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Digital business is maturing, from an experimental experiment to a large scale application. CIOs need to evolve in their thinking to adapt to this new era of rapid growth in digital activity.
Gartner's annual global survey of IT executives shows that their role will remain critical in transformation processes.
The Gartner CIO Agenda 2019 survey has collected data from more than 3,000 CIO respondents in 89 countries and in major business areas, representing about US $ 15 trillion in revenue / budgets for the public and private sector. $ 284 billion in IT expenses.
The survey results show that digital commerce has reached a critical point this year: 49% of CIOs say their companies have already changed their business models or are changing them.
"What we see here is an important step in the transition to the third era of computing, the digital era," says Gartner Vice President and Distinguished Analyst Andy Rowsell-Jones.
"Initially, CIOs were moving from IT as a business to IT as an industrial sector. Today, 20 years after the launch of the first CIO Agenda survey, digital initiatives, just like growth, are the top priorities for IT managers in 2019. Digital technology has become the norm.
Scaling digital activities
The survey revealed that 33% of respondents worldwide had made digital efforts evolve, up from 17% the year before. The main factor of scale is the intention to increase consumer engagement via digital channels.
"The ability to take on a larger scale is invested and developed in three key areas: volume, reach and agility. All aim to encourage consumers to interact with the organization, "says Rowsell-Jones.
"For example, increasing the scope means offering the consumer a variety of digital services and actions. In general, the greater the variety of interactions available through digital channels, the more involved a consumer becomes and the less it costs to serve them. "
Stable IT budgets
The transformation towards digital activities is based on a steady growth of the IT budget. Globally, CIOs expect their IT budgets to increase by 2.9% in 2019, slightly less than the average growth rate of 2018 of 3%.
A look at regional differences shows that the regions are getting closer: the leader in budget growth is once again the Asia / Pacific with an expected growth of 3.5%. However, there is a significant reduction in the 5.1% increase expected in 2018.
EMEA (3.3%) and North America (2.4%) both forecast an increase, while Latin America lags behind with a projected 2% growth in 2019, down from 2.8% this year.
"CIOs need to use their financial resources to make 2019 a year of transformation for their business," says Rowsell-Jones.
"Stay active in the transformation discussions and invest time, money and human resources to remove any barriers to change. Companies that are behind in digital activities will face a serious competitive disadvantage in the future. "
Artificial intelligence and cybersecurity shaping the ISD agenda
Emerging disruptive technologies will play a major role in redesigning business models as they change the economy of all organizations.
Gartner asked CIOs and IT leaders what technologies they expect to disrupt the most.
Artificial intelligence (AI) was by far the most cited technology and positioned itself as the most powerful technology to change the game, away from data and analysis, which now ranks second.
Although this year's question was asked slightly differently, the jump to first place is huge: even the top performers went from just 7% to 40%.
In terms of implementation, 37% of those surveyed about their organization's digital technology and digital trends projects responded that they had already deployed the AI technology or their deployment was being rolled out. short-term planning. In fact, AI comes second, behind cybersecurity (88%).
"In appearance, it sounds revolutionary. However, this rise in the adoption rate of AI may indicate an irrational exuberance, "says Rowsell-Jones.
"CIOs can not afford to ignore this category of technology, but they need to maintain a sense of proportion. This latest batch of artificial intelligence tools still has to go through a period of disillusionment. "
The focus on cybersecurity shows the need to create a secure foundation for a digital enterprise that protects its organization and its customers.
The survey indicates that in most companies, the IOC is still responsible for cybersecurity. However, the only IT organization can no longer provide cybersecurity.
The increase in social engineering attacks, such as phishing, requires a broader behavioral change of all employees.
In 24% of the most successful companies from the digital point of view, it is the boards of directors that are responsible for cybersecurity rather than the only CIO. However, to improve security against cyber threats, CIOs combine measures to strengthen information processing assets and efforts to influence technology users.
"Last year, I said that CIOs need to start adapting their digital business. They excelled, "says Rowsell-Jones.
"This year, they must go further and put their digital business in full growth on a stable and secure basis. The success of the third era of enterprise computing is based on a sound strategy combining new disruptive technologies with a rebalancing of existing investments. "
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