In the Tech Trends 2023 report, Info-Tech highlights seven trends and gives CIOs advice for the year ahead.
other way around
It is known that open standards for Metaverse are being worked on, eg B. in the Metaverse Standards forum. Info-Tech describes these efforts as vital to one day realizing the vision of a defragmented Metaverse. Although the metaverse is driven by the tech giants, it still attracts little corporate interest, according to Info-Tech’s research. About two-thirds of the companies surveyed do not plan to introduce interaction modes in virtual reality, indicating that the metaverse as a hybrid working solution is still in the concept phase. Only one in four companies has done or plans to do a proof of concept. Info-Tech particularly emphasizes the potential of the metaverse and digital twins for planning and maintaining complex assets or environments. However, the analysts advise companies not to dive headlong into the metaverse, but to take the time to build up the necessary knowledge.
Generative AI
While models trained using massive amounts of data to produce original works, generative artificial intelligence isn’t limited to the visual arts, Info-Tech reminds. For example, companies can use them to improve their cybersecurity analysis, perform preventive maintenance or perform quality checks. In the market research firm’s research, BI, automating repetitive tasks and identifying cyber risks top the list of use cases for AI in general. In particular, the so-called generative models could improve performance in these three areas. For example, by converting unstructured data into a more organized format. The company advises IT departments, among others, to gain knowledge of this AI, since employees on the business side are likely to work with it ad hoc. So it will be a matter of finding a way to help them or limit the risks associated with using them.
Data models driven by business units
Info-Tech analysts point out that using data in industries that were well established before the advent of digitization has not necessarily produced the results hoped for. Tech vendors can be wrong about the actions that are most beneficial to these companies’ customers. To rectify this, vendors have begun working with companies to more effectively determine what information is needed to increase the value of data. Against this backdrop, investments in data lakes, or data fabrics, are expected to grow by 5% in 2023, making it the second leading technology for new spending after artificial intelligence. In addition, 41% of companies surveyed are building data analytics capabilities in-house. However, Info-Tech recommends working with a third-party data analytics provider to acquire a set of skills that will increase the likelihood of success of such projects.
Sustainable digital processes
According to the report’s authors, many companies have invested heavily in digitizing their operations to increase their productivity and efficiency. New resources and strategies are needed to keep the momentum going in this seemingly never-ending process. More than two-thirds of companies surveyed by Info-Tech said the desire to increase productivity without increasing the workforce is a key factor in driving further digitization. However, to achieve their goals, companies must go beyond the mere digitization of processes and try to optimize them, say the analysts, for example. B. discover the internal processes through log analysis. Redundancies can also be identified and eliminated through the use of process mining techniques. Info-Tech advises companies to ask their ERP vendor if they plan to build in process mining capability in the near future before investing in a separate solution.
Reporting and analysis of environmental, social and governance (ESG) factors
In 2023, listed companies in Europe and the US must publish their CO2 emissions, according to the report. The report shows that few companies are willing to provide accurate data on their company’s carbon emissions. Only a quarter of IT decision makers surveyed said their organization was able to accurately report the impact of their ESG initiatives. And half believe their company cannot provide reliable carbon footprint reports. Infotech advises them, among other things, to detect missing information that would prevent adequate reporting. In addition, relationships with suppliers need to be strengthened to find out how they can report the emissions generated by the products and services the company uses and markets.
Zero Trust security
The authors of the Info-Tech report note that the frequency and severity of attacks targeting the software supply chain has increased in recent years. Critical infrastructure such as gas pipelines and utilities have been disrupted by such attacks. Companies counter this with Zero Trust’s cybersecurity approach. But you also have to be able to implement it… Half of the IT decision makers surveyed by the analysis firm are concerned that their managers and board of directors do not recognize the problems surrounding cybercrime. The difficulty of finding specialists in this field is also a major problem. The budget is not necessarily based on the evolution of cyber threats. While just over half of organizations (53.5 percent) say they will increase the amount they spend on security in the coming year, many will spend the same amount as in 2022 (41.5 percent) or reduce their spending (5.1 percent),” the report says. Info-Tech notes that implementing the Zero Trust approach may not be feasible for every company, but the underlying principles are.
Prepare for a recession
The report’s authors warn that IT budgets could shrink if the economy continues to slump. But despite the general conditions, a slim majority of CIOs surveyed still expect spending to increase in 2023. These investments will mainly be made in the areas of cloud (58 percent) and AI/machine learning (44 percent). Info-Tech notes that it’s understandable that CIOs are extrapolating from the latest pandemic recession and expecting spending levels to remain stable or even increase. As a cost-cutting measure, Info-Tech recommends cutting back on suppliers rather than cutting back on staff. In particular by getting rid of outdated software and renegotiating existing contracts.
The Tech Trends 2023 report is based on a survey of 813 IT managers worldwide conducted between August 9 and September 9, 2022.