Business transformation is more than just buying software

A practical approach to data management ensures businesses can be sure that their ideas will boost both customer experiences and the bottom line

Digital transformation is now, quite simply, business transformation. Every organisation of every size in every sector must use the strategic opportunities that data-led digital transformation affords.

In many ways, the power of this strategic shift was already apparent before 2020. The success of digital-native start-ups like Amazon, Airbnb and Uber has pointed the way forwards for slower-moving enterprise laggards, long considered too big to fall from grace.

But this strange year, where we've all spent less time in the office and a lot more time at home, has necessitated a full-tilt shift towards digital transformation. Organisations that might have been slower to recognise the power of digital and data mobility have had to embrace the cloud and online collaboration to keep their workers working and their customers content.

The rapid response of CIOs to the coronavirus pandemic has shown that technology can make the difference at a time of crisis. Yet business transformation is more than just a short-term tactic of buying software. If you want your business to thrive in the post-COVID age, then it will need to place digital transformation at the heart of its business strategy and identify and overcome the roadblocks.

So, what data issues are holding businesses back? The answer to that question can be tied directly to data and its availability, accessibility and, most importantly, security. Chiefly, the biggest roadblock is mass data fragmentation.

With mass data fragmentation, massive volumes of data are stored in a dizzying array of IT infrastructure siloes that don't integrate and are therefore incredibly challenging and costly to manage; weighing down an already over-burdened IT team. Instead of driving business transformation, data that's housed in this fashion disables it.

The message to IT leaders is that they have an opportunity to shape this strategic response. Smart CIOs have proven the value of well thought-out digitalisation through 2020. Now the CIOs who have yet to do so must use this experience to define the rules of ongoing business transformation.

Using data to drive business transformation

But where will you find the ideas to ignite innovation across your business? How can you validate your strategies, find the capabilities to confidently deliver value to your business and lead it into a new era of business transformation? The answers to these questions exists already: it sits in your data.

These are volatile times; but, just like they have this year, CIOs can help their C-Suite colleagues to turn volatility into an opportunity.

The most successful organisations will take calculated, strategic risks to set them apart from the competition. To win, they will develop a data-led technology and customer-experience strategy that is built and executed on a clear understanding of the most critical trends.

Recent CIO research from recruiter Harvey Nash and consultant KPMG shows that pioneering digital leaders regard data as a critical asset. These leaders are four times more likely than others to maximise the value of their data effectively.

Yet taking advantage of data is far from straightforward. Organisations are inundated with data from disparate sources - while there's no shortage of information, there's a definite shortage of insight. Researcher Forrester estimates that between 60 and 73 per cent of all data within an enterprise goes unused for analytics.

Many companies still hoard data without a set objective. Too much information remains fragmented, with data held in unconnected stove pipes. The game-changing knowledge that's held within this data remains hidden in dark, unconnected corners of the network.

CIOs can only help their organisations identify new opportunities if they can sift this surfeit of data to find the details that matter. That's why your data management approach can make a big difference.

Building an effective approach to data management

Technology will be the key to helping your business unlock the value in its information. Harvey Nash and KPMG's research suggests that the creation of value from data can only happen if an organisation has the right application solutions, cloud configurations, business processes and analytics capabilities in place.

In a hybrid world of internal data centres and public clouds, you'll need a strong data management strategy. Your business will need an architecture and a platform that allows it to consolidate information and to run analytics that allow C-Suite executives to make strategic decisions that are insightful, informed and intelligent.

Those smarter investment strategies matter today more than ever before. With IT spending set to contract in many areas through 2021, Gartner says CIOs will need to reduce their costs while still facilitating growth. That's a tough strategic balancing act.

While new operating models through 2020, such as a shift into e-commerce and the development of new web channels, have helped businesses to boost customer experiences and generate new revenues at extreme times, executives will want to know that these kinds of digital transformations are going to produce a long-term return on investment.

Now is the time to use your data to assess whether your digital transformation plans can lead to a long-term strategic advantage. What your organisation needs is a way to take advantage of a switch to operational expenditure and to scale innovative projects up and down once a business advantage is identified.

Digital transformation will continue to remain at the centre of business transformation. By taking a more effective approach to data management, you can reinvent your data management strategy and eliminate mass data fragmentation. In doing so, your business can be truly confident in the strategic decisions it takes. Data is the key to helping your business create a successful business transformation strategy, and now more than ever is the time to embrace it and begin the digital transformation of your business.

Ezat Dayeh is UK&I SE Manager at Cohesity