September 12, 2016

Are you left behind, stuck on a “non-digital island”?

Viktor Lindqvist

Business technology advisor, Tieto

In the recent study “Cloud Maturity Index 2016”, performed by Radar, I find it very interesting that the least successful, and as well the least cloud mature companies, have become even further left behind in cloud adoption.

It is of course true that not all companies and industries can/should use, or even benefit from cloud services. However, it is my belief that for the great number of companies in the least mature group, the potential for business benefit available in cloud services simply has not yet even been explored, or at least not well enough.

The CMI (Cloud Maturity Index) clearly indicates that in cloud mature companies IT generally provides more business value than in non-mature organisations. Having an IT department that actually supports and helps to drive your business is for sure the position that IT should have in the future. On the other hand, I strongly believe that there is no longer a place for “introvert legacy IT departments”, who only focus on the “production of IT”. You can no longer separate IT from business, IT is at the center of business in modern society - and your customers expect it!

I know that the competitive situation differs between industries and that the effects driven by digitalization are different for each industry. It is also proven that in the “already digital industries” the competition is extremely tough.  Keeping the leading position in the race, requires business and infrastructure to have a constant focus on the needed changes. Pro-active and agile IT services are a real business driver. 

In other industries, with a lower level of digitalization, the opportunities are huge. What if you can transform your IT to be a real driver for your company business? IT can become the “hero” that provides a very much needed transformation that enables new business services! This work requires you to be attentive and creative in order to find new ways and services to drive new business opportunities. And there are for sure also already available services in the market that will be able to help you on your new Digital Journey. 

You need to ask yourself: What can we do to remedy the current situation, how can we define new aims and ambitions for our IT?

Start with your business vision

First off, start with capturing your business vision. I would recommend trying to get answers to questions such as:

  • What services for our customers would make our business thrive?
  • How can we be more efficient in our work / communication with partners, vendors or even competitors?
  • Are there opportunities for new services, or a combination of already existing services?

I clearly want to state that this first step is very important. I do not recommend to start your transformation without knowing what targets you want to achieve.
Another way to highlight the importance of the business vision, is to ask the question “How do we evaluate the results after the cloud transformation?”
If you don’t know what you set out to perform – how can you determine, if you got the results and business value you expected?

Continue with the strategy

Once the vision is established, you can continue with the next step – i.e “what to do”. Collect data of your current environment and what your compliance requirements are (internal and external):

  • What services/architecture do we have today?
  • What services are available on the market?
  • What are our compliance requirements?
  • Do we have the right skills available for the transformation?

I recommend that you re-visit the business vision so that the target effects are clearly in focus as the strategy is defined. Define and prioritise activities, short and long term, which will give business results as identified in the business vision. 

With this approach, you have already started your digital journey – leaving the island behind.

As a final word I want to inform you that if you need help or guidance on these topics, Tieto has established advisory services for this very purpose. We help our customers find and implement IT services that really drive and develop the business.

Download the free whitepaper on Cloud Maturity Index 2016.

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