A large number of mid-market enterprises are reducing their focus from on-premises business applications and looking at moving applications to the cloud, a report by SAP India and IDC said on Wednesday.
The report said Indian mid-market enterprises are embracing the power of digital to be more agile, flexible and scalable. As these organisations embark on their journey to cloud, they are gearing up to adapt to business disruptions while competently capitalising on the changing business landscape.
While priorities varied from industry to industry, the aim is to service customers better through touchless solutions, enable uninterrupted operations through automation, and provide a seamless user experience through adoption of cloud, it added.
The IDC InfoBrief, commissioned by SAP India, indicated that 82 per cent of mid-market enterprises are reducing their focus from on-premises business applications.
“While digital transformation can accelerate growth, it is innovative business models, cloud transformations and reconnecting with customers which will determine long-term and sustainable success,” Kulmeet Bawa, President and Managing Director of SAP Indian Subcontinent, told reporters here.
He added that the Indian mid-market segment is poised to play a significant role in the country’s quest to become a USD 5 trillion economy.
“SAP is committed to co-create, empower and enable mid-market enterprises in their digital- first business and growth journey,” he noted.
The orchestration capabilities to interoperate across different cloud environments is considered as one of the top drivers for cloud-related investments in 2022. The findings also indicated that 68 per cent of mid-market enterprises either intend to increase (5-10 per cent) or retain their IT spend in 2022.
The study assessed over 350 Indian mid-market enterprises with an annual revenue of Rs 500 crore to Rs 2,000 crore. The respondent demographics consisted of 55 per cent CXOs and 45 per cent directors with responses across all dimensions of digital resiliency such as operational, workforce and customer, brand and reputation, leadership and organisation, and financial resiliency.
The industries covered by the report were chemicals, industrial manufacturing, life sciences, professional services, retail and Consumer Packaged Goods, and engineering, construction and operations.
“While the power of digital has been well embraced by the midmarket enterprises; the surveyed enterprises acknowledged agility, performance, and availability as the key drivers for adoption of cloud platforms,” IDC India Research Director Enterprise Solutions and ICT Practices Sharath Srinivasamurthy said.
This rising trend of digital resiliency is prominent across industries such as manufacturing, healthcare and pharma, and professional services, he added. Business Standard