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Why the convergence of IT and OT is not just about technology

Photographic portrait of Jaco Benadie
Jaco Benadie

EY ASEAN Cybersecurity Energy Leader and OT Cybersecurity Competency Lead

5 minute read 11 Mar 2024
Related topics
Cybersecurity
Energy and resources
Government and Public Sector
TMT

The integration of IT and operational technology (OT) has profound implications that shape the future of organizations.

In brief

  • Decisions on the convergence of IT and OT should align with the company’s vision and expected benefits
  • Both the IT and OT teams need to understand each other’s workflows to strategically transform the company’s objectives.

Digital transformation is revolutionizing industries by unraveling unparalleled opportunities for efficiency and innovation. A significant shift leading this revolution is IT and operational technology (OT) convergence, which is the integration of IT systems used for data-centric tasks with OT systems used for monitoring and controlling physical devices and processes. This integration significantly impacts the OT asset management lifecycle. However, the convergence of IT and OT goes far beyond a simple technical integration — it is a strategic, operational and cultural change that holds the potential to shape the future of organizations.

IT and OT convergence more than just technological

While IT and OT convergence has a major technological component, it is not purely technical. The effective integration of IT systems with OT systems involves more than just rolling out new technology and hoping things will work smoothly. It is a strategic business decision that requires a carefully planned and executed transformation program. This program typically encompasses changes in the strategy, business processes, skills and culture to successfully leverage the power of both IT and OT.

A strategic transformation

Rather than seeing IT and OT convergence as a mere technology project, the organization should regard it as a strategic transformation that aligns with its overall business objectives. Decisions around this convergence should align with the company’s strategy, and the potential benefits of convergence — such as increased throughput, improved safety and greater visibility in operations — should be clearly identified and linked to strategic objectives.

Operational alignment

Operationally, the convergence of IT and OT often necessitates changes to processes and workflows to effectively leverage the newly integrated environment and maintain seamless information flows. There must be standardizations or modifications in the processes for maintaining systems, managing changes, responding to incidents and safeguarding the continuity of operations. Both the IT and OT teams need to understand each other’s workflows, procedures and protocols and adapt to each other’s operational needs.

Skill sets and cultural synergy

Human factors also play significant roles in the IT and OT convergence. Culturally, IT and OT have traditionally had different work cultures, attitudes to risk and ways of working. Bridging this cultural divide requires clear communication, education and change management.

The convergence often requires a new blend of skills — or “purple people” who understand both the IT and OT worlds. The organization may also need to upskill and re-skill existing staff or hire new personnel with the requisite skills.

Professionals who understand both the IT and OT worlds as well as upskilling and re-skilling existing staff or hiring new personnel with the requisite skills are crucial to the IT and OT convergence.

How EY can Help

Certain key success factors should be considered for strategic IT and OT convergence to be effective:

 

  • Effective leadership with a clear vision aligns the convergence with the organization’s strategic objectives and guides the transformation journey.
  • Fostering a collaborative culture bridges the cultural divide and encourages mutual understanding between the IT and OT teams.
  • Skill development and training are crucial to equip the workforce with the necessary skills for a smooth transition.
  • Harnessing data integration and analytics transforms raw data into actionable insights to drive efficiency and decision-making.
  • Robust cybersecurity controls protect the integrated system from potential cyber threats.
  • Flexible and scalable infrastructure facilitates adaptability to evolving technologies and growth.
  • Compliance with regulatory standards helps the organization prevent potential violations and avoid penalties.
  • Effective change management — involving communication, training and addressing resistance to change — drives a smoother transformation.

As we move further into the digital age, IT and OT convergence is becoming less of an option and more of a requirement for companies that wish to remain competitive. However, it is important to recognize that this transformation is more than just a technical project. By recognizing the strategic, operational and human aspects of this convergence, businesses can more effectively navigate this transformation and enjoy the benefits of improved efficiency, visibility and decision-making that come with a coherent IT and OT environment. Doing so also helps them enhance resilience and innovativeness to better face the exciting challenges of tomorrow.

Summary

It is imperative to recognize the transformation of IT and OT for companies to remain resilient when dealing with new challenges.

About this article

Photographic portrait of Jaco Benadie
Jaco Benadie
EY ASEAN Cybersecurity Energy Leader and OT Cybersecurity Competency Lead
Protecting the digital landscape from cyber threats. Passionate about supporting the safety and reliability of industrial processes that power the world we know.
Related topics
Cybersecurity
Energy and resources
Government and Public Sector
TMT

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