When embarking on a digital transformation project, the allure of new technology and tools can be intoxicating. The rate at which new digital tools are developing — and their promised potential to drive efficiencies and solve pain points — is only increasing, fuelling many organisations’ race to adopt. However, in doing so, some projects risk losing track of their ultimate goal: driving positive outcomes for the business.
Investing in AI
For example, this year, organisations are expected to spend $235 billion on AI. That figure will almost triple, reaching over $630 billion by 2028, fueled by an almost 30% compound annual growth rate (CAGR), by 2028, according to the IDC. Specifically, Generative AI, which currently accounts for 17.2% of global AI spending, is attracting investment in tandem with worldwide attention and controversy. Projections indicate that Gen AI will account for 32% of AI investments by 2028, representing a staggering 60% five-year CAGR. While AI will undeniably have meaningful effects on the way businesses create efficiencies and meet the evolving challenges of the modern digital economy, veteran technology leaders know that there’s a difference between the right solution and the solution that’s hot right now.
“AI is an example of the ‘flavour of the month’ frenzy that we’ve seen over the past year and a half” — Éric Champagne, CIO at Canadian lingerie retailer La Vie en Rose
“Sure, it’s useful, and a very cool gadget, but we need to manage it responsibly. We’ve let iPhones and similar technologies dictate our lives for the last 15 years, and now we’re reconsidering their role in schools. Kids are struggling, and we’re wondering why. Technology is fantastic – I love gadgets – but you can’t run a business just on gadgets.” Champagne has led the IT department at La Vie en Rose for over seven years, guiding the company through multiple digital transformations that have touched every element of the business. He sat down with Interface to discuss his experiences, his approach to digital transformation, and making sure technology serves the business – not the other way around.
The Change Agent at La Vie en Rose
As CIO, Champagne oversees the technical aspects of IT at La Vie en Rose—support, applications, project management, networks, and cybersecurity. He explains that “From a digital transformation standpoint, I serve as a change agent”. From modernising La Vie en Rose’s Enterprise Resource Planning (ERP) system to warehouse management, Champagne’s mandate is to ensure that the company’s IT team is always pushing to create a context in which technology solves business problems. “I don’t chase after the latest technology just because it seems cool,” he says. “My focus is on aligning technology with the business strategy and real needs.”
Aligning the business and IT demands strong, open lines of communication between IT and stakeholders in other departments, especially when it comes to conceptualising and executing a transformation. “By maintaining ongoing conversations with the business, it helps manage things like shadow spend, but also to get better business requirements to guide our transformation projects,” explains Champagne. “I make sure to stay connected with all departments – whether it’s marketing, finance, operations, distribution, or HR – I talk to everyone before, during, and after a transformation.” This emphasis on communication has, he explains, helped create a culture where people understand IT’s role and importance – as well as its limitations. “They also know that IT can’t do everything,” Champagne laughs. “But we can do more together.”