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Conclusion: Media played up the impact of Artificial Intelligence (AI) and Digital Transformation in 2018. However, the potential AI remains underestimated and its limitations misunderstood. In short, AI is reaching peak hype with investments sporadic and confused. In contrast, Digital Transformation remains a primary driver for investment, though it means very different things to different organisations and even different stakeholders within organisations.

Australia’s CIOs remain focused on tactical issues: upgrades of core systems, adoption of hybrid Cloud (as opposed to simply Cloud migration, which was a dominant theme in early 2018) and changing the culture and structure of the ICT group to support “as-a-Service” operational models entity

It is important to note that these tactical priorities of CIOs all have one thing in common: they are aimed at providing a technological infrastructure for the organisation to adopt “Digital Transformation”. In this sense, Digital Transformation is being used as a way to secure agreement and investment in more fluid, responsive and modern tech infrastructure and operations, rather than a specific, measurable business outcome.

In 2019, Digital Transformation is a rallying call, more than a discrete program of work with measurable outcomes. This rallying call will be heard by all stakeholders, but interpreted differently. The challenge for senior ICT executives will be to leverage the short opportunity the Digital Transformation call has to deliver genuine long-term benefits and update infrastructure and operating models to be more flexible and responsive to changing business needs.

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