The Impact of Covid-19 on Digital Transformation in 5 Charts

Public cloud migration is essential for survival following Covid-19, according to an IDC study.

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Chart 1 - Businesses further along in DX are future-ready and better prepared for the next normal.

Despite the notable uptick in cloud migrations in 2020, the true impact of the pandemic is yet to be felt as businesses across the U.S. sit at different stages of recovery across regions and industries. Nearly one-third (32%) still claim to be in the earliest stage of recovery, focusing solely on business continuity. Just 10.5% are making targeted investments as they return to growth, while 16.5% reported having reached their ‘next normal’.

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 Chart 2 - 66% cite COVID-19 and increase in remote workers as key catalyst for cloud migration

Please select the events that triggered the large-scale migration to public cloud.

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Chart 3 - 55% of CIOs have more influence across the business
The pandemic has had a major impact on the Chief Information Officer, with 45% saying that the pandemic had improved their relationships with business leaders and changed the focus of IT from being a cost center to a business-enabler. More than half of CIOs (55%) said it had increased their scope of influence across the business, finally giving them a seat in the boardroom and the opportunity to digitally transform the business.

Which statement describes how the pandemic has impacted your role as CIO? (Choose all that apply)

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“I’m a participant in the board meetings. At least twice a year I report to the board on the state of IT, how we’re doing on initiatives that we budgeted for, how we’re doing on security assessments, and then give them a lay of the land on what’s coming for the rest of the year.” - CIO, financial services, U.S.

 Chart 4 - 27.5% say cloud migrations are “essential for business survival”

The CIO orchestrates efforts to secure and stabilize operations, and safeguard stakeholders while driving toward a more adaptable future enterprise.

Leadership perspective on large-scale migration to public cloud

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“The move to cloud enables us to demonstrate how quickly we can build services that deliver business value which improves our credibility with leadership.”

- Head of cloud engineering, financial services, U.S.

Chart 5 - Cloud migrations have improved collaboration for 85% of IT leaders

Companies that have implemented large-scale moves to public cloud believe they are better positioned to deal with a range of problems, including:

  • Better collaboration across different functions (85%)
  • Faster response times (78%)
  • More resilient supply chains (71%)

 How has a large-scale move to public cloud better positioned your company to effectively deal with future disruptions?

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 For more data on how the pandemic has affected digital transformation in the US, download the IDC InfoBrief report in full here.

Copyright © 2021 IDG Communications, Inc.