Global Business Leaders Say Hybrid Cloud Is Key to Modernization, But Security, Skills and Compliance Issues Hinder Success

  • New IBM Transformation Index: State of Cloud helps business leaders assess gaps in their transformation journey

  • More than half of respondents are currently concerned about security, while 53% believe ensuring compliance in the cloud is currently too difficult

  • Nearly 70% of respondents say their team lacks the skills to sufficiently manage cloud environments

ARMONK, NY, September 28, 2022 /PRNewswire/ — New IBM Global Market Research (NYSE: IBM) found that more than 77% of respondents have adopted a hybrid cloud approach that can help drive digital transformation, but the majority of organizations surveyed struggle with the complexity of making all of their cloud environments work together. As organizations face skills gaps, security challenges, and compliance hurdles, less than a quarter of global respondents are managing their hybrid cloud environments holistically. which can create blind spots and put data at risk.

IBM Corporation logo. (PRNewsfoto/IBM)

The IBM Transformation Index: State of Cloud, commissioned by IBM and conducted by independent research firm The Harris Poll, was created to help organizations map their cloud transformation and enable them to self-rank their progress. Built on a foundation that leverages insights from experienced cloud professionals, companies can use the index to gain measurable metrics that can help them quantify their progress and uncover areas of opportunity and growth. The index was comprised of more than 3,000 business and technology decision makers from 12 countries and 15 sectors, including financial services, manufacturing, government, telecommunications and healthcare, to understand where organizations are progressing or emerging simply in their journey of transformation.

The index highlights a strong correlation between hybrid cloud adoption and progress in digital transformation. In fact, 71% of respondents believe it’s difficult to realize the full potential of a digital transformation without having a strong hybrid cloud strategy in place. At the same time, only 27% of respondents possess the characteristics necessary to be considered “advanced” in their transformation. So why the disconnect? Here is a sample of the results:

  • Compliance: Companies find it too difficult to achieve compliance in the cloud right now, especially as the enforcement of regulatory and compliance requirements heats up across the globe.

  • Security: While enterprises have adopted a variety of security techniques to secure cloud workloads, security concerns remain.

  • Skills: As organizations grapple with the realities of a talent shortage, they fail to implement a comprehensive hybrid cloud strategy, which can create gaps in security and compliance and lead to risk in environments. cloud.

“As we see regulatory requirements grow across the world, compliance is a priority for business leaders. This concern is even greater for those working in highly regulated industries. Yet, at the same time, they are facing a growing threat landscape – which requires management of their multicloud environments to avoid the risks of a Frankencloud – an environment so disconnected that it is difficult to navigate and can be nearly impossible to secure, especially against risks third-party and fourth-party,” said Howard Boville, head of IBM Cloud Platform. “An integration strategy to bring these different pieces together is what we believe separates the leaders from the rest of the pack – the alternative is to pay the Frankencloud price.”

“The key value of the cloud for enterprises is rapid access to the innovative technologies, data sources and applications needed to face today’s disruptions and transform businesses. No single cloud can meet all the requirements of an enterprise , so it must be able to effectively use and control hybrid cloud assets across multiple sites. IBM, which is focused on delivering a holistic hybrid cloud strategy, is well positioned to help organizations address security, data management and compliance that can prevent them from taking full advantage of cloud innovation,” says Rick VillarsVice President of the Global Research Group at IDC.

The IBM Transformation Index 2022: State of the Cloud revealed:

Lack of the right skills hinders progress
When it comes to managing their cloud applications, 69% of respondents say their team lacks the skills to be proficient. This is a major barrier to innovation, with more than a quarter of respondents saying skills and talent shortages hinder their company’s cloud goals. The effects don’t stop there – these limitations also prevent organizations from leveraging the power of partnerships. More than a third of respondents say a lack of technical skills prevents them from integrating ecosystem partners into cloud environments. This challenge is even greater in the United States, where nearly 40% admit to this lack of skills, underscoring the need for talent.

Exposure to cyber threats continues to hide despite the adoption of security techniques
While more than 90% of responding financial services, telecommunications and government organizations have adopted security tools such as confidential computing capabilities, multi-factor authentication, etc., gaps remain that prevent organizations from driving innovation . In fact, 32% of all respondents cite security as the number one barrier to integrated workloads across all environments and more than a quarter of respondents agree that security issues are a barrier to achieving their business goals in the cloud.

Security issues can even prevent organizations from unlocking the full potential of partnerships. Since potential security breaches can expose third-party and fourth-party risks, respondents cite data governance (49%) and cybersecurity (47%) as the top challenges to fully integrating their data ecosystem. business in the cloud. In Brazil, cyber threats are an even bigger concern for ecosystem innovation: 51% say cybersecurity risks are a top challenge for companies looking to integrate business ecosystem partners into cloud environments.

Regulatory and compliance requirements remain front and center, forcing businesses to pause
As regulations increase, so do compliance challenges. 53% of respondents believe it is currently too difficult to achieve compliance in the cloud and nearly a third cite regulatory compliance issues as a major barrier to integrating workloads into private IT environments and public. In financial services, for example, more than a quarter of respondents agree that meeting industry requirements prevents them from fully achieving their cloud goals. These challenges span the globe and are particularly prevalent in countries such as Singapore, China, India and Japan.

Based on the index, IBM will launch an interactive tool that will serve as an ongoing source of feedback for organizations to measure their transformation progress. With the ability to help companies assess how they are doing compared to others, the tool will allow them to identify areas where transformation is stuck and where it can excel – unleashing the ability to diagnose and operate efficiently even in the real world of cloud transformation complexity.

IBM will release the IBM Transformation Index: State of Cloud tool in the coming months, with the goal of providing business leaders with valuable benchmarking information that can inform their hybrid cloud strategies. The IBM Institute for Business Value has also released a new report, “A Comparative Look at Enterprise Cloud Strategy” with an action guide on how leaders can use the index to help drive the digital transformation of their organizations forward. organizations.

This survey was conducted online in 12 countries (United States, CanadaUK, Germany, France, India, Japan, China, Brazil, Spain, Singapore, Australia) by The Harris Poll on behalf of IBM of June 8e2022 to July 17e2022. The survey was conducted among 3,014 IT and business professionals at companies with annual revenue exceeding $500 million who have an in-depth knowledge of their organization’s cloud strategy. The IBM Transformation Index: State of Cloud was developed by combining data from over 25 question sets of different formats across 9 cloud-related dimensions that were informed by input from industry experts.

About IBM
IBM is a leading global provider of hybrid cloud and artificial intelligence, as well as consulting services, helping customers in more than 175 countries leverage insights from their data, streamline business processes, reduce costs and gain a competitive edge in their industries. Nearly 3,800 government entities and enterprises in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to drive their digital transformations quickly, efficiently and safely. IBM’s breakthrough innovations in artificial intelligence, quantum computing, industry-specific cloud solutions, and business services provide open and flexible options for our customers. It’s all backed by IBM’s legendary commitment to trust, transparency, accountability, inclusiveness and service. For more information, visit

Kaveri Camire
IBM communications
[email protected]

Susan’s Cross
IBM Communications
[email protected]



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