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CIOs: Geopolitics impacts your IT strategy

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Research from analyst Gartner illustrates how geopolitics is influencing IT strategies

Cliff Saran


Published: 25 Aug 2022 15: 45

Gartner has predicted that by 2026, 70% of multinational enterprises will adjust the countries where they operate by hedging to lessen their geopolitical exposure. In accordance with Gartner, chief information officers (CIOs) have a pivotal role to play in assessing corporate risk and, if required, rearchitecting digital systems.

The analyst warned that CIOs can’t depend on the option of technology utilized by the enterprise because of its operations in virtually any country where it operates, and can likely be confronted with restricted and mandated suppliers.

To minimise disruptions, Gartner recommended that CIOs set up a centre of excellence to assess tech supplier risks, chartered with a normal assessment of the exposure of key suppliers to evolving government restrictions.

Beyond potential restrictions on enterprise software, Gartner warned that national competition for control on the governance of cyberspace will impact the operations of multinational enterprises.

As digital technology weaves itself through all areas of society, Gartner remarked that nations would like to ensure their very own technologies reflect and support their core values and citizens. Governments are increasingly concluding they require a protected national digital infrastructure.

The machinations by governments for control over cyberspace governance are beyond the influence of CIOs, however they could have profound impacts on a businesss capability to operate internationally. CIOs can advance the executive teams knowledge of cross-national competition for control over cyberspace and the impacts with their enterprises operations by leading an annual cyberspace environmental update briefing.

Gartner urged CIOs to make sure that the IT departments operating model and practices reflect current regulations. In this respect, Gartner said the CIOs role is usually to be alert to the legal environment and articulate to other executives the way the IT organisation supports compliance over the enterprise.

The truth that governments all over the world are publicly focused on expanding digital capabilities and nurturing tech startups to build up domestic tech capabilities offers CIOs a method to utilize local expertise and government-backed co-innovation support.

Gartner fellow Brian Prentice said: Digital geopolitics is currently probably the most disruptive trends that CIOs must address, with many now coping with trade disputes, legislation via one country that impacts global operations, and government-imposed restrictions on the acquisition and usage of digital technology. They have to get familiar with this new reality and plan its impact.

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