Digital transformation as a service is poised to drive business growth
According to IDC, global spending on digital transformation is expected to grow 16.3% per year over the next five years, reaching $3.4 trillion in 2026. However, not all of these investments will pay off. A Boston Consulting Group (BCG) study found that only a third of digital transformations are successful.
The complexity of change
Digital transformation involves multiple stakeholders and relies heavily on integration between business units. As the technology architecture of digital solutions becomes increasingly complex and costly, poorly managed digital transformation can lead to system vulnerabilities, data silos, and other costly IT headaches.
In this context, Digital Transformation as a Service (DTaaS) has emerged as a solution-driven approach to help organizations adapt to a fluctuating business environment. It combines multiple technology solutions, from cloud computing to AI, on a single platform for continuous end-to-end transformation.
“Digital transformation as a service helps rebuild an organization from the ground up to make it more efficient and flexible, giving it the agility to respond faster to new market opportunities at scale,” says Wong. “Because IT complexity is increasing, many companies are moving towards service-centric technology consumption models. Echoing the B2C marketplace, which offers a variety of subscription services, companies can now turn to services that make it easier to manage IT and optimize the purchase, deployment, management, and scale of infrastructure without additional capital expenditure.”
DTaaS in action
When China-based Huzhou Central Hospital wanted to create a digital solution in 2018 to help doctors monitor and manage patients with chronic conditions, they needed to make sure their existing on-premises data center would be capable of handling the vast volumes of data that would likely be generated. Strict regulations have also prevented the hospital from relying on a public cloud for storage and computing resources.
The hospital turned to Lenovo, which designed, developed, and deployed a new chronic disease management solution that helped improve the speed and accuracy of diagnoses. Using Lenovo’s TruScale Infrastructure as a Service (IaaS) solution, the facility gained access to a platform with the security and control of an on-premises environment, pay-as-you-go, 24/7 monitoring. 24/7 and highly sought-after features. after scalability.
Stimulate the need for a new model
Digital transformation has become a permanent fixture in many organizations – IT complexity, growing competition, an increasingly distributed workforce, expanding cyber threats and growing demand for business continuity and sustainability are just some of the reasons for this trend. However, many organizations are not equipped to deal with these challenges.
A lack of strategy can be a major obstacle. “Without a clear strategy and goals, it can be difficult to prioritize and focus on the most important digital transformation initiatives,” warns Wong. Employee resistance to change is another barrier to successful digital transformation, as many workers fear that automation will compromise job security.
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