Scaling Up to the Next Stage of Transformation on Cloud

The phrase digital transformation is often used as a euphemism for modernization, including migrating from legacy on-premises systems to cloud software. And sure, that’s a part of what it is. But true digital transformation is a foundational change in how an organization delivers value to both its customers and its employees. If you miss that fundamental understanding, you’ll miss out on the chance to develop solutions to real problems.

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The fear of being disrupted by digitally native start-ups is pressurizing CXOs into looking at building smarter enterprises characterized by productivity, innovation and new business models. Legacy enterprises are thus turning to digital transformation with the cloud, driven by clear business-focused drivers.

Gartner Inc.’s annual global survey of CIOs survey reveals that cloud computing is amongst the top priority areas where most CIOs will increase their investments in 2020, with the global market expected to reach $445.7 billion in 2022. 

Thus, cloud adoption has gone mainstream wherein every organization is characterized by where they are on their cloud journey – torchbearers with high adoption of cloud across functions, pathfinders with moderate cloud adoption, defenders who take a siloed approach or aspirants with low adoption. Irrespective of where they are, every organization must ask themselves – how do they scale up to drive the next stage of the digital transformation journey?

Rejuvenate the core and invest in the future

The cloud journey isn’t merely about moving “to the cloud” but about transforming “with cloud.” Enterprises must look at creating cloud-powered future as-a-service by bringing transformation across applications, data and infrastructure. Cloud is the lynchpin that empowers companies to embrace the brave new world of enabling technologies like big data analytics, artificial intelligence, machine learning, internet of things, blockchain and edge computing.

To reap the benefits afforded by these emerging technologies and to remain competitive amidst evolving customer needs, enterprises have two approaches before them. The first approach is to rejuvenate the core, which reduces cost and technology-related debt. The second is to invest in the future with a view of generating value and scaling businesses.

The former approach involves processes like data center consolidation, application landscape rationalization, ERP modernization and the adoption of full-stack industry vertical solutions. Investing in the future means spending on containers, microservices and APIs, monetization of data, elevating the customer experience through customization, enabling technology-driven business innovation and AI/ML driven self-service and self-healing operations.

In the process, organizations should convert their IT operations into a highly responsive and efficient landscape by codifying the associated complexity with software and process engineering, before leveraging an expert mix of on-premise infrastructure, public, private and hybrid clouds. Focus should be maintained on accelerated workload migration to the cloud, while also simultaneously modernizing applications to make them real time and digital-ready.

Irrespective of the path chosen (or even a hybrid of the two approaches), enterprises must undergo a change in mind set to be able to scale cloud for driving their digital transformation journey. A cloud centric approach enables interdisciplinary collaboration, data-based decision making and embracing agile, experimental and immersive ways of working.

It is interesting to note that majority of enterprises who are cloud happy have a multi-cloud strategy.

In this context it becomes important to consider adopting an open source platform that can give enterprises the option to develop an app and run it in any cloud location – public, private or on premises – ensuring true interoperability while also taking care of all the security standards and best practices.

Cloud is a hero in every business function

CXOs across the board can expect cloud platforms to deliver value in every business function that fulfils the typical outcomes expected by them. For the CHRO, the expected outcomes could include positive employee engagement and experience, apart from adaptive sourcing and management of talent. The CMO can lean in on enhanced customer acquisition and retention and better return on investment on online advertising, campaign orchestration and analytics, leading to superior brand awareness. The cloud empowers CSOs with a scalable and predictive revenue engine and greater management of forecasts and contracts. For the CFO, expected outcomes include cost optimization, as well as, increased profits.

Partnering with an expert for success

Keeping up with the dizzying pace of these revolutionary technological changes is challenging enough for any CIO, but transforming an entire enterprise into being cloud-centric is near impossible for internal IT departments. Enterprises should not be distracted with such implementation processes, focusing efforts instead on cloud-powered business transformation initiatives and value discovery. What they require is a competent cloud consulting partner with a demonstrated track record of driving enterprise transformation, armed with investments into enterprise architecture, a suite of industry solutions and proven methodology.

Essentially, the action is moving to a playing field where an enterprise need only define and highlight a business problem. Its cloud partner should be able to help them consume a service to solve the problem with their cloud platform, preferably open source with reference architectures for different workloads and customer requirements.

As the future landscape becomes increasingly complex organizations must shift their expectations towards business outcomes and digital transformation through the cloud with the right partner can be the game changer.


Copyright © 2020 IDG Communications, Inc.