If cloud computing technology is the present and the future, then dated or legacy systems are the past and organizations everywhere need to focus on a strategy which moves them from these old systems and into a much more flexible cloud environment.
This can be a relatively large undertaking as it simply cannot happen overnight, and it also requires significant buy in at C-Suite level. The CIO at a multinational company today needs to embrace cloud first platform strategies to ensure that the organization has the technology foundation needed to cope with daily demands while also having one eye on meeting ambitious board level targets.
In this article, we will take a look at why the cloud environment is one that a CIO should focus their attention on as they look to navigate a potentially tricky 2021 which is still in the grips of a global pandemic and filled with strong economic headwinds.
Digital transformation
These days, it is generally accepted that a move from on-premise legacy technology to a SaaS cloud services environment is done via participation in a wide-ranging digital transformation project. The role of the CIO has become central to such digital transformation and the person occupying this role needs to have a cloud strategy mindset that fully embraces change and is happy to lead on what is likely to be a major cultural change at an organization.
This level of transformation requires a digital mindset and a clear understanding that digital technologies represent the future. Automation, hyper automation, machine learning, and artificial intelligence are coming in some form of other to many organizations- these new technologies need to be housed in a cloud environment which is agile, responsive and flexible.
CIOs everywhere will likely be having conversations with the technology leaders in their organizations and discussing in great detail which digital and cloud-based platforms are capable of leveraging both viable existing technology and the skill sets belonging to the people within the organization. Cloud platforms have enormous potential and huge new capabilities, but people are always required to monitor them and help with optimizing their capacity levels.
The gatekeeper
Often, the CIO is expected to be the gate keeper of this new technology and the go to person when it comes to cloud migration and leveraging this technology from a strategy perspective. This person will inevitably have to immerse themselves in this cloud environment to develop a full understanding of its broad range of capabilities.
The CIO can expect a wide range of questions from colleagues at C-Suite level around the capacity of the cloud platform to deliver on ambitious initiatives. Being the gatekeeper is a heavy responsibility, but it is one best embraced right from the outset. CIOs need to get excited about cloud & digital platform and switch their focus to the positive results that can come with a successful implementation of these new technologies.
Service delivery at an organization can look radically different after it has gone through a digital transformation -cloud technology capabilities can literally transform the old way of doing things into a much more efficient, faster and smarter way to do business. Embracing the role of gatekeeper will ensure that the chief information officer consistently looks at a cloud environment as a driver of business strategy via a digital transfer motion that is filled with potential.
Business acceleration
Acceleration is really what cloud adoption represents - it has enormous potential and if optimized in the right way, it can lead to a level of business acceleration that results in new market penetration, new product lines and strong customer advocacy. It is little wonder that a CIO would have a great deal of interest in something that could potentially deliver this in a reasonable amount of time.
The reality is that some companies are not in the cloud and that a huge number of companies have simply not made the leap to cloud infrastructure fast enough. Some organizations are digital first by nature and they have the capacity to pivot very quickly-so cloud technologies is something that is natural to them.
Many large multinational organizations contain legacy technology systems and a range of interconnected processes that were built around this technology. These are almost the equivalent of an ocean liner- they cannot pivot quickly, and it is more of a case of a long slow turn towards digitization. But even these companies are recognizing that this long slow turn needs to happen or they risk being left behind - business acceleration is therefore heavily on their minds and they are looking to employ capable and visionary CIOs who can hit the ground running with digital transformation and create a clear, executable road map that leads them to a cloud-native ecosystem
Digital integrations
There will be a natural desire at leadership level to solve a large number of complex issues and business needs with a single integration. However, this is not the cloud environment mindset that is needed to take the organization to the next level, instead this is more of a one size fits all attempt that belongs to the past.
A CIO who understands the cloud recognizes that multiple integrations are needed on an ongoing basis to create the level of sustainable growth that corporate strategy demands. It is a process of continuous integrations, where integrations that connect departments evolve over time.
It is a move away from an out of the box solution and a move towards a mindset that the cloud environment is a fluid, agile and changing environment. The CIO will want to take a holistic view of the IT infrastructure as a whole and look at ways cloud service providers can improve it. They will want to avoid reactive strategies that focus on an individual department where they can end up investing too much time are working in silos. The risk here is the introduction of non-integrated systems that satisfy immediate needs but do not take into account the wider picture. This is not digital first thinking, not fast enough and not sustainable in the future. Instead, the goal should be technology solutions in a fully integrated cloud environment. In such an environment, key departments such as human resources, global payroll and finance would be able to share crucial data in a cloud environment and introduce automation or other digital tools that boosts productivity and streamline processes between these interconnected departments-this is cloud platform innovation in action.
Cloud-first is for the many
The CIO also needs to take a holistic view and recognize that the cloud environment is there to serve the needs of the many. Internal processes can be optimized in a cloud environment and this leads to better connectivity and collaboration between employees in different departments. Better digital tools results in better and increased productivity-these are important elements when it comes to employee satisfaction and retention rates.
The end customer can also be a winner here -people have become used to technology capabilities in their personal lives and they are now starting to demand similar levels of technology when interacting with multinational companies, Particularly in an e-commerce environment where they are paying for a service or product. Here, they expect innovative digital tools, an agile and responsive platform, and intuitive design that gives them answers quickly and helps them find what they want. Cloud based technology is needed to make this a reality- customer advocacy and long-term loyalty are the rewards to play for if it is done right.
It is the job of the CIO to create a technology environment that responds to the needs of all of these stakeholders -employees, supply chain operators and end users or customers. Customers want to be able to access information or products in a digital environment on the device of their choosing while employees wish to collaborate with innovative tools that helped them deliver what customers want in a timely manner. If a CIO can introduce and implement a digital cloud platform environment that helps deliver this, then there is a strong chance that revenue generation and sustainable business growth will be the result.