Skip to content
  • Products

      Products

      ignio AIOps

      Redefining IT Operations with AI and Automation

      • ignio Observe
      • ignio CloudOps

      ignio AI.Workload Management

      Enabling Predictable, Agile and Silent Batch Operations in a Closed-loop solution

      ignio AI.ERPOps

      End-to-end automation for incidents and service requests in SAP

      ignio AI.Digital Workspace

      Autonomously Detect, Triage and Remediate Endpoint issues

      ​ignio Cognitive Procurement

      AI-based analytics to improve Procure-to-Pay effectiveness

      ignio AI.Assurance

      Transform software testing and speed up software release cycles

      Let us demonstrate the power of Automation to transform your enterprise.
      Request a Demo
  • Solutions

      Solutions

      Business Health Monitoring

      Proactively Monitor Retail and eCommerce Health to deliver optimal customer experiences

      IDoc Management for SAP

      Monitor, Prioritize and Resolve IDoc issues to ensure business continuit

      Digitate for Retail

      Streamline daily retail readiness with AI and Automation

      IT Event Management

      Prevent outages with Predictive Intelligence and Autonomous Event Management

      Business SLA Prediction

      Never miss a business SLA with AI-powered monitoring and predictions

      Artificial Intelligence and Machine Learning
      Read More
  • Resources

      Resources

      Analyst Reports

      Discover what the top industry analysts have to say about Digitate

      Blogs

      Explore Insights on Intelligent Automation from Digitate experts

      ROI

      Get Insights from the Forrester Total Economic Impact™ study on Digitate ignio

      Case Studies

      Learn how Digitate ignio helped transform the Walgreens Boots Alliance

      Trust Center

      Digitate policies on security, privacy, and licensing

      e-Books

      Digitate ignio™ eBooks Provide Insights into Intelligent Automation

      Infographics

      Discover the Capabilities of ignio™’s AI Solutions

      White Papers and POV

      Discover ignio White papers and Point of view library

      Webinars & Events

      Explore our upcoming and recorded webinars & events

  • About

      About Us

      Leadership

      We’re committed to helping enterprise companies realize autonomous operations

      Newsroom

      Explore the Latest News and information about Digitate

      Partners

      Grow your business with our Elevate Partner Program

      Academy

      Evolve your skills and get certified

      Contact Us

      Get in Touch or Request a Demo

      Let us demonstrate the power of Automation to transform your enterprise.
      Request a Demo
Request a Demo
Search
Close this search box.
BLOG

How not to waste a trillion dollars on digital transformation: Partner properly with ITOps

By Ugo Orsi

As futurist Astro Teller (Head of Alphabet’s X lab for cutting–edge projects) has phrased it, we are now in an age where technology’s ability to innovate is much higher than humans’ ability to adopt such innovations. 

Rate of change

This means that in our millennium, winning companies are the ones who adopt technology in the most efficient and effective way. Think about Amazon: It has been extremely fast to adopt emerging technologies. And it was able to create a vastly profitable business in Amazon Web Services (being effective). 

Unfortunately, the average company’s technology uptake is not great. Companies often struggle to achieve their business cases, especially for IT technology adoption. Just during 2022, companies around the world spent about $1.8 trillion on digital transformation, according to IDC Research. Yet most of that vast sum might as well go unspent. Up to 70 percent of complex, large-scale IT change programs don’t reach their stated goals, says McKinsey. 

My experience suggests that there is a common denominator of these incomplete efforts: Readiness of IT operations for new technology adoption is seldom considered a necessary investment. Normally this would be a huge contradiction; before adopting anything new, the adoptee should be ready to embrace the change. Unfortunately, for IT operations (ITOps) this is not true. 

ITOps: More than just a humble utility

Usually, ITOps are considered merely a necessary cost center like electricity. No company today could run without electricity, but unless you’re a utility, electricity is not considered strategic. Critical, yes, but not strategic. By the same token, CIOs rarely are considered strategic business advisors to the board. The core business is king in any company; if IT is not part of the core business, CIOs don’t become elevated as strategic business advisors. In fact, only rarely will a CIO become CEO in any non-technology company.  

This means any project’s IT components will receive intense cost scrutiny from executives. CIOs will be pushed to the limit to reduce costs. Usually, they assume ITOps can absorb change with no investment in new solution adoption. These executives are aware of the risk they assume but they have no choice – they must succeed or be replaced. (In the USA, the average tenure of CIOs is just 3-5 years.)  

