IT departments can help their companies move swiftly through digital transformation by utilizing the cloud to strategically drive business innovation.
For IT and business leaders who want to learn more about the connections between digital transformation and hybrid cloud, Budge [VP of advisory consulting and product management at OneNeck IT Solutions] breaks down digital efforts into three common categories:
Using digital to transform your business model. “This is where a company re-evaluates their business model, or expands their business model, due to the influences of digital,” Budge says. “This is most often a business-driven imperative.” He points to GE’s Predix as a classic example of this type of digital transformation.
Using digital to transform your operating model. “This is where a company automates existing operating model functions to gain better efficiency, reduce cost, and/or increase repeatability,” Budge says. This commonly occurs within IT shops themselves, especially those embracing automation and orchestration tools to streamline manual, day-to-day tasks and processes.
Using digital to optimize a business function. This is the most common form of digital transformation, according to Budge, harkening back to business process optimization. “The concept of microservices and their alignment to specific business functions is where customers are beginning to focus.”
Budge emphasizes that moving to a hybrid cloud system allows IT departments to experiment and innovate quickly, helping to transform them from a “‘department of no’ to the ‘department of yes’”. Implementing this kind of three-pronged strategy will allow IT departments to ‘fail-fast’ which is key to competing with other fast-moving businesses in 2017.
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