Chevron sees an opportunity in investing in innovative technology. They have a technology venture fund which they are able to use to invest in tech startups and have created formal processes for working with them. Chevron knows that investing in technology now will have significant advantages and payoff for the future of the company. Chevron has been able to realize benefits from cutting edge technology and have seen measurable value added in doing so. Chevron is using technology to make predictive maintenance more effective. By using technology to predict equipment failures, Chevron can reduce dangerous manual inspections and reduce costs due to unpredicted failures. Chevron leverages IT to add value instead of creating cost. Another unique way Chevron is leveraging technology is the use of facial recognition in trucks to identify fatigue in drivers, resulting in reduced accidents due to fatigue.
Executives are becoming more involved in technology investment decisions. By making technology a priority, companies will be integrating technology into every aspect of the business creating added value to each unit it reaches. Technology is evolving so quickly that large companies like Chevron are now relying on startup type companies to leverage the newest and innovative tech to be competitive. What kinds of challenges might other companies face in doing business with startups?