Examining the rise of digital-native enterprises: The need for agile connectivity and edge computing

IDC unveiled its top information and communications technology (ICT) predictions for Asia-Pacific excluding Japan (APeJ) region. IDC now predicts that many more organisations will be 'digitally determined' by 2020, transforming commercial markets and reimagining their future growth potential.

Digitally determined organisations demonstrate the ability to vision, plan, and operationalise their digital transformation (DX) through ambition, grit, discipline and commitment. Ultimately, all digital determined organisations aspire to become 'digital native enterprises'.

Digital business market development

"To be one of the digitally determined, Asia-Pacific organisations requires more than tenacity; it requires a blueprint that consists of a single enterprise strategy, resoluteness to make required organisational and cultural changes, a long investment strategy based on the principle that digital is inherently valuable to the business; and should have a single digital platform to scale technology innovations," said Sandra Ng, group vice president at IDC.

According to Ng, the top predictions that will impact the overall ICT industry -- both technology buyers and their vendor suppliers -- in the Asia-Pacific region during the next 36 months are:

Digital determination: By 2020, at least 55 percent of organisations will be digitally determined, transforming markets and reimagining the future through new business models and digitally enabled products and services.

Data monetisation: By 2020, 60 percent of large enterprises will create data management or monetisation capabilities, thus enhancing enterprise functions, strengthening competitiveness, and creating new sources of revenue.

Digital KPIs: By 2023, 80 percent of entities will have incorporated new digital KPI sets – focusing on product or service innovation rates, data capitalisation, and employee experience – to navigate the digital economy.

Digital twin: By 2020, 30 percent of leading companies will have implemented advanced digital twins of their operational processes which will enable flatter organisations and one third fewer knowledge workers.

Agile connectivity: By 2021, driven by LoB needs, 60 percent of CIOs will deliver agile connectivity via APIs and architectures that interconnect digital solutions from cloud vendors, system developers, startups, and others.

Blockchain-enabled DX platforms: By 2021, prominent in-industry value chains, enabled by blockchains, will have extended their digital platforms to their entire omni-experience ecosystems, thus reducing transaction costs by 35 percent.

BizOps: By 2021, 45 percent of CIOs will expand Agile or DevOps practices into the wider business to achieve the velocity necessary for innovation, execution, and transformative change.

AI-driven edge: By 2022, over 30 percent of organisations’ cloud deployments will include edge computing, and 25 percent of endpoint devices and systems will execute artificial intelligence (AI) algorithms.

Digital trust: By 2020, 55 percent of CIOs will initiate a digital trust framework that goes beyond preventing cyber attacks and enables organisations to resiliently rebound from adverse situations, events, and effects.

AI-based IT operations: Compelled to curtail IT spending, improve enterprise IT agility, and accelerate innovation, 60 percent of CIOs will aggressively apply data and AI to IT operations, tools, and processed by 2021.

Outlook for future enterprise applications

Ng concludes, "AI is creating a new paradigm for individuals, businesses, industries, economies and governments. It is shaping the future of intelligence in organisations and in workers. To this end, IDC predicts that by 2025, 60 percent of frontline connected devices will be voice-enabled, with a smart assistant, and able to control 80 percent of devices deployed in consumer and enterprise settings."

According to the IDC assessment, voice is increasingly influencing the way we work, live, learn and play. The race to the future enterprise has begun. No one and no entity will be spared of the need to at least reset or reboot, if not reinvent. Digital reinvention is the future, and the new normal for IT.

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