AI is fundamentally restructuring technology organizations beyond simple automation. With 64% of organizations increasing AI investments and tech budgets for AI rising, priorities are shifting from infrastructure maintenance to strategic leadership. Leading organizations are anchoring AI initiatives to measurable business outcomes, designing modular architectures for flexibility, and redefining talent strategies around human-machine collaboration. New roles are emerging, such as AI collaboration designers, edge AI engineers, and prompt engineers, while chief information officers evolve from tech strategists to AI evangelists and orchestrators. Future tech organizations will feature agentic architectures, lean product-led teams, blended human-agent workforces, adaptive governance, and ecosystem-oriented innovation. Success requires embracing continuous evolution and boldly reimagining operations rather than incremental change.
Trend in action
As AI begins to reshape how agencies deliver services and operate, technology teams should be prepared to outline their specific plans for adopting and integrating AI solutions. Some agencies are rising to the challenge by utilizing AI tools to drive rapid prototyping, accelerate legacy modernizations, and provide customer support. Agentic AI solutions can bridge IT silos, providing speed and visibility by automating complex processes that cross internal boundaries. Advanced code generation tools can accelerate the process of understanding legacy systems, writing requirements and user stories, and generating the resulting code of modernized systems. Together, technology teams are learning from internal AI-enabled transformation to better support mission transformation. Success depends on more than just adopting new tools; it requires rethinking structures, clarifying responsibilities, and empowering teams. Adaptability isn’t optional; it’s essential. By embracing new ways of working, leaders can meet the moment and turn opportunity into real-world results.
Readiness: 2 of 5
Relevance: 5 of 5