When software becomes part of the core business, the requirements for collaboration with consultants and suppliers also change. Traditional models – where expertise is brought in piecemeal or entire deliveries are outsourced in closed setups – risk creating distance from the business and limiting organizational learning.
Instead, proximity, shared responsibility, and long-term thinking become crucial. Team-based deliveries and partnerships make it possible to combine the customer’s business knowledge with the consultant’s technical expertise and experience from other contexts. It is in this combination that real value is created.
At the same time, a clear balance is required. Organizations cannot outsource responsibility for long-term development. External expertise can accelerate progress, challenge assumptions, and contribute new perspectives – but internal capability must be built and owned. Otherwise, there is a risk of becoming dependent on solutions that the organization does not fully understand or cannot further develop.
Another recurring theme is change management. Large, centrally governed transformation programs tend to become slow-moving and often lose touch with everyday operations. When the external environment changes rapidly, such initiatives quickly become outdated.
An alternative approach is to work with clear target visions and shorter steps forward. When the direction is shared but the path is allowed to be adjusted continuously, both engagement and momentum are created. Change then becomes something that happens continuously within the organization – not something driven through parallel programs.
When Technology, Business, and Collaboration Align
When business logic is increasingly built into code, it affects more than just the IT organization. It changes how companies are led, how decisions are made, and how collaborations are designed. Organizations that succeed in combining technical understanding, business proximity, and the right collaboration models gain a much greater ability to adapt and evolve.
In a landscape where AI, automation, and digital platforms are accelerating change, this becomes critical. Not as a matter of trends or terminology — but as a practical prerequisite for continued relevance.
Would you like to hear the full conversation about software-first, leadership, and why legacy processes are the biggest obstacle to digital transformation?
Listen to the Agilpodden episode here.
