In the past, people often preferred large, established institutions vs. smaller start-ups because the former offered a wider set of features and options. Let’s take the example of financial institutions. Large banks have the infrastructure and resources to offer their consumers high-quality banking facilities and support in different locations around the world.
The common mind-set is that larger financial institutions equal greater benefits. But the fact that this approach ignores is that technology is accelerating at the speed of light, and enterprises are uncertain about making the move to adopt the newest IT trend.
IT plays a prominent role in the success of businesses. It is very complex for large institutions to transform their workflow from a traditional process to a completely digitized platform. On the other hand, the up-and-coming financial firms find it easier to leverage IT for business acceleration. This has revolutionized the way business is done.
Now, the big banks are leaning towards new technologies to quicken growth and retain their customers. But this transformation process has been time-consuming. It has taken them approximately 5-6 years to move to mobile banking, which smaller banks have more easily implemented.
In these instances, enterprises see IT as an impediment rather than as an aid. The key to successful transformation lies in gaining the ability to turn IT from a business impediment into an innovation driver. To be able to innovate, enterprises need to focus more on bringing agility into IT deployment and enablement.
To use the example of financial institutions, it would appear that large corporations have a larger window of opportunity than smaller start-ups because they have more expertise and experience. But a significant obstacle they face is monetizing these resources. They spend a lot of time and effort monitoring and maintaining their existing IT assets. The result is that their IT is not agile and they are less inclined to invest in new technologies.
In all business verticals, large enterprises are being challenged by new start-ups that provide innovation through new technology. Start-ups and other SMEs can deliver results instantaneously without worrying about the overhead on existing IT. Unfortunately, the scenario for large-scale enterprises is different.
Cloud computing has made it easier for a start-up to build a scalable model of IT that can transform a start-up infrastructure into web-scale IT. The emerging firms are now able to quickly launch a product and elastically scale to the needs of customers irrespective of their size.
Meanwhile, the traditional industries are being challenged by the creative startups that are delivering an equal or better user experience with the help of technology. The differentiating factor between the two is the time to market. So now, traditional institutions are looking to move to a more rapid and agile IT model. Once this goal is achieved, it will enable speedy business innovation. It will empower large enterprises to deliver features and services like the smaller industrial players.
A one-stop solution for this would be a platform that enables IT management, automation, and orchestration. With the help of this type of platform, enterprises can leverage new technologies as well as their existing assets to quickly meet any new business needs while reducing errors and time to market. They can achieve the shift from a traditional institution to a cutting-edge technology organization effortlessly. Huge establishments no longer have to consider IT as a business impediment. With the right tools, IT will play the role of an innovation driver to help enterprises move faster, reduce costs, and eliminate errors.