The Future of Enterprises

is Hybrid

To rapidly adapt to evolving needs against disruption, an effective and practical technology approach that champions innovation is essential for the modern enterprise.

When Dilip Buildcon, one of India’s leading construction companies employing over 35,000 people, decided to expand its operations and drive digital transformation, they turned toward hybrid cloud.

The company partnered with IBM to deploy, integrate, and standardize workflows powered by S/4HANA applications and IBM Cloud. Adopting a fully managed, end-to-end solution that didn’t require any significant upfront investments led to visible benefits, including:

$7 million in annual savings

5 percent decrease in working capital requirements, minimizing liquidity risks

Over 50 percent faster deployments with the help of IBM accelerators

We now have more streamlined operations and enhanced visibility into the operations at an activity level. For an organization like ours, this is critical since it helps us expand and scale much faster.
— Karan Suryavanshi, Head of Business Development, Dilip Buildcon

Agility is Imperative

The Covid-19 pandemic has forced companies in every industry to rethink their digital strategies. Organizations needed to ramp up their digital transformation initiatives and leverage cloud capabilities not just to offer a better end-customer experience but also to support the now growing hybrid workforce.

Cloud spending increased by over 37 percent in just the first quarter of 2020, amounting to $29 billion
63 percent of Indian companies increased their hybrid cloud investments to mitigate the effects of the pandemic
87 percent of organizations quickened their cloud migration due to the pandemic

As we move into the post-pandemic world, there is no going back to “what was”. The next normal has arrived, and similar to how society has had to adapt, organizations will also have to transform to stay relevant and future-proof against unknown challenges.

The future of enterprises will depend on how well they can combine cloud-like agility with cost competitiveness and capabilities to stay ahead of data availability, security, and privacy regulations.

The Need of the Hour

While there is no doubt that IT and cloud investments increased significantly as the world was dealt with a raging pandemic – this goes way beyond that. Gartner’s IT Infrastructure, Operations & Cloud Strategies Conference 2019 had predicted that over 90 percent of organizations would adopt a hybrid cloud approach in the next two years.

The global health crisis sped up digital transformation as organizations were forced to rethink physical offices, with employees working from homes, and on-premises infrastructure wasn’t adequately equipped.

In a recent IBM report:

of CEOs emphasize the need to aggressively pursue operational agility and flexibility

of the organizations say they have been able to complete digital transformation initiatives that previously encountered resistance

The Move to Hybrid

According to a survey, Covid-19 has made:

Despite all the momentum gained by public clouds, there is still a large chunk of workloads and data that is in-house. Organizations who have embraced cloud (whether public or private) know that to have the best control, they need an architecture that allows them to move their workloads across clouds – public or on-premise. This creates a solid case for an open hybrid cloud. Open means no lock-in and the one that is founded on interoperability. What runs on public cloud and what runs on-premise will depend upon various factors including, but not limited to, time-to-market, cost, security, and application severity. The relative importance of these factors changes with time.

Not all data resides in a single environment. The hybrid cloud combines the benefits of private and public services to create maximum value, save costs, and simplify management, all while ensuring high availability, scalability, and resiliency.

“In the post-pandemic world, enterprises are going to increasingly rely on cloud-based, interoperable, and collaborative applications that serve the clients, business partners, and the hybrid workforce; and these applications can be accessed from a variety of devices,” says Ravi Jain, Director, IBM Server Sales, India-South Asia, IBM.

Open hybrid cloud is the perfect architecture for businesses that want to achieve business agility, remain cost-competitive, and have complete control on their workloads.
— Ravi Jain, Director, IBM Server Sales, India-South Asia, IBM

Make All the Difference

To meet the unique needs of open hybrid cloud adoption, IBM recently released its next-gen Power10 processor. The processor is built to help businesses scale their operations and handle Artificial Intelligence (AI) workloads securely and efficiently on the hybrid cloud.

“With a deep focus on energy efficiency and high performance, Power10 has the capabilities to run all kinds of workloads – including core line of business applications, ERPs, and the next-gen containerized, cloud-native applications. It delivers faster insights in less time by running in-core AI closer to the operational data and obviating the need for specialized hardware,” shares Jain.

Offering high security from the core to the cloud, Power10 simplifies data encryption, all with minimal management or performance impact. It also offers extreme scale and efficiency, making it easier to run more processes with fewer resources and a smaller carbon footprint.

Jain reveals what he thinks the future holds for the future of enterprises: “It depends on how well they can adopt and embrace open hybrid cloud and integrate it successfully with their existing IT setup.”

IBM’s vision is to help enterprises get ready for the future with our next-gen processors that can scale innovation, continuously drive growth, and deliver visible results.
— Ravi Jain, Director, IBM Server Sales, India-South Asia, IBM
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