July 23, 2024 | 5 min read
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What’s holding enterprise digital transformation back?

Expereo team

Enterprise digital transformation has become the high-speed engine in the race to the top. Implementing new technologies, increasing productivity and efficiency, freeing teams up from manual or repetitive tasks have become top priorities as companies look to fast-track their success by transforming key processes and functions.

But the digital transformation journey for many enterprises still isn’t straightforward.

In the Expereo-commissioned IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey, the main roadblocks experienced by 650 technology leaders when transforming their business have been revealed.

Where are businesses on their digital transformation journey?

The IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey shows that most (55%) technology leaders believe their digital strategy and initiatives are integrated and aligned with operations and customer needs, and 22% of that number believe their digital initiatives can drive the overall business strategy.

However, a third of those surveyed (33%) feel their digital strategy is too focused on short-term goals. So while the majority of technology leaders are relatively confident about their digital transformation journey, it’s clear that there’s still a way to go for many.

What are the four main focus areas for digital transformation this year?

The IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey found that the top four technology areas enterprises were investing in over the next 12 months were:

  1. Artificial Intelligence (AI) & Machine Learning (ML) (42%)
  2. Security/cybersecurity (37%)
  3. Cloud or multi-cloud networking/connectivity (35%)
  4. Software defined networking (30%)

AI and ML have shot to the top of the priority list compared to last year. Our Enterprise Horizons 2023 report found AI and ML to be the second most popular transformation technology investment. But with successful AI implementations from some of the very top companies, Amazon, Tesla and JPMorgan Chase for example, it’s no wonder many other organizations want to leverage it too.

Remote or hybrid working’s impact on transformation

The importance of security and cybersecurity, cloud and software-defined networking in the list of investment priorities is unsurprising. 91% of companies still have hybrid working in some form or another which presents security issues, performance and access challenges as employees increasingly connect via home Internet rather than office-based networks.

Data from the IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey found that only 17% of technology leaders surveyed felt that their workers were very supported with the flexibility to work anywhere. This is interesting as last year’s Enterprise Horizons report found that 26% of respondents struggled with network support for hybrid workers and 41% expressed an increase in demand for IT support driven by hybrid and remote workers.

In the intervening 12 months, it seems that cloud and software-defined strategies have grown in popularity to meet these challenges.

However, implementing cloud and software defined networks, AI, and cybersecurity as enterprise transformation initiatives aren’t simple to deploy for a number of reasons.

What are the top four challenges for enterprise digital transformation?

The IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey, explores how the top challenges facing technology leaders in their transformation initiatives are:

  1. Complexity of integrating/aligning with existing IT (41%)
  2. External partners that we rely on for our IT do not have the right capabilities (40%)
  3. Lack of regional expertise to effectively roll out global technology initiatives that comply with local requirements (35%)
  4. Inadequate networks or connectivity (31%)

These are particularly interesting as the first three largely stem from a lack of expert knowledge and support.

Solutions to overcome these enterprise digital transformation challenges

Understanding the challenges is just the first step. Here are actionable solutions to help overcome the top four barriers to enterprise digital transformation:

Tackling complex integration with existing IT issues

Start with a comprehensive assessment of your existing IT infrastructure. Identify areas that need upgrading and potential integration points.

Then, rather than a complete overhaul, consider phased implementations. This allows for smoother transitions and reduces the risk of major disruptions. You can then leverage integration platforms and middleware that facilitate seamless connectivity between old and new systems.

Ensuring external partners have the right capabilities

Ensure that your IT Managed Service Providers (MSPs) and partners have the necessary expertise and a proven track record in handling similar projects by evaluating them rigorously and comparing them with their competitors.

Once you’ve established you’re working with the right trusted partner, instill a collaborative approach so they understand your business needs and goals.

Establishing regional expertise for global rollouts

Form partnerships with local experts who understand the regional landscape and regulatory requirements, or ensure your external partner has an established global network and understanding of regional compliance and regulatory requirements.

Improving networks and connectivity

Invest in modern network solutions, such as SD-WAN or Enhanced Internet, to ensure high performance and reliability across all locations. SD-WAN can also support your cloud and multi-cloud strategies and enhance your security.

Again working with the right MSP, like Expereo, will ensure you have a network that is an enabler of your enterprise digital transformation plans rather than a roadblock.

A good MSP will be able to reduce latency, increase bandwidth and optimize traffic through the right mix of connectivity solutions that suit your specific transformation plans. You need a simultaneous network transformation program alongside and attuned to your transformation plans to see optimal results.

What else is impacting your peers? Explore Enterprise Horizons 2024 today

For more insights about what’s impacting 650 technology leaders’ transformation plans, check out the full IDC InfoBrief, Enterprise Horizons 2024: Technology Leaders’ Priorities on their Digital Business Journey .

Ready to transform your business? Get in touch with Expereo

Wherever you’re based, and whatever your enterprise digital transformation plans, we have the capabilities, partnerships, and technologies to design and build a purpose-built, future-ready network.

Get in touch today to discuss your needs.

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