Equipping better change management

Of course, Digitate can’t change the current workplace culture. But we can help CIOs radically change their IT operations, making them nimbler and more flexible. And in that process, Digitate can equip CIOs to better manage change and really drive technology adoptions effectively. 

Since the 1970s, CIOs have been containing costs through outsourcing and offshoring. This approach, while effective at containing costs, doesn’t encourage innovation adoption, speed, and flexibility. That’s because in any outsourcing deal, beyond the potential for supply problems (i.e., logistical delays and differences in time zone, language, and culture) that the past few years have highlighted, deals are regulated by complicated contracts which have an average duration of 3-5 years.  

To make things more complicated, usually there are multiple system integrators managing the outsourcing operations. This comes about because CIOs’ real focus is on IT cost containment (efficiency), not driving effective IT operations management. They often create competition among IT suppliers for leverage. 

So, when CIOs need to drive a major transformation such as a digital transformation, they need to negotiate an IT transformational plan with the current system integrators. However, SIs’ multi-year contracts typically cover maintaining the status quo (i.e., just “keeping the lights on”), not managing change. And usually, the company has not set aside adequate funds to pay extra for guidance through the transformation. The typical outcome is that SIs deliver adoption on merely a best-effort basis.  

Therefore, by design, the core organization that should facilitate the adoption of new technology does not have adequate adoption resources assigned.  

Imagine IT autonomous operations

Now let’s use our imagination. What if a Machine Learning (ML)-driven solution could manage 80% of ITOps’ Standard Operating Procedures? It would autonomously manage: 

  • 50% of ITOps’ ticket-driven activities 
  • 95% of IT events/alerts/log entries 
  • 80% of IT operations that are non-ticket driven (for example, report generation or software patching). 

There are also additional side benefits. Automating 80% of Standard Operating Procedures (SOPs), CIOs gain: 

  1. Flexibility: Hyper-automation will create smaller teams, more nimble and agile. All additional staff and procedures established to manage large IT operations teams will no longer be needed. ITOps staff would be optimized to focus on critical operations (severity 1 and 2), new solutions adoption, and business value creation. 
  2. Negotiation power over system integrators: CIOs are dependent on specific knowledge to run operations. Such knowledge (often tribal) is owned by system integrators. When 80% of SOPs are coded into an ML-driven solution, a great deal of this knowledge is controlled by CIOs, so now contractual power shifts back towards the company. 
  3. Change management: IT operations change management is simplified. For 80% of Standard Operating Procedures, new use cases need to be implemented into the ML solution. These new use cases can be part of the warranty period for new solutions post go-live. 

Achieving these goals and benefits is possible by leveraging ignio as your single IT autonomous operation solution. As I described in an earlier blog, carefully planned adoption of ignio will help to optimize IT operations.  

For details of my recommended approach (which draws on Agile methodology using Sagas and Epics to create monthly goals), check out my recent post, “How to make an elephant fly.” 

In conclusion, the best risk mitigation for any digital transformation is to deploy a solution such as ignio as a prerequisite for speeding up adoption of new digital solutions. 

For more perspective, check out a new on-demand webinar from Digitate, “Building the business case for AIOps.” In this 45-minute presentation, Abhijit Deshpande, Global Head – Partners and Alliances Ecosystem, and VS Joshi, Global Head of Product & Solutions Marketing, discuss how IT leaders can build a business case for AIOps and prove to any disbelieving stakeholders that it is crucial to business continuity. How do they define the right set of expectations, identify quick wins, and overcome obstacles to success? Tune in to find out. 

Related

Share

Recent Posts

Stop blowing your money in the cloud

March 29, 2023

Bursting common workload management myths

March 28, 2023

Combine the power of ITSM and AIOps to fuel Autonomous Operations

March 27, 2023

Statistical significance tests: A statistical way to compare data populations

March 23, 2023

With better business transaction monitoring, enterprises move away from manual tasks, curb revenue loss

March 7, 2023

How not to waste a trillion dollars on digital transformation: Partner properly with ITOps

