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Hybrid Work Lifts Microsoft Cloud Use in Australia

Enterprises in Australia are increasingly adopting Microsoft cloud services as they implement hybrid work policies and automate more applications, according to a new research report published by Information Services Group a leading global technology research and advisory firm.

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“The Microsoft cloud ecosystem is helping Australia become a true work-from-anywhere economy by providing solutions that make both remote and in-office employees more effective”

The 2023 ISG Provider Lens Microsoft Cloud Ecosystem report for Australia finds the COVID-19 pandemic accelerated cloud migrations at many organizations seeking to support remote work, cut costs and become more agile. As they emerge from the effects of the pandemic, enterprises have increased investments in digital transformation and the Australian government has stepped up cloud implementation projects.

“The Microsoft cloud ecosystem is helping Australia become a true work-from-anywhere economy by providing solutions that make both remote and in-office employees more effective,” said Ben Rossiter, ISG technology modernization lead in Australia. “Combined with application modernization and cloud-based customer engagement, this trend is transforming Australian business.”

A growing ecosystem of providers is helping Australian organizations take full advantage of the Azure cloud platform, Microsoft 365 — including Office 365 and the Dynamics 365 business application suite — and the Microsoft Power Platform offering for low-code development. While the biggest Microsoft service providers in Australia are global, local players are beginning to challenge these players, a trend likely to gain momentum over the next five years, ISG says.

The rise of hybrid work has sharpened Australian firms’ focus on employee experience, increasing adoption of Microsoft Teams and Viva, the report says. With providers’ help, companies hope to make better use of data to enhance workplace experiences. In addition, demand for security implementation services for Microsoft 365 is huge and growing, as many enterprises are opting for the Microsoft 365 E5 package with its enhanced security and compliance features.

“Australian companies have placed a high priority on cybersecurity,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “The rise in ransomware attacks is one reason some enterprises are adopting Microsoft 365 with enhanced security.”

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Improved customer experience is also becoming a key objective for Australian companies, driving more Dynamics 365 initiatives, ISG says. The platform helps make it possible to roll out multiple channels for engagement, personalize the customer experience and capture data that can be analyzed using AI and ML.

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Providers are now moving clients onto Microsoft 365 solutions faster using new Microsoft starter templates and blueprints, the report says. These allow consulting firms to implement complex solutions in a fraction of the time required for custom projects.

The report also examines other Microsoft ecosystem trends in Australia, including rising interest in migrating SAP applications onto Azure and in building IoT solutions with Azure-based advanced data analytics.

The 2023 ISG Provider Lens Microsoft Cloud Ecosystem report for Australia evaluates the capabilities of 41 providers across five quadrants: Managed Services for Azure, Microsoft 365 Services, SAP on Azure Services, Dynamics 365 Services and Power Platform Services.

The report names Accenture & Avenade, DXC Technology, TCS and Wipro as Leaders in all five quadrants. It names Capgemini and Kyndryl as Leaders in four quadrants each and HCLTech and Telstra as Leaders in three quadrants each. Barhead Solutions, Fujitsu, Hexaware, Logicalis Australia, PwC, Unisys and Velrada are named as Leaders in two quadrants each. AC3, Infosys and Tech Mahindra are named as Leaders in one quadrant each.

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[To share your insights with us, please write to sghosh@martechseries.com]

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