How Covid-19 Has Speed Up The Digitalization And Transformation of Business
There is no doubt that Covid-19 has accelerated the degree of digitization of both companies and human beings. Videoconferencing – business, leisure, health, etc. – online shopping and online entertainment platforms are already a daily reality for most of us.
In order to stay competitive in this new business and economic environment, the Covid-19 crisis has brought years of change in the way companies in all sectors and regions do business in only a year. According to a recent McKinsey Global Survey, companies have accelerated the digitization of their customer and supply-chain interactions and of their internal operations by three to four years.
When survey respondents were asked why their organizations didn’t implement these digital changes before the crisis, just over half say that they weren’t a top business priority. The pandemic removed this barrier, however this suggests that companies have probably refocused their offerings rather than made huge leaps in product development in the span of a few months.
For most, the need to work and interact with customers remotely required investments in data security and an accelerated migration to the cloud. The majority of respondents expect that such technology-related changes, along with remote work and customer interactions, will continue in the future.
The results also indicate that along with the multi-year acceleration of digital, the crisis has brought about a sea-change in executive mindsets on the role of technology in business. Now, according to the survey results, only 10 percent view technology in the same way; in fact, more than half say they are investing in technology for competitive advantage or refocusing their entire business around digital technologies.
Since inlea’s founding in 2005, we have opted for digitization as a key element in the DNA of each company we collaborate with. All services in the four areas – Legal, Business, Tech and HR – share the same denominating factor: technology.
Read the full McKinsey & Company study here.
