IT Road Mapping: How this new IT consumption model helps eliminate business risk

IT decision-makers are tasked with responsibilities ranging from improving business functions through technology to reducing the cost of IT, to increasing business efficiencies and margins. But many factors hinder their success, job security, and peace of mind.

IT road-mapping always comes with a level of uncertainty. It’s the nature of the fast-evolving, competitive era we now live in. (Pixabay)

Virtual collaboration tools such as Zoom, Microsoft Teams and others were not considered mandatory for everyday work, except for marketing, sales and few select functions. But that was before the pandemic, which changed the dynamics of how businesses started functioning. Work from home or remote location became the norm and companies started operating with skeletal staff and shut offices. Now, practically every working individual needs access to video conferencing and virtual collaboration solutions and IT teams had never anticipated this large shift to remote working. They could not have predicted that the audio/video (AV) points, wireless access points (APs), and other infrastructure they had invested in would be idling in empty office buildings.

But the unexpected happened after IT decision-makers had invested large portions of their CAPEX (capital expenditure) budget on supporting onsite work and business. If these heads could have anticipated this shift caused by COVID-19, they would have made CAPEX investments in solutions that made virtual work and business more seamless.

For many organizations, sustaining the business through the mandated social distancing and business closures meant acquiring more budget for their IT needs or waiting for their next budget cycle which often comes every 3-5 years.

But is this uncertainty with IT road-mapping different from previous years?

IT road-mapping always comes with a level of uncertainty. It's the nature of the fast-evolving, competitive era we now live in. Start-ups enter the market, customers want experiences introduced by other industries or competitors, and technology manufacturers surprise everyone with new products and features.

Uncertainty escalated with Covid-19. There's no debate. But uncertainty within IT planning is not going away when the pandemic ends. If anything, the level of unpredictability that IT leaders experience will continue to increase.

Why a new IT consumption model is needed

IT decision-makers are tasked with responsibilities ranging from improving business functions through technology to reducing the cost of IT, to increasing business efficiencies and margins. But many factors hinder their success, job security, and peace of mind.

- Constantly evolving technology needs make it difficult to predict which solutions (and the quantity) best suit the business climate – Presently video conferencing solutions are in high demand in the market because of the pandemic and the increased work from home scenario. When employees go back to work, new kind of solutions which can support hybrid working model will be in demand. Therefore, the cycle goes on.

- New technology is constantly introduced in the market - Most technology evolutions can be anticipated to a certain degree. For example, we all knew 5G and Wi-Fi 6 were capabilities coming down the pipeline. While we anticipate these technologies in our road maps, there are still uncertainties of exactly “when” and “how much” will be used by staff, customers, and throughout the overall business.

- Technology doesn't always work well together – Imagine there is a new technology available that can help with customer transactions, edge security, or the adoption of artificial intelligence to streamline operations. But, suppose a company's current infrastructure does not support technology outside of its manufacturer's product solutions. Is it worth the additional CAPEX and OPEX to make it work right with your current infrastructure investments? Either the company will need more funding before the next budget cycle or have to let go of the new technology.

- CAPEX budget cycles don't always align with technology adoption demands, postponing needed investments – For instance, an IT leader recently upgraded their company's access points because the former ones had become obsolete. Even with the upgraded access points, the company is not able to get the desired experience. Then, the manufacturer comes with another version that would meet these needs. Unfortunately, the IT leader has already used their CAPEX budget and does not have additional funds to spare for another year or so. Now the company has to work with already installed access points even when there is a better technology available in the market.

CAPEX is spent even when the needed infrastructure is overestimated and not used – Suppose a company planned to open a new distribution facility or branch office, but the plans were suddenly halted. The IT department may have already invested in the infrastructure ranging from switches to AV that are not required now. These can't be returned nor they are being used. By the time the company reschedules the opening, a new updated technology might come up in the market.

Looking at the restrictive factors listed above, it begs us to ask: does success favour the businesses with the most capital? The companies that can consistently spend more than their budget? Rip and replace technology whenever business leaders please?

Not necessarily. It's been said that fortune favours the bold. Fortune also favours open-minded and creative problem solvers.

What does the best IT consumption model look like?

To stay competitive and in business despite the uncertainty in the market and world circumstances pose, IT leaders need the ability to acquire and deploy technology when they need it. Not when their budget cycles come about every 3-5 years. The best option is to consume all your technology through a service-centric consumption model and pay only for what you use and when you use it.

For example, imagine having the ability to deploy and remove infrastructure as easy as subscribing/unsubscribing to monthly services. Imagine being able to provision and leverage capabilities like asset-tracking and way-finding on a month-to-month basis. Now you can. Just like your favourite subscription services, you only pay for what you use when you use it. This is the new model which will help IT leaders invest their resources wisely.

Next steps

Uncertainty isn't going away. That's why CIOs and CTOs need to know all their options for how to best thrive through unprecedented times. With the right technology and IT Solution partners, IT leaders will be able to leverage the most flexible IT consumption model and network architecture for sustaining business and reducing risk in a constantly changing environment.

This article has been written by Sushil Goyal, Co-founder & MD of Rahi Systems