An IDC InfoBrief, Sponsored byIDC #EUR146160620 1
An IDC InfoBrief, Sponsored by
Author: Massimiliano Claps
MODERNIZING
IDC #EUR146160620
GOVERNMENT INFRASTRUCTUREAPRIL 2020
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DIGITAL TRANSFORMATION (DX) WILL EMPOWER GOVERNMENTS TO BECOME CITIZEN CENTRIC
Source: IDC European Tech and Industry Pulse Survey 2019–2020, Government (n = 291 central and local governments)
European Government — Top 3 Expected Business Impacts of Digital Transformation
of European government organizations, improving
citizen experience is the top business priority for 2020
For
Improving Citizen Satisfaction
More Efficient Operations/Cost
Optimization
Improving Workforce
Satisfaction
48% 40% 38%
62%
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WITH THE GROWTH OF DIGITAL SERVICES, THE COMPLEXITY IN MANAGING APPS IS ONLY GOING TO GET WORSE
Source: Global PaaSView and the Developer, 2018, 2019 n = 1,225; 2,500
Global, cross-industry adoption of microservices and containers
Containers achieved the greatest adoption of the four sets of technologies, followed by microservices.
Adoption of microservices, containers, container orchestration, and functions as a service spanned between
15% and 20%.
Microservices Containers Container orchestration Functions as a service
Not using In the process of
implementing
Considering
using
Piloting as a
precursor to using
regularly as a part
of our services
Using regularly
as part of our
services
31% 32%
27%26%27%28%
18%
16%20% 20%20%
18% 18% 17%
25% 25%
8% 9% 9%7%
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THE VARIETY AND VOLUME OF DATA GROWTH WILL REQUIRE NEW APPROACHES TO DATA ANALYSIS AND STORAGE SOLUTIONS
European public sector entities experience a fast growth of data volumes that need to be archived, protected, and managed.
The variety of sources increases with video, audio, and IoT feeds, particularly in cities, investing in smart mobility, public safety, and environment management.
European public sector — expected growth of data volumes, by type of data
Structured data (examples: databases such as Oracle, SQL,
SAP)
Semistructured data (examples: email, no SQL
databases)
Unstructured data (examples: data on
Excel files, video, digital
photos, Word files, PowerPoint)
Source: IDC European Multicloud Survey, 2019 (n = 84 public sector)
No growth 1%–20% growth 21%–40% 41%–69% 70%+
1% 5%2% 26% 1%
31% 65% 69%
19%
79%
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Multicloud management
69%
Modernize datacenter
infrastructure
63%
GOVERNMENTS NEED MODERN INFRASTRUCTURE TO BRING TOGETHER NEW APPLICATION DEVELOPMENT AND DEPLOYMENT
APPROACHES, AS WELL AS MANAGEMENT OF MASSIVE DATA VOLUMES AND SECURITY
Source: IDC European Multicloud Survey, 2019 (n = 84 public sector)
Top 3 Priorities Top 3 Challenges
European public sector — key priorities and challenges for datacenter operations in the next 12 months
Introduce containers, APIs,
and microservices
Legacy infrastructure
49% 61%
Improve security and
compliance
60%
Automation and orchestration
63%
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TO MANAGE THE OPPORTUNITIES AND CHALLENGES OF DIGITAL TRANSFORMATION, GOVERNMENTS MUST RETHINK THE WHOLE STACK
Source: IDC FutureScape: Worldwide National Government 2020 Predictions
Digitally savvy government executives will not deploy digital for the sake of technology. They will rethink their business and technical capabilities to improve service delivery, increase capacity, streamline operations, and create a tech-friendly work environment. To succeed, governments should build a cloud-based agile-architected platform that puts data at the core, scales rapidly from a single user to the organization, accommodates ecosystem users, and enables innovation. Governments that fail to rethink their capabilities will fail; in fact, IDC predicts that without intelligent, secure, scalable DX platforms, by 2022, 60% of agencies will fail to enhance constituent services, streamline operations, empower employees, and meet mandates.
DIGITAL TRANSFORMATION
AGILE PLATFORM ARCHITECTURES
SCALABLE, HYBRID INFRASTRUCTURE
Customer empathy
Microservices
Multicloud environments
Operational excellence and resilience
Containerization
Cloud-core-edge-endpoint continuum
Turning data insights into action
Data intelligence everywhere
Automation
Leadership at scale Future of work
Dev
SecO
ps
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AGILE ARCHITECTURES WILL EMPOWER GOVERNMENTS TO DECOUPLE APPLICATIONS AND EMBED INTELLIGENCE INTO CORE PROCESSES
Source: IDC DX Executive Sentiment Survey, 2018 (n = 54 European government respondents)
Top 3 priorities to expand the platform beyond a conventional layered architecture
49%
70%
45%
37%
45%
31%
API strategies
Data management
Customer experience
Experiential engagement
Agile application architectures
Scaled digital businessTop 3 priorities for
digital capabilities to be built on the platform
BilbaoTIK, the city of Bilbao’s IT arm, reduced time and effort for application development, migration, and management with innovative enterprise open source technology and community code libraries by embracing a new solution based on Red Hat JBoss Enterprise Application Platform.
