‘The Cycle of Progress’, a study by Tata Communications, reveals that leaders have vastly different takes on their organisation’s digital transformation compared with the managers who are implementing the new technologies.
According to the survey, decision makers in Europe and North America are more optimistic about the potential of digital solutions in boosting their competitiveness compared with their peers in Asia and the Middle East.
The bi-annual study aims to assess the power and potential of digital infrastructure in the global digital economy by tracking decision makers’ views around emerging technologies.
“’The Cycle of Progress’ sounds a warning call for businesses, with a clear ‘perception versus reality’ gap emerging between different levels in organisations, as innovation gathers momentum, this disparity highlights that directors and business unit heads must get better at informing the CEO of any challenges they are facing when rolling out new technologies such as IoT and AI. CEOs should ask their teams more probing questions and not get carried away by the digital transformation hype. This reality check will help businesses make the most of the latest technology innovations to deliver new customer experiences and reimagine how they operate.” said Srinivasan CR, Chief Digital Officer, Tata Communications.
Decision makers are firmly focused on the positive impact of technology. According to ‘The Cycle of Progress’, there is a ‘significant’ positive impact from IoT, predictive analytics and AI.
The study suggests that business leaders in the West tend to have a less optimistic view on AI than their Eastern counterparts.
“Despite scaremongering by some that humans and robots can’t co-exist, our study clearly demonstrates that business leaders are focused on the positive impact of technology innovation, And, while the AI hype machine may be rumbling into overdrive, it seems that currently businesses rate both IoT and predictive analytics as bigger drivers of digital transformation than the emerging uses of AI we hear so much about” continued Srinivasan CR.
The study further suggests that some technologies are fast becoming ubiquitous in large and small organisations alike. IoT, predictive analytics, AI and blockchain are the most widely adopted in the respondents’ organisations, with Sales and Marketing and Customer Service functions are ahead in using these technologies than Finance, HR and Legal departments.
The study also shows that decision makers in Asia and Middle East have seen greater benefits than those in Europe and North America after deploying these technologies.The problems arising from deploying new technologies are universal.
Despite the benefits of digital technologies, anxiety surrounding spiralling costs security and privacy are the key adoption barriers for business decision makers, according to to the study. Business leaders don’t feel prepared for the impact of digital innovations, with the lack of appropriate skills cited as a concern by 30% of all respondents and a similar proportion highlighting that there is a lack of understanding among employees about new technologies being implemented.
“Businesses’ technology requirements are growing in complexity in today’s digital economy: they need not only new platforms and systems on which to build new innovative services seamlessly and securely, but also an organisation-wide shift in mindset. In this landscape, there needs be a culture of constant learning and agility to accelerate digital transformation across the business,” concluded Srinivasan CR.
