Topics In Demand
Notification
New

No notification found.

Digital Enterprise Maturity: The case for assessing, tracking, and monitoring Maturity via an Index
Digital Enterprise Maturity: The case for assessing, tracking, and monitoring Maturity via an Index

July 27, 2022

245

0

Enterprises have witnessed a paradigm shift in their digital transformation imperative, especially post the mighty blow of Covid. As ‘phy-gital’ and ‘hybrid’ become the ‘next-normal’, the business case for going digital is becoming increasingly prominent, and enterprises need to interweave digital transformation in every nook and corner of their workflows, to survive in today’s rapidly evolving dynamic environment. Board-room conversations, business strategies, growth plans, risk management models, business continuity plans, et al need to all factor in digital transformation as a key focus area.

As enterprises strive to normalize ‘the new normal’, the famous phrase Every Company Is a Technology Company’ proves to be truer now than ever. Macro-level factors such as the expected size of global technology spend pegged at $1.8 Tn in 2022, up 6.5% from the $1.7 Tn in 2021​; size of the global digital economy estimated to reach ~$53 Tn in FY2023 constituting >50% of nominal GDP, and accelerated consumption trends in digital commerce, payments, digital content consumption, work-from-home (WFH)-related infrastructure, and smart devices, etc. are key drivers for enterprises to fast-track their digital transformation journey and pivot towards accelerated adoption of core digital technologies such as Cloud/Edge Computing, Artificial Intelligence/Machine Learning (AI/ML), Internet of Things (IoT) & Cybersecurity, while dipping their toes in experimenting with nascent technologies such as Web 3.0, Metaverse, Connectivity technologies (5G/6G, WiFi6, etc.), Quantum Computing, etc. ​Moreover, digital revenues for service providers formed more than a third of their total revenue in FY2022, up from 20-25% in FY2020, indicating a significant leap forward in the digitalization journey of businesses. In fact, the role of solution providers has now become much broader as they need to go above and beyond mere delivery of products/services to co-innovate and enable adoption of responsible and sustainable technology solutions.

Further, the digital transformation journey for enterprises has transitioned from being an ‘option to thrive’ to a ‘necessity to survive’ making it imperative for businesses to measure, track and monitor the express pace at which companies are accelerating the adoption of digital technologies worldwide and scaling up the digital maturity curve. Thus, NASSCOM and Avasant have constructed “The Digital Enterprise Maturity Index” – a multivariate comprehensive, yet adaptable and scalable assessment framework, to be updated annually, that delineates key attributes of highly mature digital enterprises and can act as a yardstick for end-user enterprises to calibrate digital maturity and benchmark their performance within the sector, region, as well as globally.

The Index which is at the heart of NASSCOM and Avasant’s recently published report, titled “DIGITAL ENTERPRISE MATURITY 3.0: Boosting Business Resilience through Technology”, is constructed on the basis of three broad dimensions of digital maturity – Digital Strategy and Investments, Technology Adoption, and Digital Talent – and 14 primary parameters that form the multifactor assessment model. Further, we have identified five phases of digital maturity – Beginners, Followers, Strivers, Accelerators, and Transformers – classified on a scale of 1 to 5 (1 being the lowest and 5 being the highest), with Transformers comprising the most digitally mature organizations.

abcd

In contrast with the pre-pandemic trends reported in our first Digital Enterprise report in early 2020, a markedly rapid upshift along the maturity curve has been observed in the third edition of the report published last week, with a robust outlook for the current financial year, FY2023. In times to come, the concept of digital maturity itself will continually evolve and our endeavour will be to reassess, reclassify and recalibrate the varying trends year-on-year via the Digital Enterprise Maturity Index.

In order to comprehend the future shifts in digital priorities of enterprises, compared with past trends, as well as for an in-depth analysis of disparate attributes of enterprises classified into different maturity stages; granular enterprise-level, sectoral and geographic nuances; and insights on how organizations diversify their digital spend, the focus on Cloud, outlook on spends towards next-generation technologies and overall transition in the nature of digital transformation that an enterprise individually, and a sector at a broader level aspire towards, please download the report available at the following links:

NASSCOM Website: https://nasscom.in/knowledge-center/publications/digital-enterprise-maturity-30-boosting-business-resilience-through

NASSCOM Community: https://community.nasscom.in/communities/digital-transformation/digital-enterprise-maturity-30-boosting-business-resilience

Earlier versions of the report are accessible on the below-mentioned links:

A NEW ORDER OUT OF CHAOS-BUILDING A FUTURE READY ORGANISATION-https://community.nasscom.in/communities/digital-transformation/new-order-out-chaos-building-future-ready-organisation

REIMAGINING INDIAN ENTERPRISES' TECH LANDSCAPE IN A DIGITAL-FIRST WORLD – A NEW ORDER OUT OF CHAOS- https://community.nasscom.in/communities/digital-transformation/reimagining-indian-enterprises-tech-landscape-digital-first

DEFINING THE DIGITAL ENTERPRISE - MAR 2020 -https://community.nasscom.in/communities/digital-transformation/defining-the-digital-enterprise-mar-2020.html


That the contents of third-party articles/blogs published here on the website, and the interpretation of all information in the article/blogs such as data, maps, numbers, opinions etc. displayed in the article/blogs and views or the opinions expressed within the content are solely of the author's; and do not reflect the opinions and beliefs of NASSCOM or its affiliates in any manner. NASSCOM does not take any liability w.r.t. content in any manner and will not be liable in any manner whatsoever for any kind of liability arising out of any act, error or omission. The contents of third-party article/blogs published, are provided solely as convenience; and the presence of these articles/blogs should not, under any circumstances, be considered as an endorsement of the contents by NASSCOM in any manner; and if you chose to access these articles/blogs , you do so at your own risk.


images
Prerna Buckshee
Manager - Research

© Copyright nasscom. All Rights Reserved.