Did you know it now takes less than 5 years to build a multi-billion dollar company? Take a look at Uber as an example. In less than 5 years, the company is worth over $50 billion.
Don’t the possibilities excite you? Imagine working for or owning a company that is exponentially growing and creating market disruption. The Global Centre for Digital Business Transformation is reporting that digital disruptions like those so many of us are currently taking advantage of (Uber and Airbnb), have the potential to overturn incumbents and reshape markets faster than perhaps any force in history.
Many experts are now suggesting legacy based industries will be disrupted by information technology based companies. Retailers like Walmart and industries like the taxi industry will be replaced with disruptors like Amazon and Uber. In fact, the Digital Vortex Survey suggests 40% of the industries around us will be disrupted within the next 3 years. Not 30 years – 3 years!
In fact, companies that leverage digital technologies:
- – Have 9% more revenue growth and 23% more profit (1)
- – Outperform the S&P 500 by an avg. of 64% (2)
- – Grow 42 % faster and are 28% more efficient (3)
- – Have higher market valuations than those that don’t (4)
With the growth and disruptions of digital technologies, a question that naturally comes to all of us is; how can we digitalize our business?
I recently interviewed Neal Oswald, former SVP of CIBC and now Co-Founder of Wanilah Advisors Inc., for our upcoming telesummit on March 9th. In his interview, Neal suggests there are other important questions we need to ask. Specifically, once companies have made a decision to leverage digital platforms, the most important question they need to think carefully about is what activities will they focus their limited time and resources on. Getting this question wrong will cost companies money and scarce resources.
p.s. There are 9 questions Neal Oswald says you MUST be asking yourself to be able to be successful at implementing any digital transformation. He is disclosing his insights at our global tele summit that is being broadcasted on March 9th from 12:15 to 1:15 pm. Please let me know if you are interested in receiving some information about the event.
- “Leading Digital”; Harvard Business Review Press, 2014
- 2011 Accenture Enterprise Analytics for Banks, 2011
- CEBOperations Council Process Ownership Survey, 2013
- The Digital Advantage: How Digital Leaders Outperform Their Peers In Every Industry, Cap GeminiMIT Sloan, 2011
- Digital Banking: Stretch the boundaries to the Everyday Bank, Accenture