Knowledge is power. But knowledge is also speed, which is more critical than ever as enterprises in just about every industry feel pressure to respond quickly to today’s unprecedented digital disruption. By learning more about how enterprises are approaching and successfully navigating digital transformation, we can better help our customers do the same.
An effective way to start is by determining how best to address four key avenues of differentiation: improving customer experiences, enhancing operational efficiency, increasing business agility and better managing risk. 451 Research, an information technology research and advisory company, confirmed the critical nature of these four objectives in its recent CenturyLink-sponsored international exploration into digital transformation, interviewing more than 1,400 IT decision-makers in 12 geographies.
The results of the 451 Research study, Enterprise Digital Transformation Strategies: Turning Disruption into Differentiation, are proving really informative, starting with the fact that just 45 percent of executives surveyed are pursuing a formal digital transformation strategy. Another 23 percent have started on a siloed approach, but lack an overarching plan, while 20 percent are still in the planning stage. Most surprisingly, about 12 percent admit they currently have no digital transformation strategy at all.
What about other the results? Among companies that are on the road to transformation, here are some of the highlights:
- Business drivers — For those with a formal strategy, the aim is to improve customer service, while those still in the formative stages are more focused on reducing costs through operational efficiency.
- Expected benefits — Fifty-six percent of those with a formal digital transformation strategy expect to obtain much more strategic value from their future IT investments, envisioning continued infrastructural and business process improvements and new cloud-based capabilities to provide business gains.
- Transformation leaders — The industry that is furthest along is retail products and services, with 54 percent of the industry claiming to have a formal strategy; the largest industry still in the early stages was government, at 35 percent.
- Success factors — Choosing the right partner was identified as a critical factor for success, with IT services and telecommunications service providers figuring strongly among 52 percent of companies with a formal strategy.
- Top priority — Regardless of whether the organization was in the pre-planning or formal stages of digital transformation, improving operational efficiency represented the top aim, followed by improving the customer experience, enhancing agility and better managing risk.
At CenturyLink, we know digital transformation because we have gone through it ourselves. We started out as a traditional telco and grew over the years into an $18 billion dollar firm, with the bulk of our revenue coming from helping enterprises achieve their digital transformation goals. Today, we are a broader provider of services that sit on top of our network. We have a real focus on providing the fastest, most reliable network, and that connectivity helps our customers take advantage of the power of the digital world.
With our Hybrid IT solutions, we help enterprises aggregate, unify, and scale services, while increasing their functionality, creating powerful and highly responsive infrastructure capabilities.
I hope you take a moment to read the findings of the exclusive global study from 451 Research to see how your organization stacks up against the competition, as well to gather insight on how to accelerate your IT transformation.