A framework for maximizing the strategic value of IT investments

A framework for maximizing the strategic value of IT investments

An inflexible, sluggish, inefficient infrastructure poses a bigger competitive threat than any ingenious start-up or disruptive market force. In Cognizant’s report The Future of IT Infrastructure, we outline a new framework to help CIOs move toward the new way to work for IT.

To find out how leaders re-tool for the digital age, we interviewed more than 1,000 IT executives from 18 countries. We wanted to know what changes leaders are making in their organization’s technology infrastructure, as well as the shifting nature of IT work, operations, performance metrics and jobs.

In our findings, we saw leaders developing the required IT infrastructure by focusing on what we have named the HEROES framework, a framework that we believe will reshape a new generation of IT. This framework involves change in five areas:

  • Hybrid cloud architectures. Cloud computing will simplify today’s complex state of infrastructure management. In our survey, 61% of organizations consider cloud to be a key enabler of driving business priorities.
  • Edge computing. IoT will add tremendous complexity to existing IT infrastructure, as expressed by 60% of respondents. Edge computing puts computing resources that handles IoT-created data closer to the data source, speeding up the analysis process and allowing you to act on insights more quickly.
  • Robotic process automation (RPA). RPA will be essential for achieving the levels of performance required in the digital economy. In our survey, more than half (55%) of companies are either piloting or planning to adopt RPA, while 10% are already applying automation to their core processes.
  • Obsolescence of old IT. 47% of the IT executives we interviewed feel that their teams are spending too much time on maintaining legacy infrastructure. The average server utilization rate in companies is 45%. If your ancient system is holding you back from creating a better offering, it’s time to reboot your core IT.
  • Enterprise security. Cybersecurity threats will multiply. Data is the biggest digital asset today, and protecting it means protecting your business. 53% of respondents have already conducted a formal risk assessment to identify and protect digital assets.

The HEROES framework can help CIOs systematically move toward the new way of work for IT and maximize the strategic value of their IT investments. All five areas will also be impacted by the growing influence of AI technologies, which will both “upgrade” the existing IT infrastructure and lay the foundation for the future. In fact, 61% of executives agreed that AI will fundamentally change their IT infrastructure procurement and consumption model over the next five years. In short, AI will be at the heart of the new IT infrastructure.

Curious to learn more? Download the report here.