IT presents a new normal in the post-epidemic era. 7 "prescriptions" can help you cure the "sequelae"

In early 2020, the coronavirus pandemic hit IT like a tsunami, upending long-established operations and processes and forcing CIOs to quickly identify and deploy acceptable alternatives. Now that the threat of the virus appears to be receding, IT leaders are looking at a radically changed landscape and wondering how basic operations and practices will adapt to the “new normal” business environment.

The pandemic has reshaped business in countless ways. IT has been profoundly affected, too, leaving CIOs to ask how their departments will cope post-pandemic and how they will conduct business as usual. Some fundamental changes have already occurred, so let’s look at seven ways the pandemic has permanently changed IT.

[[397066]]

1. Agility is now a must

The sudden and unexpected arrival of the pandemic shook businesses to their core, forcing many to look for alternatives to long-established operating models.

“Agility quickly became a priority because well-known consumer behavior and fixed distribution chains failed,” said Andy Mutz, head of engineering, new ventures and technology at enterprise software developer SAP. “Enterprises need to accept and adapt to a fully unified online/offline environment that values ​​flexibility over pure cost, and IT agility becomes indispensable.”

On the bright side, the pandemic has shown IT leaders that enterprises can safely transform critical operations and services at a speed that was previously unimaginable. "Workloads for different enterprises have changed in a variety of ways in a short period of time," said Kirill Shoikhet, CTO of software-defined storage company Excellero. "The ability to scale up and down, while being very cost-conscious, has become key for IT."

2. Digital transformation is advancing by leaps and bounds

Although many companies had already planned their digital transformation plans in early 2020, the outbreak forced them to speed up their plans.

“Due to factors such as social distancing, remote working, and limited contact in any activities, some companies have had to adopt digital behaviors that they did not have before, while others have been forced to change in new ways,” said Pieter VanIperen, managing partner of technology business consulting firm PWV Consultants. “Digital transformation is now a focus for companies around the world.”

Driven by need, IT leaders began looking at previously edge technologies. Suddenly, some promising tools, such as self-learning models based on artificial intelligence, looked easy to get started. “With the outbreak of the new crown epidemic, CIOs’ risk tolerance has changed because they have to deploy more emerging technologies to keep their businesses running,” said Raj Hazra, senior vice president of emerging products and corporate strategy at chipmaker Micron Technology.

[[397067]]

Even initiatives that were once relatively small, such as automated project time entry and employee onboarding processes, have suddenly become priorities during the pandemic. Bob Lamendola, vice president of infrastructure and engineering services at digital services and information management provider Ricoh America, noted that IT departments have innovated to adapt to the frequency and variety of automation needs. “Many companies have proven that they can change under adverse conditions. Now everyone knows that the pace of change will increase,” he said.

3. Collaboration is commonplace

The pandemic has brought home to IT the need to deepen and strengthen its collaborative ecosystem. By working with internal and external partners, IT staff can gain the knowledge and resources necessary to stay ahead of the competition.

“This is a permanent change that was already underway before the pandemic hit, and it’s now accelerated significantly,” said Brian Moore, director of technology transformation and trusted intelligence at business and technology consulting firm EY Americas.

The pandemic has forced companies that have adhered to the "build-your-own" IT philosophy to recognize the inherent value of partner collaboration. Moore explained: "Whether it is technology embedded in products or cloud-based production and collaboration tools, ecosystems will continue to play an important role in helping companies innovate and protect their competitive position in the market."

Moving to an ecosystem approach requires IT leaders to work constructively with external peers. For example, supplier management requires the ability to clearly articulate requirements and accurately measure the performance of each supplier. "This is something that IT departments have never done before and requires special attention to ensure success," Moore said.

4. Threat awareness is now growing

The suddenness of the pandemic, combined with its difficulty in predicting it, caught many IT leaders off guard. With emerging technology-based threats, such as ransomware and denial-of-service attacks, companies usually have at least some clues about what to expect and how to prepare and respond. But this pandemic came as a surprise, upending critical operations in a matter of days.

“There’s simply no time to do a six-month evaluation of different technology options or develop a long-term roadmap for meeting compliance requirements,” said Jason Goth, CTO of technology consulting firm Credera.

Tempered by these experiences, more IT leaders are now beginning to treat infectious disease threats (such as the coronavirus) as seriously as natural disasters by incorporating clear strategies into their business continuity/disaster recovery plans. "Enterprises must be able to activate these strategies at any time," Goth said. "It's hard to imagine that we can put that virus genie back in the bottle.'"

5. IT is an enabler of business solutions

When the pandemic paralyzed long-standing business operations, IT stepped up to provide solutions. Companies with advanced technology capabilities were able to develop new products and services, Goth said.

[[397068]]

“For example, retailers like Home Depot and Costco have added instant pickup; restaurants like McDonald’s have added instant pickup and new delivery options; and telecommunications products like Zoom and Teams have had to dramatically increase scale and new features,” he noted. “Businesses that can transform quickly and effectively are not only surviving, but thriving.”

However, the pandemic has also led to higher expectations among businesses. “Now that businesses know what is possible, they are less tolerant of excuses such as long lead times, delays and non-delivery,” predicts Goth.

6. IT is now seen as a financial innovator

The COVID-19 pandemic has made IT a leader in financial innovation, especially in technology-driven areas such as contactless commerce. “The industry has been innovating in contactless commerce technology for years, but the pandemic has accelerated the transformation and brought it to the forefront,” said Carol Juel, executive vice president and CIO of consumer financial services company Synchrony.

The pandemic has led to a growing demand among consumers for transactions and payments without touching cash, cards and keypads. “What makes this development so significant is that a project that should have taken years ended up being completed in just a few months,” Juel noted, adding that the use of contactless payments grew 150% in 2020.

7. A new IT workforce emerges

Many IT leaders suddenly found themselves managing dispersed teams facing a host of new and unprecedented challenges, and they recognized that a new type of IT expert was needed.

“Fundamentally, we need proactive employees who can work with little supervision, are highly engaged and collaborative,” explains Stephanie Nigh, vice president of IT at cashless campus technology company Transact Campus.

Marc Tanowitz, managing director of business and technology consulting firm West Monroe, said the shift in IT staffing and collaboration needs opens the door to more flexible talent and value creation opportunities. He added: "It also means IT leaders need to prepare for more agile work across the business system. This means IT should take an iterative product mindset to provide bandwidth, tools, platforms, etc. to increase the productivity of remote workers and in complex remote/onsite hybrid work environments."

Discover Financial Services used the pandemic to launch a workforce evolution program with the goal of creating smaller, product-centric, autonomous IT teams. "Looking at the velocity of our operations highlighted a lot of inefficiencies that had built up in processes over time," said Amir Arooni, CIO and executive vice president of Discover Financial Services. "This simplistic mindset is a hallmark of our technology development as we look to create autonomous teams that can do anything."