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The future of work in technology:

1) Forces shaping the future of work in technology

Technology's transition to a new role in the organization requires the work of technology to change. Three forces are converging to reshape the future of work in technology:

The proliferation of disruptive technologies is continually reshaping businesses, industries, and markets.

Technology's role is shifting to that of a catalyst for business strategy and transformation, changing the expectations and delivery of technology and blurring the lines between business and technology functions.

Global demographic and workforce trends such as gig and contingent workers, a multigenerational workforce, more diverse talent, and global talent markets are transforming the labor market in generaland the technology workforce in particular.

In the face of these drastic shifts, many savvy CIOs and other technology leaders are aiming to shape the future of work in technology. To do so, they can harness these forces and balance their competing demands while continuing to support operational excellence, meet business and customer expectations, and drive innovation, disruption, and digital transformation.

2) Traditional IT disciplines evolve to modern technology disciplines:

Many technology leaders recognize these shifts are happening but may not understand their fundamental implications on technology work and the workforce and workplaces needed to deliver it. As a result, some leaders have approached the evolution to the future of work with disjointed, ad hoc efforts.

These changes have made the traditional scope of IT work unsustainable. Business leaders should redefine technology work beyond IT and refresh traditional IT disciplines to create technology disciplines focusing on value creation (figure 1). In this report, we deliberately replaced the acronym "IT" with "technology" because the scope of responsibility is vastly different for each. IT refers to the historic technology organization and its inward-focused IT disciplines. In the future, technology work will spread throughout the enterprise and may not be directly controlled by the CIO. Business and technology leaders alike can receive help from becoming comfortable with the idea of looking at technology holistically across the organization.

This evolution goes beyond semantics. Innovative technology disciplines are more than simply a unique way of operating. Collectively, they define a fundamentally new type of work that extends beyond the boundaries of the technology organization to business and functional areas (see sidebar, "New IT disciplines"). Ultimately, these new disciplines can help transform the technology work, workforce, and workplace.

3) New IT disciplines:

Business cocreation.Business cocreation is a shift in the role of the technology function from supporting character to costar. Together with business functions, technology teams can drive innovation and cocreate products, services, and experiences that drive growth, revenue, and competitive advantage. This likely will require unprecedented levels of collaboration among business and technology functions during the design, development, and deployment of products and services.

Value realization and measurement.The future of work in technology likely requires traditional IT governance and performance metrics to evolve to focus on realizing and measuring value. Clearly articulated business goals can supply clarity on aims and metrics. KPIs such as revenue, market growth, and customer satisfaction can help check overall progress, keep business-technology alignment, and keep teams jointly accountable.

Product management. When a product mindset is applied to the traditional IT disciplines of application and program management, technology work can be viewed as a product that solves business problems, rather than a project that implements an application and delivers functionality. This can ensure development of a coherent product strategy, a coordinated plan for spreading technology work across business and functional areas and external partners, and engagement with external stakeholdersincluding customers, prospects, and ecosystem partnersthroughout the product development process.

Experience and design.This modern technology discipline focuses on tasks such as embedding technology into the end-to-end customer life cycle to provide products and solutions throughout the customer journey and help ensure that critical bottlenecks are quickly identified and resolved. Analytics and AI can help predict user behavior and provide a differentiated experience, thereby enabling revenue growth: Revenues for companies whose customer experience is highly ranked outgrew other companies by more than five to one, suggesting that technology leaders should actively engage in customer experience and design to provide this edge.

Technology architecture.Architectural discipline is often a casualty of rapid growth. Mergers and acquisitions, aging legacy systems and processes, and the proliferation of data and applications also can complicate and strain architecture, platform, and infrastructure management. Decisions about cloud adoption or off-the-shelf software purchases can be evaluated not only on cost, features, and functionality but also on their ability to offer future options, flexibility, agility, scalability, and speed to market.

Data and insights.Customer data can increase engagement and helps the team create products and experiences to support individual customer journeys. Business data can improve decision-making, while product data can be monetized or used to help improve reliability and experience. Yet data on its own does not drive valueit first should be normalized, aggregated from across the organization and external sources, and analyzed to deliver insights that can be monetized. Few organizations have cracked the code for monetizing data, an even more challenging task because of the velocity at which data is being generated.

Product delivery and operations.Continuous delivery can enable faster, more iterative delivery of technological work, with continuous attention to improving quality. This likely includes migrating to approaches such as Agile development and DevOps to deliver greater, faster business value. Because legacy environments often use a mix of delivery methods, many organizations that shift to these methods may employ a hybrid approach.

Talent continuum. Talent of the future likely will be valued not only for technical skills but also for agility, flexibility, ability to collaborate, and other soft skills. To access needed skills, leaders may need to use talent from across the open talent continuum, which includes full-time and contract workers, crowdsourcing, and the external partner ecosystem. In addition, the talent continuum will include human-machine collaborations and partnerships. Businesses will rely on machines to carry out and augment work across a wide spectrum, where machines could serve as tools, assistants, peers, or even managers.

