19 March 2015
PA business transformation expert, Stefan Knapp, has had a byline article published in Finans.dk looking at what makes companies successful in the digital world. Digital DNA, says Stefan, is vital to compete and take market share.
Stefan says: “The most successful businesses seem to be entirely new players. Companies within insurance, banking and mobile for example, are struggling to keep up. The reason is they don’t have digital DNA, which is a prerequisite for competing with the biggest and the best players.”
Another hype within digital is Internet of Things, which holds great potential in terms of profit. A number of companies compete to define the market, including Apple, but they are weighed down by their baggage of outdated platforms, systems, business models, structure and brands, which never had a deep digital foundation.
“It requires large readjustments and ability to transform. I believe new players will dominate the next digital era as Apple, and other similar players, will not be able to keep up,” says Stefan.
Stefan mentions PA’s Digital Barometer survey, which reveals 50 per cent of the respondents believe their companies lack the right mindset to survive and thrive in the digital era, and 60 per cent do not believe their current business models are suitable for a digital business.
Stefan says: “We are standing on the edge of the digital era, or we might even be in the midst of it. Companies that are born with digital DNA will, from the very beginning, be truly digital. This is because they don’t struggle with outdated systems or processes as their business models have been digital from the very beginning. This ensures better customer experiences and increased customer loyalty, lower costs and more efficient processes.”
Stefan concludes: “Some companies will lose the race and only the very best will be able to develop a digital DNA that will ensure competitive advantages in the future.”
Stefan Knapp is a business transformation expert at PA Consulting Group