The possibilities promised in taking full advantage of the new digital IT environment characterized especially by agile, DevOps, automation and cloud, are exciting. However, service providers struggle to deliver digital services at their customary profit levels, and customers aren’t prepared to buy the new digital environment because they’re stuck with their existing purchasing/contracting vehicle.
Enterprises realized value in IT shared services organizations for the past three decades. Over the past two years, I’ve delved into the nuances of capturing the promise of digital transformation. As I think about the impact of digital transformation on shared services, it becomes clear that shared services are in for substantial changes. I
A significant driver motivating companies to migrate workloads out of their legacy environment into the cloud is the increasing frustration of operating under onerous, complicated services contracts. Of course, these workloads migrate to the cloud and a software-defined environment primarily for greater efficiency and agility. But many workloads are too expensive and risky to
The IT stack is collapsing, thanks to the latest innovation in IT and moving into a software-defined service-oriented architecture. What can happen as a result of the collapse is important for every company to understand, as the more the stack collapses, the better results IT can deliver. Before we look at the potential impacts,
Over the years, companies structured their IT into centrally managed departments organized by functional capabilities. The objective was to improve the delivery of information technology by establishing and meeting service levels and lowering the cost of the function. These services were sold or provided back to the business, which ingested them into the respective
At Everest Group, we’ve been studying the reason behind the disappointing phenomenon of powerful new disruptive technologies achieving only modest, incremental benefits instead of their promised performance breakthroughs. In my recent blogs, we’ve looked at whether the fault could be due to hype or immaturity of the technologies, whether it might be a lack
If you’re following my blogs regularly, you know that I’ve been discussing what we at Everest Group think is the issue of our time. Vetted, powerful new technologies such as cloud, analytics, cognitive computing and robotic process automation (RPA) should be making big differences in businesses; but for the most part, they’re achieving only
How CIOs can scale IT costs to fit challenges of oil and gas and other commodity businesses. Businesses dealing with cyclical commodities face ongoing challenges from fluctuating market pricing forces. It’s easy to understand in the context of a business in the oil and gas industry today. The price of their product recently dropped
CIOs need to make sure IT metrics align with business users’ expectations. Once your IT organization aligns with business users’ needs and commits to the journey of achieving those business objectives, you can then determine how to do that. After determining your strategy, you’ll then establish metrics to measure IT’s performance. As Winston Churchill
In many newspapers these days, one doesn’t have to read very far without tripping over the latest sensational article on a security breach. The black hat community conducting security attacks is incredibly well funded and incredibly sophisticated and our traditional firewall security precautions are woefully inadequate. The implications of this for companies are stark