Innovation took a backseat when Appian discovered that organizations were cutting costs | So Good News


Covid has created a surge of innovative ideas, but due to the current state of the economy, many of these ideas have been left behind. In fact, 79 percent of UK developers said their organizations are currently focusing on cost reduction initiatives. According to Appian research, IT leaders are already at risk of driving business agility at the decision-making table.

A new study by the cloud computing organization, Appian, From Boom to Bust: Why Empowering Developers is Critical to Business Innovation, It surveyed 1,500 developers and software engineers in Europe (France, Italy, Germany, the Netherlands, Spain and the UK).

It found that three-quarters (75 percent) of UK respondents are concerned that the transition from pandemic to recession will freeze business leaders’ IT budgets and headcount, increase IT backlog, and slow down efforts to digitize and modernize the enterprise.

This is in stark contrast to progress when the pandemic required quick response and new approaches to business innovation. More than four-fifths (85 percent) of UK respondents say their companies have dramatically accelerated their focus on IT-led business transformation in the past two years. Additionally, three-quarters (74 percent) say they now have a full seat at the table as a business decision-making partner. But firms that fail to capitalize on the increased influence of developers are at risk of seeing a decline in revenue.

What does it mean to freeze budgets?

When asked about the consequences of cutting IT budgets and headcount, the top four downsides cited by UK developers were: their organization would become increasingly fragmented and closed (44%); new platforms take longer to integrate, which reduces ROI (43%); the company would be more likely to struggle when trying to take advantage of new growth opportunities (40 percent); and IT staff turnover increases (40%).

The study also aims to understand how European software developers and engineers view their organizations’ ability to innovate in this market and how uncertainty affects business decision-making.

UK respondents identified adapting business strategy to economic change (44 percent), focusing on core mission (36 percent), and leveraging new technologies and platforms (36 percent) as the top three drivers of economic growth. faced harsh economic conditions. When it comes to technology-based business solutions, insights show that developers strongly feel the need to improve collaboration and interoperability.

A third (36 percent) of UK developers say too many silos in their organization prevent them from fully understanding how to use IT. Four in 10 (38%) believe business partners are faster to go directly to IT vendors for solutions, rather than bringing their IT teams into the business.

Doing more with less

To meet these challenges, eight in 10 UK developers (80%) say tomorrow’s workforce must include business-savvy IT professionals and IT-savvy business professionals if organizations are to manage and grow successfully. change.

IT leaders also believe that technology can help businesses become more efficient at a time when they are striving to do more with less. Nearly half of respondents believe technologies such as low-code development and artificial intelligence/machine learning will solve the resource and business engagement challenges facing IT (47% and 46%, respectively). This allows organizations to adapt to change and get things done faster.

“Covid has forced businesses to rapidly update their processes, increase automation and adopt new technologies,” he said. Michael Beckley, Founder, CTO and CMO of Appian. “Organizations that continue to invest in IT innovation and agility will be better prepared to navigate the tough economic conditions expected in 2023.”

  • Francis Bignell

    Francis is a journalist and our lead LatAm correspondent with a BA in Classical Civilizations, with a special interest in North and South America.


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