Cloud will surpass on-premises infrastructure in APeJ

February 16, 2023

This is just one of IDC’s predictions unveiled in its latest report, IDC FutureScape: Worldwide Future of Operations 2023 Predictions, Asia/Pacific (excluding Japan) Implications.

IDC predicts by 2025, the cloud will surpass on-premises infrastructure as the primary location where operational data is stored, managed, and analysed for 65% of A2000 organisations.

IDC’s Future of Operations framework describes how organisations can improve their decision-making processes and efficacy by embracing data-driven operations (DDO). Cloud has a central role to play in DDO and this is reflected in the data from IDC’s 2022 Worldwide Future of Operations Survey that shows cloud technology is the top technology priority for organizations in Asia/Pacific.

80% of respondents say that cloud is important or critical in terms of its ability to help an organization achieve operational excellence and resilience. Other key technologies needed to achieve efficient and optimized operations include robotics, mixed reality tools, edge computing, 5G and cybersecurity.

“Asia/Pacific organisations understand the need to invest in critical technologies to achieve data-driven operations. Organisations need new digital capabilities and must establish foundational technologies like cloud and next generation connectivity”, said Rakesh Patni, Associate Research Director, Future of Operations, IDC Asia/Pacific.

“However, there is another significant aspect that organizations must not neglect, which is developing talent – either through hiring and partnerships with service providers or upskilling and reskilling the existing workforce. It is only when talent and technology combine with the right strategy that organizations can achieve optimised and efficient operations. The Future of Operations predictions uncover opportunities and act as signposts that will assist organisations in AP in their digital transformation journey,” added Patni.

IDC’s Future of Operations top 10 predictions for 2023:

#1. Sustainability in Operations: By 2026, 40% of Asia-based 2000 (A2000) industrial organisations will make real-time decisions balancing economic and sustainability metrics, simultaneously improving both sets of metrics by 5% across the enterprise.

#2. Lifecycle Carbon Footprint: By 2026, 30% of product-centric organizations will use digital tools to measure life-cycle carbon footprint, creating demand for better integration between PLM and operational data.

#3. Talent from Service Providers: By 2024, talent shortages and pressure to improve operational performance will force organizations to reevaluate their approach to digital transformation, resulting in greater use of outside services.

#4. XR/AR/VR in Operations: By 2027, the use of extended reality technology, including AR/VR/MR tools, will increase by 40%, creating a new breed of digital worker and reducing operator/field worker errors by 30%

#5. Robotics and Inspections: By 2027, the use of robots in nontraditional sectors, most notably remote inspection and maintenance, will increase by 25%, resulting in a 40% drop in inspection errors.

#6. 5G Impact on Operations: By 2024, digital-first operations enabled by 5G connectivity will improve worker safety, resulting in a 20% reduction in lost time accidents.

#7. Satellite Edge in operations: By 2027, 40% of remote operations will use satellite-enabled AI/ML technology to collect and analyse data at the edge, reducing costs and improving yields and energy usage in the natural resource sectors.

#8. Cloud in operations: By 2025, the cloud will surpass on-premises infrastructure as the primary location where operational data is stored, managed, and analysed for 65% of A2000 organisations.

#9. Organisational Reconfiguration: By 2024, 30% of industrial organisations will have become leaner and more agile than their competitors as a result of making real-time operational insights available anytime, anywhere, to anyone.

#10. Cybersecurity in Operations: By 2026, 40% of organisations will increase the use of IoT and OT cybersecurity solutions at the edge, cutting OT cybersecurity breaches in half.

These predictions are discussed in greater detail in the new IDC report, IDC FutureScape: Worldwide Future of Operations 2023 Predictions — Asia/Pacific (Excluding Japan) Implications.

Categories : Around the Industry

Tags : Cloud FutureScape Report IDC Predictions Sustainability