Intersection - Navigating Market Challenges: Where are the ‘Digital Transformers’?

The wave of technological innovation brings with it a heightened demand for digital transformation skills. Yet, this surge transcends the siloed delivery of technical solutions; it is about realising a broader business vision that revolutionises business models, redefines ways of working, and enhances productivity outcomes.

Our 'Digital Transformers' must possess a sharp connection to the experience, the anticipated business outcomes, and the significant impact stemming from their innovative contributions. Additionally, it is essential for them to remain acutely informed about the rapid evolution of technology, including the swift advancements made by platform, software, and AI providers.

Digital transformation is increasingly becoming the backbone of operational excellence. In this context, organisations are faced with the imperative to cultivate a workforce that is not only capable but also committed to driving this success, ensuring that digital transformation efforts are both strategic and effective.

Our team has meticulously gathered data from various sources and leveraged Wipro’s AI360 to identify the top 7 intersections of technology and business focus for the next 3 years in Australia. We have considered where technology can significantly impact digital transformation success.

The current economic environment poses challenges for industries and executive roles. Investing in technology and workforce development in challenging times, requires approaches that provide the ability to assess quickly and determine the value of selecting Digital Transformation initiatives to deliver on KPI’s, both financial and non-financial. In this post, we will explore the technology trends and investments that can accelerate solutions to address the challenges of building a workforce of ‘Digital Transformers’.

On our journey through 2024, surveys of Australian CEOs outlined more caution and concern than in 2023, with business conditions expected to be moderate and reduced growth over prior years. Additional surveys reported that 38% of businesses are struggling with cost controls in an inflationary environment.

Considering the various surveys and sentiments, top concerns for executives in respect to Digital Transformation cover:

1. Digital Transformation Skills: The demand for professionals who can drive digital transformation is at an all-time high. Upskilling and rapid automation are critical for impactful technology investments.
2. Future skills gap: Skills required are changing. So not only is there not enough talent and enough budget, skills in technologies that have the biggest impact in Digital Transformation are not ready. These are the real Digital Transformers.
3. Supply and demand challenges impacting bottom line performance with input shortages and demand fluctuations lead to unsure budget positions and the need to do more with less. Initiatives need to be self-funding and drive short term value. One of the biggest challenges in measurement of that value.

Business leaders are recognising the importance of technology and innovation in addressing these challenges. To defend market share, industry leaders will prioritise digital transformation to drive growth, productivity and efficiency in their approach. In some cases, adoption of new business models is required in a rapid manner.

Some of the top technology trends we consider can impact Digital Transformation are:

1. Embracing AI Agents: AI Agents can not only drive productivity and efficiency, but also level up the skills of the workforce. Actions taken by experienced and intuitive workers can now be accessible to workers earlier in the professional development cycle. Organisations should consider leveraging embedded AI in platforms that already have guardrails in place for data and access to accelerate AI Agent adoption. In some cases, the use case may not be available, and it may be a unique implementation.
2. AI-Augmented Development: Leveraging AI and ML to improve productivity and efficiency of the software development process, covering code generation through testing and performance analytics.
3. Democratised Gen AI: Empowering broader groups of users to leverage the power of AI and drive thinking and innovation along with productivity.
4. Innovative Platforms: Platform providers are innovating rapidly and providing the ability to develop adjacent applications leveraging the existing data sets through Analytics and AI to provide faster to release capability.
5. Intelligent Applications: These applications, such as chatbots and virtual assistants, leverage AI to provide personalised assistance and automate tasks.

Embracing contemporary technology trends is pivotal for businesses aiming to bridge the skill gap essential for supporting Digital Transformation. To effectively tackle these challenges, businesses can explore various strategies:

1. Develop a laser focus: Drop experimental work for proof-of-concept activities that will deliver business impact and are technically feasible. Adopt a framework for selection of activities and deploy Digital Transformers on to the most impactful.
2. Stakeholder Alignment and Executive Engagement: Accelerating digital transformation necessitates the alignment of stakeholders around key areas for exploration. It is crucial to involve executives in identifying challenges, envisioning potential technology-driven outcomes, and crafting a roadmap for immediate actions. This approach not only facilitates short-term achievements but also sets the stage for sustained success.
3. Adopt New Business Case Paradigms: Moving beyond traditional ROI metrics is essential. Initial or early-stage investments might not yield immediate high returns compared to investments in more mature scenarios. It's important to recognize the learning curve as an integral part of business value, understanding that value creation is not linear. For instance, areas with significant expertise might not experience as dramatic improvements as those with notable skill shortages. Additionally, consider the impact on Environmental, Social, and Governance (ESG) factors, such as contributions to sustainability or enhancing employee safety.
4. Broaden the Scope Beyond Technological Changes: While technology can have a transformative impact, realising its full potential requires examining adjacent areas of work, structures, and teams. Aligning these elements is essential to ensure that productivity and efficiency gains are fully captured.
5. Foster an Innovation-Driven Culture: Establish both informal and formal forums within the organisation to surface and evaluate ideas based on business needs. This should be an ongoing process, with regular reviews to adjust to the rapid technological advancements and evolving business landscapes.
6. Revamp Application Development and Deployment: Reevaluate your approaches to application development and deployment, with a focus on integrating disruptive technologies to streamline processes, minimise errors, and ensure the security of applications. It's also important to identify and address internal barriers that slow down the delivery of new applications, enhancements, and services.
7. Process Assessment and Redesign: Utilise the latest tools for process assessment and redesign to facilitate process remapping, automation, and enhanced productivity. Elevate the team's understanding of AI and other disruptive technologies, promoting a culture of continuous evaluation and improvement.

By adopting these strategies, businesses can significantly improve their digital transformation journey, effectively addressing the skill gap and positioning themselves for future success in an increasingly digital world.

In conclusion, today’s businesses must navigate an increasingly complex market landscape where digital transformation is not just a technical endeavour but a comprehensive shift in business strategy. By embracing emerging technologies, addressing skill gaps, and fostering an innovation-driven culture, organisations can build a resilient and skilled workforce of ‘Digital Transformers’ ready to drive growth and adaptability. As industries continue to evolve, businesses that commit to these strategies will be well-positioned to lead in the digital age.

About the Author – Bernadette Harkin

Bernadette is passionate about staying abreast of technological advancements to drive strategic execution. She brings a pragmatic approach to integrating professional skills and methodologies with technology to achieve successful Digital Transformation. With a background in professional services as an ASX NED and a global technology Executive, Bernadette possesses a strong digital literacy that she brings to both the boardroom and clients. Her extensive international experience in large corporate structures and start-up ventures has equipped her with the expertise to lead client-facing organizations, operations, advisory, and transformation initiatives, ultimately driving growth and scalability.

This paper was compiled with the assistance of Wipro’s AI360 platform.