Cloud-based API strategies
that orchestrate data exchange
across the ecosystem
Enable an organization to turn
internal data into insights by
organizing, maintaining, and refining
data sets and data processes
New customer experience technologies
that fully support customer- and
ecosystem-facing business models
Enable an organization to create an
immersive and frictionless customer
experience
Agile application architectures on PaaS
using microservices and containers
Enable an organization to deliver hyper-
personalized digital services at scale
using autonomic processes
1
1
2
2
3
3
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CLOUD WILL OFFER MORE AGILE OPTIONS TO DEVELOP AND DEPLOY NEW DIGITAL APPLICATIONS AND EMBED DATA INTELLIGENCE INTO
BUSINESS PROCESSES
The variety of cloud
deployment models grows
in response to government
appetite for hybrid solutions.
Savvy government
executives want the agility
to develop and deploy
applications and manage
data in sync with ever-
changing business needs.
Dedicated
Traditional datacenter, on premises
On-premises private infrastructure
IaaS
SaaS
PaaS
Traditional datacenter, managed service
Hosted private infrastructure services
Private cloud Public cloud
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WITH CLOUD ADOPTION ACCELERATING, AGENCIES ARE MATURING IN THEIR APPROACH TO WORKING ACROSS DIFFERENT TYPES OF CLOUD
Source: IDC European Tech and Industry Pulse Survey 2019–2020, n government = 291
The British Army’s Information Application Services (IAS) Branch delivers software applications, hosting, and web services to families, veterans, and personnel deployed around the world. IAS managed to cut delivery time by 75% by migrating to Red Hat Ansible Tower, an automation and orchestration tool, to improve consistency, reduce manual errors, and support a DevOps delivery approach.
Many organizations now have SaaS solutions from multiple suppliers and a hybrid of private and on-premises infrastructure.
Managing the end-to-end application life cycle, and the growing volume and variety of data, requires tools that streamline operations while ensuring continuity of service.
European government — cloud adoption and investment plans by deployment model
Public cloud On-premises
private cloud
Managed
private cloud
Hosted
private cloud
Multicloud Hybrid cloud
23% 23%15% 12% 13%
19%
13%
13%
9%
14%
12%
18%
10%
17%13%
13%
16%
13%
Evaluating, but no plans to adopt yet Plan to start using in the next 12 months Yes, already using
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AS GOVERNMENTS SHIFT MORE WORKLOADS TO THE PUBLIC CLOUD, MULTI-CLOUD ENVIRONMENT WILL BECOME THE NORM
Source: IDC European Tech and Industry Pulse Survey 2019-2020 – N Government (291)
After a first phase of cloud adoption to host websites and back up archives with storage-as-a-service solutions, European governments have started to embrace public cloud in multiple application areas, such as collaborative tools, ERP, CRM, and visual analytics.
The richness of public cloud capabilities is resulting in multivendor environments that need to be securely orchestrated.
European government — public cloud adoption and investment plans by solution area
Iaa
SS
aa
SE
me
rgin
gTe
chn
olo
gie
sP
aa
S
Website hosting
Infrastructure computing
Storage
Database
Application development and testing
Collaborative tools
ERP
CRM
Security
Content management
IoT Solutions
Blockchain
Artificial Intelligence (AI) and Machine Learning (ML)
Augmented/Virtual Reality
BI
Industry-specific solutions
Currently in the cloud
Plan to deploy in the cloud in the next 12 months
18%
17%
15%
9%
8%
20%
15%
15%
10%
10%
9%
9%
4% 5%
9%
15%
15%
16%
15%
15%
17%
13%
13%
9%
19%
12%
12%
13%
17%
15%
14%
14%
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TO DEAL WITH GROWTH IN DATA VOLUMES AND DEPLOY NEW WORKLOADS SUCH AS AI FASTER IN THE CLOUD, THE EUROPEAN PUBLIC SECTOR PLANS TO INVEST IN HCI SYSTEMS AS NET NEW SYSTEMS AND
NOT TO REPLACE EXISTING INFRASTRUCTURE
Source: IDC European Multicloud Survey, 2019 (n = 84 public sector)
of public organizations are
planning to add net-new HCI systems (i.e., not replacing existing infrastructure)
48% Public sector
29%2%
10%
14%
18% 27%
HCI is critical for delivering “public-cloud-like” IT in an on-premise environment
HCI is emerging as a modern silo in our datacenter
HCI is a means for us to consolidate a three-tier architecture
We use HCI to manage a multicloud environment
Our HCI strategy is to have a single vendor for easier procurement and management
HCI is critical for our hybrid cloud strategy
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THE GROWING VOLUME OF DATA DRIVES THE NEED TO IMPROVE STORAGE PERFORMANCE BY EMBRACING CLOUD-NATIVE STORAGE SOLUTIONS
Source: IDC European Multicloud Survey, 2019 (n = 84 public sector)
The Agency for Restructuring and Modernization of Agriculture
(ARMA) is responsible for managing subsidy payments to 1.35
million farmers on behalf of the EU. To process these applications
more efficiently, the agency moved from a paper-based system
to digital services that 99% of farmers now use. The Red Hat
OpenShift Container Platform helps the agency ensure that
its online application responded to this massive shift, while
simplifying data storage and analysis.
