70% organizations surveyed have a formalized digital transformation strategy in place but just a fraction 10% have thought through all aspects up to full deployment planning according to the Global CXO survey conducted by HCL and Vanson Bourne.
The Global CXO survey highlights a wide gap between strategy and execution with organizations’ digital transformation initiatives. These findings come at a time when digital transformation has emerged as a defining strategy for modern global enterprises. It is therefore no surprise that just a quarter of participating organizations have been able to reap the benefits of digital transformation.
Findings of the Global CXO Survey:
- Many enterprises are still focusing on isolated, low-impact digital projects
- Companies lack visibility into the processes that drive business operations and customer experience – two prime targets for digital transformation
- Although there is widespread investment in transformative technologies such as cloud, mobility, and analytics, investments in digital “seed technologies” – such as APIs, DevOps and micro-services is lagging
- Strong data backbone is at the core of digital transformation yet companies continue to be overwhelmed by the volume and variety of available data
- Many enterprises lack tools to accurately measure the impact of digital transformation initiatives
- Companies report a shortage of digital skills and resources, a relatively small percentage are leveraging their ecosystem of vendors and partners.
“Enterprises are moving away from sporadic strategy and POCs to more comprehensive digital execution. One of the biggest findings of this survey was the gap between the strategy and execution as well as measurable outcomes,” said Anand Birje, CVP and Head – Digital and Analytics practice, HCL Technologies.
“The positive findings are that the effective use of digital is possible with a combination of digital seed technologies, visibility into systems and process, and real-time data insight. The companies that use these elements will be ahead in realizing the innovative processes these technologies can deliver,” commented Birje.
Key findings include digital strategies covering only part of the enterprise and a staggering 89% claiming that a lack of visibility into existing processes is hampering digital projects.
The report also delves into the findings and recommendations around: Balancing technology investments between digital platforms, like the cloud and building block technologies, such as APIs and micro services; Prioritizing, organizing and utilizing data-based insights for digital transformation; Using digital goals to measure digital outcomes; and Integrating digital ecosystems for effective digital–ready architectures.
The survey talked to 340 IT and business leaders from global enterprises with 3,000+ employees and more than $2 billion in revenue. Countries covered included the US, the UK, Germany, the Nordics, Australia, New Zealand and Singapore.