Walking the Talk – What Telco Cloud Leaders are Doing Differently
By: Sandro Tavares, Director, Telecom Systems Marketing, Dell Technologies
Brief: Nearly nine in 10 CSPs surveyed worldwide know that open networks hold the key to their long-term survival as data usage grows exponentially and more computing occurs at the network edge. However, only a fraction of those organizations have demonstrated measurable progress on their cloud transformation strategies due to a variety of factors. This blog will explore the open network benefits that CSP decision-makers value most, as well as the new approaches, mindsets, and internal processes that visionary leaders actively engaged in cloud transformation are championing to modernize and future-proof their organizations.
A new global study on Communication Service Providers (CSPs) progress toward cloud transformation worldwide shows vision is significantly outpacing execution, and that leading CSPs who have placed a higher priority on open network transformation are taking different approaches than their peers.
In a survey of 450 CSP decision-makers, 88 percent felt transformation to cloud-native, disaggregated open networks is key to their survival, as they believe open platforms will positively impact customer experience, cybersecurity posture, AI integration, and enable them to support new service offerings (and revenue streams). Yet just 22 percent of CSPs report they have an open network strategy in place today.
What are leading CSPs and their executive teams doing differently to drive cloud transformation?
CSP decision-makers who make transitioning to an open network architecture their No. 1 priority are significantly more likely than their peers to say that open and disaggregated architectures will have the biggest impact on the industry over the next five years (40 to 29 percent).
CSPs that are ahead of the curve on cloud transformation prioritize vendor partners based on the frequency of new innovations (40 to 29 percent), recommend near-term improvements for supply chain reliability (34 to 24 percent), adopt a vendor-agnostic engagement philosophy (31 to 18 percent), and emphasize communicating the benefits and values of open networks (32 to 21 percent).
The report makes clear that a major factor for successful cloud transformation is the role company leadership plays in championing modernization and change. CSP decision-makers were clear that C-suite support can make or break a transformation initiative. They say top executives need to advocate for and support a formal transformation strategy as the first step in their modernization journey, accompanied with focused investments that are foundational to the business’ long-term success. Most importantly, they must articulate the value that their plan will bring – from the bottom up – in order to drive employee engagement and gain buy-in across the organization. In other words, these CSP leaders are walking the talk.
CSP leaders understand that cloud transformation lays the foundation for delivering new services at a much nimbler pace than in the past, and that creating an agile culture of innovation starts at the top. Among the CSPs that are further along with their cloud transformation plans, senior leadership teams are communicating their company’s network strategy and implementation process in such a way that’s easy to understand, realistic and manageable to implement, and provides value right away to build buy-in.
When these leaders establish higher levels of employee engagement and understanding of the strategy and plans, their organizations are better positioned to drive the internal cultural shift necessary for breaking down the legacy systems and functional silos that can hinder their progress on cloud transformation.
These leaders are also focused on “right-skilling” their current workforce for a new operating environment and tapping new talent with deeper experience in horizontal cloud architectures. They have committed to workforce development, and they are leveraging the expertise of ecosystem partners. They are also ensuring that their teams and ecosystem vendor partners are working together toward the same goal.
At the end of the day, cloud transformation is a fundamental business transformation – requiring a shift in how teams think, work, and innovate to take advantage of the value that open networks can deliver for CSPs and their customers. As the old saying goes, “If you’re going to talk the talk, you have to walk the walk.”
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