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It’s Time to Reboot the Enterprise

by Tom Molden, CIO, Global Executive Engagement

The modern IT landscape is unrecognizable compared to the one some of us older practitioners grew up with and helped build. And yet, many organizations are still attempting to fight modern adversaries and scale modern enterprises with technology, infrastructure, and processes from a bygone era. Business innovation is outpacing IT, and that gap is widening daily. On one side of the coin, organizations that have modernized their estates are moving with greater speed and flexibility, using cloud-based approaches to increase business agility and drive growth. On the other hand, organizations that haven’t reconfigured their approaches are left struggling to stay competitive.

What we’ve long known to be true is that enterprises with high-performing IT organizations tend to outperform their peers. But when IT processes drag on your business functions, they affect the bottom line. The good news? It’s never been easier to modernize digital operations.

How legacy became a liability (Complexity, 30 years in the making)

For those who remember the rise of the ERP and the Windows 95 revolution in the 1990s, it was a period of rapid digital transformation, where IT became a central force in the enterprise. Over the next couple decades, a whole host of factors (data warehousing, middleware, big data, eCommerce, etc.) contributed to a growing level of complexity of our technology estates. Many of which have become difficult and costly to manage, with strategic investments in digital transformation in recent years only compounding this problem.

Over time, rising complexity has allowed us to accumulate a lot of technical “baggage” in our enterprises. A few other key factors are to blame:

  • Historical underinvestment: Budget cycle after budget cycle, organizations have tended to deprioritize investments in Ops and Infrastructure, in favor of business innovations or short-term cost savings. With the pressure on IT leaders to drive business innovation, there is a tendency to adopt an “if it works, don’t touch it” mindset, and systems deemed good enough have quietly fallen behind.
  • M&A: As acquisitions continue to fuel growth across industries, we continue to stack systems on systems. It is rare that integrations are fully completed, and common for technologies to be bolted together and managed in a federated fashion. The resulting technical debt is seldom rationalized and remains a source of drag.
  • The rise of cyber: As cyber threats escalated in the 2000s and 2010s, organizations were forced to react. Budgets were reallocated, and resources that might have gone to infrastructure modernization went, and continue to go to, plugging security gaps.

Complexity will only continue to increase as innovation accelerates, and in the IT world, the cost of managing and protecting this baggage is becoming untenable. CIOs are under increasing pressure to streamline and reduce costs, yet the reality is, many hidden costs remain in legacy technology that cannot be readily trimmed. Multiple tools don’t just mean multiple license costs. They also mean more teams to support them, including hiring for specialized skill sets.​ There is also significant overhead required to run many legacy systems. Hardware alone is a big one; integrations, data repositories, and bandwidth requirements are other cost drivers. Plus, siloed functions and tools mean a lot of manual hand-offs and redundant work. Costs which prove even more challenging to measure.

On the human side, the strain on IT teams has been growing as people who built their careers around legacy technology begin to retire from the workforce, leaving skilled talent to manage infrastructure that was never designed for the pace or scale of the modern world.

The cost of this baggage impacts your business outcomes as well. Whereas we used to track downtime as a critical IT KPI, speed and performance expectations are the norm today. Business leaders are more interested in how they can get more out of their uptime. “Slow is the new down” is a phrase often heard. And a status quo approach to managing IT has never been more expensive. The longer organizations wait, the harder it all becomes to untangle.

Illustration showing three drivers of IT complexity: “Historical Underinvestment” in ops and infrastructure, “M&A” leading to fragmented and poorly integrated systems, and “The Rise of Cyber” increasing security demands and shifting resources to threat mitigation.

The time to modernize is now

Modern business demands agility, and to succeed today, IT needs to do more than keep up. It needs to find ways to stay ahead. The best way to do that is to empower your teams to streamline and scale operations by unifying your IT management functions, consolidating your tool stack, and simplifying the work you do.

The real shift is happening now. IT modernization is becoming more practical, more incremental, and even more achievable. The organizations pulling ahead aren’t the ones spending the most. They’re the ones simplifying fastest. They’re also beginning to layer in AI-driven operations as a force multiplier for already streamlined systems.

Some food for thought: Start by identifying the areas where complexity is costing you the most. Too many tools, too many handoffs, too much manual effort. Look for opportunities to unify and automate before you add in anything new.

Also, don’t wait for the “perfect” transformation plan. The organizations seeing results today are the ones taking the first step, consolidating a handful of tools, modernizing a core workflow, or rethinking how endpoints are managed, and building from there.

Modernization isn’t a one-time event. It’s a series of decisions that move you from reactive to proactive. At the end of the day, complexity kills speed, and legacy technology inhibits innovation. When it comes to navigating our new era of enterprise growth, IT is in a position to be in the driver’s seat.

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