Digital Transformation – It’s All About Scale

At this year’s IDC Directions in Boston, the theme for the entire day was scale. Right from the beginning, IDC analysts focused attention to tech innovation through the developer, which will help businesses advance their use of 3rd platform technologies (how IDC buckets Cloud, Big Data/Analytics, Mobile, and Social solutions). Conference keynote speaker, Frank Gens, Senior Vice President and Chief Analyst of IDC, kicked off the conference with questions to consider – Is your organization equipped to succeed in today’s digital environment? If not, how do you get ready? To those in the audience unsure of the answers to these questions, he provided the steps to get there – scale adoption, scale technologies, and scale ecosystems.

Adoption: In 2016, 3rd platform spending will exceed 2nd platform technologies for the first time. There are multiple reasons for this, but overall organizations are using 3rd platform tech to gain value, competitiveness, business relationships, etc. One technology that is particularly playing a large role in the speed of adoption is Internet of Things (IoT). However, Gens explained how it’s not as simple as just adoption. In order to advance in digital transformation, organizations must approach each business decision with an effective go-to-market strategy depending on the industry.

Technologies: Gens also shared exciting insights on the tech growth IDC is seeing when it comes to IoT and cognitive/AI (deep learning). As the cost of sensors continues to drop– allowing for more data to be collected to help in decision-making – IDC predicts that by 2020, the number of devices will triple and there will be 10x more applications/services. The backbone behind these devices is deep learning; using machine intelligence and data to create algorithms that effectively and efficiently move devices forward. While deep learning is a huge part of device success, progress still couldn’t be achieved without human skill and knowledge, i.e. the developer.

Ecosystems: Without developers, Gens says, growth in digital transformation would be nonexistent. Despite automation and data, the human factor is still important. Due to their innovative skillset, programming knowledge, and ability to troubleshoot and problem solve, the emerging tech market follows developers. Gens hit home on the point that businesses must have strong relationships with developers as IDC predicts that the number of developers on teams will double, with two-thirds focused on digital transformation/innovation.

To tie it all together, Gens dived into how the ultimate goal of the process towards digital transformation is to help your customers. The way you achieve your goal may be different whether you’re B2C or B2B (scaling touchpoints or scaling number of customers), but you must understand your company’s culture and technology approach in order to transform effectively.

Learn more about IDC predictions on emerging technologies here.


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