EDITOR ’ S QUESTION
The way organisations consume technology has changed as they are no longer looking for a single provider : different areas of the business will make separate choices and head for best of breed solutions . This has created a need of the composable architecture and building applications in a consistent and understandable way . The reality is that Digital Transformation is not easy and most businesses are complex and have intricate value chains yet need a simple and clear path to digitalisation . Not all vendors are providing what is needed . Too many companies are still carrying out pilots rather and consuming digital technology as part of their everyday operations . Better alternatives have come to market this year .
CIOs increasingly recognise that in responding to market challenges , the potential burden of technical debt is there hence the need for them to lower costs within their business . This is shaping decision-making in the evaluation of new technologies . From a business perspective , servitisation is driving change in all our verticals . Service is becoming the most compelling differentiator for companies , but this requires a re-design of the value chain and the use of digital technology to enable a shift to a service and outcomebased business model . This is where IFS Cloud stands above competitors because it makes digital innovation immediately consumable out of the box .
The best-of-breed ERP solutions are breaking down silos between ‘ integrated ’ but individual products such as ERP , EAM , service management , CRM , HCM etc . in favour of a single solution . This means they can have one technology platform to worry about and one data approach . They should also ensure that they can simply ‘ turn on ’ the modules they want to use , when they want to use them . This means that their ERP is simpler and more cost effective to run , support and update . ERP will have innovation embedded natively as application services ready for organisations to use ‘ out of the box ’. This way they can leverage new technologies such as the Internet of Things ( IoT ), Artificial Intelligence ( AI ), Machine Learning ( ML ), Digital Twins etc . without having to run complex and expensive proof of concepts .
ERP will offer organisations choice . Choice to deploy in the cloud or on-premise and be portable between those two environments . And , to have functional parity between those two environments i . e . not a watereddown version in the cloud .
IFS firmly believes that more value can be derived in the cloud , but we recognise that this may not be possible for customers operating in regulated industries .
CIOs increasingly recognise that in responding to market challenges , the potential burden of technical debt is there hence the need for them to lower costs within their business .
Customers should not be forced to migrate to the cloud or to any vendor ’ s new offering . IFS is improving its cloud offering , but on-premises customers will benefit equally from the architectural and platform enhancements . IFS Cloud is portable between on-premises and the cloud , making it easier for our customers to make the right choice for their business ( and change it later where necessary ).
Customers demand choice . And vendors should offer solutions on-premises and in the cloud , with a licensing model based around perpetual or subscription-putting customers in the driving seat to make the choices that are right for their business . p
MEHMOOD KHAN , MANAGING DIRECTOR AND VICE-PRESIDENT , MIDDLE EAST & SOUTH ASIA , IFS
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