Just over a third of businesses feel they have the digital (39%) or leadership (35%) capabilities needed to make progress on digital transformation investments.
A report published by Capgemini – Understanding digital mastery today: Why companies are struggling with their digital transformation – found despite companies’ overall success digitising customer experience, efforts in back-end operations and company culture fell significantly behind.
Customer experience was a dominant focus with 43% using mobile channels to sell products – a 20% rise from 2012.
Some 36% of businesses said they excelled in digitising operations. Only 35% monitored operations in real time – a 13% decline since 2012. While 29% modify processes to quickly adapt to new external challenges.
Relationship with IT has deteriorated
In comparison with Capgemini’s 2012 study, the research indicated a drop in companies’ understanding of IT’s role. Only 37% felt business executives had a shared understanding of IT’s purpose – down from 65% in 2012. The decline was largely put down to digital transformation being attempted in siloes, and executives’ impatience with the pace of IT.
Enrico Maria Bagnasco, head of technology innovation at Telecom Italia, explained: “Speed of product solutions and digital innovation development had greatly increased. It’s therefore important that companies keep an open dialogue with the external ecosystem and find a balance between business and technology to achieve the goals of digital transformation products.”
Digital transformation not embedded in culture
Around 36% of businesses had opportunities for all employees to be involved in conversations around digital – a drop from 49% in 2012. While 38% had a formal digital re-skilling program in place.
Cyril Garcia, head of digital services at Capgemini, said: “Today’s technology landscape is much more complex than in 2012. New technologies such as artificial intelligence, machine learning, automation and the Internet of Things are providing businesses with opportunities they have never had before, but critical to their success is the ability to adapt and embed these technologies into their organisations. It’s vital business leaders not only invest in new technology but work together with their employees to advance the digital transformation agenda.”
The report surveyed over 1,338 business leaders across 757 organisations.
