Pandemic Pushes Digital Transformation from Pilots to Production as Enterprises Contend with Disruptions

An acceleration in moving digital business solutions from pilots to commercial-scale deliveries, due to the COVID-19 pandemic, is causing massive changes for both enterprises and technology and service providers, according to a new report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The ISG Provider Lens Digital Business – Solutions and Service Partners Archetype report finds many companies are seeking help in connecting with customers, improving their supply chains and becoming more competitive, especially amid the pandemic. Most companies have had to radically change their modes of operation due to COVID-19, the report says.

“Digital transformation should help many enterprises come out ahead and prepare for the next major disruption to business as usual,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “In addition to technological change, they will need to transform established processes and traditional management practices.”

Digital business solutions and service providers increasingly are partnering with companies to plan and execute changes to digital customer experience, digital product development and deployment, digital supply chain and more, ISG says. A key part of the process often is the introduction of new approaches, including design thinking, low-code/no-code development and DevOps methodologies, that can make the organization more agile to meet new challenges and market demands.

While most companies have been tasked this year with preserving or improving productivity amid pandemic challenges, organizations at all stages of digital transformation also continue to seek ways to grow revenue streams, improve customer experience and simplify reporting and management systems, the report adds. A growing number of organizations on this journey, with the support of digital business providers, are embracing emerging technologies such as artificial intelligence (AI), blockchain and the Internet of Things, along with more established cloud and open-source capabilities.

The ISG Provider Lens Digital Business – Solutions and Service Partners Archetype report examines four different types of clients, or archetypes, that are looking for digital business solutions or services. The report evaluates the capabilities of 41 providers to deliver services to the four archetypes:

Traditional and conservative: These clients are mainly focused on cost reduction and are completely risk averse. They usually have a legacy-heavy enterprise IT and networking function that is often disjointed from the business and perceived as a cost center. These organizations are looking for new revenue streams, improved customer experience and lower costs. They have a roadmap for digitizing the organization and want help from service providers to take them through their journey with strategy, consulting, implementation and managed services.