Enterprises that are willing to adopt new technologies at an early stage hold a huge advantage over their cautious competitors according to a recent report from Harvard Business Review Analytic Services, “The Digital Dividend: First Mover Advantage.” The study suggests that the longer it takes organizations to adapt to complete cloud adoption, the more opportunities are lost—leading to stifled innovation, unmet customer demands and slower growth. At this juncture, it is clear that the benefits of cloud computing are far-reaching across all markets. Yet, the perceived obstacles and myths surrounding cloud adoption are causing some companies to tap the brakes on adoption, often to the detriment of their revenue growth and market position.
Resistance to Change vs. Path to Innovation
The traditional role of IT has undergone a complete transformation in recent years. It is critical that companies embrace this change—starting from the top—in order to maintain a customer-centric position and embark on the path to innovation. Once guardians of hardware maintenance and software management, IT professionals are now strategic partners with enterprise’s lines of business. Fifty-seven percent of business and technology leaders surveyed in the Harvard Business Review report said they view IT as an investment that drives innovation and growth. The symbiotic relationship is reinforced by their shared focus on innovation and growth. Looking forward to the next three years, 56 percent of enterprise leaders believe the most significant changes in their business operations will be in the area of IT operations.
ROI Beyond Dollars and Cents
For modern enterprises, ROI is not just about dollars saved, but rather the flexibility and agility to rapidly meet customer demands and deliver innovative solutions. Sixty-five percent of respondents surveyed in the Harvard Business Review report said the primary factor driving change in their market is customer behavior and expectations. According to the report:
“To win customers, companies have to be able to sense and respond quickly. This means immediately understanding customers’ needs, being ready to fill them, and then letting the customer know they have what they want—all in a very compressed time frame and while managing costs.”
The gap is growing between innovative companies and those suffering from sluggish cloud adoption. Seventy-two percent of leaders now believe their use of new technology has increased responsiveness to customers.
Resources and Expertise to Enhance Security
While perceptions of enterprise cloud security are ever changing, the principal concern for many companies continues to be keeping data secure in the cloud. Sixty-five percent of enterprises do not believe cloud adoption compromises IT security, with 36 percent recognizing that it actually improves security. The report suggests that this positive impact on security may be due to enterprises recognizing that providers have huge incentives to meet high levels of security, as well as sophisticated resources to maintain them.
In today’s dynamic business landscape, organizations that make innovation a primary focus of their culture are best positioned to meet customer demands and expectations. Passive and reactive companies risk losing revenue and market position to their technologically pioneering peers. It is essential that forward-looking enterprises are adaptive to new technologies. Cloud provides a fundamental competitive edge, but it is imperative that IT professionals are at the helm when evaluating, adopting and managing cloud solutions.
