Mulesoft announced the findings of the 2020 Connectivity Benchmark Report on the state of IT and digital transformation. The global survey of 800 CIOs and IT decision makers (ITDMs) in organizations with at least 1,000 employees revealed that digital transformation has widely become a strategic imperative for businesses with nearly all respondents (92 percent) currently undertaking initiatives or planning to in the next year.
However, significant integration challenges exist for 85 percent of organizations – stalling digital transformation and negatively impacting revenue, speed to market and customer experiences.
Businesses are under increasing pressure to digitally transform, and for good reason: three out of four expect a decline in revenue if they fail to do so in the next year. They’re also struggling to overcome a common obstacle: of the almost 900 different applications used by the average enterprise, only 28 percent of those applications are integrated – preventing a single view of the customer. As a result. more than half of businesses are unable to provide connected experiences for customers.
Mulesoft: IT must innovate faster
Traditional IT operating models are broken and organizations are being forced to find new ways of accelerating project delivery and reusing integrations. At least half of respondents say their IT budgets will increase by less than 10 percent this year despite their project workloads skyrocketing by 40 percent. Yet 82 percent of businesses are now holding their IT teams accountable for delivering connected customer experiences.
- When IT can’t keep up with business demands, projects slip. More than half of organizations weren’t able to deliver on all of their projects last year, creating a backlog for 2020.
- IT faces the constant balancing act of keeping the lights on and innovating. With current IT operating models, nearly 70 percent of IT’s time is spent running the business, instead of focusing on innovation and development.
- Organizations struggle to maintain the pace of our digital world. Nearly two-thirds of ITDMs find it difficult to introduce new technologies because of their IT infrastructures.
- New technology investments only increase the need for integration. The top four IT investment priorities for 2020 are security, big data and analytics, multi-cloud strategy, and AI/machine learning – all of which will require deep integration with existing systems.