· Almost six in 10 (58%) Asia Pacific and Japan (APJ) businesses do not know what their industry will look like in three years (global: 48%)
· Eight in 10 (83%) businesses consider digital startups a threat, either now or in the future (global: 78%)
· Around six in ten businesses are unable to meet customers’ top demands
· Globally, just 5% of businesses can be classed as ‘Digital Leaders’
· Nearly eight in 10 (77%) confess digital transformation could be more widespread (global: 73%)
Eight in 10 (83%) of APJ businesses believe digital startups will pose a threat to their organisations, either now or in the future, according to new research from Dell Technologies.
This phenomenon is propelling innovative companies forward and accelerating the demise of others. More than half (52%) of businesses surveyed fear they may become obsolete in the next three to five years due to competition from digital-born startups (global: 45%).
Some companies are feeling bruised by the pace of change. Six in ten (61%) of APJ business leaders have experienced significant disruption in their industries over the past three years as a result of digital technologies and the Internet of Everything, and 58% of businesses in the region do not know what their industry will look like in three years’ time.
The findings result from an independent survey by Vanson Bourne of 4,000 business leaders - from mid-size to large enterprises - across 16 countries and 12 industries.
“The influence of digital revolution has led to a significant decline in the barriers to entry across industries. Aided by the strong entrepreneurial spirit and government support in the APJ region, we have witnessed the rise of numerous digital startups,” said Amit Midha, President, APJ Commercial, Dell EMC. “Failing to innovate will impact the competitiveness of established APJ businesses in the digital era.”
Progress has been patchy. Some companies have barely started their digital transformation. Many have taken a piecemeal approach. A small minority have almost completed their digital transformation journey. Just one in three businesses surveyed are performing critical digital business attributes* well. While in many businesses, only some functions of the organisation are thinking and acting digitally, the vast majority (77%) admit digital transformation could be more widespread in their organisation.
Around six in 10 companies are unable to meet customers’ top demands, such as better security and 24x7 faster access to services and information. Nearly two-thirds (65%) confess to not acting on intelligence in real-time.
“APJ is at the epicentre of the fourth industrial revolution and with customers expecting intuitive and personalised experiences, it is imperative for businesses to transform digitally in order to remain competitive. Although businesses across the region are making progress, now is the time to accelerate their digital transformation journey, beginning with IT transformation,” said David Webster, President, APJ Enterprise Business, Dell EMC. “With demand for new digital products and services meaning an exponential increase in users and data, a focus on IT infrastructure modernisation and investment in software development skills is key for businesses to continue delivering value to their customers.”
Dell Technologies’ Digital Transformation Index supplements the research and rates companies globally based on respondents’ perceived performance about their firms’ digital transformation. According to the benchmark, only 5% of businesses across 16 countries have catapulted themselves into the Digital Leaders group; almost half are lagging behind. Dell Technologies segments businesses as:
1. Digital Leaders: 5% - digital transformation, in its various forms, is ingrained in the DNA of the business
2. Digital Adopters: 14% - have a mature digital plan, investments and innovations in place
3. Digital Evaluators: 34% - cautiously and gradually embracing digital transformation, planning and investing for the future
4. Digital Followers: 32% - very few digital investments; tentatively starting to plan for the future
5. Digital Laggards: 15% - do not have a digital plan, limited initiatives and investments in place
Given the threat of disruption, businesses in the APJ region are starting to change. To advance their digital transformation:
· Nearly eight in 10 (78%) agree they need to prioritise a centralised technology strategy for their business
· Seven in 10 are planning to invest in IT infrastructure and digital skills leadership
· Seven in 10 (73%) are expanding their software development capabilities
According to respondents in APJ, the top planned IT investments over the next three years are:
1. Analytics, big data and data processing (e.g. data lakes)
2. Converged infrastructure
3. Ultra-high performance technologies (e.g. flash)
4. Internet of Things technologies
Additionally, between a quarter to a third of businesses have created a full digital profit and loss facility (34%); are partnering with startups to adopt an open innovation model (34%); have spun-off a separate part of the organisation for digital transformation (31%) or intend to acquire the skills and innovation they need through mergers and acquisitions (27%). Today 15% measure success according to the number of patents they file and nearly half (46%) are integrating digital goals into all department and staff objectives.
“Digital transformation is the result of blending the power of technology with a rapidly adaptable culture that understands not only what technology can do for its business, but why it is so important in creating the future of the enterprise,” said Daniel Newman, Principal Analyst, Futurum Research. “Every C-suite leader looking to up their investment in digital transformation needs to understand the threats to their industry and how technology can take their business to the next level to stay competitive.”
