Latin America. CA Technologies announced the results of a report on the impact digital transformation is having on businesses around the world in its new global study it conducted with senior-level business executives and IT executives.
The Keeping Score: Why Digital Transformation Matters survey demonstrates the strong relationship between business performance and the technologies and practices that underpin digital transformation, while revealing a significant growth opportunity. The study also showed that deepening adoption of practices such as Agile, DevOps, API management, and identity-centric security intensifies business impact by up to 52%.
"The rise of the customer experience today is fostering technology —particularly software—and making it the driving force of every company's business model," said Otto Berkes, chief technology officer at CA Technologies. In its new book Digitally Remastered: Building Software into Your Business DNA, which was released today, Berkes observes that "the path to the future involves creating a modern software factory that thrives on an agile and efficient software development process, while relentlessly translating customer needs into experience delivery."
The research also presents the Digital Transformation Business Impact Scorecard (BIS), a global ranking of countries and industries using 14 key performance indicators (KPIs) critical to the success of digital transformation.
The scorecard results clearly indicate that digital transformation is paying off with tangible benefits, as respondents reported:
* 74% report improvement in customer experience;
* 76% report improvement in digital reach;
* 33% report an increase in speed to market;
* 40 percent report an increase in customer satisfaction;
* 37% report an increase in revenue from new business.
Developing countries top the list
Against a global BIS average score of 53, many developing countries top the list: India (79), Thailand (71), Brazil (69), Indonesia (66) and Malaysia (64). The U.S. scored 57 points and all countries in Europe scored lower.
Emerging and developing economies are more likely than mature countries to start their digital transformation efforts with a "clean slate" approach, given that they have to manage fewer legacy environments. Therefore, the benefits can be faster and more significant.
From a vertical sector point of view, the top five industries were telecommunications (59), banking and financial services (57), public sector (56), retail (54) and health (53). The surprising performance of the public sector confirms once again the strong emphasis governments have placed on harnessing the app economy and digital transformation to create more jobs, increase tax revenues and offer better services to their citizens.
The research also explored key technology options and best practices that companies are implementing in their digital transformation efforts and how they impact business performance. To measure impact, the research mapped the level of maturity of adopting these practices against the results of the Business Impact Scorecard and found that
· Expanding Agile practices beyond development to reach the entire enterprise increases digital transformation business performance by 33%.
· Incorporating DevOps practices into the organization's culture increases BIS performance by 35%.
· Applying a more managed, lifecycle approach to APIs increases the business impact score by 52%.
· Implementing identity-centric security that uses behavioral context analytics and more adaptable and predictive approaches to whistleblowing increases digital transformation business performance by 24%.
"It is clear that digital transformation is a journey and a common element for process improvement. With the pivotal role software currently plays in helping clients execute their digital strategies, you could be doing things right today, but you could do them even better tomorrow. Advancing more and more in the adoption of these essential enabling technologies and practices must be highest on the agenda of all business executives," Berkes continued.
About the research
Conducted by Coleman Parkes between May and June 2016, the survey included 1770 senior-level business executives and IT executives from large enterprises from 21 countries and 10 industry sectors.