European public sector — main storage strategy for persistent storage and persistent data for containerized applications
Improving storage, storage automation, and orchestration tools is the number 1 storage priority for the next 12 months for public sector entities
When asked about key considerations when investing in object storage, 74% chose multicloud capabilities
Public sector
1%
28%
25%
5%
17%
24%
SAN
Shared storage services
Dedicated, best-of-breed container and cloud-native storage
Other
DAS
NAS
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TO PROGRESS ON THEIR DIGITAL TRANSFORMATION JOURNEY, TECHNOLOGY MODERNIZATION IS NOT ENOUGH — GOVERNMENTS MUST
DRIVE ORGANIZATIONAL CHANGE
Source: IDC European Tech and Industry Pulse Survey 2019–2020, government (n = 291 central and local governments)
European governments’ self-assessment of DX maturity
9%27% 32%
22%
11%
Digital resisterBusiness and IT digital initiatives
are poorly aligned with enterprise strategy, and not focused on
customer experiences
Modernize Reinvent Transform
Digital explorerBusiness has identified a need
to develop a digitally enhanced, customer-driven business
strategy, but execution is siloed
Infrastructure tech modernization Reinvent talent and processes Transformed IT governance and operations
Digital playerBusiness-IT goals are aligned at
enterprise level around the creation of digital experiences, but not yet
focused on the disruption
Digital transformerIntegrated, synergistic business and IT
management disciplines deliver digitally enabled product/service experiences on
a continuous basis
Digital disruptorThe enterprise is aggressively
disruptive in the use of new digital technologies and business models;
ecosystems are involved in business innovation
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EMBED LEADERSHIP WHERE IT MAKES A DIFFERENCE FOR THE LINES OF BUSINESS AND DRIVE AGILE OPERATIONS
Ensure alignment of vision, mission, strategic goals, and performance metrics
Develop a common mission centered on efficient, trusted, highly responsive, inclusive, and convenient citizen services
Focus everybody’s contribution to the strategic business priorities
Ensure continuous alignment among line-of-business, digital, and IT leaders
Adopt an iterative approach to preparation, implementation, and improvement
Support collaboration by assembling cross-functional teams with expertise in user-centric design, development, and operations
Empower IT to create, evolve, and orchestrate critical digital transformation capabilities
Nurture a sense of urgency for digitally enabled, citizen-centric innovation
IT management Leadership
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NURTURE CIVIL SERVICE IT AND NON-IT TALENT THAT CAN OPERATE IN A DYNAMIC ENVIRONMENT
Future of Workspace
Business outcomes How can my organization be more agile and deliver differentiated value to customers? How can I make it more operationally efficient?
Ethical, socially responsible How can governments generate “long-term” value for all stakeholders? How can they drive social, humanitarian, and ecological change?
Future of Workforce Future of Work Culture
Redesign the workplace to make
work safe and align it with a brand
that makes employees proud
Foster diversity, inclusion, and social
responsibility through leadership
and key behavioral indicators
Drive employee experience by
equipping them with intelligent
digital tools
Combine executive leadership with
employee expertise to successfully
drive change
Address skill gaps by promoting
lifelong learning
Encourage trusted collaboration
across government agencies
to deliver efficient and highly
responsive services
Source and develop talent in
alignment with strategic business
priorities
Apply AI and IPA to reconfigure
tasks so that employees can focus
on citizen-centric value creation
Augment employees with
ethical AI tools
Employee experience How can government employees feel empowered, valued, and trusted? How can they feel more engaged?
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WHAT IS REQUIRED FOR SUCCESS?
Simplify multicloud strategy: Develop a clear path for organizational change:
Work with vendors that can respond accordingly to changing needs:
• Invest in infrastructure-agnostic platforms that
help dynamically deploy applications and deliver
data insights to the business
• Automate operations to manage complex
application and data estates
• Continually evaluate and reassess against the
road map
• Budget for continuous reinvention of talent,
leadership, and management to be in sync with
business innovation
• Deploy a framework for incremental system
rationalization and movement to cloud-native
applications
• Select open solutions that streamline system
migration, data integration, and application
orchestration, while complying with security
requirements
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