Executive Summary of Key Insights from Gartner IT IOCS 2024

2024-11-26
 

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The Gartner IT Infrastructure, Operations & Cloud Strategies (IOCS) Conference 2024 took place in London from November 18–20, spotlighting the theme: Next-Generation I&O: Available, Intelligent, Resilient. The agenda centred on critical topics for I&O leaders, including accelerating innovation, optimizing cloud strategies, building resilient infrastructure, enhancing operations, integrating security, and leading adaptable organizations. These are some of the key learnings we took away from expert Gartner analysts on the IT horizon, and how to prepare.  

Preparing for the AI-Driven Future: Making Enterprises Gen-AI Ready 

As we move toward 2025, Gartner’s insights emphasize proactive strategies for thriving in an AI-driven world: 

  • Everyday Gen AI Adoption: While 70% of Gen AI investments exceed productivity expectations, adoption often stagnates after the initial launch. Companies must prioritize AI accessibility to demonstrate value and connect skill-building with tangible outcomes. 

  • AI-Ready Cloud: With less than 20% of cloud projects succeeding, fostering collaboration among infrastructure, analytics, and data teams is essential. A unified approach ensures scalability, data quality, and enterprise-wide AI readiness. 

  • The Role of DEX Leaders: Only 37% of employees' digital skills are fully utilized. Empowering Digital Employee Experience (DEX) leaders with human-centric technologies can drive deeper AI adoption and organizational change. 

Crafting an I&O Strategy for 2025 

I&O leaders face mounting challenges, from aligning IT with business objectives to managing technical debt and skills shortages. Gartner’s vision for a future-ready strategy includes: 

  • Business-Led IT: 26% of business area staff now directly influence tech decisions. I&O must support this shift by delivering self-service infrastructures for Gen AI, cloud services, and low-code platforms. 

  • Managing Technical Debt: As IT transforms, dependencies on outdated systems increase risks and costs. Cross-functional collaboration and shared visibility are critical to mitigating these challenges. 

  • Talent Displacement: AI will significantly impact IT roles within three years. Transitioning IT from tech-centric to service-centric capabilities is vital, supported by innovative training programs and a human-centred approach to employee engagement. 

  • Technology Diversification: Nearly half of IT budgets are allocated to new services. A resilient, hybrid infrastructure is essential to manage unpredictable demands and maintain operational agility. 


Evolving the I&O Operating Model
 

The operating model is the foundation of how I&O delivers value. Gartner identifies three evolutionary phases: 

  1. Asset & Process Phase (20% of enterprises): Focused on basic needs and process alignment. 

  1. Service Phase (60%): Prioritizes cost, quality, and customer-centricity. 

  1. Value & Innovation Phase (19%): Positions I&O as a strategic partner to the business. 


To adapt, leaders must:
 

  • Align models with broader business strategies. 

  • Break silos and emphasize cross-functional value streams. 

  • Pilot changes incrementally, using agile practices and clear communication of benefits. 


Mastering Cloud Cost Forecasting
 

With 80% of organizations required to forecast cloud costs, visibility remains a challenge. Traditional estimation methods are insufficient for dynamic cloud environments. Gartner advises a collaborative approach: 

  1. Engage cloud consumers to plan demand and allocate usage-based costs. 

  1. Collaborate with FinOps and architects to build granular, application-specific forecasts. 

  1. Use methods such as: 

  1. Historical cost reports for organic growth forecasting. 

  1. Migration calculators, mindful of vendor bias. 

  1. Bottom-up estimations, leveraging cost calculators for accurate projections. 


Cloud cost forecasting is complex, but with the right processes and tools, organizations can improve accuracy and control costs effectively.
 

Final Thoughts 

Gartner’s IOCS Conference underscores the need for I&O leaders to embrace innovation, strengthen infrastructure, and lead with agility in a rapidly evolving landscape. By adopting human-centric strategies amidst rapid technological innovation, fostering collaboration, and leveraging high impact emerging technologies, companies can successfully navigate the 2025 IT landscape. 

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Executive Summary of Key Insights from Gartner IT IOCS 2024

Get insights from key Agenda Tracks at Gartner's 2024 IT IOCS Conference in London.