Should I transform my business with digital technology?
This is the question on the lips of a number of business people across many industries right now. So if everyone is talking about it, what exactly does Digital Transformation mean?
Digital Transformation is a whole scale change to the foundational aspects of a business – from the business operating models to infrastructure – through the application of digital technology.
But why are other businesses doing this?
In a recent survey of 120 FTSE 500 private sector organisations conducted by Sopra Steria and Kable, the majority (64%) of businesses chose to update their existing legacy infrastructure and processes in order to streamline processes and reduce costs. However, many (60%) are also seeking to increase customer engagement by improving the experience they offer their customers.
And how successful is it?
Significantly, most businesses are happy with the time in which their projects have been delivered. In fact, 83% of businesses surveyed were satisfied with the pace. This bucks the long trend of companies complaining that IT projects often run over time.
Are there any difficulties?
Some. 82% of businesses acknowledged that IT was core to the success of their project, yet just over half (54%) needed a third party to help them deploy. This is because many organisations still lack the in-house IT skills to properly deploy digital solutions, which is in part due to the current gap in digital skills in the UK market. However, it also reflects the need to quickly access key skills and developed governance frameworks in order to demonstrate return on investment.
Does having a third party help?
It can, if they have previous experience with digital projects. Of those surveyed, businesses that brought in a third party reported stronger governance and greater success. Working alongside parties with experience in this field often helps new market entrants to properly establish resilient, flexible and futureproof digital platforms. Sopra Steria has extensive expertise when it comes to digital technologies, providing one of the most comprehensive portfolios of end to end service offerings in the market.
So, should I transform my business with digital?
Well, while only just over half (52%) of UK businesses currently have a digital project underway, they are moving at a much faster concept to ‘at scale roll-out’ than ever before. They are experimenting with a wide range of digital technologies and devices in order to achieve their business ambitions, as the agile nature of digital projects enable them to learn, remodel, and deploy, swiftly. This brings an interesting competitive dynamic for businesses who are still trying to decide how they apply digital intelligently in their organisations.
Those who don’t act will fall behind quickly. So you need to decide whether you want to be an early adopter or a fast follower.