Considering all the recent hype around digital transformation, you would think that IT departments are well-positioned to support the needs of the digital business. Think again! By and large, IT shops are failing their digital business initiatives, and this is evidenced by the continuing trend of outsourcing significant IT functions. In this article, we explore some of the reasons why IT is not prepared and what skills IT needs to support a digital evolution. Learn how IT can identify a “zone of confluence” of core capabilities and develop practices needed by the digital business.
These two drivers are directly related. When the business says, “We’re paying too much for IT,” the unspoken part of that statement is “We’re paying too much for IT for what we get from it.” An IT department that is reactive or slow in terms of supporting the basics – responding to incidents, provisioning computers and software, managing the infrastructure in a way to minimize business disruption – is seen by the business as little more than a money pit. Worse still is when IT is ill-equipped to support new business initiatives, which leads us to #2.
Digital businesses require capabilities – both with new technologies and ways of working – that traditional IT departments tend to lack. From the business’ perspective, it is quicker and possibly less expensive to acquire these capabilities from third parties than to invest in developing internal IT.
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