As management teams firm up plans for the year ahead, many are taking time to consider the key information technology trends that will shape their business operations.
With digital processes now at the heart of virtually every organisation, clearly understanding what lies ahead and where investments should be made is critical. Seven of the key trends that will be evident during 2023 are:
- Tougher economic conditions will remain:
The impact of the sudden interest rate rises that commenced during 2022 will be felt across the business landscape. Consumer spending will slow, causing implications across a wide range of sectors.
As a result, many businesses will carefully review their plans for investments in new projects. Those that do proceed will need to have a demonstrable return on investment (ROI) or be able to drive significant cost reduction.
During the year there will also be an increasing trend to outsource IT infrastructure. If a business’s infrastructure doesn’t need to be kept in house, shifting it to an external platform can reduce costs and improve flexibility through a scale model.
Taking this approach can also help a business overcome the ongoing shortage of skilled IT professionals. Engaging a trusted technology partner can reduce the need for in-house IT staff while ensuring that core systems remain fully functional. - The cyber security challenge will continue to increase:
A series of high-profile cyber-attacks that occurred during 2022 served to further increase attention on IT security. Many in-house teams found it difficult to keep up with a constantly evolving threat landscape while delivering the level of protection their organisation required.
During 2023, growing numbers of businesses will begin to view IT security as a ‘team sport’. Instead of expecting an internal team to cover everything, their skills will be augmented by external resources. This will allow a business to take advantage of new skills, strategies and tools that will improve its overall security posture.
There will also be increasing use of artificial intelligence (AI) and machine learning (ML) technologies by security teams. These tools will be used to automatically scan the large volumes of log data and identify potential security events that warrant closer inspection by humans.
- Extracting insights from large volumes of data will become essential:
The volume of digital data being generated by businesses has exploded in recent years, however, many are finding it challenging to obtain valuable insights from it. Data analysis teams can often take days or even weeks to compile reports that can be reviewed by senior decision makers.
In 2023, expect to see rapid growth in projects that can deliver real-time insights. By taking advantage of rapidly evolving tools and cloud-based platforms, businesses will be able to obtain insights based on the most up-to-date data available.
This will facilitate more informed decision making that will underpin business strategy and plans for growth.
- The pace of business process automation (BPA) will increase:
BPA has been underway within many organisations for some time, however during 2023 the pace of adoption will rise exponentially.
This growth will be driven by the increasing capabilities of BPA tools and platforms together with growing awareness of how they can deliver business value. Knowledge of the best ways in which they can be deployed is also on the rise.
During the year, many businesses will begin their BPA journey with a small project designed to automate a single process. Once this has been successfully completed, attention will turn to larger projects that will be able to deliver even greater value.
Many businesses will find it advantageous to engage an external partner to assist with BPA projects. This will enable them to benefit from the experience of automation specialists and ensure maximum value is obtained from investments. - Hybrid working practices will mature:
With hybrid work patterns now part of daily business life, many businesses will take time in 2023 to standardise the tools their staff are using to remain productive.
Within many organisations, there has been the adoption of multiple cloud-based collaboration and data storage services. During the coming year, it’s likely that many organisations will standardise on one ecosystem. This will help to ensure a consistent experience for all users and aid productivity.
- ESG governance will increasingly include IT:
Environmental, social, and corporate governance (ESG) analysis undertaken by businesses will increasingly be used when evaluating potential IT vendors and service providers.
Just as businesses have traditionally made selection decisions based on technical capabilities and cultural fit, they will now also take time to examine ESG credentials. This may, however, take some effort, as some companies tend to be reluctant make such data readily accessible.
- Usage of ‘mega’ cloud platforms will increase:
During the next 12 months, increasing numbers of businesses will make use of the rapidly evolving ‘mega’ cloud platforms. Delivered by companies such as ServiceNow, Salesforce, and Microsoft, these large-scale platforms will allow businesses to shift from using multiple platforms for different applications and services.
Making this change will help businesses to achieve a common data model which will support increasing use of analytics tools that assist in informed decision making. They will also help to reduce complexity and improve overall business efficiency.
It’s clear that 2023 will bring significant opportunities for many businesses. By understanding these key technology trends, senior managers can be confident that the decisions they make will support ongoing growth.
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