Study finds digital disruption puts pressure on CIOs

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As the world increasingly go digital, CIOs are struggling to keep up with the pace of change in business today, a latest Verizon Enterprise Solution sponsored report by Harvard Business Review Analytic Services revealed.

Enterprises are employing “hybrid IT” as they struggle to keep up with digital transformation. In fact, 63 percent of respondents indicated they are pursuing a hybrid IT approach to keep up with their existing infrastructure that consists of a mix of private clouds, public clouds and legacy data centers – either on-premises or managed by service providers.

Entitled “Hybrid IT Takes Center Stage”, the report surveyed 310 business and IT executives worldwide.

To enable hybrid IT, the report pointed out the need for a secure, high-performance network architecture that can deliver the kind of security, flexibility and responsiveness required to stitch all these systems together.

“The vast majority of CIOs and line of business owners are working within the constraints of legacy apps, networks and investments,” said Chris Yousey, vice president of managed services for Verizon Enterprise Solutions.

“And while the move to hybrid IT is about protecting their investments, it’s really more about improving performance, availability and above all, agility in today’s business climate.”

ALSO READ: CIO predictions for 2017 revealed by IDC

The majority of CIOs – 59 percent – say that their organizations’ use of cloud computing has improved their marketplace competiveness.

Top challenges preventing organizations from employing more cloud solutions are security (35 percent); integration with other systems (32 percent) and integrating multiple clouds (25 percent).

According to Carl Lehmann, research manager in charge of enterprise architecture, integration and business process management for the 451 Group, “Everyone is talking about digital transformation in the enterprise, improving the customer experience and adopting new business models to respond to disruption from established rivals and new entrants. And hybrid IT is how you do that.”

Survey respondents indicated the technology-related benefits of cloud include- flexibility, faster implementation, ease of deployment, increased reliability and better functionality.

The survey also found that increased application availability, enhanced business continuity, lower total cost of ownership, and ease of collaboration — continue to be drivers for cloud deployments.

What’s next for enterprises?

Many companies recognize that outsourcing infrastructure management will help them keep pace with technological change and allow them to become more responsive to the needs of their business.

In addition, respondents from the survey indicated that outsourcing more infrastructure management would improve the following:

Ability to stay on top of technology change

Responsiveness to business demands

Speed to resolve problems

User experience

Access to required skills

Reliable control of costs

Management control systems integration

Other surveys

A similar study by Harvey Nash/KPMG CIO showed in May that CIOs in the APAC region fear that technology skills shortage will hinder their organisations in a rapidly changing business landscape.

However, compared to their global counterparts, CIOs in the region were confident of keeping up with the pace at which disruptive technologies are invading.

Japan was an exemption with 72 per cent of technology leaders in the country reporting they are struggling to keep up with pace of digital disruption and change.

In Agust, a survey by Unisys Corporation showed that CIOs are the C-suite executives most intensively advocating and driving migration of their organizations’ IT resources to the cloud.

Seventy-two percent of the survey respondents said that their organizations’ CIO is spearheading movement to the cloud. In addition, securing the cloud is the respondents’ primary management concern.

The study also indicated that reducing costs and gaining faster access to computing capacity are the CIOs’ primary motivations.

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