Acceleration of ‘digital transformation is a key priority’

Dubai: Organisations need to rethink the way they interact with customers and respond to competitors in the face of increasing competition in the region and a fall in oil prices, a British Telecommunications executives said on Sunday.

Chris Cochrane, CIO for Global Services at BT, said that digitalisation is emerging as a transformative force for growth and social prosperity in the Middle East, having a substantial impact on the corporate agenda and there is a clear need to embrace the rate of change, empower new growth and reorganise for speed.

“Digital technology has changed the way we live — shopping, banking, travelling, working and interacting with each other. And it will continue to evolve at lightning pace. Embrace digital or risk playing catch-up,” he said.

As IT becomes the driver of digital change, he said the region’s chief information officers have the opportunity to put themselves at the core of business decision-making.

The drivers behind digital transformation are mobile, video, social, big data, cloud and internet of things.

“What we’re witnessing right now is nothing less than a complete paradigm shift in the way companies carry out day-to-day operations, and interact with their customers,” Cochrane said.

He said that public expectations are at an all-time high and digital disruption has rendered the mantra of ‘business as usual’ obsolete. Technology is now the one element that separates the pioneers from the rest, altering traditional business models, and will prove to be instrumental in driving tremendous value for organisations in the region.

Vital business functions

According to The BT CIO Report 2016 — The Digital CIO survey, 65 per cent of organisations report that their current infrastructure is struggling to support the rapid adoption of digital technologies.

Furthermore, 79 per cent of senior IT decision-makers feel that the IT function lacks the ability to advise other vital business functions.

However, technology has become a board-level discussion and is demonstrating its transformative potential. 72 per cent of senior IT decision-makers say that the CIO has become more central in the boardroom over the last two years and 43 per cent of CIOs say that they now spend more time dealing with corporate issues.

Meanwhile, 70 per cent of boardrooms expect their CIO to be an innovative force and creative disrupter — a telling indicator of what is expected of the IT function, at a time when real-time response to events and customer queries is needed more than ever before.

Cochrane said that the smartest CIOs are bridging the gap between business and technology, and responding to both employees and customers expectations simultaneously. Technology has never been more important, and as one CIO said “this is the age of the network.”

“We sit at the cusp of a new industrial revolution. The CIO’s role is one that has changed significantly with the IT function now serving a broader enablement and advisory role, compared to traditional expectations years ago.

Decision-maker

“With an increasing impetus on digitalisation and its impact on everyday business, now is the time for the CIO to emerge front and centre as a key decision-maker, as digital transformation becomes a strategic imperative for enterprises,” he said.

Wael Al Kabbany, BT’s Vice-President for the Middle East and North Africa, said that majority of companies now have a chief digital officer (CDO) to help drive their digital transformation agenda. Sometimes this is the CIO, but not always, and the roles have a significant overlap in their responsibilities.

Whichever role leads, he said that cooperation and collaboration with the rest of the business is a must and something that our research highlights is one of the major changes that the CIO and their team are getting to grips with.