A recent report by NTT DATA has disclosed that 80% of organisations globally feel that their progress is hampered by outdated or inadequate technology. The Lifecycle Management Report, which compiled data over a two-year period (2022-2023), includes insights from over 248 million active assets across 130 countries and responses from more than 1,400 senior technology decision-makers.
The findings highlight serious concerns among C-suite executives, particularly within the United Kingdom. An overwhelming 75% of UK executives believe that legacy infrastructure is significantly impairing their business agility. Gary Middleton, Vice President of Networking GTM at NTT DATA, commented on the findings: “Infrastructure lifecycles are a critical part of the IT management process. They represent an opportunity and a challenge for leadership, as effective lifecycles can result in huge business benefits—from increased efficiency to fostering greater innovation. However, inefficient lifecycle management can equally be a meaningful operational blocker, posing numerous risks to security and business continuity.”
One of the report’s alarming revelations is that more than two-thirds (74%) of currently active hardware in the UK will not be supported beyond 2027. Moreover, only 45% of UK enterprises have successfully aligned their technology strategies with their business objectives. It was also found that 66% of UK organisations report that their network assets are mostly ageing or obsolete, posing further challenges to modernisation and efficiency.
In addition to these challenges, sustainability has become a primary concern for many businesses. Although 75% of C-suite executives prioritise sustainability in their IT procurement processes, only 38% of organisations have been able to implement an organisation-wide sustainability strategy. This gap indicates a significant area for improvement and focus.
Middleton further noted, “Through the Lifecycle Management Report, our aim is to help organisations enhance their infrastructure lifecycle processes and unlock the huge benefits doing so presents.” The report offers several actionable insights to assist IT leaders in mitigating risks and maximising the value of both hardware and software assets. It advises on developing a comprehensive view of technology assets, standardising procurement practices, optimising costs, and understanding the sustainability benefits of improved lifecycle management procedures.
The report states that only 51% of enterprises have aligned their technology approaches with their strategic business needs. Misaligned lifecycle patterns can lead to numerous operational challenges, including inappropriate coverage levels, labour-intensive renewals, extended incident resolution times, security breaches, and costly licence violations and compliance issues. Effective lifecycle management, the report suggests, is crucial for improving business continuity and operational efficiency.
The Lifecycle Management Report by NTT DATA underscores the importance of robust infrastructure lifecycle management, not only to reduce operational risks but also to foster innovation and business continuity. As businesses continue to face the dual pressures of modernisation and sustainability, aligning IT strategy with overarching business goals will be more critical than ever.