Intelligent CIO Africa Issue 29 | Page 31

////////////////////////// V endors and solution resellers push for new system upgrades. Customers have responded by establishing prudent spending cultures, often because IT budgets are among the largest in companies. This delicate tug-o-war between sweating assets and keeping the edges sharp drifts back and forth, and over time everyone comes out more or less in the green. But not anymore. Forget for a moment the risks of accruing too much technical debt through legacy systems. Changes are sweeping across the IT landscape, replacing past systems with a new generation that is functionally and philosophically a light step ahead for business management. It’s the biggest shift since the 80s Business systems took a revolutionary step forward in the late 1970s to ‘80s. Mainframes made way for client-server architectures, software became more affordable and accessible, computer skills started permeating at homes and schools, systems became more modular and networks started appearing on business sites. The early digital incarnations of enterprise resource planning, business process management and the indefatigable spreadsheet appeared. It was a big change in how companies operated. This new wave of modernisation is comparable to that era. The impact of today’s modern core business systems is as big as those changes, if not bigger. Ignoring the changes today is as bad as if you ignored computers back then. It’s not always obvious, because the big change is in how technology is consumed. That can mean different things. The switch from OPEX to CAPEX, but also new agile innovation processes as seen with dev ops or inspecting real-time reports on a phone dashboard. Modern systems talk to a modern world That final point about consumption touches on a broader theme – our entire world is changing owing to modern systems. Just consider the laboured example of smartphones – they are everywhere, www.intelligentcio.com One Channel CEO Bernard Ford and they can be a fantastic portal to information. A business that modernises its IT can start exploiting those opportunities to get more insight on its customers and its own operations. Older systems can’t do this for a simple reason. There is simply too much data for humans. Machines are much faster and can handle the volumes of data being generated today. But it’s not just because they are machines. If you attempted to manage today’s data with legacy systems, it would cost a fortune because they are not designed to manage so much. Modern systems incorporate efficiencies that reduce costs. A common example is how cloud services can scale to offer computational power for data processing at fractions of the usual costs. Those are advantages you can’t just retrofit into older systems.” Customer-facing is in Another significant difference between older and more modern systems, such as post- modern ERPs, is how they are orientated towards the customer. Ford explains that customer-centricity is not a fad or buzzword, but a change in business philosophy enabled by modern systems. “Why has it been so hard to create omni- channel customer experiences or 360-degree INTELLIGENTCIO 31