85% of companies in Russia last year accelerated the implementation of digital transformation programs, globally 80% of companies reported this.
This may be related to the fact that the vast majority of respondents – 88% – are confident that their organizations will not only survive the pandemic, but also strengthen their digital competencies.
However, despite this confidence, Russian companies are lagging behind with investments in the latest technology and cybersecurity solutions.
Moscow, Russia – 23 matzo a. m. —
Dell Technologies has published the results of a study, the Dell Technologies Digital Transformation Index (DT Index), according to which, during the COVID-19 pandemic, Russian businesses have become faster in implementing digital programs. Thus, 85% of organizations in Russia last year accelerated the implementation of digital transformation programs, the global figures are slightly lower – 80%.
In total, 5,300 CEOs of companies in various industries from 23 countries of the world, including Russia, took part in the surveys of the Index this time.
Companies see long-term business benefits of digitalization
The vast majority of respondents (88 percent) are confident that they will not only survive the pandemic, but also strengthen their digital competencies. The reason for this can be several factors – from internal confidence in the success of the digital transformation of a particular company to the high success rates of digitalization programs in the world in 2020. By the way.
Russian companies are ahead of foreign ones in the exchange of experience and knowledge in the field of expansion to more and more new projects. At the same time, domestic companies are more confident about their readiness to change their business models to digital ones – this was stated by 91% of respondents (only 79% in the world).
They have successfully met the challenges of the pandemic by moving to work remotely and supporting customers remotely: 89% believe that the digital experience of consumers fully meets their needs, in addition, the pandemic has taught them to be more flexible, faster and digital.
The trend towards remote work and virtual learning will only grow
The success of the transition to remote work was noted by 56% of Russian companies, moreover, they created new opportunities for employees to work from home (only 44% of respondents in the world spoke about this). Also, 46% of respondents in Russia said that they have scalable remote resources, in the world 41% of managers spoke about this.
Companies in Russia also have high hopes for remote learning: 53% of respondents are sure that the remote format will become more common. This should facilitate the access of Russian students to education in any educational institution in the world, expand knowledge and develop international cooperation.
The New Digital Transformation Curve
The results of the study show that, despite the pandemic, Russian companies are not slowing down the pace of digital transformation: there has been a reduction in “digital followers” (Digital Followers) – up to 10%. These organizations are moving into groups of companies implementing and evaluating digital technologies (Digital Adopters and Digital Evaluators).
which have increased their share. So, according to the results of the survey, 42% of domestic businesses are already implementing digital solutions, compared with 19% in 2018. The number of digital leaders (Digital Leaders – the most digitally mature organizations) and companies lagging behind in digitalization (Digital Laggards) remained the same in Russia.
“The results of the Dell Technologies study in Russia proved to be extremely important: they reflect the positive impact of technology on the long-term success of domestic companies. Before the pandemic, businesses invested primarily in existing technology.
not innovation. However, now companies are actively implementing digital transformation programs to be more competitive, optimize costs and implement technologies of the future. In turn, Dell Technologies will continue to provide customers with technological solutions and services for infrastructure modernization and business support,” says Boris Shcherbakov, Vice President and General Director of Dell Technologies in Russia.
Barriers to transformation
The pandemic may have become a catalyst for digital transformation around the world, but the “switch to digital” remains a difficult task both abroad and in Russia: domestic companies more often note a lack of resources and budgets for digital transformation.
The top 5 obstacles to the digital future of Russian business, according to the DT Index, include:
Lack of resources.
No opportunity to benefit from data or data overload.
There are no modern solutions needed to reach the business pace.
Weak management of digital resources.
Cyber security and data privacy concerns.
In addition, Russian companies’ investment plans have declined in most areas compared to 2018. In particular, businesses are slow to invest in cybersecurity and hybrid or multi-cloud. In addition, 5G, Edge and data analytics technologies, i.e. those solutions that are designed to improve the operational and business efficiency of companies, have become less interesting for investments.
In July-August 2020, Dell Technologies partnered with independent research firm Vinson Bourne to survey 4,300 business leaders in mid-sized and large organizations in 18 countries and generate a global report showing business transformation status. This is the third DT Index study (first conducted in 2016, second in 2018).