Marketing Director
Zoe-Louise Bell
In the rush to adapt during the pandemic, New Zealand businesses adopted new technology at a rate never seen before. Video conferencing, collaboration tools, and e-commerce platforms became overnight essentials. But a dangerous assumption took hold: that buying a new app is the same as transforming your business.
Our independent research report, The State of IT for NZ’s SMEs, dug into this phenomenon. We found that while businesses were investing in technology, one of the biggest underlying challenges they faced was human, not technical. As one respondent noted, a key struggle was simply "getting staff to use new tech."
This highlights a critical lesson we call the 'New App Fallacy': the belief that a tool, on its own, can create change.
The report puts it plainly: "You can't just bring in a new app or digital tool and expect to transform."
Think of it this way: giving a novice a professional-grade camera doesn't instantly make them a great photographer. They need to understand composition, lighting, and how to use the tool to achieve their vision. The same is true in business. Deploying a new CRM or project management tool without rethinking the underlying process is just putting a shiny new dashboard on old, inefficient habits.
As our report argues, "Ensuring that the workforce is equipped with tools is one thing. Asking if it's the right job being done in the first place is another."
Our research found a clear correlation between innovation and the number of applications a business uses. Digitally innovative organisations tend to use more apps (an average of 4-6 daily) than those who don't feel innovative (1-3 daily).
But this is a symptom, not a cause. Innovative companies don't become innovative because they buy more apps. They buy more apps because they have an innovative culture—a culture that is constantly looking for better ways to work and is supported by a strategy that empowers its people to adopt new tools effectively.
Real transformation happens when you focus on the "why" before the "what."
Why is this process inefficient?
Why are our teams struggling to collaborate?
Why aren't we meeting customer expectations?
Only after answering those questions can you select and implement the right technology. As the report concludes, "For the most part, it’s not actually about the technology but instead the people." It's about change management, clear communication, and a well-thought-out strategy that brings your team on the journey with you.
To get a deeper understanding of the human side of technology adoption and learn how leading SMEs are building successful digital strategies, download the complete report: The State of IT: New Zealand’s Small and Medium-Sized Business Edition