Larger businesses are struggling to digitally transform at pace in an age of disruption according to a new report by CBI and Oracle.
The report, entitled ‘Bigger, Faster, Stronger’ suggests that more adoption of technology and better management practices could add £100bn to the UK economy and cut income inequality by 5%.
The report reveals that just 54% of UK companies believe disruptive technologies play an important role in their organisation, and are struggling to digitally transform due to factors such as skills scarcity and complex legacy systems.
Felicity Burch, CBI Director of Digital and Innovation, said: “No business can rest on its laurels when it comes to technology. Big firms must be doing all they can to stay ahead of international competitors and adopt new technologies that will boost productivity and efficiency.
“Many will assume that, with the resources at their disposal it’s easy for large firms to adopt new technology.
“But a host of challenges, from ageing legacy systems, cyber security threats and agile new challenger firms can make successful innovation feel like hitting a moving target.
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“For the UK’s big hitters to secure their position as world leaders over the next 10 years, senior business leaders must be prepared to challenge their established ways of operating and cultivate an environment that encourages employees to seek innovative solutions to company-wide issues or these companies risk extinction.
“If larger businesses don’t want to become dinosaurs, they need a long-term plan for adoption of new technologies. But they cannot do this alone.”
Neil Sholay, Vice President of Digital Innovation at Oracle, added:“In any digital transformation project, culture is crucial and knowledge is power.
“Both the latest technologies and connected thinking are needed to ensure the benefits of innovation are felt at all levels of the organisation. Digital innovation is everyone’s job, and everyone should be willing to learn from exemplars in other companies and sectors.
“At the same time, innovation isn’t an endgame, it’s a constant process of transformation. The only constant today is disruption, so businesses need to evolve ruthlessly fast to keep up with it. That means providing employees with the tools they need to be creative, collaborative and agile at all times.”