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Digital transformation is set to spike in 2021

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(Image credit: Shutterstock / Blackboard)

The Covid-19 pandemic triggered an acceleration in digital transformation on an unprecedented scale, and the trend is set to continue this year.

According to a new report from Software AG, 97 percent of organizations went through digital transformation efforts last year, with the same number expecting investment to continue in 2021.

All of the companies that underwent digital transformation have one thing in common: they are relatively optimistic about the future. More than nine in ten of these organizations believe they are now more resilient and that the new technology will help them tackle future challenges. At the same time, though, they are aware customer expectations are likely to rise this year.

Polling 600 IT leaders in the United States, United Kingdom, Germany and France for the report, Software AG found that their approaches to digital transformation differ. While some are looking to consolidate their tech portfolios, others are more interested in diversifying it. Businesses are also split evenly between those looking to prioritize products and processes, versus support and service improvements.

“The COVID pandemic redefined digital transformation in the enterprise. While transformation has been an imperative that IT leaders have been championing for years, it took these historic circumstances for many business leaders to make it a priority,” said Dr Stefan Sigg, CPO at Software AG.

"The resulting acceleration was nothing short of miraculous, albeit necessary. Organisations had to take some big dramatic steps – and in some cases a leap of faith – to make their businesses work in the most difficult circumstances. The reward is that the benefits will stretch well beyond the pandemic.”