How Digitalization Is Changing CIOs’ Agendas

by CXOtoday News Desk    Sep 16, 2014


Gartner calls digitalization of business a ‘third era of enterprise IT.’ Unarguably, digitalization has revolutionized many enterprises and redefined businesses. That necessitates the business leaders to anticipate change and be ready for the future.

“2014 must be a year of significant change if CIOs are to help their businesses and public sector agencies remain relevant in an increasingly digital world,” says Dave Aron, vice president and Gartner Fellow. 

In the fast changing world, there is a need for business leaders to build digital leadership while renovating their IT infrastructure.

Offering over 900 CIOs and senior technology executives the right platform to connect and share knowledge, Gartner is hosting its annual flagship conference, Gartner Symposium/ITxpo, with CXOToday as one of the media partneres, in Goa from October 14-17. 

The event at Grand Hyatt will help them gain insights on several topics including digital transformation, the mobile scenario and the 2015 CIO agenda.

Click here to know more about Gartner Symposium/ITxpo 

According to a Gartner survey, 51 percent of CIOs are concerned that the digital torrent is coming faster than they can cope and 42 percent don’t feel that they have the talent needed to face this future. 

Gartner says that the advanced technology like Internet of Things in the third era are not only improving what businesses do with technology to make themselves faster, cheaper and more scalable, but they are transforming businesses with increased competitiveness.

This new era was preceded by the industrialization of enterprise IT and the first era was marked by how IT could help do new and seemingly magical things — automating operations to create massive improvements in speed and scale.

 ”2014 will be a year of dual goals: responding to ongoing needs for efficiency and growth, but also shifting to exploit a fundamentally different digital paradigm. Ignoring either of these is not an option,” says Aron. 

“The behaviors mastered in the second era of enterprise IT, like treating colleagues as customers, are potential hindrances to exploiting digitalization. In 2014, CIOs must face the challenge of bridging the second and third eras. They have to build digital leadership and bimodal capability, while renovating the core of IT infrastructure and capability for the digital future,” said Graham Waller vice president and executive partner for Gartner Executive Programs.

Today’s CIOs are facing many challenges in the wake of digital opportunities. This is critical in every aspect of busiess like strategy, leadership, structure etc.

  “All industries in all geographies are undergoing digital disruption. This is both a CIO’s dream come true and a career-changing leadership challenge,” says Aron.

 With consumerization of IT, there is pressure on CIOs to increase IT budget. The Gartner survey showed that CIOs expect their IT budgets to remain essentially flat (increasing 0.2 percent on average) in 2014.

 ”There is an inherent tension between doing IT right and doing IT fast, doing IT safely and doing IT innovatively, working the plan and adapting,” said Waller.

In all, adapting to changing IT scenario is a sure way for survival of businesses.

Some observations from the survey:

In order to deliver on this bimodal future, CIOs are planning for significant change in 2014 and beyond: 

• A quarter have already made significant investments in public cloud, and the majority expect more than half of their company’s business to be running over public cloud by 2020.

• Seventy percent of CIOs plan to change their technology and sourcing relationships over the next two to three years, and many are seeking to partner with small companies and startups.

• Forty-five percent of companies have implemented agile methodologies for part of their development portfolio, although most need to go further to create separate, multidisciplinary teams, with lightweight governance and new, digital skillsets and alternative sourcing models. 

More detailed analysis is available in the report “Taming the Digital Dragon: The 2014 CIO Agenda.” The report is available on Gartner’s website at




Tags: Gartner, IT, IOT, CIOs