Upstart companies that have created business models based on software and the Internet are causing massive disruptions in traditional businesses and industries.

Established businesses that were once dominant must compete in new ways and are racing to catch up. They must contend with very large IT installations that they built at great expense to get to where they are today. Above all, they must develop a modern applications platform that delivers business outcomes, rather than focusing merely on solving technology problems.

Enterprises are moving beyond an application landscape based on service-oriented architecture to a second generation characterised by web services, micro-services, and a stronger emphasis on mobility and user experience.

Here are the steps enterprises must take to deliver agile applications and improve digital experiences:

  • Tap into next-gen technology: The journey to agile applications and digital experiences cannot be undertaken without a clear understanding of what technology is available and what it can do. For example, enterprises need to be positioned to build and deliver scalable applications that are “cloud native” and operate as microservices that can communicate via published APIs.
  • Embrace the digital core: The digital core is fueled by elements such as business networks, employees, IoT and Big Data. It serves as a central hub of a digital value network that is the primary driver of business transformation.
  • Employ an Integrated Digital Service Management Approach: Because digital transformation is about the business, it makes sense that business outcomes be used to measure progress. IDSM approaches the management of systems and services by defining success by measured business outcomes rather than technology-related outcomes.
  • Digitize, standardise, automate, simplify: Achieving the digital core requires touching upon each of the four cornerstones of digital transformation:
    • Digitize Business – Extend business models as much as possible using IoT, Big Data and analytics.
    • Standardise Apps – Consolidate, harmonize and modernize application portfolios.
    • Automate Operations – Automate operations and business processes as much as possible.
    • Simplify Platform – Consolidate and simplify the platform environment.
  • Understand Value: Simply put, if you can’t understand the value of what you’re trying to achieve, you are not going to get funded. It is crucial for enterprises to be able to understand and clearly define the business value a project will deliver.
  • Build the Right Team: The thinking of an engineering-led IT organization just doesn’t cut it anymore. An effective team should always include two critical people: a person from finance and a person from marketing.

Developing agile applications, setting forth an ISDM strategy, and creating better digital experiences are vital steps in the ongoing digital transformation journey. By aligning business and IT, you have a strong foundation for digital transformation, continuous improvement and improved business outcomes.

Read more in the white paper, Agile Applications and Digital Experiences.