Digital Transformation is fueling the demand for data solutions, with growing market opportunities and related growth goals are building business priorities for the C-level leaders. According to a recent study by Gartner for worldwide enterprises, the growing number of CEOs will be focusing on financial priorities, especially to improve profitability. Businesses demand agility and growth options to deliver financial goals. The annual survey of CEO and senior business executives in the fourth quarter of 2018 examined their business issues and some areas of technology agenda impact. The survey included 473 business leaders of companies with $50 million or more revenue while 60 percent with revenue of $1 Billion or more in annual revenue were qualified in the survey.
Mark Raskino Vice President at Gartner, added that after a significant fall last year in the growth mentions we saw an increase this year to 53 percent that is up from 40 percent in 2018. It gives a clear indication that CEOs have switched their focus back to tactical performances as cloud gathers pace for the business. The survey results gave business insights about various solutions that most of the businesses are looking for and how the geographical location is driving growth for businesses with more business to explore. The survey response has mentioned the other cities, states, countries, and regions added with new markets that will increase the geographical reach of the businesses. The new market scenario is divided into two categories; they are either industry related or virtual. Twenty-three percent of CEOs are seeing significant impacts that are arising with recent developments in the tariffs, quota, and another form of trade controls that are all set to change the business policies. CEO’s are generally concerned with rising political barriers, that relate with the business issues, suggesting that almost 58 percent of the CEOs are anticipating that it will completely impact their businesses in the future.
The way CEO’s are confronting the slow pace of growth for prospects and weakening margins is to seek diversification, that increasingly means that applications of digital businesses are all set to offer new products and revenue producing channels. Almost 82 percent of the respondents in Gartner survey has added that they are looking in developing new management initiative or transformation program or are currently implementing to make their companies more digital that is all set to reach 62 percent in 2018. Cost Management has been implemented on the Priority basis by the leaders when asked about the cost control methods 27 percent of the businesses added that technology enablement, securing the third spot after measures around the people and organizations such as bonuses and expense or budget management. However, as the businesses were asked to be more precise when they say productivity and actions, CEOs were much more inclined to thinks of digital business technology as a tool while Forty-Seven percent of the businesses added that the technology as one of the top two ways to improve productivity for the business.
Based on the recent assessment by Gartner, digital business are planning to include the whole executive committee. However, even many of the business leaders believe that C-level executives actually don’t possess the required skills. Making the business leaders reskill or look for new business executives that could lead their digital business. The businesses leaders around the world believe in the fact that sales, risk, supply chain, and human resource officers are in greater need of digital expertise. This makes it imperative for business executives, and leaders need to be comfortable with the digital sphere. New capabilities can be added with digital transformations to execute various business strategies. Though business leaders tend to deliver solutions that are much more based on skill based rather than on data-driven.
Businesses were asked about their competencies that the companies need at foremost level, 18 percent of the CEOs named that talent management at 18 percent where maximum focus would be there because the digital connectivity brings talent poaching situations. Technology enablement and digitization are foremost for 17 percent of the organizations, during data centricity of data management for 15 percent of the organization. Data Centric decision making is a key culture and capability in a management system that hopes to bring the digital game for the business. Executive leaders must be leading the business by becoming a role model to encourage and foster data centricity and data literacy in their business units and for the organizations as a whole.
Conclusion
Digital Transformation is depended on the data-driven models as the business leaders will need insights to actuate their investment in the digital transformation and look for stronger business solutions that can improve the process. A data-driven model offers end to end solutions to improve the customer experience and provide added satisfaction for the customers with reliability. There is no clear shortcut for the digital transformation; the temptation in moving the process orientation to digital orientation is set to cut some steps in the multi-year journey. The reality is, however, much more different, digital transformation involves more than collapsing one process into one set of data. As organizations drive further into the journey of digital transformation, many aspects of the business model must change as processes and data are interrelated. Businesses are moving more towards the software enabled, data-driven, and software-defined is worth the effort in terms of time and investment. The data-driven world is more context-based, where user interaction with various technologies can build further insightful data for the business.
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