Did you know that November 1st is also known as National Calzone Day, National Cook For Your Pets Day, National Vinegar Day, and National Deep-Fried Clams Day? So, after a long day of cooking your pet’s deep-fried, vinegar-infused, clam calzones, you deserve to catch up on the latest goings-on in ITOps, AIOPs, and IT monitoring.
1. Ignoring digital transformation will doom many businesses to extinction in the next 3 to 5 years.
According to an article by CIO Dive, “Companies must allow digital to reshape its value proposition and become a core part of how it delivers on its mission.” To fail to do so may doom an enterprise to the fate of the once-great Blockbuster, Kodak, and Thomas Cook.
While attempting to navigate the demands of the next three to five years, non-tech savvy companies run the risk of making deadly mistakes. Here are nine digital transformation mistakes identified by Gartner and advice on how to approach them:
- Misreading the impact of digital transformation—Consider digital transformation as an opportunity for re-invention.
- Inward thinking—Look for examples outside and beyond your own industry or country.
- Disassociated management—View digital transformation as a core company process.
- Unguided leadership—Set clear goals and incentives for the successes of digital transformation.
- Incremental approach—Find the financial resources that a process this vital deserves, such as selling off assets or taking a business loan.
- Fixed mindset—Support mid-career and mid-tier employees as they learn the processes.
- Analysis paralysis—Encourage execution and iteration.
- The threat of techno-centricity— Prioritize problems and apply appropriate technology.
- Culture blindness—Leadership must spearhead company culture, follow through on plans, restate the company’s core purpose in the process.
2. The AIOps market is predicted to grow with a CAGR of 27% over five years.
According to the recent Research and Markets report, “Global AOLs Market – Growth, Trends, and Forecast (2019 – 2014),” AIOps adoption is in increasing demand as IT organizations strive to achieve digital transformation. AIOps tools are already successful in delivering value for 87% of organizations.
To remain relevant over the next five years, organizations will need to eliminate silos, provide better tracking, generate actionable, real-time data, automate problem solving, and implement digital conversion. Successful user experience necessary for successful enterprises will demand the timely problem identification that can only be accomplished by analyzing the infrastructure behavior and increasing digitization and cloud migration which AIOps makes possible.
3. New report finds end market remains healthy in Q3 while intensifying competition leads to price cutting.
According to an article from Cleveland Research, increases in cloud services have driven strong end-market demand. However, even while seeing growth for artificial intelligence (AI), IoT, and analytics workloads, increased competition has led to price cutting among vendors.
AWS business is currently healthy, with a 60 -70% of growth coming from preexisting customers. Meanwhile, Microsoft and Google are winning most new opportunities due to improved functionality of competitor offerings.
Google Cloud Platform has been subsidizing heavily to win deals and further progress in the cloud market as it continues to see growing adoption in partner practices. Demand for Oracle Cloud has improved; however, traction for Oracle in net new applications remains limited, given inferior functionality and data center availability.
With the Red Hat acquisition, IBM is attempting to reenter the cloud market. However, demand for IBM Cloud is suffering.
4. Companies that earned the most significant leaps in the KPMG 2019 Customer Experience Excellence Report are those embracing digital transformation.
According to an article by Micro Trend, five companies described as the “fastest risers” and ten companies described as overall winners in customer experience are the companies that are actively investing in digital transformation. Those companies are: United Health Care, Chick-fil-A, State Farm, PNC, Sam’s Club, AMC Loews, Navy Federal Credit Union, H-E-B, USAA, Edward Jones, Amazon, L.L. Bean, Costco Wholesale, Polo Ralph Lauren, and AAA. Digitizing and focusing on customer experience is the key for repeat business.
These companies made it their goal to develop a customer-centric approach and an integrated strategy to connect the layers of their company to align its brand, products and services, interactions, and people. To capture this business value, they invested in the digitally enabled technology architecture and engineering required for intelligent digital services, technologies, and platforms that deliver on the customer promise while also being agile, cost-effective, scalable, and secure.
Just getting started with AIOps and want to learn more? Read the eBook, “Your Guide to Getting Started with AIOps”>