Organisations that engage in the digital transformation must know that this is not about a simple IT project. There is not a simple process of awarding procurement and implementation as in any project of computerization. It is a natural business selection.
Digital transformation strategy is not simply a budgetary balance relaxation by migrating infrastructure expenditure to OpEx. Is not an easy BYOD project. Is not a simple alignment with the new methodology. Is not a Cloud migration project just for the reason to have a less expensive “fashionable” solution. Is not a social media campaign to raise awareness of the ecosystem of partners and customers.
Digital transformation is primarily a comprehensive business process. Is a process of natural selection. Either adopt digital technologies or disappear… It is a radical change of old processes and business models. It is a cultural change acceleration of digital skills that have become inherent in the business. It is a conscious assimilation and coordinated innovation, without which things cannot work on.
A recent IDC study shows that 35% of the lines of business (LOB) in Central and Eastern Europe turn to providers of IT solutions as the first step in the process of assimilating technological innovation, while 28% of them are calling the very beginning of the process buying. In fact, only 27% of IT projects are funded from departmental IT budgets.
What will follow after the current wave of innovation, assuming that nearly all organisations will become digital? Certainly, a new disturbing wave will occur…
IDC believes that soon we’ll talk all about convergence … IT industry, which in the first trench of the digital transformation process has reached certain limits. It reached an ecosystem boundaries differences between traditional hardware providers, software developers, IT service providers and telecommunications disappeared. Technology providers combine different IT components in packages of services that is charged per-use. Many players in the IT industry were released in non-IT businesses. Mobile payments, technology Near Field Communication (NFC), friend-to-friend payment solutions or exchange P2P are examples of areas where high-tech companies have begun to expand in a market controlled until now only by players from the financial industry.
An Accenture study in North America showed that 72% of people born after 2000 is more accustomed to generating financial transactions from a communications operator, a store high-tech or a post office, but at the headquarters of a bank.
Convergence resulting from the wave of digital transformation will gradually affect other sectors and organisations. As businesses become more digital, traditional boundaries between industries will fade.