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An IDC Infographic, Sponsored by Infor

Digital Transformation By IndustryDESIGNING TOMORROW

of companies believe a digitally-enabled competitor will gain a competitive advantage within the next five years.

Discrete Manufacturing and Wholesale

The Top Barriers to Transformation

While disruption is a big part of

what drives DX in the long termthe short term is about efficiency and effectiveness.

TOP DRIVERS BY INDUSTRY:

REPORT DISRUPTION AS THE TOP FACTOR DRIVING TRANSFORMATION.

IT leads OVER 1/3 of the time, influencing the extended enterprise:

are core tenants of transforming successfully

Discrete manufacturing and wholesale

Existing business model is a signigficant barrier to transformation:

Process manufacturing Healthcare Public Sector

Steps to Becoming Digitally Transformed

Enterprise Digitization and Digital Transformation Are Necessary

Cross-Functional Engagement Is Critical

Leverage technology, strategic partners, your own management systems, and people to fully address these requirements:

Have a clear sense of your own digital identity, and develop a complete digital vision and strategy. This strategy should incorporate the business model, goals, measures, and underlying core competencies required to transform, including those that need to be done internally, as well as those that require partners.

Align to the rapidly changing world around you. Understand how digital is transforming markets and where you need and want to compete.

Value ideation and trying new things.Be open to new ways of thinking, with a strong ability to execute ideas at speed and scale.

Develop a management-for-change set of competencies.Efficiently and effectively organize yourself for learning and collaboration across employee teams, functions, and external partners.

Measure the journey and outcomes. This includes process cycle times, degree of automation, and the desired outcomes, while also being mindful of time-to-value and getting there quickly in a sustainable fashion.

The Bottom LineTransformation is a long-term, strategic opportunity.

Winning companies must take both near-term and long-term approaches across multiple horizons to implement the necessary change management, cultural pivots, measurement systems, and organizational and business models—all of which must be supported by enabling technologies.

OVER 67%

51%Process

Manufacturing

57%Healthcare56%

Retail66%

Public Sector

Discrete Manufacturing and Wholesale

Process Manufacturing

Healthcare Retail Public Sector

45%

37%

36% 35% 32% 33%

Digital Transformation Must Be Optimized Near and Long Term

The implications:

DIGITIZATIONAND TECHNOLOGY

1

2

3

4

5

of those surveyed stated digital transformation success is best led by both IT and line of business:

ALMOST HALF

These industries believe it is highly likely to happen in the next 12 months or say that it has already happened:

27% 32% 34% 40% 23%

It is clear that industries and sectors closer to the ultimate consumer are being disrupted at a significantly higher rate today than those further upstream in the value chain.

Discrete manufacturing & wholesale, process manufacturing, and healthcare will be disrupted at the same level that retail is today once a critical-mass inflection point is reached. It’s simply a matter of when it happens.

Improve productivity

• Discrete Manufacturing and Wholesale 36%

• Process Manufacturing 37%

• Healthcare 30%

• Public Sector 41%

Critical to business success

• Retail 42%

Manufacturing (discrete, wholesale, and process)

32%Healthcare37%

Retail27%

Public Sector40%

Manufacturing (discrete, wholesale,

and process)

32%

Healthcare

37%

Public Sector

41%Retail

27%

Top barrier for most industries is the business model; but for retailers, the model shifts constantly. For other industries, it can be problematic over time if they cannot respond in an agile fashion.

Top Barriers by Industry

Retail: 24% cite knowledge challenges as a top barrier, likely due to the decline of brick and mortar retail combined with higher storefront staff turnover.

Culture, organizational structure, and knowledge are also top barriers.