Rethinking technology and IT's role in the era of agentic AI and digital labor
By embracing change and innovation, companies can leverage AI technology to improve efficiencies and drive growth. It is essential for businesses to invest in training and upskilling their workforce to maximize the potential of AI. Implementing AI solutions can enhance decision-making processes and create new opportunities for businesses to thrive in a competitive landscape. Adapting to the transformative power of AI can lead to increased productivity, cost savings, and a competitive edge in the market.
Generative AI, agentic AI, and other emerging technologies are morphing companies and driving businesses to rethink organizational structures and traditional roles. According to the latest report from consultant Accenture, 'Rethinking IT operating models for the modern enterprise,' current IT processes will not allow businesses to stay ahead of technology disruption. Even though IT continues to play a key role, advising the C-suite and guiding technology deployments across the organization, there is a need for IT to pivot away from traditional operating models towards specialized services focused on delivering value at the speed of need.
Technology-First Focus
A technology-first focus across the C-suite means answering questions such as: CEO - how do I use technology to drive growth?; CIO - how do I use technology to deliver value to the business?; CXO - how do I use technology to make my function more productive and efficient?
Rethinking technology and the role of IT will drive a shift from the traditional model to a business technology-focused model. One example will be the shift from one large, dedicated IT team that traditionally handles an organization's technology needs, overseen by the CIO, to more focused IT teams that will perform strategic, high-value activities and help drive technology innovation strategy as Gen AI handles many routine IT tasks.
Adaptable Structures
Another shift will be in spending and budget allocations. Traditionally, CIOs manage the enterprise IT budget and allocation. In the new model, spending on enterprise-wide IT investments continues to be assessed and guided by the CIO, and some enterprise technology investments are now governed and funded by the business units.
Accenture identifies a new framework for rethinking the role of technology and the evolving nature of IT in the modern tech-led enterprise:
Amplified Intelligence
Amplified intelligence considers how human and machine capabilities will drive new efficiencies and significant change in how technology is managed and governed. Dynamic skills consider how new tools, service delivery models, and roles drive the need for continuous learning and upskilling, unleashing the power of IT. AI-augmented workflows allow leaner IT teams to focus their superpowers on driving growth and reducing costs for the organization.
Managed services from AI-enabled partners allow IT teams to automate key workloads, deliver services faster, and close knowledge gaps as workers retire or redeploy. The relationship between the CEO and technology leaders will evolve as tech strategy and business priorities converge.
Fluid Boundaries
Fluid boundaries consider how access to data and technology is democratized across the business, resulting in flatter organizations and cross-functional teams. The wide availability of Gen AI tools will blur the line between business and IT teams, resulting in integrated business technology functions. The C-suite and board will become more fluent in technology to drive growth.
Modernizing the Data Foundation
Modernizing the data foundation will be key to achieving results with new technologies. Adaptable structures consider how AI is changing employee motivation and resetting expectations of how teams are structured and its dynamics as humans and machines collaborate.
Incentives and a culture of trust will normalize AI and drive adoption. Thoughtful changes to employee culture will help drive adoption and trust. Compressed delivery cycles will alter agile workflows and staffing models.
Cognitive Digital Brain
The rise of AI agents and the cognitive digital brain will reshape the IT function and its responsibilities. Crucially, Accenture suggests the most important feature of AI is its ability to learn. A cognitive digital brain is a system that can understand - and increasingly act - at a higher level than ever before. It will become the central nervous system for enterprise decision-making and continuous learning.
Cognitive digital brains are comprised of four interconnected layers: Knowledge, Models, Agents, and Architecture. Agentic AI is changing how technology-led enterprises design, deploy, and manage new technologies moving forward, building self-driving autonomous businesses where humans and machines work together to deliver customer success.
Trust in AI
However, giving agency to software or machines to act will require a new currency - trust. Trust is the new currency of AI. Accenture surveyed over 4,000 executives at some of the world's largest companies, where three-quarters said they believe the benefits of AI are achievable only when AI is built on a foundation of trust.
Governance models and policies must adapt to this reality. Moving forward, IT teams will have the role of communicating to their organizations how Gen AI is making its decisions and how context influences its outputs.
Opportunities for Action
Accenture shared lessons on the reinvention of IT based on over 2,000 AI-led projects with clients around the globe. Here are the key actions leaders can take now:
- Reimagine your business through technology
- Flatten hierarchies with a tech-adept leadership and workforce
- Accelerate AI adoption with partnerships
To learn more about how to rethink IT operating models for the modern enterprise, visit Accenture's website.