According to a new Digital Transformation Index from Dell Technologies, only 7% of Irish businesses are classed as digital leaders.
In a survey of more than 4,600 business leaders across mid to large enterprises in 42 countries, the research explores where digital business demands and pressures are coming from, what a digital business looks like, approaches to digital business and how well they are doing.
Major impediments
Some of the key findings were that 93% of businesses in Ireland are facing major impediments to digital transformation, though 40% believing they will disrupt rather than be disrupted. A quarter of Irish businesses are worried they will struggle to meet changing customer demands within five years, with almost the same proportion (22%) fearing their organisation will get left behind in the same period. Business leaders identify data privacy and cybersecurity concerns as the biggest barrier to digital transformation.
“We’ve talked about being on the cusp of tremendous change for some time now,” said Aisling Keegan, vice president and general manager, Dell EMC Ireland. “That’s no longer the case. As the DT Index reveals the next digital era has arrived and it’s reshaping the way we live, work and conduct business in Ireland.”
“With only 7% of Irish businesses considering themselves as Digital Leaders, there is an urgent need for digital transformation to become the number one business priority,” said Keegan.
While the digital leaders proportion was small, digital adopters, or those who have a mature digital plan, investments and innovations in place, was 11%. Those who are cautiously and gradually embracing digital transformation, planning and investing for the future, were at 39%, with the followers, who have few investments and are tentatively starting to plan for the future, at 31%.
Inhibitors
Transformation inhibitors were listed as: lack of budget and resources; data privacy and cybersecurity; lack of the right in-house skills; lack of senior leadership and lack of alignment and collaboration across the company. Despite these inhibitors, more than three quarters (78%) of business leaders believe that digital transformation should be more widespread throughout their organisation.
Dell said the research indicates that businesses are taking steps to overcome barriers, along with the threat outmanoeuvred by more nimble, innovative players. Although progress in these areas is patchy/slow. This is evidenced, it says, by 41% of business in Ireland are using digital technologies to accelerate new product/services development. More than a third (38%) of businesses building security and privacy into all devices, applications and algorithms. Almost half (43%) are striving to develop the right skills sets and expertise in-house, such as teaching staff how to code.
New technologies
As is the broader case elsewhere, Irish organisations are looking to new technology to power their transformation. Over the next three years, nearly two thirds (61%) intend to invest in cybersecurity, while 41% intend to invest in IoT technologies. A third intend to invest in multi-cloud, with almost the same proportion (30%) looking to invest in Flash technology, while slightly less (29%) will invest in Artificial Intelligence.
To help businesses address these issue and challenges, the Dell Technologies Forum in Dublin is on the 18 December.
See the Dell Technologies Forum web site.
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