In the wake of economic uncertainties that have persisted since the early 2020s, organisations are now displaying increased confidence in the market. According to the report, this newfound optimism has led companies to reevaluate their IT budgets and investment strategies.
Endava’s latest “Technology Acceleration: Adapting to Thrive in an Era of Change,” report sheds light on the changing landscape of technology adoption and investment priorities among businesses. The report outlines a growing optimism in the business environment and a shift in focus towards innovation.
The report revealed a significant transformation in the priorities of organisations is currently underway, marking a shift from a traditional focus on operational stability in IT investments. According to the report, only 15 percent of respondents now regard operational stability as their top priority. Instead, the majority of businesses are reorienting their investments towards innovation and emerging technologies.
Within businesses of all sizes and industries, there is a notable enthusiasm for emerging technologies. At the forefront of these technologies is Artificial Intelligence (AI), with 80 percent of respondents considering it a high priority. Other technologies in the spotlight include big data (75 percent), predictive analytics (75 percent), 5G (74 percent), digital ecosystems (68 percent), composability (59 percent), and microservices (55 percent).
The report reveals that a clear understanding of the future direction of technology is prevalent among decision-makers. Nearly all surveyed decision-makers (99 percent+) claim to understand this future direction, with almost 90 percent expressing a “clear understanding.”
Despite persistent challenges such as geopolitical conflicts, rising interest rates, and issues related to staffing and supply chains, businesses are increasingly optimistic about the economic outlook. Only 10 percent of decision-makers express pessimism, signalling a more positive overall sentiment.
The report also underscores the growing prominence of Artificial Intelligence (AI) in technology discussions, with 80 percent of businesses considering it a high-priority technology for adoption. Furthermore, interest in 5G technology is on the rise, particularly in the Mobility and Telecommunications sectors, where 85 percent view it as a high-priority technology.
Notably, the report highlights the growing awareness of composable architecture, a concept that enables organisations to enhance efficiency and flexibility. Nearly 60 percent of organisations are now prioritising composable architecture highly in their strategic planning, recognising its potential benefits.
“As confidence in the future of technology grows and organisations face increasing pressure to keep up with competitors, it’s critical that business leaders don’t get distracted by the hype of innovations,” said Matt Cloke, CTO, Endava.
“Evaluating trends is important, but there’s no single tool or initiative that will create a market leader, and by focusing on technologies in isolation, businesses risk missing out on lasting profitability and growth.”
Cloke advised businesses to adopt a strategic approach that prioritises optimisation and iterative implementations when adopting innovations. He emphasised the importance of composable architecture and a shift in mindset and culture to ensure long-term success in a rapidly evolving tech landscape.
