Volatile market conditions and changing consumer behaviour, especially in the last few months, have struck businesses around the world like a bolt from the blue forcing them to adopt strategies that were months or years away in their timeline. India was no exception to this global trend. In these unwarranted and testing conditions, the onus fell on the leadership to take decisions that would determine the future of these affected organisations. Informed decisions can only be taken when a leader has more insights or business intelligence and to be able to get those specific insights, data needs to be brought into the picture to allow organizations to understand both the internal and external factors that could influence the path they take going forward. According to a survey-based report from consulting firm Prophet, market pressures are the leading drivers of digital transformation as most efforts are spurred by growth opportunities (51%) and increased competitive pressure (41%). Another report from Statista shows that two key priorities for CEOs presently are – leading digital transformation projects and improving remote work experience and collaboration.
- “40% of all technology spending will go toward digital transformation.”- IDC
- “Despite pandemic, IDC expects global spending on digital transformation technologies and services to have grown 10% in 2020.” – IDC
- “As of 2019, direct digital transformation investment was expected to grow at a compound annual growth rate (CAGR) of 18% from 2020 to 2023. By 2023, it was expected to approach $7 trillion as companies build on existing strategies and investments, becoming digital-at-scale future enterprises.” – IDC
- “While 52% of companies plan to cut or defer investments because of COVID-19, just 9% will make those cuts in digital transformation.” – PwC
- “Digital transformation is expected to add $100 trillion to the world economy by 2025. Platform-driven interactions are expected to enable approximately two-thirds of the $100 trillion value at stake from digitalization by 2025.” – World Economic Forum
- “The digital transformation market is expected to grow at a CAGR (compound annual growth rate) of 23% from 2019 to $3.3 trillion by 2025.” -Research and Markets
In fact, data in conjunction with other emerging technologies have played an evangelical role for businesses around the world helping them not only to weather the uncertain conditions but also allowing them to evolve and expand into channels or markets that were not in their radar. Several independent research reports have shown that cost savings measured in different ways such as reduced time to market and digitisation of processes among other could lead to cost savings ranging from 3% to 45% depending on the scale of automation and robotization.
- “Executives say the top benefits of digital transformation are improved operational efficiency (40%), faster time to market (36%) and the ability to meet customer expectations (35%).” – PTC
- “56% of CEOs say digital improvements have led to increased revenue.” – Gartner
- “Digitally mature companies are 23% more profitable than their less mature peers.” – MIT
- “High-tech B2B companies have reported a 10% to 20% cost reduction and revenue growth of 10% to 15% from transforming their customer experience processes.” – Mckinsey
- “Employees at companies with less than 100 employees are nearly three times more likely to say their digital transformation was a success than employees at companies with more than 50,000 employees.” – Mckinsey
- “More than 50% of digital transformation efforts fizzled completely in 2018.” – Forrester
- “70% of digital transformations fail, most often due to resistance from employees.” – Mckinsey
- “Only 16% of employees said their company’s digital transformations have improved performance and are sustainable in the long term.” – Mckinsey