As the digital experience becomes an essential part of doing business, leadership teams around the world in nearly every industry are building and optimizing their digital organizations to help meet aggressive business goals and respond to increasingly dynamic market trends. While some businesses have made major investments in adapting their structure, operating model and skilled resources to advance their digital agendas and are seeing the benefits, there are still several challenges to address for so many.
MARKET LEADERS
>75% OF TOTAL
REVENUE IS DIGITAL
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Digital revenue continues to grow, with emerging markets quickly catching up to mature ones in both sales and the team structures required for support.
Leadership structure, operating models and vendor partnerships tend to skew towards a more fully integrated and centralized digital strategy.
Recruiting in a competitive market and up-skilling current employees remain challenging.
The cross-generational workforce of millennials and Generation X is providing the right mix of innovation and pragmatic execution to continue digitally-powered growth.
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Within the past several years, digital investments have become critical to the success of large enterprise organizations. And businesses are seeing notable returns on their new investments in leadership, organizational structure and talent recruitment and skill development. More than 50 percent (54 percent) of total respondents report more than half of their total sales come via digital channels. For this report, we identified 17 percent of companies as "market leaders," reporting more than 75 percent of total revenue coming through digital.
More than half of total sales are digital by region
The size of Digital organizations
The size of the digital teams that leaders are tasked with managing is directly correlated to the percentage of digital revenue they generate. In short, the larger the digital team, the more digital revenue they see. One third of total respondents have more than 200 employees on their company’s digital team compared to more than half (55 percent) for market leaders.
Where are, digital teams located?
The most popular location for a digital team outside one’s home country is the Kingdom. Fifty-three percent of organizations have digital teams there in addition to the country they’re based in.
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Team Structure
The most common operating model today is the DCoE, which provides expertise and standards and supports strategy development for focus areas within the organization.
How Brexit could impact Digital Satellite Offices?
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What are the biggest challenges currently facing you and your organization for recruiting and retention?
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How do brands think they stack up in the race towards digital maturity?
It’s crowded in the middle.
DIGITAL TRANSFORMATION IS CHALLENGING, BUT...
with the right organizational structure, leadership team and investments, digital teams can lead their organizations towards a more profitable operating model.
All signs point to a more fully integrated and centralized digital strategy is the recipe for success.
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