“At SAP, we did not invent the digital economy, but we unquestionably understand where it’s going.”
– Bill McDermott, SAP CEO
Do you understand where your business is going in the digital economy? The SAP eBook, The Digital Economy: Reinventing the Business World, states that technology is one of the driving forces behind the growing digital era, but the speed of technological change makes it difficult for many business leaders to comprehend all of the potential opportunities and possible consequences of the digital economy.
According to SAP partner Accenture, 25% of the world’s economy will be digital by 2020, but only 1 in 10 clients understand what they need to do about it and have a roadmap in place to get there. Are you one of them?
Understanding the digital economy
As a business leader, you need to understand that several technological elements work together to make digital business possible. Capgemini’s article, The Impact of the Digital Economy on Your Industry, shows that today’s digital economy primarily integrates the following technology components:
- Social media
- Big Data analytics
- Internet of Things (IoT)
- Back office transactional systems (Enterprise Resource Planning (ERP) Systems)
The SAP Digital Economy eBook includes insights about the digital economy from many SAP partners. It takes a detailed look at how the global business landscape is shifting and causing digital disruption across several industries, including yours. It outlines how the digital age will create huge opportunities worth trillions of dollars, but it will also create digital chaos that will completely transform and even crush the way some industries do business today.
Seven disruptive technology megatrends
SAP partner Ernst & Young (EY) believes that technology is disrupting all areas of the business enterprise across many industries and geographies. EY’s Megatrends report outlines seven areas where technology is causing significant disruption:
- Digital transformation is changing business and revenue models.
- A “mobile-first” world is boosting mobile device adoption and reducing PC usage.
- The relationship between businesses and customers is fundamentally changing with digital transformation and the proliferation of data.
- Digital disruption is changing the market context and competitive landscape of most industries.
- Multiplying cyber threats are making it harder to safeguard data, intellectual property, and personal information.
- Work styles and talent engagement are becoming more agile in the digital world.
- Digital and robotic technologies will increasingly augment or replace workers.
The quickening pace of technological change
According to the eBook, SAP partner Capgemini expects that the proliferation of mobile devices, combined with the growth of connected objects, will cause even more market disruption over the next 5-10 years; and by combining Big Data analytics capabilities with future connected devices, businesses will see even greater market intelligence to support digital business in the future.
Meanwhile, Accenture predicts that the pace of technological change will accelerate even more. According to the Accenture Technology Vision 2016 report, 86% of respondents expect technology changes to increase rapidly or at an unprecedented rate in the next three to five years.
Do you have a digital roadmap in place so your business is prepared for the next three to five years of technological growth?
Download the SAP eBook, The Digital Economy: Reinventing The Business World, for valuable tips and insights on how to navigate your business through the digital era.
Also discover the multiple factors driving digital transformation in the SAP eBook, Digital Disruption: How Digital Technology is Transforming Our World.
For a closer look at one industry in the midst of digital transformation, download the SAP eBook, Connected Care: The Digital Pulse of Global Healthcare.