Half of APAC companies experienced increased IT downtime during COVID-19: LogicMonitor
Published 10 February 2021
Almost half of the enterprises in the Asia Pacific region have experienced an increase in IT downtime during the COVID-19 pandemic.
As businesses- small and large around the world continue on the rapid pace of digital transformation, forced by the ongoing pandemic, organisations face business continuity risks. This seems to be the gist of a new global research report, titled “The Race to IT Observability” by LogicMonitor, which a cloud-based IT infrastructure monitoring and observability platform.
In the survey it has delved into ways in which the pandemic impacted traditional CIO, IT operations and developer roles within organizations while also shifting executive priorities towards cloud migration, remote workforce enablement and unified observability.
Around 74 per cent of APAC CIOs and CTOs feel that their input and importance within the boardroom has increased in the last year. The vast majority of APAC enterprises (96 per cent) have seen some level of convergence between traditional IT operations and administration teams and development teams in the last 12 months. About 97 per cent of the respondents credit the COVID-19 pandemic with accelerating this convergence.
The study of 600 global IT leaders – 200 of which were in APAC – revealed that previously siloed IT teams and technologies are converging as enterprises accelerate their modernisation efforts in reaction to COVID-19. The responsibilities of CIOs are expanding and the roles of traditional IT operations and administration teams (ITOps) are moving closer and closer to those of agile application developers and quality and security engineers (DevOps) as business priorities shift to align with the customer and their digital experience, it said.
Around 19 per cent of APAC IT leaders believe that better cross-org collaboration or alignment will be the top benefit resulting from convergence between ITOps and DevOps, followed by greater ability to scale (16 per cent) and improved security (16 per cent).
“Asia Pacific is home to some of the world’s fastest growing economies, and the region is also leading the world in digital innovation and transformation. It is crucial for Asia-based organizations to optimize their IT and future-proof their operations to remain competitive. This study has shown that IT leaders here understand the benefits and significance of true unified visibility into the entire ecosystem of their digital assets, especially as they continue on their digital transformation journeys and navigate an increasingly digitalized business landscape,” said Richard Gerdis, Vice President for Asia Pacific at LogicMonitor.
Further, enterprises are prioritizing data security, cloud and IT automation in today’s era of remote work, the study said. Many IT leaders are changing the way they invest in various IT initiatives as digital transformation accelerates due to COVID-19 and the rise of remote work.
In 2020, 71 per cent of APAC IT leaders substantially increased their investments in data security, 70 per cent substantially increased their investments in IT automation, and 69 per cent substantially increased their investments in cloud technologies and services.
Around 11 per cent of APAC enterprises say that expanding use of the cloud and increasing automation are their top priorities in 2021, followed by investing in AI and ML (9 per cent). This reflects the fact that enterprises are still not convinced with the results produced by AI and ML.
Around 76 per cent of APAC IT leaders plan to increase investment in data security in the next 12-24 months, followed by agile development (72 per cent), cloud technologies/services (71 per cent) and IT automation (71 per cent).
while the study has not highlighted the financial impact of this downtime, past research pegs this number to be approximately $700 billion in a year.
IT outages and brownouts remain widespread
One negative IT trend that businesses continue to experience at alarming rates – despite the severe negative business impact – is IT downtime, which includes both brownouts and outages. APAC IT leaders identify the increase in remote work, digital transformation and edge computing as the top trends contributing to widespread downtime.
In the past three years, 98 per cent of APAC IT leaders said their organization had experienced an IT brownout; 93 per cent said their organization had experienced an outage. Around 48 per cent of APAC IT leaders said they had seen an increase in IT downtime as a result of the pandemic since March 2020. Interestingly, in comprison, respondents about 57 per cent in North America and 50 per cent of respondents in EMEA, evinced similar concerns.
Further, around 8 per cent of APAC IT leaders admit to experiencing 50 or more brownouts and outages in the last three years. Globally, enterprises experience an average of 15 IT outages every 3 years and 19 brownouts.
Lost productivity tops the list as the most negative impact APAC IT leaders have experienced as a result of IT brownouts (63 per cent) and outages (59 per cent), followed by lost revenue (45 per cent for brownouts and 41 per cent for outages). Third on the list of most negative impacts for brownouts was lowered stock price at 37 per cent. Third on the list of the most negative impacts of outages was damage to brand/reputation at 34 per cent.
Around 17 per cent of APAC IT leaders say their organization was shut down permanently as a result of IT outages during the past three years.