ServiceNow: A Resilient Growth Stock Even in an Economic Slowdown
The US stock market is still undergoing a correction at the time of writing. Investors remain divided on whether to buy the dip or wait for a deeper pullback. Market timing is never easy, and this won’t be the last time such a dilemma arises.
One key concern in this correction is the slowing US economy, with some fearing a possible recession. Growth stocks typically take a bigger hit in such environments. While we’ve previously covered alternative investments to pivot away from growth stocks, we’re not saying they aren’t buyable now. In fact, we believe there are good opportunities in this correction, particularly in resilient growth stocks that can withstand economic slowdowns.
One such stock is ServiceNow (NOW). Some might label it as a modernized IT helpdesk, but it is more than that—it is an enterprise task automation platform that streamlines workplace requests and inter-departmental workflows.
How ServiceNow Works
For example, when a new employee joins an organization, multiple departments must coordinate their efforts. Without ServiceNow, HR, IT, Facilities, and Security might handle tasks separately, leading to inefficiencies and delays. With ServiceNow, HR enters the new hire’s details just once, and the system automatically assigns tasks to relevant departments. IT is notified to set up the employee’s laptop and email, Facilities prepares their workstation, and Security issues their ID pass. Progress is tracked in real time on a centralized dashboard, ensuring seamless coordination.
For ongoing operations, employees use ServiceNow as a self-service portal for IT support, administrative requests, and HR-related tasks. If an employee encounters a technical issue, they log into ServiceNow, submit a support ticket, and the system instantly routes it to the right technician. Similarly, employees can apply for leave, update personal information, or request training, with automated tracking ensuring timely responses.
The Benefits of ServiceNow
Without ServiceNow:
Employees rely heavily on emails and phone calls, leading to delays and confusion.
Tracking request statuses is difficult, resulting in inefficiencies and wasted time.
Routine tasks become bottlenecks, reducing productivity and increasing frustration.
With ServiceNow:
Requests are automatically routed, ensuring no steps are missed.
Progress is tracked in one centralized system, eliminating the need to dig through emails.
Organizations save time, reduce costs, and improve overall productivity.
The larger the organization, the greater the need for ServiceNow to prevent workflow bottlenecks and inefficiencies.