Digital.ai released the Digital
Transformation Progress Report, detailing the findings of a survey of over
600 enterprise IT, Security, and Business decision makers on the state of
digital transformation in their business during the COVID-19 pandemic. Survey
respondents overwhelmingly agreed that visibility into planning processes and
the alignment of software development and delivery processes to business objectives
are critical to driving better business outcomes. However, more than half
reported issues providing that visibility and alignment, calling in to question
the long term success of today's digital transformation initiatives. The
research also revealed a wide range of issues relating to digital
transformation, including concerns about ROI, security, and the ability to
compete in today's digital environment.
The overwhelming majority (99%) of leaders
agreed that organizations need visibility into business planning processes to
produce better outcomes, but only 62% said they can provide that visibility and
34% admitted they are doing poorly at providing visibility. Additionally, 94%
of respondents said organizations need software development and delivery to be
better linked with business objectives, but only 54% said their Business, IT,
and Security teams are strategically aligned and working toward the same goals
and objectives. What's more, 78% of leaders said COVID-19 has further impacted
the alignment between business and IT value streams in their organizations.
"Most of today's Agile and DevOps tools are
designed for the workgroup, making visibility and alignment fairly easy to
achieve at the team level. However, scaling to the enterprise is far more complex,
as organizations must break down silos and manage teams of teams that embrace
different cultures, tools, and systems," said Derek Langone, Head of Strategic
Transformation at Digital.ai. "We've found that in large enterprises that
succeed at true digital transformation, business and technology teams work
collaboratively to define value and drive outcomes. These companies typically
organize themselves in terms of value streams, employ an open approach to
sharing information, and leverage enterprise-grade solutions that offer full
visibility and rich, predictive insights across the entire organization."
While 94% of respondents said they are familiar
with the concept of value stream management, and 95% believe their organization
is definitely or probably practicing value stream management, only about half
(53%) of the organizations said their business and software value streams are
very aligned, and just 60% say their organizations are very customer centric.
Moreover, there was no clear consensus on what value stream management means to
the enterprise.
Gartner predicts that "by 2023, 70% of
organizations will use value stream management to improve flow in the DevOps
pipeline, leading to faster delivery of customer value and the use of value
stream delivery platforms to streamline application delivery will grow from 10%
to 40%." 98% of
survey respondents reported they are likely to use a platform that connects
software delivery process to business objectives and provides insights needed
to make decisions that increase value delivered to customers, and 63% said they
would be very likely to use such a platform.
Alan
Brown, Author and Professor in Digital Economy at the University of Exeter
specializing in agile approaches to business transformation, noted "The gap
between investing in business transformation versus reaping the benefits has
always existed but has been heightened in the last year. At the heart of it,
digital or business transformation is not about doing everything faster, but
about doing more of the right things efficiently. Automation and Value Stream
platforms can go a long way to help organizations overcome key obstacles and
enable them to achieve more of the intended results of digital transformation."
Additional
Findings
Although
most leaders said digital transformation was going well at their organization,
the survey also found the majority have serious concerns about the state of
their programs:
- 91% said they need to
get more out of their digital transformation initiatives,
- 49% are not seeing the
results they expected from their digital transformation initiatives,
- 56% are worried about
the return on their digital transformation investment,
- 63% are worried about
releasing security vulnerable products, and
- 54% believe problems
with digital transformation have hurt their company's bottom line.
With
regard to the COVID-19 pandemic, the majority of leaders said their
organizations have responded well to the situation. However, when asked, more
than half (55%) are concerned about their organization's ability to respond to
change and their ability to compete in today's digital environment (54%).
To
download the full findings of the Digital.ai ‘Digital Transformation Progress
Report' visit: https://info.digital.ai/digital-transformation-progress-report.html