Organizations must update and modernize their IT environments to take advantage of generative AI and other advanced technologies.
Digital transformation has been a long-running goal of organizations of all sizes. Many are taking advantage of cloud platforms, mobile applications and data analytics to reduce costs, streamline their operations and enhance the customer experience. Today, they’re looking to embrace generative AI for improved productivity and decision-making. However, few organizations have managed to fully meet their DX objectives.
Many organizations begin DX initiatives before they embark on an IT modernization journey. They soon find that legacy architectures weren’t designed to support AI and other advanced technologies. As a result, many organizations experience performance problems, unplanned downtime and security threats that limit their ability to achieve the expected benefits.
IT modernization can reduce these risks and prepare the organization for the future. It lays the proper foundation for DX initiatives, enabling organizations to maximize the return on investment in new technologies. They can also eliminate the cost and headaches of maintaining legacy systems, allowing them to focus more resources on efforts that drive the business forward.
Why IT Modernization Is Needed
Digital transformation refers to the use of emerging technologies in all areas of the business to fundamentally change operational processes and spark innovation. However, innovation is difficult when organizations are struggling to manage and maintain legacy systems. IT innovation starts by modernizing the underlying technology infrastructure in order to support those new technologies.
These efforts should begin with the backbone of the IT environment — the network. Traditional networks rely upon rigid, manual and hard-to-maintain legacy technologies. Industry analysts agree that IT must move to new infrastructures designed to streamline operations in ways that enable new levels of speed, efficiency, scale and cost-effectiveness.
Organizations looking to adopt AI will likely need to upgrade their servers to high-performance systems. In fact, Gartner expects organizations to spend $257 billion on servers in 20225, with server purchases accounting for a significant portion of the growth in IT spending. However, server upgrades aren’t just driven by AI. Many organizations are purchasing more powerful servers to consolidate workloads onto fewer systems and gain greater energy efficiency.
Elements of an IT Modernization Strategy
Whatever their needs or requirements, organizations should develop a well-thought-out strategy for IT modernization. Enterprise Strategy Group says those efforts should typically focus on three main undertakings:
Update IT equipment. Organizations should virtualize as many workloads as possible and use all-flash storage where appropriate. They should also use hyper-converged infrastructure platforms to simplify management and support future growth. A software-defined approach to compute, networking and storage makes it possible to automate provisioning and many routine administrative tasks. Of course, they should adhere to a comprehensive and well-tested data protection strategy using best-in-class backup and archiving tools.
Automate IT processes. Organizations should use automation to help them create a cloud-like IT-as-a-Service model. IT should serve as a broker of IT services to the business with an emphasis on cost transparency, efficiency and responsiveness. Organizations should offer self-service capabilities so users can order and manage on-premises resources as needed.
Align IT with the Business. Organizations should ensure that IT initiatives are in tight alignment with business objectives and regularly evaluate IT outcomes for effectiveness. The IT leaders should typically report directly to the executive management team, making it easier for IT to understand and support the organization’s overall business strategy.
The IT Skills Gap Challenge
The persistent and growing IT skills gap is perhaps the biggest obstacle to IT modernization. A recent IDC study found that two-thirds of organizations are unable to achieve their business objectives due to a lack of IT talent. The research firm predicts that by 2026 more than 90 percent of organizations will be affected by the IT skills shortage. There simply aren’t enough IT professionals to meet demand.
Partnering with an IT solution provider can help close the skills gap and accelerate the time-to-value of modernization initiatives. However, choosing the right partner is critical. IT modernization requires deep expertise in all aspects of the IT environment. The IT solution provider must also have the business acumen to develop a strategic approach that meets current and future requirements.
IT modernization gives organizations the agility to stay competitive and drive growth. However, modernizing the IT environment is a complex endeavor requiring a comprehensive plan with well-defined goals. Organizations that lack the in-house resources to undertake an IT modernization initiative should consider partnering with a qualified IT solution provider to achieve their objectives.
