A Year of Digital Disruption

Samir Dhir, President – BFS, VirtusaPolaris

Digital transformations shaped the year 2016. Enterprises centered their focus on the business needs, capabilities and availability in the area of digital transformation. However, a major challenge was maintaining legacy IT services with the limited budget, while also expanding digital transformation within the business. As IT leadership took note of the situation on time, we saw implementation of cross-functional partnerships, investments in new technology and a culture of innovation within IT. IT isn't the only department experiencing a shift as a result of digital transformation. As more third-platform technologies become available, it is becoming a challenge for businesses to stay competitive.

It is interesting to note how banks which earlier took data as their sole property have now opened up these data to other providers (payment services). Digital disruptions have greatly transformed the financial services segment this year. The FinTech ecosystem has witnessed an influx of disruptors and enablers energized by the accelerated expansion in digital connectivity. The rising customer adoption of new technology, the emergence of digital-first and the expectations of a frictionless transaction has forced banks to re-think the role of technology and deliver digital services built around the needs of their customer base. What is happening in banks will get replicated in insurance and healthcare over a period of time.

Another interesting concept is blockchain which has been gaining great momentum. Blockchain is simply eliminating data reconciliation issues so that one can have a common repository of data interchange for a consumer in a centralized space. That adoption and readiness to adopt the technology is critical across industries. For e.g. Can pharma companies adopt blockchain for clinical trials so that people who are participating in clinical trials have a common repository and the interchange with them from all pharma companies is consistent? Leading example continues to be from the banking space. The world’s largest financial companies, including Canada’s major banks, are going to embrace blockchain technology to retool their post-trading processes for investors over the next decade, allowing them to complete security trades more quickly and at a lower cost.

API providers will become a common theme in the years to come. Any platform which is more API economy centric will be prevalent. More focus is expected on web services and SOA architecture. The Indian IT industry will witness many POCs for blockchain implementation. The Digital India initiative by the Government of India, will also see major developments. The vision of Digital India program is to transform India into a digitally empowered society and a knowledge economy. With the government departments like postal services going digital, we will soon witness a sea change in the way India operates and positions itself on the world map.

The year 2017 will be an exciting juncture, where we can hope to witness great accomplishments on the technology front given that enterprises stay focused.