· Eight in 10 (83%) businesses consider digital startups a threat, either now or in the future (global: 78%)
· Around six in ten businesses are unable to meet customers’ top demands
· Globally, just 5% of businesses can be classed as ‘Digital Leaders’
· Nearly eight in 10 (77%) confess digital transformation could be more widespread (global: 73%)
 |
| Source: Dell Technologies infographic. Six in 10 APJ businesses cannot meet top customer demands. |
Eight in 10 (83%) of APJ businesses believe digital startups will pose a threat to their organisations, either now or in the future, according to new research from Dell Technologies.
This phenomenon is propelling innovative companies forward and accelerating the demise of others. More than half (52%) of businesses surveyed fear they may become obsolete in the next three to five years due to competition from digital-born startups (global: 45%).
Some companies are feeling bruised by the pace of change. Six in ten (61%) of APJ business leaders have experienced significant disruption in their industries over the past three years as a result of digital technologies and the Internet of Everything, and 58% of businesses in the region do not know what their industry will look like in three years’ time.
The findings result from an independent survey by Vanson Bourne of 4,000 business leaders - from mid-size to large enterprises - across 16 countries and 12 industries.
“The influence of digital revolution has led to a significant decline in the barriers to entry across industries. Aided by the strong entrepreneurial spirit and government support in the APJ region, we have witnessed the rise of numerous digital startups,” said Amit Midha, President, APJ Commercial, Dell EMC. “Failing to innovate will impact the competitiveness of established APJ businesses in the digital era.”
Progress has been patchy. Some companies have barely started their digital transformation. Many have taken a piecemeal approach. A small minority have almost completed their digital transformation journey. Just one in three businesses surveyed are performing critical digital business attributes* well. While in many businesses, only some functions of the organisation are thinking and acting digitally, the vast majority (77%) admit digital transformation could be more widespread in their organisation.
Around six in 10 companies are unable to meet customers’ top demands, such as better security and 24x7 faster access to services and information. Nearly two-thirds (65%) confess to not acting on intelligence in real-time.
“APJ is at the epicentre of the fourth industrial revolution and with customers expecting intuitive and personalised experiences, it is imperative for businesses to transform digitally in order to remain competitive. Although businesses across the region are making progress, now is the time to accelerate their digital transformation journey, beginning with IT transformation,” said David Webster, President, APJ Enterprise Business, Dell EMC. “With demand for new digital products and services meaning an exponential increase in users and data, a focus on IT infrastructure modernisation and investment in software development skills is key for businesses to continue delivering value to their customers.”
Dell Technologies’ Digital Transformation Index supplements the research and rates companies globally based on respondents’ perceived performance about their firms’ digital transformation. According to the benchmark, only 5% of businesses across 16 countries have catapulted themselves into the Digital Leaders group; almost half are lagging behind. Dell Technologies segments businesses as:
1. Digital Leaders: 5% - digital transformation, in its various forms, is ingrained in the DNA of the business
2. Digital Adopters: 14% - have a mature digital plan, investments and innovations in place
3. Digital Evaluators: 34% - cautiously and gradually embracing digital transformation, planning and investing for the future
4. Digital Followers: 32% - very few digital investments; tentatively starting to plan for the future
5. Digital Laggards: 15% - do not have a digital plan, limited initiatives and investments in place
Given the threat of disruption, businesses in the APJ region are starting to change. To advance their digital transformation:
· Nearly eight in 10 (78%) agree they need to prioritise a centralised technology strategy for their business
· Seven in 10 are planning to invest in IT infrastructure and digital skills leadership
· Seven in 10 (73%) are expanding their software development capabilities
According to respondents in APJ, the top planned IT investments over the next three years are:
1. Analytics, big data and data processing (e.g. data lakes)
2. Converged infrastructure
3. Ultra-high performance technologies (e.g. flash)
4. Internet of Things technologies
Additionally, between a quarter to a third of businesses have created a full digital profit and loss facility (34%); are partnering with startups to adopt an open innovation model (34%); have spun-off a separate part of the organisation for digital transformation (31%) or intend to acquire the skills and innovation they need through mergers and acquisitions (27%). Today 15% measure success according to the number of patents they file and nearly half (46%) are integrating digital goals into all department and staff objectives.
“Digital transformation is the result of blending the power of technology with a rapidly adaptable culture that understands not only what technology can do for its business, but why it is so important in creating the future of the enterprise,” said Daniel Newman, Principal Analyst, Futurum Research. “Every C-suite leader looking to up their investment in digital transformation needs to understand the threats to their industry and how technology can take their business to the next level to stay competitive.”
posted from Bloggeroid
No comments:
Post a Comment