RALEIGH, N.C. (PRWEB) March 20, 2018
Today, PointSource, a Globant Division, releases its newest data report, “2018 Digital Transformation Report,” uncovering the rash technology investments organizations are making amid pressures to achieve true digital transformation in 2018. The report found that while decision makers are well aware that digital transformation is essential to their future, many are still jumping into new technologies that do not align with their current digital transformation pain points.
All too often, company decision makers invest in technologies without taking a step back and assessing how those technologies fit into their larger digital strategy and business goals. While the majority of such companies perceive these investments as a fast track to the next level of digital maturity, they are actually taking an avoidable detour.
To better understand the state of digital transformation across today’s organizations, PointSource surveyed more than 600 senior-level decision makers on their 2018 technology investments, the motives behind those investments and how ready they really feel for these new technologies.
PointSource found that the majority of companies are investing in technology that they don’t feel confident in using. In fact, at least a quarter of companies plan to invest more than 25 percent of their 2018 budgets in artificial intelligence (AI), blockchain, voice-activated technologies or facial-recognition technologies. However, over half (53 percent) of companies do not feel prepared to effectively use AI, blockchain or facial-recognition technologies, with senior managers saying they’re most ready for voice (55 percent).
“We’re finding that many organizations are making the same mistakes twice when approaching digital transformation. They’re rushing to make huge investments in technologies that are perceived to have high ROI, and then failing because they aren’t prepared – leaving them with technologies that don’t work as intended or conflict with existing systems,” said Greg Ng, VP of Digital Transformation at PointSource. “It’s important that when organizations feel the pressure to go digital, they take time to make sure they’re making rational technology choices rather than just investing based on hype or what their competitors are doing. History doesn’t have to repeat itself if organizations are proactive about these technology investments.”
The key findings of the report include:
- Companies are actively focusing on digital. Ninety-four percent have increased focus on digital growth within the last year, and 90 percent say digital plays a central role in their overarching business goals.
- Regardless of company age, existing technology isn’t cutting it anymore. Fifty-seven percent of senior managers and above are unsatisfied with one or more of the technologies their organizations’ employees rely on. Younger companies aren’t immune to these pain points either – 65 percent of companies with less than a decade of experience report this issue as well.
- The majority of companies feel digitally outdated. Nearly half (45 percent) of decision makers feel that their company’s digital footprint is outdated compared to that of their competitors.
- Investments don’t align with perceived benefits. At least a quarter of companies plan to invest more than 25 percent of their budgets in artificial intelligence (AI), blockchain, voice-activated technologies or facial-recognition technologies. Yet those investments don’t align with what their senior managers and above consider to be their biggest differentiator, top initiatives, or what’s needed to help drive internal growth in 2018.
- Technology purchasing decisions aren’t democratic across the c-suite. CTOs lead the purchasing process just 11 percent of the time. Likely a key factor in why over half (53 percent) of companies don’t feel prepared for the technologies they’re investing in.
- Technology difficulties are taking a toll on employee collaboration and motivation. Sixty percent of decision makers don’t feel confident that their organizations’ key audiences are accurately defined. Meanwhile, departments are fighting one another over budget and resources (60 percent), and constantly wasting time tracking down/sharing digital information internally (90 percent).
“Decision makers considering digital investments should begin by acknowledging a problem or identifying an opportunity, using data to guide and validate, and then map the right solutions,” furthered Stephanie Trunzo, Chief Operations Officer and Chief Digital Officer at PointSource. “Too often companies attempt to start a transformation journey with technology first, or in a silo of a single department. Starting with small incubators is frequently a necessary and practical way to start; however, those incubators need to use success as a spark to blaze a bigger fire. Eventually, companies need to collaborate across departments, focus on where they are going, and then allow technology decisions to be the subplot supporting their primary narrative.”
To download the full report and learn how organizations can make more prepared technology buying decisions, visit http://www.pointsource.com/digital-transformation-report.
PointSource, a Globant Division, is your first step in digital transformation. They bring business, marketing and technology together to create transformative digital solutions. Successful digital strategies combine enterprise expertise and user engagement knowledge. PointSource blends the creative energy of an agency with the technology savvy of a development firm to build digital solutions that solve complex problems and change businesses. For more information, please visit http://www.pointsource.com.
Walker Sands Communications