Digital Transformation Is About More Than Tech
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Digital Transformation Is About More Than Tech
To ensure success, companies need to overcome the mindset that says digital transformation is strictly "a tech thing," rather than an enterprisewide commitment. -
Top Priority
50% of the C-level execs surveyed said completing a digital transformation is a top priority for their company over the next two years, followed by corporate expansion (38%), new products and services (35%), and business diversification (24%). -
IT Spend
51% said the acquisition of new technologies to enable digitalization is a top investment priority over the next two years, and the same percent of execs cited the need for greater data analytics capabilities. -
Big Benefits
45% of the respondents consider their organization as "advanced" or a "leader" in pursuing digital transformation-driven improvements in efficiency, customer experience and business models. -
Measuring Stick
46% said the ability to innovate and grow revenue are the most significant measures of success for digital transformation initiatives, while 43% cited cost reductions. -
External Drivers of Digital Transformation
New business models: 41%, New technologies: 40%, Industry competition: 36%, Customer expectations: 35%, Disruptive competitors from other industries: 23% -
Tech Focal Points for Digital Transformation
Cloud: 64%, Mobile: 44%, Analytics: 42%, Internet of things: 31%, Social media: 30% -
Consumer Concerns, Part I
40% of survey respondents admitted that their digital customer experience efforts are, at best, "generally inconsistent and not well-integrated." -
Consumer Concerns, Part II
More than a quarter said that, while their business uses digital tools to provide consistent customer experiences and services, they are not truly innovative on this front. -
Challenges in Achieving Digital Transformation
Legacy technologies: 29%, Lack of talent in the enterprise: 23%, Failure to collaborate on data and analytics: 23% -
Mixed Reading
61% of the IT execs surveyed said the tech organization is most involved in the implementation of their company's digital transformation strategy, but just 45% of business execs agree.
While the completion of a digital transformation has emerged as a top strategic priority for many organizations, continuing dependencies on legacy technologies create barriers to such efforts, according to a recent survey from Forbes Insights and Hitachi. However, the accompanying report, "How to Win at Digital Transformation," reveals that companies are determined to acquire new technologies to enable a transformation—especially products that enhance data analytics capabilities. Other tech categories of interest for greater innovation include the cloud, mobility, the internet of things (IoT) and social media. With these technologies, business and IT leaders hope to improve their ability to deliver optimal digital customer experiences, an area that is currently considered a weak point in many organizations. To ensure success, companies will need to overcome the mindset that says a digital transformation is strictly "a tech thing," rather than an enterprisewide commitment. "Technology is at the core of every digital transformation, with the digital transformation imperative ushering in an era of unprecedented change," according to the report. "However, digital transformation is not about technology. Rather, it uses technology as a means to an end and goes beyond business. Digital transformation is as much about the transformation of how individuals work and the cultures of organizations as it is about technology. Its most difficult task is to change the way we think." More than 570 global C-level executives took part in the research.
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