Digital acceleration taking place while disruptions shaking industries

Digital Acceleration
Digital acceleration taking place while disruptions shaking industries

Digital Acceleration report reveals that about 35 percent organizations consider their lack of in-house skills to be one of the largest impediments to their digital growth

Digital acceleration is taking place at a time when disruptions are shaking industries across regions to their very foundations. There have been two major takeaways from the Covid-19 pandemic. The first is the fact that how much of our freedom and time we take for granted, and how easily it can be taken away by something as small as a virus. The second is that humans are resilient. Not just people have managed to get back on their feet but adapt and grow through this uncertainty of lockdowns, quarantine measures and general socio-economic upheaval.

Various degrees of supply chain disruptions have been identified by HCL’s recent digital acceleration for business resilience report. These disruptions are taking place across different geographies, of which the Asia-Pacific (APAC) region seems to be suffering the greatest with a significant percentage of organizations reporting disruptions across operations and supply chain. At the same time, a greater than average rate of adoption of technological enablers such as big data and analytics is being exhibited by them.

Especially at a time when digital transformation strategies must be expedited, even the most well defined and promising strategies are difficult to execute. A challenge can be to initiate and manage enterprise-wide change in large organizations with incumbent complexities in their technology core. According to the Boston Consulting Group, 70 per cent organizations including top performers and markets leaders, fail to achieve their digital transformation objectives.

Organizational inertia, among other multiple reasons, is the most common underlying factors for a failed digital transformation strategy because as important as technology is, the people dimension can make or break any digital transformation initiative.

A collective term is the people dimension that defines areas like operational models, processes, culture, and skills. Organizations often tend to underestimate the skill levels of people required to execute these strategies effectively, when it comes to threats against digital transformation. Digital Acceleration report reveals that about 35 per cent organizations consider their lack of in-house skills to be one of the largest impediments to their digital growth.

Simply up-skilling can only take progress in an ecosystem of digital acceleration, where data has become the lifeblood flowing through the organizational structure. Cross-skilling of employees and breaking down silos that limit visibility across the enterprise is what the companies should focus on.

Business functions share a competitive relationship rather than a collaborative one, which often leads to lost opportunities, not to mention the friction against digital growth. Resulting in hindered growth in the new normal, the ripple effects of such a situation includes negative impacts on the top and bottom line and brand presence.

Troubles like these only underpin the need for cross-functional, collaborative teams in the age of digital acceleration, which along with cross-silo collaborations are an invaluable requirement of the digital transformation journey.

A two-fold boost to the digital acceleration of businesses is provided by a powerful collaborative environment. Confidence and insights to invest in the right technology and propel the digital journey is provided by the enhanced flow of information and clarity. An edge that improves the revenue gains and growth is provided by more insightful investment in technology.

Organisations traditionally, have had complete control of the delivery mechanism of their products and services. From analysis to customer behaviour to product innovation, most functions are executed in-house, with a minimal transactional relationship with their partners.

Collaboration with partners with the current digital acceleration trend must become a matter of strategic collaboration defined by relationships beyond the contract.

The availability of a multi-directional approach to digital acceleration for digital transformation is perhaps one of the greatest benefits of having a strategic partner ecosystem.

Also read: Transformation of BFSI industry with cloud and AI combo

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