March 1, 2023
Author

Ugo Orsi

Chief Customer Officer | Digitate
Contacts
Head Office

5201 Great America Parkway Suite 522
Santa Clara, CA 95054 USA

Twitter Linkedin Youtube Facebook Instagram
Company
  • About Digitate
  • Partner With Us
  • Newsroom
  • Blogs
  • Contact Us
Support
  • Data Privacy Notice
  • Website Use Terms
  • Cookie Policy Notice
  • Trust Center
  • Cookies Settings
Stay Connected
© Tata Consultancy Services Limited, 2023. All rights reserved
Products

ignio AIOps

Redefining IT Operations with AI and Automation

  • ignio Observe
  • ignio CloudOps

ignio AI.Workload Management

Enabling Predictable, Agile and Silent Batch Operations in a Closed-loop solution

ignio AI.ERPOps

End-to-end automation for incidents and service requests in SAP

ignio AI.Digital Workspace

Autonomously Detect, Triage and Remediate Endpoint issues

​ignio Cognitive Procurement

AI-based analytics to improve Procure-to-Pay effectiveness

ignio AI.Assurance

Transform software testing and speed up software release cycles

Solutions

Business Health Monitoring

Proactively Monitor Retail and eCommerce Health to deliver optimal customer experiences

IDoc Management for SAP

Monitor, Prioritize and Resolve IDoc issues to ensure business continuit

Digitate for Retail

Streamline daily retail readiness with AI and Automation

IT Event Management

Prevent outages with Predictive Intelligence and Autonomous Event Management

Business SLA Prediction

Never miss a business SLA with AI-powered monitoring and predictions

Resources

Analyst Reports

Discover what the top industry analysts have to say about Digitate

Blogs

Explore Insights on Intelligent Automation from Digitate experts

ROI

Get Insights from the Forrester Total Economic Impact™ study on Digitate ignio

Case Studies

Learn how Digitate ignio helped transform the Walgreens Boots Alliance

Trust Center

Digitate policies on security, privacy, and licensing

e-Books

Digitate ignio™ eBooks Provide Insights into Intelligent Automation

Infographics

Discover the Capabilities of ignio™’s AI Solutions

White Papers and POV

Discover ignio White papers and Point of view library

Webinars & Events

Explore our upcoming and recorded webinars & events

About Us

Leadership

We’re committed to helping enterprise companies realize autonomous operations

Newsroom

Explore the Latest News and information about Digitate

Partners

Grow your business with our Elevate Partner Program

Academy

Evolve your skills and get certified

Contact Us

Get in Touch or Request a Demo

Request a Demo
Products

ignio AIOps

Redefining IT Operations with AI and Automation

  • ignio Observe
  • ignio CloudOps

ignio AI.Workload Management

Enabling Predictable, Agile and Silent Batch Operations in a Closed-loop solution

ignio AI.ERPOps

End-to-end automation for incidents and service requests in SAP

ignio AI.Digital Workspace

Autonomously Detect, Triage and Remediate Endpoint issues

​ignio Cognitive Procurement

AI-based analytics to improve Procure-to-Pay effectiveness

ignio AI.Assurance

Transform software testing and speed up software release cycles

Solutions

Business Health Monitoring

Proactively Monitor Retail and eCommerce Health to deliver optimal customer experiences

IDoc Management for SAP

Monitor, Prioritize and Resolve IDoc issues to ensure business continuit

Digitate for Retail

Streamline daily retail readiness with AI and Automation

IT Event Management

Prevent outages with Predictive Intelligence and Autonomous Event Management

Business SLA Prediction

Never miss a business SLA with AI-powered monitoring and predictions

Resources

Analyst Reports

Discover what the top industry analysts have to say about Digitate

Blogs

Explore Insights on Intelligent Automation from Digitate experts

ROI

Get Insights from the Forrester Total Economic Impact™ study on Digitate ignio

Case Studies

Learn how Digitate ignio helped transform the Walgreens Boots Alliance

Trust Center

Digitate policies on security, privacy, and licensing

e-Books

Digitate ignio™ eBooks Provide Insights into Intelligent Automation

Infographics

Discover the Capabilities of ignio™’s AI Solutions

White Papers and POV

Discover ignio White papers and Point of view library

Webinars & Events

Explore our upcoming and recorded webinars & events

About Us

Leadership

We’re committed to helping enterprise companies realize autonomous operations

Newsroom

Explore the Latest News and information about Digitate

Partners

Grow your business with our Elevate Partner Program

Academy

Evolve your skills and get certified

Contact Us

Get in Touch or Request a Demo

Request a Demo
 

Loading Comments...