Despite desperate efforts to catch up, most companies are still far behind in their efforts to create a digital competency.
Many of today’s marketing executives grew up in a less-complicated and relatively mature world of TV and print advertising. Not only are they not digital experts, they may not even know enough to ask the right questions that will lead to a successful strategy.
... A new study by Jeffrey F. Rayport and Tuck Rickards and reported by The Harvard Business Review seems to confirm that companies are simply not moving fast enough.
The report states that only nine companies — less than two percent of the Fortune 500 — would be regarded as having a “highly digital” orientation. To be highly digital, a company must pass four tests: it generates a high percentage of revenues digitally; its leadership (both the CEO and the Board) has deep digital experience; it does business significantly enabled by digital channels; and it’s recognized as transformational in its industry.
The authors state: “Given the increasing influence, even dominance, of social and mobile technologies, we expect to see a similar evolution take place in more ‘unlikely’ sectors: health care, industrial goods, natural resources.”
“It’s clear the tide is turning — and it’s turning fast,” the authors state. “We believe it’s no coincidence that the largest and most successful companies in our economy are leading this change. Just consider what some established companies have done recently to address their digital capabilities gap at the highest levels of leadership and governance.”