IDC Asia/Pacific has released as report assessing Asia/Pacific (excluding Japan) organizations' maturity and progress in their digital transformation initiatives, saying it shows Asia/Pacific organizations to be still at a nascent stage of digital transformation, with 45.4 percent of enterprises surveyed operating at the basic ad hoc level (ie digital resisters) and yet to establish basic digital transformation capabilities and adopt digital solutions systematically.
""The pace of digital transformation is accelerating in Asia/Pacific, but 45 percent of organizations are still in the first stage of DX maturity (out of 5 stages), compared with 14 percent in the United States,' said Daniel-Zoe Jimenez, associate director and lead of IDC's Asia/Pacific Digital Transformation research practice. 'Organizations in Asia/Pacific need to focus on accelerating their digital capabilities, otherwise they will face irrelevance. If successfully done, this will help drive competitive advantage, grow revenue, and ultimately increase market share.'
IDC identifies five stages of digital transformation: ad hoc, opportunistic, repeatable, managed and optimized. IDC also measures maturity across the five key dimensions of the IDC MaturityScape framework: leadership, omni-experience, worksource, operating model, and information.
Thirty three percent of organizations (the second largest group) fall within the opportunistic stage of digital transformation maturity, according to IDC. 'These organizations have already established basic digital capabilities, but to progress to the next stage of maturity (repeatable) they need to focus on increasing the integration and consistency of its digital initiatives.'
Jimenez said: 'Digital transformation is not just another technology trend, but a critical business priority for many CEOs and their leadership teams across Asia/Pacific. Processes and business models that were optimal a few years ago are now outdated '” or simply don't provide the speed and agility required to compete.'
The IDC MaturityScape Benchmark: Digital Transformation in Asia/Pacific (Excluding Japan) provides sub-regional insights based on the analysis of 13 countries across the Asia/Pacific region (Australia, China, Hong Kong, India, Indonesia, Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan, Thailand, Vietnam).
IDC says the ANZ sub-region is the most mature and its results are more similar to respondents in the United States than the total results at the APEJ level. Financial services, communications and healthcare show the most relative maturity at the overall digital transformation maturity.