cfo-au logo
Story image

Lack of C-suite and IT teams collaboration holding back DX - NTT

07 Aug 2019

According to NTT Ltd.’s 2019 Digital Means Business Report, 11% of organisations are highly satisfied with those in charge of spearheading digital transformation, despite the fact that almost three-quarters of them are already underway on their journey.

Organisations worldwide are achieving some success with digital transformation, but there’s still a strong belief that this evolution requires radical, far-reaching changes to achieve success.

This, when combined with a lack of strong transformational leadership and focus on the need to change people, is holding many companies back:

  • Some 71% of organisations in the early stages of transformation still believe a complete restructuring of the business and operating model is the primary definition of digital transformation.
  • Only 49% of respondents believe their leadership team has the right skills to manage the execution of digital transformation.
  • Lack of executive sponsorship or ownership is ranked as the top barrier to success.

This shortfall highlights the need for business leaders to change themselves, build a different environment, and set new behavioural priorities and performance indicators in order to drive a more proactive, tactical, and incremental approach to transformation.

The research also revealed there’s a direct correlation between organisations’ ability to realise relevant, outcome-driven value from digital transformation on a regular basis, and their digital maturity.

Yet, there still exists a discernible lack of alignment between IT teams and the wider business:

  • Only 29% of organisations are embracing digital transformation as a collaborative effort between business and IT.
  • While 42% of respondents say business and IT are delivering in a more integrated manner, supported in part with the introduction of a Chief Digital Officer function, only 12% are highly satisfied that planning is flowing effectively through to execution.
  • Almost half (49%) of digital transformation projects are still IT-led.

NTT  advanced competencies VP Wayne Speechly says, “Organisations are still grappling with how to shape their business to capitalise on a connected future.

“Digital creates the opportunity for value to be constantly derived from transformation initiatives across the business. Organisations should focus less on perfecting a grand digital plan, and more on taking considered and iterative steps in their transformation journey to progress value and clarity of subsequent moves.

“For various reasons, an organisation is its own worst enemy, so any change has to be supported by pragmatic, self-aware leadership who are themselves changing.”

The research surveyed over 1,150 executives, from 15 countries across North America, Europe, Middle East & Africa, and Asia Pacific, and from 11 industry verticals. 

The results provide an insight into how these leaders perceive the business opportunities presented by digital transformation, the delivery challenges experienced in realising a digital transformation strategy, and the value being achieved.

Story image
Five contact centre planning mistakes and how to avoid them
A well designed and managed contact centre can be an asset to your organisation but implementing one successfully calls for careful preparation, writes MaxContact director for Australia operations Daniel Harding.More
Story image
Study uncovers widespread artificial intelligence and machine learning knowledge gap
"This study shines a light on the struggle to balance the potential benefits of AI and ML against the ongoing challenges of getting AI/ML initiatives off the ground."More
Story image
Four reasons why application delivery is critical to DevOps
Selecting an application delivery solution that maximises automation and integrates into an existing DevOps environment is critical, writes Radware senior security solutions architect for APAC Yaniv Hoffman.More
Story image
Databricks launches on Google Cloud 
Under the partnership, organisations can now use Databricks to create a lakehouse capable of data engineering, data science, machine learning, and analytics on Google Cloud’s global, scalable, and elastic network. More
Story image
Verizon Business and Deloitte collaborate on retail industry platform
Verizon Business and Deloitte have announced a 5G and mobile edge computing retail industry digital platform focused on transforming customer experiences.More
Story image
CrowdStrike to acquire Humio for $400 million
The move expands CrowdStrike’s Extended Detection and Response (XDR) capabilities through Humio’s data ingestion and analytics expertise, which CrowdStrike says will deliver improved insights and better protection.More