Digital Business Modernization

Executive Summary

For most enterprises, the transformation to Digital Business is an evolution rather than a revolution, but that doesn’t mean sitting back and waiting for change to unfold. There are challenges to overcome but Saugatuck/ISG believes it’s imperative for enterprise IT to conduct a fresh analysis of applications and systems to get the transformation underway now. The status of legacy applications and systems will affect the business’ ability to respond — or not — to rapid Digital Business changes.

Successful transformation also involves integration of existing and new tool and services providers. This type of wide-ranging modernization goes far beyond previous eras when mainframe applications, mostly written in COBOL code, had to run on Windows/Intel-based servers. Today’s Web-based services require a thorough portfolio analysis that sets the foundation for an enterprise to address Digital Business and infrastructure requirements into the future.

It’s not an overnight transition by any means; the demands of Digital Business pose tremendous challenges—particularly when it comes to existing technology infrastructures. Yet IT executives know that opportunity exists in shifting from routine upkeep to core modernization that will set the stage for more disruptive, Digital Business technologies.

The promises of Digital Business are many: Improved communications, faster delivery of products and services, higher productivity, lower costs and competitive advantage. The trick is to get from here – where your legacy, apps, tools and services are today — to there. Modernization is the most common path; it’s not sexy or quick, but we believe it’s often the most practical and successful way to digitize and update aging infrastructures and to keep the business relevant in new markets.

This report will help businesses assess their modernization approach, consider viable alternatives, and examine tools and service providers that may ease the transformation. We also explain how application modernization fits into Digital Business transformation, the market opportunity and drivers, and the various modernization approaches and risks. We examine key technology and service providers that enterprises can engage, reviewing their offerings and positioning.

Speed is critical: The sooner you begin, the sooner the promises will be realized.

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About the author

Ron Exler

Mr. Exler is a Director and Principal Analyst with the ISG Provider Lens (IPL) service, a part of ISG Research. His focus is on the disruptive and progressive influences on businesses – and the experiences of their customers - of the Internet of Things (IoT), location intelligence, Digital Workplace and application modernization. Ron is lead analyst for the IoT Services 2021 IPL study as well as the Healthcare and Life Sciences Digital Services 2020 and 2021 IPL studies. He is also the owner of the IPL subscriptions services for enterprises and service providers. Ron bridges the gap between business and technology through active analyses and clear communications of issues and opportunities.

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