I often joke that it’s been impossible to see a keynote in recent years without seeing the horsemen of the digital apocalypse. These are the cliche topics that seem to come up in every keynote. Two of these lay the groundwork for why the structure of the IT department needs to change:
Software is eating the world – Cloud technologies and practices have made huge improvements in productivity and costs when it comes to creating and running custom written applications. It’s easier to write and run software now, and the rise in “always on” devices (all those super-computers in our pockets that are on the Internet 24/7) creates a massive foot-print for computation: an endless buffet for software.
Change or die! – with this huge buffet of opportunity, there’s a rallying call for companies to invent new business models that rely heavily on software. This means that most every business has the opportunity to use custom written software to change the nature of their business. Think of the opportunity for Taxi companies to use software to change how they operate, or for the hotel industry to come up with a brand new business model to sell empty capacity…and you’re thinking of Uber and AirBnB. The “or die” part is a rhetorical trick to position this imperative as dire. And, indeed, in recent years studies have shown that remaining on-top has been harder. Change is needed to survive.
As the second points two, these two alone create a pull for more custom written software in businesses. It’s fast and cheaper to create software, and competition is relying on that to create new business models that challenge incumbents or, rather, those businesses that are not evolving how they run their business with software. Again: think of all those taxi services versus Uber.