The Most Lagging Industries in the Implementation of Digital Change
Digital transformation is primarily a qualitative change in the business model, a reduction in human labor, a revolution in infrastructure, and a product agile approach. Fifty-seven percent of the experts surveyed believe that business has not yet reached this stage and is still in the process of optimization.
However, the situation differs from industry to industry and from business size. The introduction of digital technology does not give a competitive advantage over short distances and requires investment. It seems to be suitable only for large businesses, but according to Greg McAlpin, small businesses have an advantage – less inertia and greater speed of change. At the same time, the expert notes, small businesses are mostly consumers of packaged products and users of a certain ecosystem, while big businesses create these ecosystems themselves and it is important for them to be the first to find and apply technologies.
The criteria by which, according to respondents, businesses can determine that they are on the road to digital transformation: fully electronic document management; the ratio of digitized and non-digitized processes in favor of the former; productivity is not reduced when employees work remotely; conducting and evaluating experiments. flexible work methodologies; the percentage of services that customers can receive without physical contact with the company; data-driven decision-making; willingness to invest in internal development.
The first to master these criteria was the retail industry. 43% of the experts named retail as the leader in terms of digital change. Next in this list: 33% in the banking sector and fintech, 30% – HoReCa, including food delivery, 28% – education, the five leaders are followed by medicine and pharmaceuticals.
“We have been conducting this kind of research for several years and we see changes. In the last 5 years, one of the most powerful industries in which there has been digital change was fintech. Now the trend has shifted – retail is ahead. Two factors have played a role: the industry has long been interested in developments, but has not actively implemented them. Plus, the coronavirus became a trigger, activating internal processes”.
In the opinion of the speakers, the real sector lost out to the technology race: industry, agriculture, construction, mining and processing of minerals.
The relevance of digital transformation, regardless of the business sector, emphasizes half of the experts surveyed. The most popular tool for getting started is a CRM-system. If businesses ignore technology, in 2021, it will “shrink” and lose market, according to 63% of respondents. If you say yes to digital transformation, remember that the main change is not the implementation of digital infrastructure, but changing the DNA of the company: the way of thinking, top management, the way decisions are made and creating a culture of experimentation and agile development.
“The key barrier to digital transformation is a lack of a competent workforce,” Greg McAlpin believes. – People and the environment are the fuel for digital transformation, and without it, it won’t fly.”