Digital Transformation Drives New IT Infrastructure Requirements

Technology adoption has continually evolved from the mainframes and dumb terminals of the
1st Platform to the mobile, social, cloud, and big data and analytic technologies of the 3rd Platform.
These 3rd Platform technologies are enabling a transformation of fundamental business models that are at the core of all organisations. As organisations leverage 3rd Platform technologies to enhance customer engagement via mobile apps, new datastreams are created that provide real-time feedback on their satisfaction as end consumers. This gives organisations an opportunity to enhance the very customer relationships on which the business is based and allows enterprises to begin focusing their energy on improving customer outcomes. These outcomes will be based not on a point in time but across the full life cycle of a product or service in such a way that real-time feedback is continually captured. This datastream accelerates innovation and drives continuous improvement to the product/service delivery model at the heart of a modern business. As organisations transform themselves digitally, business resiliency improves significantly and business operations become more reliable.

Business leaders are challenged to move their enterprises to the next level, a digital business transformation, employing digital technologies coupled with organisational and operational innovation to create new business models and to drive business opportunity. IDC believes that enterprises will either become adept at digital transformation and thrive in the market or fail to master the disciplines and struggle to survive. Many IT organisations are now thinking about how they can help businesses by transforming internal business processes, implementing digital business models, and creating IT-enabled products and services. Applications and data form the foundation of these digital business strategies, and IDC believes that IT executives need to sit at the forefront of the digital transformation process. Data volumes will continue to grow, and the ability of an organisation to interpret and act on this data will differentiate it in the marketplace. Traditional IT is being forced to respond as new cloud-native applications emerge that require the transformation of both the IT infrastructure and the IT organisation. IDC believes that as a direct result of digital transformation activities in the market, value is once again migrating to the datacenter.

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