Before diving into the key actions you can follow to transform your procurement organization, let’s consider a recent scenario I heard from a client. This will give you a better picture of the kinds of problems the key actions provided further in this article can help you tackle.
Today’s IT market continues to advance and expand, which means that organizations are more empowered to focus on digital transformation. Enterprises continue to leverage these technologies to innovate, establish new revenue streams, and create better experiences for customers.
A big part of the next era of technology is intelligence. Organizations are devoting more of their budgets to adding and strengthening these applications in their own business. Third Platform technologies are a significant part of this investment in intelligent technologies.
We can all acknowledge that the same technologies that are driving digital transformation within organizations are also rapidly transforming work as we know it. Much has been written in the mainstream media about the impact of the cloud, big data analytics, artificial intelligence and robotics on the future job market. But the story isn’t all doom and gloom. In a recent IDC survey, almost half of U.S. organizations surveyed (47%) thought that AI and robotics will have a positive impact on their organization’s jobs in the next 3 years.
Somewhere along the way of the marketing campaigns and the market hype, the industry has forgotten why we are digitally transforming and what it means. If we rewind, traditional organizations are being disrupted by digital startups; they are seeking ways to innovate more rapidly, be customer-centric, harness data to generate insights at scale, and ultimately transform their operations to compete in the digital economy.
IDC Financial Insights’ latest insurance research uses the IDC MarketScape model to present a 2018-2019 assessment of 13 vendor companies servicing the insurance organizations across the globe in their digital transformation (DX) initiatives. This research is a quantitative and qualitative assessment of a vendor’s ability to enable insurance organizations to succeed in their DX initiatives and help anticipate its ascendancy.
Are you ready to compete in the digital economy? Has your organization strategized and actively pursuing DX technology initiatives? Or is your organization just starting to figure out what it means to be digitally transformed? If you are just starting, you better quicken your pace, because IDC believes by 2020, 60% of all enterprises will have fully articulated an organization-wide digital platform strategy and will be in the process of implementing it.
This past Spring, I spoke with numerous digital leaders who are feeling distraught. They know what needs to be done but feel a lack of empowerment. Either their CEO is not making the difficult organizational moves, or their organization has multiple strategies, or their investors are taking a short-term view when it comes to funding decisions. These are some of the challenges they feel they cannot overcome on their own.
Read this blog for an overview on where the conversation surrounding the massive DX Spending trend is taking us — to a more granular and focused discussion, in which the size of the market is far more relevant. Learn why those that speak of DX only in the context of business model change are missing the mark.
Unlike a few years ago, U.S. federal civilian agencies are not seeing double-digit annual growth in information technology spending. But moderate growth is still underway. Some of these spending increases are happening because agencies face significant ongoing expenses related to maintaining legacy systems.