Other parts of this series:
The pace of technology change in today’s business environment is escalating rapidly, driven by continuous software innovation. While expanded information technology capabilities deliver exciting promises of greater efficiency, new business opportunities, enhanced revenue streams, and superior customer experiences, the sheer volume and velocity of software innovation is proving to be overwhelming for many companies. Consider this sobering revelation: a Forrester study reveals that only 17 percent of IT executives say their business processes and applications are keeping pace with the change.1
Meeting today’s challenges
Today’s financial services firms are facing these common challenges when it comes to grappling with this new software-driven environment:
- High leverage on monolitic legacy technologies that hold progress back
- Rising complexity within the applications world
- Dramatic proliferation in the number of software partners
What can firms do to overcome these challenges? They should reinvent themselves by taking a new approach to business applications—an approach based on a business strategy that is inextricably linked to a software strategy and that views applications as a business asset.
At the heart of this new strategic approach are three, emerging applications strategies:
- Liquid applications―a more fluid way of building software
- Intelligent applications―applications that comprehend, act and learn
- Connected applications―using software to extend company boundaries
Supporting these three strategies will be a new business and IT operating model—one that includes additional and expanded roles designed to successfully navigate and leverage software innovation.
How to come out on top
Technology is the new enabler for driving business growth by disrupting and redefining every industry, driving differentiation and innovation. The businesses that are likely to come out on top will be those that recognize the urgency and take steps now to embrace a new software-driven business strategy that makes the most of an ever-changing, software-driven business environment.
In this blog series, I’ll share details about each of the three application strategies, as well as how to implement a business and IT operating model that can help your firm stay ahead of the pack.
For additional detail, please see:
- “IT Speed: The Crisis and the Savior of the Enterprise,” Forrester Consulting, October 2013. Access at: http://pages.getchef.com/rs/opscode/images/ForresterITSpeedEnterprise.pdf