Gartner Research

What Service Providers Must Do to Succeed in the Digital Era

Published: 25 July 2014

ID: G00263506

Analyst(s): Allie Young , Susan Tan , Patrick Sullivan , Alex Soejarto

Summary

As enterprises move to become digital businesses, there are revenue growth opportunities for service providers. Strategists and practice executives must align and adapt their organizational structure, capabilities, offerings, and engagement and delivery models to thrive in the digital environment.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • The market opportunity arising from broad technology changes is creating a digital business opportunity, forcing a restructuring in strategy, talent, portfolio and organization within service providers
  • Service providers' current business models will be insufficient to address the speed, agility and innovation required for the digital business era, thus, driving demand for a bimodal approach
    • Complementary IT Spending Priorities
    • Bimodal IT
  • Digital business enablement will span six domains, requiring service providers to realign their core competencies toward new vision, investments and offerings, for a portfolio that delivers innovation, transformation and industrialization for buyers' digital businesses

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