‘Only 3 percent of digital strategies lead to new revenue stream’

‘Only 3 percent of digital strategies lead to new revenue stream’

Though nearly three-quarters of all EMEA organizations have a digital strategy, very few strategies create optimal value. A new survey from Nutanix points to a gap between business and IT.

Nutanix surveyed the digitalisation of organizations in EMEA. Although most organizations digitalise rapidly, their strategies aren’t creating sufficient value. 64 percent have a digital strategy, but only three percent found one or more revenue streams as a result.

Nutanix sees a mismatch between business and IT. According to the cloud specialist, digital strategies should lead to new revenue streams — not just to grow, but to cover the costs of digitalisation. “The research clearly shows that organizations need to consider that running multiple cloud instances will increase costs”, says Nutanix SVP EMEA Sammy Zoghlami.

Improving with culture

The organizations surveyed believe that digital strategies deliver the most value when C-level executives and IT leaders come together. Nearly half indicate that the Chief Experience Officer (CXO) is ultimately responsible for digitalisation initiatives — not the IT leader.

Improving with technology

Technology is just as important as cultural change. 50 percent of organizations say investments in managed infrastructure help increase digital value.

They risk cloud sprawl, whereby workloads pile up and the organization pays licensing fees for unnecessary or nonexistent processes. More than three-quarters of those surveyed combat cloud sprawl by supporting pay-as-you-use cloud models.

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