The Impact of IT on non-IT businesses

In May 1999, a survey was released showing that more than 70 percent of Canadian companies do not consider electronic commerce to be a high business priority. The study, commissioned by the Toronto office of Andersen Consulting, reveals that even though 84 percent of senior business leaders interviewed agree their companies will be more reliant on e-commerce within five years, few in Canada are readying to compete in the electronic economy. Only 20 percent of the more than 250 major Canadian companies surveyed were identified as e-commerce "leaders," while 41 percent were characterized as "dabblers" and the remaining 39 percent demonstrated attitudes and behaviors associated with "side-line observers." However, 90 percent of Canadian business leaders said their organizations plan to spend more money on developing e-commerce capabilities in the next one-to-two years. And, current companies doing business online expect revenues from e-commerce to increase by nearly four times by 2001, the survey shows. "E-commerce is not only changing the way business is conducted, it is changing the fundamental economic assumptions on which business is based. Canadian executives must take action now to survive and succeed during this shift from an industrial economy to an electronic economy," says C. Rudy Puryear, global managing partner of e-commerce for Andersen Consulting. The study found that the top five business priorities among Canadian senior executives are: improving customer service (78%); Y2K readiness (76%); increasing customer loyalty (68%); attracting new customers (65%) and cost reduction (62%). At 29 percent, exploiting the full potential of the Internet and developing e-commerce initiatives was ranked last in terms of the business priorities surveyed. "E-commerce strategies can deliver strong results on four of the top five business priorities cited by Canadian business leaders," Puryear noted, adding: "Winning in the e-economy requires more than creating Websites and virtual channels, or automating customer service and building new skills. Organizations must continuously evaluate their entire business in the context of the e-economy."

After exploring the information technology landscape and infrasturcture in Canada, we feel that the environment in Canada allows for a non-IT company of any size to do business reasonably well.  If a non-IT company wanted to set up a sales, regional distribution, or manufacturing location in Canada, the Canadian Government and the IT environment would support the investment and provide assistance to those who seek information and guidance.  A solid telecommunications infrastructure is already in existent in Canada such that a company regardless of size would be able to compete well.  Although Canada has a highly intelligent population, they similar to the United States have an IT skills gap as discussed in the IT Labor page.  This gap will be in existence for some time.  As a result, the lack of IT professionals will present an issue should companies require IT support.  Therefore, companies will need to focus on training within the workplace.  One possible solution considered by Canada is to work with Cuba.  As discussed in the IT Labor page, Cuba is anxious to assist Canada in its skill shortage plight and Canada appears ready to employ Cuban high-tech workers despite the United States embargo against Cuba. This activity has support of Canadian and Cuban governments, particularly with work visas. The plan is to import Cuban workers into Canada to work in all areas of high-technology, from Web-programming to telemedicine. 

In conclusion, Canada provides a healthy environment for individuals of all professions.  The government and people of Canada are working towards having Canada stand apart from the rest of the world by becoming a global ecommerce leader.