Tech Savvy Companies Pulling Away From Luddite Rivals Says New Report

Tech Savvy Companies Pulling Away From Luddite Rivals Says New Report
SHARE
THIS



Companies who have already started down the digital path are pulling further away from the digital laggards, according to research by global tech research firm Gartner.

New research has found that 32 per cent of leaders at organisations with $US250 million or more in annual revenue said they have a business that is a digital business, up from 22 per cent in the same survey last year.

The study also revealed that most companies undertaking digital business initiatives don’t make a distinction between digital business strategy and business strategy. They have basically operationalised their transformation.

Those in the planning phase see the two as separate.

In practical terms, a company that is moving from strategy to execution will have fewer steps to reach its goals compared with one that has to insert a separate planning process for digital business, say the authors.

Over time, even if the faster team stumbles, it can recover more rapidly than one that has more process for strategy.

Executives already in digital business are invested in piloting and deploying, while those at companies in the planning phase are focusing on investigation and experimentation, according to the researchers.

Among the top priorities for digital business front-runners;

  • Adopting new technology (70 per cent).
  • Creating a highly collaborative environment (56 per cent)
  • Supporting customer-driven technology change (53 per cent)

According to the authors: “These represent responses to an external stimulus and are characteristic of a healthy digital business.”

Gartner surveyed over 300 business leaders in the  US, UK, Germany and Australia between May and June 2015, as part of its 2015 Digital Business Survey of IT, Business and Marketing Executives, to understand how businesses and institutions take in, identify and exploit the new opportunities that digital business represents.

“The survey results underlined how digital business leaders are more likely than others to focus on design and the creation of new digital business moments,” said Jorge Lopez, Gartner’s vice president and analyst.

“We asked respondents to rank the importance of five success factors, breaking down the results according to whether companies were using digital marketing techniques (a precursor to digital business), were planning digital business or had already implemented digital business. Not surprisingly, the last group accorded more importance to design and moments, which are necessary to execute digital business.”

Gimlet eyed

When asked to identify what would be the impact of digital business — either positive or negative — over the next five years, organizational leaders overwhelmingly concurred on the upside, anticipating improvements in customer experience and engagement (86 percent), IT organization (86 percent), workforce productivity (84 percent) and sales organization (83 percent).

Organizations appear to anticipate little downside to digital business with just seven percent projecting a negative or significant negative impact in staff, and 6 percent in mergers and acquisitions.

“The disruptive effects of digital business cannot be underestimated,” said Lopez. “To date, a limited number of product categories — music, books, photographs and newspapers — have seen their business models upended.

“Going forward, organisational leaders in other product and service categories will also need to adapt by restructuring the workforce, eliminating obsolete roles, and finding talent that can help design systems and workflows that optimize the use of things integrated with people and business to drive new value for customers.”

This article originally appeared on B&T’s sister site www.which-50.com

Latest News

Sydney Uni & JWT China Connect Human And Machine Learning With Creativity
  • Media
  • Technology

Sydney Uni & JWT China Connect Human And Machine Learning With Creativity

How will the future of work look for creative agencies?  How can technology be applied to the creative process – can it be automated? These are the key questions to be grappled with by University of Sydney academic experts and students in a new partnership with international advertising agency J. Walter Thompson China, in Shanghai. […]

Suncorp Appoints OMD As Master Media Agency
  • Advertising
  • Media

Suncorp Appoints OMD As Master Media Agency

OMD Australia has been appointed Suncorp’s Master Media Agency to manage the media planning and buying for the group’s network of brands including Suncorp, AAMI, GIO and Apia. The appointment of OMD comes after Suncorp confirmed it was reviewing its media account in October, putting incumbent Starcom on notice. It also coincides with the company’s move to a network […]

ABC Unveils Its Content Line-Up For 2019
  • Media

ABC Unveils Its Content Line-Up For 2019

The ABC has put recent management turmoil behind it to unveil its 2019 schedule. Highlights include the return of fan favourites Shaun Micallef’s Mad as Hell, Julia Zemiro’s Home Delivery and Anh’s Brush with Fame. David Anderson, ABC acting managing director, said: “The ABC tells the story of Australia and in 2019 we have many great […]

Seven Ways To Apply Speech Analytics In Marketing
  • Marketing
  • Opinion
  • Technology

Seven Ways To Apply Speech Analytics In Marketing

In this guest post, CEO of Delacon, Michael Center (pictured below), says speech analytics has a myriad of useful applications for any business and here he outlines seven applications to improve your marketing… Speech analytics data collected from calls made by potential new customers allows businesses to drive greater personalisation in the online environment and create […]

Opinion

by B&T Magazine

B&T Magazine
Stockland Tells Aussies To ‘Give A Little Christmas’ Via CX Lavender
  • Advertising
  • Campaigns

Stockland Tells Aussies To ‘Give A Little Christmas’ Via CX Lavender

Stockland has unveiled its 2018 Christmas Campaign, launching across its national social and owned media channels. Titled ‘Give a Little Christmas’ the ad is by creative agency CX Lavender and celebrates the spontaneous, unplanned and unexpected moments that make Christmas special and can bring a community closer. Ben Allen, general manager marketing at Stockland, said: “At Stockland, we believe […]

Harper’s BAZAAR Devotes December Issue To Conservation
  • Media

Harper’s BAZAAR Devotes December Issue To Conservation

The December issue of Harper’s BAZAAR, on sale today, celebrates a unique collaboration between the luxury lifestyle title and Australia’s iconic Taronga Zoo. Fronted by Australian supermodel and mother of two, Gemma Ward, the December issue is devoted to raising awareness to the work Taronga Zoo, and the newly established Taronga Institute of Science and […]

The $400,000 Problem Of Storing Media Assets
  • Media
  • Opinion

The $400,000 Problem Of Storing Media Assets

In this gust post, Collaboro CEO Warwick Boulter (pictured below), says too many marketers aren’t taking care of their very expensive media assets and offers his tips to ensure you safeguard yours… A business’ digital media assets form a significant part of its overall asset portfolio. Maximising the use of these assets and protecting them against loss is […]

Opinion

by B&T Magazine

B&T Magazine