What’s Next for the IT Sector?
During the Q&A session of our 20-20 Vision event last week, I was asked
“What’s next for the ICT sector?”.
With this question in mind, I give you my predictions for 2013 and explain how Ergo can help you deliver that competitive edge.
Get Ready For Growth
Irish businesses are forecasting modest growth for 2013, so CIOs who have been cutting costs to the bone must now turn their attention to driving value and creating new revenue streams. They have to explore new ways to harness the latest technologies as they plan their post-recession strategies.
As they look at how to enable growth, I believe the trend towards out-tasking will accelerate. There will be more contracts awarded as CIOs focus on their businesses and leave everything else to service providers like Ergo. Firms will reduce their internal IT capability to concentrate on what’s core while the service providers deliver utility computing around infrastructure, keeping the lights on and helping improve business processes.
While businesses have gone about as far as they can with cost cutting, the public sector still has work to do. I believe many of the inefficiencies within the public sector can be solved using ICT. Shared services and shared infrastructure must be part of the agenda for Government in 2013.
Explore New Technologies
More businesses now have access to tools that had previously been too expensive or complicated. We are seeing a lot of interest in Business Intelligence with clients leveraging existing investments to create real-time dashboards giving them the information they need when they need it. This type of data can help improve cross selling and maximise margins.
There has been an explosion in data and the onus is on organisations to find ways of using it for competitive advantage. They are also looking at the social media phenomena and starting to explore ways of making sites like Facebook and LinkedIn work for them and drive business.
A Measured Approach to the Cloud
The cloud will continue to be a big topic in 2013! A lot of the discussion will be about building out data management strategies and governance frameworks that allow organisations to operate in cloud environments without compromising their regulatory requirements.
Some of the big vendors believe everything is heading to the cloud, but it’s not that straightforward! Hybrid is the most likely approach for most organisations because we know from talking to them that they are reluctant to relinquish control over some parts of their business, particularly where sensitive data is involved.
When all is said and done, the cloud is just another delivery conduit. Sometimes it makes sense, but there will also be many instances when on-premise works best. That said, I expect more organisations to dip their toes in the water, not just for cloud services but also around mobile solutions. Both will be used to drive productivity and reduce costs.
Catch a Glimpse of the Future
I’ll leave you with a concept video shown by Andrew Macadam, Microsoft Evangelist at our 20-20 Vision event last week, very impressive!