With the exponential pace of digital transformation, organizations around the world are racing to reinvent themselves. CIOs in leading organizations are modernizing the complete IT, creating new platforms with agile connectivity, and transforming legacy systems or risk professional extinction.
IDC recently released a new report, “IDC FutureScape”, to assist CIOs in their race to innovation. The report consists a number of predictions for next five years that will help CIOs to lead their organizations during the time of organizational reinvention and disruption.
“In a multiplied innovation economy built on emerging technologies, CIOs must reinvent the IT organization to enable their enterprise to take advantage of the most powerful wave of the digital transformation,” said Serge Findling, vice president of Research for IDC’s IT Executive Programs (IEP).
IDC’s predictions for IT investment priorities and implementation strategies
IDC said that these predictions will help CIOs and senior IT executives in forming their strategic IT plans.
1. By 2020, 80% of organizations will compensate IT leaders on the basis of business KPIs and metrics, rather than IT operational measures. These business KPIs and metrics will measure effectiveness of IT in driving business performance and growth.
2. By 2020, 60% of CIOs will create a digital trust framework that goes beyond just protecting against cyberattacks. This framework will allow enterprises to resiliently rebound from adverse situations, events, and effects.
3. By 2021, 70% of CIOs will provide agile connectivity through APIs and architectures. These APIs and architectures will interconnect digital solutions from cloud vendors, system developers, startups, etc. As per IDC Futurescape report, this will be driven by line of business (LOB) demands.
4. By 2021, 70% of CIOs will apply data and artificial intelligence (AI) to IT operations, tools, and processes. It is because the organizations will need to limit IT spending, improve IT agility, and accelerate innovation.
5. By 2021, 65% of CIOs will integrate agile DevOps practices into wider business models to gain the pace required for innovation, execution, and change.
6. By 2022, 65% of CIOs will need to reinvent the governance policies of organizations to take hold of new opportunities and address new risks posed by AI, machine learning, and data privacy and ethics.
7. By 2022, 75% of the digital strategies will be developed by a modern IT organization. The modern IT organization will include transformed and rationalized infrastructure, applications and data architectures.
8. By 2022, 75% of CIOs will fail in their roles who don’t move their organizations to empowered IT product teams for digital innovation and disruption.
9. By 2022, the talent pool for modern technologies wouldn’t be sufficient to fill at least 30% of global demand. Further, organizations will make strategies to develop effective skills and retain the talent.
10. By 2023, 70% of CIOs will fail professionally, who wouldn’t be able to manage IT governance, strategy, and operations division between edge LOB-dominated edge computing, operational technology and IT.
“CIOs must also reinvent customer, employee, and partner experiences to strengthen trust and resilience, while learning to live with and manage risks posed by AI and machine learning (ML) by reinventing IT governance. Moreover, they need to reinvent IT leadership, by orchestrating armies of bots and automated processes in addition to leading people. CIOs are reinventing IT through IT transformation (ITX),” added Serge Findling.