In the August global survey report from McKinsey & Company, respondents were asked about five digital-enterprise trends: big data and advanced analytics, digital engagement of customers, digital engagement of employees and external partners, automation, and digital innovation. Customer engagement was the highest-ranked trend, as 56% said digital engagement of customers is at least a Top 10 company priority
Another rising trend is companies’ use of digital to position material consistently across channels and to make personalized or targeted offers available online. Beyond that, however, the report revealed that companies have slowly adopted digital approaches to engage their own employees, suppliers, and external partners.
Companies who have vested C-level involvement in a digital program have greater opportunities to succeed, the report said.
“Increasing C-level involvement is a positive sign, and the creation of a CDO (chief digital officer) role seems to be a leading indicator for increasing the speed of advancement,” according to the report. “These developments must continue if companies are to meet their high aspirations for digital.”
Companies are now trending toward “acqui-hiring,” or acquiring small companies largely for their employees rather than their products.
“But finding and hiring talent is only part of the solution; no matter where the talent comes from, development and retention are equally important in a sellers’ market,” according to the report.
More CEOs this year are getting involved in digital initiatives: 31% this year vs. 23% last year said they are supportive and sponsor initiatives. In addition, 24% of companies said their chief executive is supportive and directly engaged.
Executives said each of the five digital trends McKinsey inquired about is a strategic priority for their companies. More than 40% of respondents cited each of the five trends as a Top 10 corporate priority or higher, and at least one in five executives said each trend is a Top 3 corporate priority.
Responses also indicated growth in company-wide use of big data and advanced analytics. Executives said their companies are using analytics to grow.
According to the report, here are some tips for companies seeking to enhance their digital customer experiences:
Find the right digital leaders. Leadership is the most decisive factor for a digital program’s success or failure. Increasing C-level involvement is a positive sign, and the creation of a CDO role seems to be a leading indicator for increasing the speed of advancement. These developments must continue if companies are to meet their high aspirations for digital.
Manage expectations. Just as important as finding the right leader is setting the right agenda and maintaining an aspirational vision without straying into over-exuberance for digital. Leaders will have to walk this line carefully, given executives’ reports of organizational, technical, and cultural challenges.
Prioritize talent. Not surprisingly, survey respondents indicate concerns about finding the talent their companies need to realize their digital goals. Technical, functional, and business skills are all critical for digital programs.
The online survey was conducted from April 2 to April 12, 2013, and garnered responses from 850 C-level executives representing a full range of industries, regions, and company sizes.