{"id":28685,"date":"2017-05-14T07:58:06","date_gmt":"2017-05-13T23:58:06","guid":{"rendered":"http:\/\/www.upgrademag.com\/web\/?p=28685"},"modified":"2017-05-14T07:58:06","modified_gmt":"2017-05-13T23:58:06","slug":"only-5-of-large-companies-prepared-to-meet-it-requirements-of-new-digital-business-says-new-study","status":"publish","type":"post","link":"http:\/\/www.upgrademag.com\/web\/2017\/05\/14\/only-5-of-large-companies-prepared-to-meet-it-requirements-of-new-digital-business-says-new-study\/","title":{"rendered":"Only 5% of large companies prepared to meet IT requirements of new digital business, says new study"},"content":{"rendered":"

Dell EMC announced the results of a new study conducted by Enterprise Strategy Group (ESG), which revealed that a majority of senior IT leaders and decision-making managers of large companies surveyed around the world indicate their organizations have yet to fully embrace the aspects of IT transformation needed to remain competitive.<\/strong><\/p>\n

\"\"<\/a><\/p>\n

While there is a clear imperative for companies to transform their legacy IT, digital transformation is becoming the driving force to making IT Transformation a top priority. However the ESG 2017 IT Transformation Maturity Curve study commissioned by Dell EMC shows 95% of survey respondents indicate their organizations are at risk of falling behind a smaller group of industry peers that are transforming their IT infrastructures, processes and delivery methods to accelerate their goals of becoming digital businesses. Many organizations still measure application cycle times in months, if not years; have siloed infrastructures; and continue to grapple with rigid legacy architectures \u2013 all barriers to undertaking a successful digital transformation.<\/p>\n

\u201cThese findings mirror how the vast majority of customers are telling us they need to optimize their existing infrastructures to take advantage of digital-age opportunities,\u201d said David Goulden, president of Dell EMC. “However, the research shows that most respondents are falling behind a small and elite set of competitors who have cracked the IT transformation code, and they\u2019re competing more vigorously because of it. As organizations progress in their IT transformation investments, they can overcome the conflict between legacy IT and digital business initiatives to realize their goals, speed time to market and increase competitiveness.\u201d<\/p>\n

The ESG 2017 IT Transformation Maturity Curve study was designed to understand the role that IT Transformation plays toward becoming a digital business. ESG employed a research-based, data-driven maturity model to identify different stages of IT transformation progress and determine the degree to which global organizations have achieved those different stages, based on their responses to questions about their organizations\u2019 on-premise IT infrastructure, processes and organizational alignment.<\/p>\n

Based on the global survey responses, the 1,000 participating organizations were segmented into the following four IT transformation maturity stages:
\n\u2022 Stage 1 \u2013 Legacy (12%): falls short on many \u2013 if not all \u2013 of the dimensions of IT Transformation in the ESG study
\n\u2022 Stage 2 \u2013 Emerging (42%): showing progress in IT Transformation but having minimal deployment of modern data center technologies
\n\u2022 Stage 3 \u2013 Evolving (41%): showing commitment to IT Transformation and having a moderate deployment of modern data center technologies and IT delivery methods
\n\u2022 Stage 4 \u2013 Transformed (5%): furthest along in IT Transformation initiatives The majority of respondents (71%) agree that IT transformation is essential to ongoing business competitiveness.<\/p>\n

Of the \u201ctransformed\u201d companies, 85% believe their organizations are in a “very strong” or “strong” position to compete and succeed in their market over the next few years contrasted with 43% of the least mature companies.<\/p>\n

The \u201ctransformed\u201d organizations report the most progress in leveraging IT resources to speed product innovation and time to market; automating manual processes and tasks; and running IT as a profit center rather than a cost center. These companies:
\n\u2022 (96%) Exceeded revenue targets last year, more than 2X the least mature
\n\u2022 Are 8X more likely than the least mature organizations to report a highly cooperative relationship between IT and the business \u2022 Made \u201cexcellent progress\u201d running IT as a profit center rather than a cost center (7X more likely than the least mature)
\n\u2022 Are 7X more likely than the least mature organizations to have IT viewed by the business as a competitive differentiator
\n\u2022 Leverage IT resources to speed product innovation and time to market (6X more likely than the least mature organizations)<\/p>\n

According to ESG, the adoption of modern data center technologies, such as scale-out storage systems and converged\/hyper-converged infrastructure, can improve the agility and responsiveness of infrastructure provisioning, IT project delivery and application development. The study found:
\n\u2022 54% of all respondents use converged or hyper-converged infrastructure to support applications
\n\u2022 58% of all respondents have adopted scale-out storage systems in some capacity
\n\u2022 Roughly 50% of respondents are committed to software-defined as a long-term strategy and have begun to implement, evaluate or plan for software-defined technologies<\/p>\n

According to ESG, the adoption of modern IT processes – such as self-service provisioning capabilities, running IT like a public cloud and use of DevOps methodologies – can be an attribute of a successfully transformed company. The study found:
\n\u2022 26% of all respondents have \u201cextensive\u201d or \u201cestablished\u201d self-service capabilities
\n\u2022 65% of all respondents have made \u201cexcellent\u201d or \u201cacceptable\u201d progress toward providing end users with the same ability to provision IT resources that they can get from a public cloud provider
\n\u2022 43% of respondents claim \u201cextensive\u201d or \u201cgood\u201d adoption of formal DevOps principles and best practices<\/p>\n

IT transformation is often correlated with a more cooperative and effective relationship between IT and the business, which was validated by the research. The study found:
\n\u2022 36% of IT organizations and their outcomes are evaluated by the C-suite or board of directors monthly, and 38% are evaluated quarterly
\n\u2022 39% have the most senior IT executive reporting directly to the CEO
\n\u2022 61% of the least mature organizations indicate their line of business stakeholders view IT as a \u201cstable service provider, but ultimately a cost center\u201d<\/p>\n

The Dell EMC-sponsored research was conducted by Enterprise Strategy Group between Dec. 9, 2016, and Jan. 5, 2017, with a web-based survey of 1,000 senior IT executives, decision-making managers and staff familiar with their organizations\u2019 current and future IT budget and spending plans and involved in their organizations\u2019 infrastructure purchase processes in the US, Brazil, the United Kingdom, Germany, France, China, Japan and Australia. The respondents represented a variety of industries and enterprise-class organizations.<\/p>\n","protected":false},"excerpt":{"rendered":"

Dell EMC announced the results of a new study conducted by Enterprise Strategy Group (ESG), which revealed that a majority of senior IT leaders and decision-making managers of large companies surveyed around the world indicate their organizations have yet to fully embrace the aspects of IT transformation needed to remain competitive.<\/p>\n","protected":false},"author":6,"featured_media":28686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[4875,2316,54],"class_list":["post-28685","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-headlines","tag-dell-emc","tag-it","tag-security"],"_links":{"self":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts\/28685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/comments?post=28685"}],"version-history":[{"count":0,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts\/28685\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/media\/28686"}],"wp:attachment":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/media?parent=28685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/categories?post=28685"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/tags?post=28685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}