Digital Platform Insights - Enterprise Perspective

The new digital platform consists of five domains: Traditional IT systems, Customer Experience, The Internet of Things (IoT), intelligence and the Ecosystem Foundation.

Each of these domains are interconnected and interdependent. CIOs will participate in the building of a new digital platform with intelligence at the center. Digital platform will enable ecosystems, connecting businesses and collapsing industries. It will change society itself, and the way people live.

The five elements of the new digital platform insights include:

Traditional Core IT Systems

Taking high performing traditional IT systems (such as the data centers and networks) and modernizing them to be part of the digital platform. It’s building on what’s already been built.

• Organizations are halfway through the transition to the cloud leaving traditional methods of hosting. It goes into every department soon or later.
• Organizations need to make cloud, mobile, social and data as core capabilities while investing in resilience, business continuity and disaster recovery, inside and outside in a hybrid approach.

Customer Experience

Organizations needs to connect and engage in new ways. The digital customer experience may be the only one that the customers have. This is how the business engages in the digital world. The pioneers are exploring how new experiences such as virtual and augmented reality will change the way customers engage.

• The new competitive differentiator is understanding the customer’s intent through advanced algorithms and artificial intelligence.
• Creating new experiences that solve problems customers didn’t realize they had. 

Internet of Things (IoT)

Two-third of organizations have had to rework their existing IT systems to accommodate IoT. Adding devices to the IoT domain is the easy part. Processes, workflows, and data integration are much harder.

IoT also changes how Organizations should invest in analytics because decisions must move from days to minutes to instant. Organizations should plan to shift their investments in analytics to real-time. Real-time analytics will outpace traditional analytics by a factor of three by 2020 to become 30 percent of the market.

Intelligence

The systems analyze, learn and decide independently. Organizations start with traditional data management, data science and data intelligence. Algorithms determine the action. The new type of intelligence, driven by machine learning is artificial intelligence.

• Machine learning and artificial intelligence move at the speed of data, not at the speed of code releases. Information is the new code base.

Ecosystem Foundation

The enterprise interacts as an institution in the digital world. Ecosystems go beyond the capability to decide, Organizations need to build the capability to interact with customers, partners, adjacent industries, even your competitors. The ecosystems allow for the transformation from traditional business with linear value supply chains to networked digital ecosystem businesses.

Worldwide IT Spending

Gartner forecasts worldwide IT spending to total $3.4 trillion in 2016, a 0.3 percent decline from last year. In 2017, global IT spending is projected to grow 2.9 percent and reach $3.5 trillion. This growth will be driven by the software and IT services segments. 

Worldwide spending on software is projected to grow 7.2 percent, and IT services 4.8 percent.

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