Digital transformation is a great catch-all phrase, so when you hear that a third of enterprises are unprepared for it there is a temptation to wonder whether they’re all unprepared for the same thing. Once it is understood, though, that the research in question comes from reputable research organisation Ovum it starts to sound a little more serious. Once you realise that the research involved 7000 respondents worldwide it starts to sound a little more serious.
Defining digital transformation
It’s important to understand exactly what is meant by digital transformation. In the 1990s there was a trend to call everything an “e-business”, and if this meant only that someone was able to send an email to confirm an appointment, to some people this was good enough. It rapidly became meaningless. So we are in need of a definition that actually says something.
Ovum takes this as “the process of replacing legacy networks and dedicated service platforms with a coherent digital environment that is flexible, cost-effective, and capable of delivering changes rapidly and dynamically.” This might mean a cloud system with virtual machines that can be fired up or down, or which could try what-if scenarios for new systems that would previously have involved months of trialling and testing.
Ovum says 60 per cent of respondents considered their digital transformations to be “well advanced” but only seven per cent were confident their transformation was complete.
The financial sector looks to be best prepared, with 60 per cent of decision makers believing their organisation was advanced or “in progress” as regards digital. The retail sector appeared least prepared while only 29 per cent of the public sector respondents thought their organisation would be affected.
Daniel Mayo, Director of IT, Data & Tools at Ovum, said: “The uneven maturity of digital transformation by industry and country has created a complex landscape for sales teams to navigate, but our data plays a significant role in quantifying for our customers their target markets’ investment appetite and timescales. This enables them to quickly and confidently make decisions about where to focus their go-to-market and product investments.”
The full report is available here.