As business leaders look toward 2023, many see the potential for tough economic times ahead. Inflation, the war in Ukraine, and the ongoing challenges of the supply chain and the pandemic are mounting.
Respected economists are warning of slow growth. For example, Pierre-Olivier Gourinchas of the International Monetary Fund issued a statement that said, “The three largest economies, the United States, China and the eurozone, will continue to decline.” He added, “In short, the worst is yet to come and, for many people, 2023 will feel like a recession.”
Despite the bad economic news, companies say they have no plans to cut back on technology spending. In fact, a Forrester survey found that two-thirds (67%) of IT decision-makers plan to increase their high-tech spending in the next 12 months, and more than a quarter (26%) expect technology spending increased by more than 5%. .
Industry analysts predict that companies will continue to look to technology as a key business enabler that can differentiate them from the competition. But they may begin to shift some of their technology spending away from high-risk initiatives toward more pragmatic products that are likely to deliver a quick return on investment.
With that in mind, here are five enterprise technology trends to watch in 2023:
1. Intelligent Automation
Automation software looks particularly attractive during tough economic times because it allows organizations to do more with fewer workers. The latest intelligent automation software incorporates artificial intelligence capabilities to achieve dramatic results.
For example, Vietnam-based Central Retail recently invested in an intelligent automation solution to help streamline its invoice matching process. The company, which has 38 malls and 260 stores, had to process more than 1.8 million invoices each year. The new solution allowed him to automate 75% of that work, saving the company 90,000 hours a year and US$500,000 over five years.
Forrester predicts that companies that follow Central Retail’s example will do well in 2023: “Those with the ability to adapt to the realities of 2023 will find themselves doubling down on automation to gain a massive competitive advantage.” achieve.”
Automation is closely related to another key trend: DevOps practices. Rather than a specific technology, DevOps is a mindset that allows IT organizations to be more efficient and effective. It applies the principles of Agile development to IT operations while fostering closer collaboration between developers and operations personnel. It includes technologies such as automation, continuous integration/continuous deployment (CI/CD), cloud computing, and containerization (particularly the use of Kubernetes).
Companies that adopt DevOps often become more responsive to customers and able to push out new initiatives faster. In one example, FPT Software, Vietnam’s largest technology firm, helped a Korean e-commerce giant modernize its deployment pipeline and standardize its tool chain. The retailer now provides its customers with differentiated shopping experiences and has deployed highly effective DevOps processes that enable more than US$5.1 billion in revenue.
As augmented reality (AR) and virtual reality (VR) technology matures, it is enabling a new digital world known as the “metaverse”. Gartner explains, “Metaverse allows people to replicate or enhance their physical activities. This could happen by transporting or extending physical activities to a virtual world or by changing the physical world.”
Facebook is famous for the metaverse concept and even changed its company name to Meta. But so far, other companies have been slow to jump on board.
However, that could change in the near future.
The pandemic changed the way people worked and shopped, and companies are starting to recognize that things won’t completely go back to the way they were. They are using software like akaVerse to set up retail or office locations in the metric. This could be a significant trend. In fact, according to Gartner, “Through 2027, fully virtual workspaces will account for 30% of enterprise investment growth in metaverse technologies and will ‘reimagine’ the office experience.”
4. Cloud computing
At this point, almost all companies do at least some of their computing in the cloud. And the pandemic and other recent disruptions have accelerated the pace at which businesses are moving workloads into the cloud. And the cloud is even more attractive in difficult economic times.
For the year 2023, Gartner expects an increase in industry-specific platforms that “combine SaaS, PaaS and IaaS with customized, industry-specific functionality that organizations can use to more easily adapt to the relentless flow of disrupting their industry.”
The cloud’s pay-as-you-go model is particularly attractive in a slowing economy because it allows organizations to quickly reduce usage, and more importantly spending, if they need to reduce costs. Cloud management tools like FPT CloudSuite can further improve agility, while helping organizations reduce costs and improve service quality.
5. Digital Transformation
For most organisations, digital transformation takes many years. Many companies that have undertaken digital transformation initiatives in recent years will see these efforts continue and evolve in 2023.
Many industry analysts expect digital transformation efforts to focus on pragmatism, execution and scale in 2023. For example, IDC sees companies shifting “from investment strategies in digital transformation technology to a focus on running digital businesses.” He predicts, “By 2024, the top 5 companies in each sector will be those that have used technology to innovate their way out of a global crisis such as a recession or supply chain disruption.”
FPT Software offers end-to-end digital transformation services to help companies with every step of their journey. They see digital transformation as a marathon, not a sprint, and help companies around the world accelerate their digital innovation, even as disruptive forces create uncertainty.