In a new analysis of companies’ top digital transformation priorities, Frost & Sullivan measured the current use and future decision-making behavior toward IT and communications; monitored the status of digital transformation (including the implementation plans for emerging technologies such as artificial intelligence, the Internet of Things and blockchain); and evaluated drivers behind investments and challenges across verticals and regions.
Frost & Sullivan surveyed 1,636 IT decision-makers worldwide for its report. Here’s what it learned:
- The retail (44%) and transportation (43%) sectors are ahead of others in their digital transformation.
- More than two-thirds of companies anticipate their sales and marketing departments will be impacted the most by their companies’ digital transformation efforts.
- Enhancing customer experience, digital presence and sales and marketing effectiveness are the three major drivers for IT/telecom investment over the next two years.
- Improving operational efficiencies is a top priority in Asia-Pacific and Latin America, while upgrading customer experience and satisfaction is the most important corporate goal in North America and Europe for 2020.
- According to 41% of companies, malware is the greatest security threat, followed by security misconfiguration and hacking. Common in both smartphone and desktop platforms, malware is any piece of software that was written with the intent of damaging devices, stealing data and generally causing a mess.
- The Internet of Things (IoT) is being used by 65% of companies, with nearly 42% of organizations developing IoT through a third-party service provider. (Government is the predominant in-house developer of IoT.)
- IT and communications, finance, banking and insurance are the top industries implementing artificial intelligence.
- Cost of integration remains a major setback for the adoption of new digital technologies.
Cyber Threats are a Core Concern
As the pace of digital transformation continues to accelerate, these and related trends will continue to have an impact on how companies operate in the global business environment. For many, the key driver will be the growing number of both existing and emerging cyber threats.
"Keeping pace with new and continuously evolving security threats is a key reason for ongoing digital transformations,” Frost & Sullivan’s Marta Bierca said in a press release. “Security is the number one critical decision-making factor.
“It is also one of the top reasons companies plan to replace technologies they currently use,” she continued. “Ensuring a high level of network security must be a big part of decision-making when developing products over the next two years.”
