The COVID-19 pandemic remains a health and humanitarian crisis, but the business impact on organizations is now profound. The outbreak of Covid-19 has severely impacted the global economy, with disrupting businesses across diverse sectors around the world.
The challenges for the IT sector amidst this crisis are manifold and complex as it will not only shape the present but will define the new normal that the pandemic will unleash on this sector. The sector is severely impacted by the shortfall in the business continuity, disaster recovery and their manpower in the wake of this pandemic.
Coronavirus is a rude reminder of the fragility in the systems of doing business and the uncertainty
existing projects have already taken a hit due to travel restrictions. Most of the IT companies across the world have withdrawn their earnings guidance, as many IT projects has taken a hit with customers postponing or deferring technology projects.
In the globally integrated market and correlated web of IT industry, the widespread closure in US and European markets economies which are reeling under the impact of the coronavirus pandemic has severely impacted the fortunes of this sector. The IT sector has clients across sectors such as travel, hospitality, manufacturing, and retail, which have all been significantly impacted due to the crisis and lockdowns across countries. So, it will have a drastic impact on discretionary spending and some of the digital spending.IT companies are also grappling with the challenge of protecting data and assets against cyber threats as more workers work from home to meet the client commitments for delivery of projects.
As Winston Churchill once said, “Difficulties mastered are opportunities won”. In the same way this pandemic has provided an opportunity for IT sector to test their resilience on business continuity, remote connectivity, and security as they look at innovative ways to service their clients.
It is evident that in the long run, we will end up in an environment where businesses are done virtually and where technology will play a big role in innovations and designing the infrastructure and applications of this new reality.
Some of the enablers for the IT sector to deal with nuances of post-covid new normal are: –
- Developing a response strategy. It is essential that IT organizations put strategy and plans in place to ensure operational resilience
- Build a trusted technology ecosystem. Since the companies also grappling with data protection and cyber security issues, it’s time to adopt zero trust policies, which assume nothing is trusted within or outside a corporate network, thus requiring controls at all levels to minimise security risks.
- Support and enhance the workforce experience for collaboration and co-creation. Work-from-home is all about clearly identifiable deliverables. With people working in teams, there has to be explicit clarity around the team’s and individuals’ deliverables.
- IT companies to focus on building and improving their capabilities to address emerging use cases, such as the use of artificial intelligence for disease detection, tracking, and prevention.
- As the virtual and remote working becomes a new reality, customers and IT companies are expected to invest significantly on the latest collaboration tools and embracing of new technologies such as 5G networks. This should provide an effective and productive delivery model for IT companies.
- Upskilling and training of the workforce.