Cross industry and project-based transformation projects
While digital transformation has its share of challenges, inside industrial environments these soar as projects must cut across onshore and offshore locations, multiple plants, and complex assets says Mehmood Khan, Managing Director and Vice President – Middle East and South Asia, IFS.
The challenges of today’s macro-economic disruption have failed to dampen digital transformation plans. According to a global research study from IFS, 52% of companies will increase their spending on digital transformation. While many people might assume that businesses would pull back on technology spending, the reality is that investment is increasing.
During these dynamic times, plans to increase spending on digital transformation tracks closely with concerns about economic conditions disrupting the business. In fact, people concerned with economic disruption are 20% more likely to increase spending on digital transformation.
Appetite for digital transformation initiatives is, however, not consistent across all geographies or industry verticals. Construction leads with 75% respondents saying they have plans to invest this year. Next is information technology and manufacturing companies.
Appetite for digital transformation initiatives is, however, not consistent across all geographies or industry verticals
On the other end of the spectrum, energy and utilities industries are more cautious, followed by retail. The construction industry, which has historically been a laggard when it comes to enabling technology, is investing heavily to catch up with more digitally mature sectors such as manufacturing.
The construction industry, which has historically been a laggard when it comes to enabling technology, is investing heavily to catch up
Despite a widespread willingness to invest, digital transformation execution is fraught area for many decision-makers. The ability to deliver a measurable return on technology investment quickly, and to the satisfaction of internal stakeholders, is the number one concern for majority of decision-makers.
Despite a widespread willingness to invest, digital transformation execution is fraught area for many decision-makers
Many companies are wisely using the global downturn to divert resources to technological renewal and innovation. As most businesses are adapting to economic recovery, and not permanently scrapping digital transformation initiatives, there is reason to believe that companies with a progressive mindset toward technology investment will be well equipped to rebound.
While enterprise software will doubtlessly play a role in accelerating recovery, it is important to remember its vital role in helping companies here and now. Providing the necessary process transparency and analytics to ensure effective and informed decision-making is critical in these trying times.
The ability to deliver a measurable return to the satisfaction of stakeholders, is the number one concern
So how should decision-makers select enterprise software faced with economic and business challenges? When it comes to selecting enterprise software, most companies want to achieve efficiency improvement; reduce operational costs, and achieve digital transformation.
The application selection process is a chance to apply a rigorous evaluation of business requirements to ensure the ongoing success of the business. Factors such as cost, industry functionality, ability to achieve digital transformation, provide key comparison points between different solutions.
However, for many industrial decision-makers managing complex projects, finding a software solution that meets requirements is not as simple as it seems. Often operating in disconnected and challenging environments, decision-makers have come to rely on a patchwork of solutions and spreadsheets to run their operations.
The key reasons decision-makers struggle to find a software solution that meets such requirements is that it will typically cut across industries and operate both onshore and offshore. It will include project management, services, construction, manufacturing, and asset maintenance. In such a complex, hybrid environment, finding the best fit solution that meets all the requirements is tough.
Factors such as cost, industry functionality, ability to achieve digital transformation, provide key comparison points between different solutions.
