What’s The True Value Of Digital Transformation?
Digital transformation. The term is overused and defined too broadly to pinpoint what exactly it means to the enterprise; and conversely, it means everything.
Digital transformation is everything, and everything has become digital transformation. But what’s making it grow, and where is the value for enterprises?
As previously reported by Enterprise Mobility Exchange, the digital transformation market is set to more than double its market growth, from a $205.99 billion value to $493.39 billion value in less than five years. What does that mean? Enterprises are investing in all that technology innovations have to offer, and are moving forward at lightning speed.
But the enterprises that don’t go forward stand to lose more than the enterprises who do go forward stand to earn, and that’s why the “adapt or die” slogan is more than just words.
In a recent report, titled “Delivering Business Value With Digital Transformation,” it was noted that since 2000, 52% of Fortune 500 companies have either gone bankrupt, been acquired, ceased to exist, or dropped out of the list. It’s estimated that 40% of companies on today’s S&P 500 will no longer exist in 10 years.
The need to modernize comes at a time when the pace of technological innovation has never been faster. Today’s largest living generation is comprised of those who grew up in the digital era, and consumer mobile apps are shaping how consumers expect to interact with all companies – including those in more established industries as well as the B-to-B sector.
So how are businesses keeping up with the rapid pace of technology innovation? Surveyed CIOs say the top three digital transformation initiatives are:
- Enhancing customer experience
- Enabling new digital business models
- Empowering customer-facing employees to better and more quickly serve customers
Behind all of that, cloud still remains the key component to digital transformation, as enterprises either continue their ascent into the tech skies or begin migration now. At the very least, most non-cloud companies are strategizing their move.
“Companies that have been in business less than 10 years have a stronger appetite for the cloud, while those that have been around longer don’t,” said ESG Analyst Mark Bowker. “It also has a lot to do with the decision-maker; millennials are taking on stronger roles at companies in positions that are essentially born in the cloud.”
The digital transformation journey, with a deep focus on mobility, will be the primary topic for Enterprise Mobility Exchange’s upcoming event in San Diego this November, titled The Enterprise Mobility Transformation Exchange. Learn how IT executives from all industries will come together and share, network, and benchmark ideas and strategies with one another by clicking here.