Most businesses will be increasing their investment in digital technology this year. This is according to a new report by DXC Technology, which concludes that new digital technologies can help businesses achieve greater cost savings and more profitability.
The report, entitled 2019: The Year of Digital Decisions, says four in ten businesses will be increasing their investments by 11 per cent or more.
As for where businesses stand with digital transformation at this moment, the report says that ‘just’ three key organizational functions have been digitally enabled. Biggest roadblocks to future adoption are tight budgets and security woes.
“Companies overwhelmingly recognise that digital innovation is now a requirement for them to compete and succeed,” said Dan Hushon, senior vice president and chief technology officer, DXC Technology. “The survey findings point to perhaps the most rapid, dramatic and sophisticated effort at reinvention that major businesses have attempted in many decades, and those surveyed are committed to investing to make digital happen.”
Besides being seen as means to save money, digital enablement is also perceived as a way to open new revenue streams. More than two thirds said they have earned more thanks to digitalization, and 74 per cent expect even more earnings within the next three years.
“We strongly believe that we can make the customer experience easier and simpler while leading to better outcomes through digital technology, and that will continue to drive our market share,” said survey report interviewee Neesha Hathi, executive vice president and chief digital officer at Charles Schwab. “Digital transformation also helps us scale our services while driving down costs for our clients.”
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