Partner and ecosystem orchestration. Via engagement with the broader business ecosystem, leaders can tap new revenue sources such as business and industry platforms and digital marketplaces. Ecosystem partners can help organizations find and understand emerging technologies that may be relevant to business strategy and aims. Finally, engaging the ecosystem accelerates opportunities for learning, a largely social activity, and innovation, which is often the result of collaboration across fields of ability and domains of knowledge.

Security, risk, and resilience.The historic IT risk, security, and compliance discipline typically is not designed to help companies evaluate, manage, and harness risks related to growth. Many savvy organizations are already managing such risks by using AI to protect against a rapidly changing threat landscape, managing risks to customer and company data and intellectual property used for value creation, bolstering organizational resilience to meet the requirements of a hyper-connected era, and owning digital responsibility and ethics.

Product marketing is a vital part of this discipline: It includes market positioning, creation of customer personas, product launches, sales strategy development (for internal products, development of consumption strategy, among others).

4) Three interrelated dimensions: Work, workforce, workplace:

These external forces and internal pressures fundamentally redefine the three dimensions of the future of work in technology:

Every company's journey to the future of work will have a different starting point depending on business strategy, industry drivers, and market dynamics. However, regardless of entry point, businesses should first define new work and work outcomes before considering workforce or workplace transformations.

Work (what):It's likely that technology work increasingly will be performed by humans, machines, or human-machine collaboration; leaders should decide how to deploy people, bots, and algorithms separately and in partnership.Technology teams' focus should turn from IT capabilities to work outcomes as they move from project- and process-centric operating models to those that prioritize products and outcomes. Concreating value with business functions and focusing on customer outcomes rather than processes are part of a more fundamentally human and meaningful work experience. As teams shift their emphasis to combined business-technology strategies and aims and are enabled by automation to trade manual and repetitive tasks for those requiring higher-order skills, it's likely that they'll find more meaning in their work.

Workforce (who):Jobs and roles, talent and skills, and organizational structure will evolve. Employment models are already changing; businesses can access talent via a range of on- and off-balance sheet solutions. And finally, instead of being specialized technologists, technology workers can become collaborative cocreators of business value.

Workplace (where):Technology workplaces are evolving from location-centric to relationship-oriented. The geographic location of the work will vary, and workspaces should be redesigned to maximize collaboration, productivity, and cocreation. When extended to a network of geographic locations, including virtual offices, coworking spaces, and traditional office spaces, seamlessly integrated technologies such as collaboration and digital reality tools can help ease and support connections among humans and machines.

5) Work: From IT capabilities to technology work outcomes:

Historically, technology teams took pride in developing and delivering IT capabilities to serve business needs. Technology leaders assessed and developed people, processes, and technologies to address organizational demands with complex capability models and frameworksall within a centralized IT organization.

As organizations develop joint business-technology strategies and collaborate to cocreate business value, processes and roles may change, causing skills and tasks to overlap across traditional business and technology borders. Integrating business and technology skills and teams likely will require CIOs and other functional leaders to rethink how they and their teams' work. The focus is no longer on the delivery of a project but on the value delivered from the outcome. "Redefining work means identifying and addressing unseen problems and opportunities in the work, for everyone at all levels and at all times," says John Hagel, cochairman for Deloitte LLP's Center for the Edge.

The transition from IT capabilities to technology work outcomes requires a fundamental shift in thinking: Technology is not solely the purview of the IT function. Business leaders are equally accountable for the successful design and delivery of technological work.

The two-step process of reimagining what technology work will look like in the future includes first deconstructing the work and identifying work outcomes, and then defining the roles that support new disciplines.

Step 1. Deconstruct the work and identify work outcomes

To gain clarity on the new work and provide guidance to those in new roles, technology leaders can deconstruct the work into work outcomes for each discipline. These outcomes will define not only the new work, but also the expected outcomes and accountabilities.

Further analysis of work outcomes can help determine which activities an organization should continue, discontinue, or deliver in a different way based on the changing role of technology. It can also help executives identify the work that will be performed by humans, machines, or a combination of the twoand help ensure that work is meaningful to all stakeholders.

This level of detail can help provide a deeper understanding of how work is changing and show how the roles and the organization could evolve to deliver the work. For example, a more in-depth examination reveals how the work outcomes for the technology disciplines of product managementand product delivery and operationscould be defined.

Step 2. Identify roles that support new disciplines

Once work outcomes have been designed, leaders can establish the organization and roles needed to support the new disciplines and outcomes. New roles will emerge but others, such as project manager and business analyst, may evolve, decline in demand, or even disappear. Some roles, such as product owner, may be filled by workers in business functions rather than those in the technology function.

Leaders can identify roles that do not transfer to the new model and determine how resources can be reskilled, trained, and supported to make the shift. The vast majority (89 percent) of surveyed technology executives plan to somewhat or very extensively retrain current staff, but not all employees will want or be able to transition roles for example, some project managers may not be able to become scrum masters. Defining clear work outcomes and accountabilities can allow leaders to have candid conversations with technology and business staff about future expectations.

Clarity of roles and organization structure to support the new disciplines can help leaders make a smooth transition. For example, the average technology organization might have hundreds of project managers and application developers. Executives can understand, assess, and communicate the new skills and tools these roles will need, and identify individual road maps based on current competencies, future potential, and passion.