Yes it will fit. Yes it's a HUGE improvement over the stock rear shock. The 848/1098/1198 all have the same rear linkage. The R models are a bit different, but you'll be fine with that shock.
I strongly recommend an adjustable ride height rod installed at the same time as this shock. This will allow you to alter swingarm angle to where it should be....the adjustable ride height rod is normally about $100 to $130 US dollars.
Keep researching this. The Ohlins will work wonderfully with the adjustable ride height rod set correctly. 235-240mm is what you should shoot for on swingarm angle.
Just tossing in the shock will feel better, but using the correct swingarm angle will BE better, not just feel a bit better.
Good luck, that's a bad ass shock!