What’s On

Biz leaders view technology as trigger for growth

Business leaders are spending more time and attention to understand the importance of disruptive technologies globally. They expect their IT organisations to realise measurable and competitive advantage from technology transformation. This was highlighted in a study by the Business Performance Innovation (BPI) Network.

Companies need to do a better job of embracing modern technologies and new channels of customer engagement and digital experience, the leaders feel. To bring this about, they have created a new scorecard for IT organisations, one that is focused on business innovation and growth as primary objectives for technology deployment and management.

The study highlights that transformation of IT infrastructures is favoured by business leaders, including the adoption of new cloud-enable hybrid IT models and data center modernisation.

About 70 per cent of global managers believe technology has become ‘far more important’ to their business. On the other hand, less than half  of the leaders (47 per cent) rate the level of innovation in their IT groups as good or very high. In contrast, 52 per cent feel it is poor or just making progress.

Only 42 per cent of the executives say their IT departments are doing a good job of becoming a more strategic, responsive and valued business partner, compared to 58 per cent who view their transition as poor or only making moderate headway.

Ensuring the reliability, scalability, and security of IT infrastructures is seen as the most effective metric by 46 per cent of leaders. In contrast, 38 per cent managers rate an IT company’s ability to bring ideas and solutions for furthering business performance as another relevant metric.

The quality and timeliness of application delivery (36 per cent), incidence and speed of problem resolution (29 per cent), and customer satisfaction with tech-driven business interface (27 per cent) were rated as slightly less relevant.

“From the C-suite to operational units, senior managers are eager to see progress in implementing a broad range of technologies that increase their agility, improve customer experience, and make their companies more competitive. We believe this constitutes a new scorecard for IT, with greater emphasis on IT’s role in driving business growth and market differentiation,” explains Dave Murray, head of thought leadership at the BPI Network.

In terms of benefits from data center and cloud transformation, 70 per cent of leaders listed increased agility and responsiveness to business changes, while 57 per cent listed greater cost efficiencies and 47 per cent listed faster time to market.

About 48 per cent of managers expect to modernise and upgrade the data  facilities, and 44 percent expect their companies to migrate to a hybrid IT model combining both on-premise data center and cloud.

“Companies in every industry and every part of the world are realising that they must embrace a new model of business responsive data centers and networks in order to drive innovation, agility, and speed. Today’s discussion around the data center and cloud-enabled hybrid IT models is rooted in the need to respond more effectively and rapidly to the strategic needs of enterprises in a very fasting changing business environment,” said Richard Garratt of Dimension Data.

Internet of Things topped the list of top five transformative technologies, followed by always on, highly scalable and available web business models, social media data mining and more efficient engagement, micro-targeting and personalisation using Big Data analytics and proliferation of smart mobile devices and applications.

According to the study, there is a clear disconnect across organisations between the recognised need to adopt new technologies and actually achieving that goal.

Shubhi Tandon

Shubhi Tandon is the Assistant Editor at Digital Market Asia. Fascinated by the evolving digital media industry, she has focussed on tracking developments in the Asia Pacific market since 2014.