Here's how digital dexterity helps grow your business

Few companies have successfully used digital technologies to evolve their organisation into truly digital businesses, a new report by Capgemini Consulting shows.

The report, entitled “Organising for Digital: Why Digital Dexterity Matters”, found those that did manage, were twice as likely to be reporting industry leading growth, profitability and customer satisfaction than their competitors.

“Digital dexterity” is the ability to rapidly adapt organisational design to realise more value from successive digital transformations – like becoming more intelligent organisations through systematic data-driven decision making, devolving more decision power to frontline employees, or enabling seamless cross-boundary collaboration.

The report is based a survey of 274 industry executives, representing 150 different enterprises across 28 countries.

It uncovers several key attributes that set the most digitally dexterous organisations apart from others:

  • A digital-first mindset that prioritises digital solutions first and foremost
  • Systematic experimentation to drive innovation across the organisation
  • Ability to self-organise quickly around new digital opportunities
  • Empowering the organisation’s workforce through access to data
  • Engaging employees by encouraging collaborative problem-solving.

It also reveals that advanced levels of digital dexterity allows organisations to seize opportunities and respond to disruptions much more quickly than their traditional competitors.

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N=135; Percentages indicate share of organisations/firms agreeing with each statement
Source: MIT Center for Digital Business and Capgemini Consulting Analysis

It is more imperative than ever for an organisation to build Digital Dexterity – the hallmark of a Digital Organisation – but organisations are showing varying degrees of building this dexterity in to their design:

  • A small cadre (7 per cent) of leading organisations exhibit a digital-first and dexterous mindset; they have fully digitised operations, are able to quickly self-organise, detect emerging trends and hold significant experience and skills in digital technologies.
  • The majority of companies are still in a transition phase trying to cope with the instability between the new and the old organisational models. Many (56 per cent) are in the ‘initiating’ phase, just starting the shift and slowly building their digital competencies, while a significant number (21 per cent) are in the ‘engaging’ phase and well underway with transition, with various digital capabilities in personalising customer experience, simplifying routine tasks and enabling collaboration within and beyond an organisation’s boundaries.
  • 16 per cent of organisations are ‘stalling’, without any significant digital capability and grappling with its possibilities, inflexible and unable to respond to emerging trends and customer needs.

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Source: MIT Center for Digital Business and Capgemini Consulting Analysis