Startups Accel at Outsourced  Digital Transformation Projects

January 31, 2017

IDC has published leading case studies from 50 enterprises in India which have been selected from more than 235 projects that were received for the IDC Insights Awards 2016 which recognize excellence, innovation and transformation using technology; thus driving business value. There was participation from large and mid-size enterprises across verticals such as Manufacturing & Logistics, BFSI, Health & Lifesciences, Conglomerate, Energy, Telecom, Media & Technology and Retail. This research process covers a significant percentage of the large and very large enterprises in the country, and provides a comprehensive view of digital transformation “on the ground”.

In a span of a few decades, information technology (IT) has embedded itself into nearly every aspect of business and personal lives, significantly fuelled by 3rd Platform technologies viz. mobile, social business, cloud, and big data and analytics (BDA). IDC believes the information technology industry is entering the most critical period yet in the 3rd Platform era: the "Innovation Stage," defined by an explosion of innovation and value creation on top of the 3rd Platform's foundation. The innovation stage will be driven by a new wave of core technologies — Innovation Accelerators — that radically extend the 3rd Platform's capabilities and applications.

The nominations received this year saw a steep increase amongst organizations in the adoption and leveraging of 3rd Platform technologies. In 2016, IDC observed an 11% increase in cloud deployment cases from the previous year; in addition, the pervasion of mobile technologies increased, with a further 3% jump. These trends are clearly symbolic of the fact that organizations are embracing new age technologies. IDC has also observed the increasing use of Internet of Things and Robotic Process Automation (RPA) by enterprises.

“Organizations today are embracing new age digital technologies to address several business challenges that they face in their day to day operations. Digital technologies are bringing quintessential disruptions in today’s businesses environments and new age technologies are being leveraged in unprecedented ways to strengthen brands, engage & deepen relationships with customers “, according to Shalil Gupta, Associate Vice President – Insights and Consulting. “IDC believes that companies that recognize the real impact of going digital will gain real advantages of being future ready”.

In corresponding measure, IDC observed a decline in Traditional IT deployment from the previous year by almost 6%; thus reflecting the fact that organizations are travelling the Digital Transformation journey in good measure. “The most striking aspect of the study was the preponderance of digital technologies relative to previous years. 50% of projects were executed using third platform technology. It is therefore not surprising that we also saw the emergence of startups as key partners for established companies. When projects were outsourced, startups were chosen at least 50% of the time as preferred partners.” according to Jaideep Mehta, Managing Director – India and South Asia. “Equally, defying conventional wisdom, it is noteworthy that established players also played a big role in helping customers drive disruptive projects.”

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