Source: Gartner Blog Network On:
Enterprises are aiming to expand the use of digital technologies beyond the initial digital transformation. An increasing number of them are synthesizing aspects of their business into reusable digital assets that can be assembled to compose business solutions, a phenomenon Gartner terms as composable business. In composable business, leaders can quickly build new business capabilities by assembling digital assets in an organization that is architected for real-time adaptability and resilience in the face of uncertainty. Its potential spans internal systems, organizational structures, the digital products and services served to customers, and the enterprise’s interactions with partners in the ecosystem.
Composable Business is a Specific and Accelerated Form of Digital Business.
It applies to all vertical industries worldwide. At its core, it is a new paradigm in architecting business that recognizes and applies digital as the fundamental basis in this digital industrial era. While it tips its hat to digital, it is not only for the digital technologies of today and can accommodate newer digital technologies as they emerge. In a similar vein, composable business is not restricted to a particular business or operating model. The key premise it rests on is the belief that success in the long-term in the digital industrial era will require embracing and seizing the key advantage of digital technologies over prior ones – it is usually faster and cheaper and faster to create and distribute digital artifacts compared to physical ones. A composable business is a foundation that can exploit this key advantage offered by digital over other prior industrial-era technologies.
Composable Business is Both an Opportunity and a Risk to Tech Providers.
Since the scope of composable business is nearly universal, it will have a deep impact on tech providers. Enterprises will need help at all levels – strategic consulting, business services, enterprise software, cutting-edge technologies, operations support – very little is out of scope. For most technology product and service leaders, the composable business represents both an opportunity to expand products and services, as well as a risk if they fail to adapt before their competitors.
A team of cross-domain Gartner analysts has been researching the implications for tech providers and we are happy to share with you our latest research report – “Emerging Trends: Critical Insights on Composable Business for Product Leaders” (for Gartner clients). This publication provides leaders at tech providers a clear view into how composable business impacts their future and what actions they should take now. While simpler versions of composable business have been around, this new phenomenon is broader in scope and impact, but still in the early days. We plan to invest further time and effort into research for tech providers. Your input is very welcome. We hope you find our research useful.