CIOs Will Change Technology And Sourcing Relationships, Says Study

Mar 24, 2014

Around 70% of CIOs will update their technology and sourcing relationships in the next two to three years, according to a recent Gartner report.

The research firm studied the future of IT studies and claims that organisations are struggling to adjust to the new digital future.

“They are strongly considering changing the providers they work with as part of responding to this change,” said Eric Rocco, Gartner managing vice president.

The report says that modifications would reshape the service provider landscape in the coming years as businesses attempt to ensure they are part of the digital future.

“Most buyers cannot simply adopt new services without making changes to existing processes and applications. Buyers want speed and agility. They recognise an innovation crisis exists internally, but few service providers are well-positioned to capture the opportunity,” claimed Rocco.

The driving factor in the majority of IT services will become helping clients in digital business transformation, says the report.

It also adds that providers of these services will need to decide how to show how their offerings can underpin, support, enable and speed up the digital business revolution or risk becoming irrelevant to their customers.

The study claims that hybrid IT environments are likely to rule in the upcoming years and therefore, there will be demand for both old and new skills.

Gartner predicts that hardware support will have lower growth opportunities, while cloud-based infrastructures are set to expand.

“Our key recommendations, regardless of business model or services segments of focus, for IT services providers are to target new buying centres through the audacity of visionary thinking; articulate value in terms of business outcomes and key performance indicator attainment; and to industrialise and productise, with losing sight of service value,” concluded Rocco.




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