The rise of digitalization requires new skills and new partnerships
IT has long been seen as a support function and equated with the costs of running servers, managing clients and maintaining systems. At management level, the discussion has focused on whether the IT manager should sit on the management team, how much IT can cost and which systems need to be updated during the year . The rise of digitalization (read more in "The technology revolution is bigger than you think, the whole organization must act now") opens up new opportunities for IT to move from a support function to a central role in the company's business development.
Digital transformation is largely about pure business development and there is a strong consensus among researchers and the business community that more digital understanding must be brought into the decision-making process. The business of the future will require services in the cloud and those companies that are unable to create value using digital technology will find it increasingly difficult to compete.
The move from cost item to strategic business function requires new skills
But in order to make the leap from cost item to strategic business function, today's IT departments face a number of challenges. An important part is ensuring that they have the necessary knowledge and skills. In a survey by Sungard AS, 700 IT decision-makers in Sweden, the US, the UK, France and Ireland responded to how they view digital development and what it means. Almost half of the respondents believe they are not keeping up with digital developments.
It is also about changing and complementing the skills and profile of the IT department's employees. According to the same Sungard study, more than 80% of decision-makers believe they need to recruit new employees with the right skills to enable digitalization. Those who best operate servers are rarely the same individuals who are best suited to develop new business-focused IT solutions.
Traditional IT partners lagging behind in the wake of digitalization
Another challenge is the choice of IT partner. While today's IT managers are facing a disruptive paradigm shift, where the right digital capabilities are a prerequisite for success, many vendors continue to focus on "making IT work". Existing IT systems that support traditional methods may feel stable and reliable in many ways. But they rarely enable the innovation and creativity that the IT manager is now expected to deliver.
We increasingly hear IT managers in forward-thinking companies explain that there are no longer any 'IT projects'. Now everything is a "business project" with a focus on creating efficiency or realizing new business opportunities. When the vendor recommends traditional IT projects, communication problems are bound to arise.
The provider that still focuses on running servers will simply not be the strongest card when it comes to implementing business support solutions with a focus on business value and competitiveness. As forward-thinking companies look for like-minded partners to win the race, traditional IT providers who have not kept up with the transition will be left behind.
IT, a core process with high priority
My belief is that the successful companies of tomorrow will have one thing in common. They will all see IT as a core, high-priority process. And it is the fastest that will win.
These companies will have solved the equation of reallocating time and money from operations to innovation to ensure that IT becomes a key competitive advantage. Discussions will no longer be about cutting IT costs. Instead, the focus will be on ensuring a clear link between the vision of the business plan and the goals of the IT operations to ensure the "right IT cost". When the IT manager is given the opportunity to steer the IT operations towards the company's overall goals, the conditions are created to move from being reactive to being a proactive driver of the company's innovative power.
Contact us to learn more about how WeSafe and Microsoft products can open up new opportunities for your IT to play a central role in your company's business development.
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