With direct digital transformation (DX) investment spending of $5.9 trillion over the years 2018 to 2021, this topic continues to be a central area of business leadership thinking.
IDC’s 2019 DX predictions represent our perspective on the major transformation trends we expect to see over the next five years — based on our almost 800 business use cases spanning 16 industries and 8 functional areas, our DX spending guides showing where industry is both prioritizing digital investments, and where we expect to see the largest growth in 3rd Platform and innovation accelerator technologies.
Top 10 2019 Predictions for Digital Transformation
- Prediction 1: By 2020, at least 55% of organizations will be digitally determined, transforming markets and re-imagining the future through new business models and digitally enabled products and services.
- Prediction 2: By 2022, the CDO title will be in decline, as digital will have become fully embedded, but more than 60% of CEOs will have spent part of their careers leading digital initiatives.
- Prediction 3: The paramount importance of customer advocacy will result in 60% of B2C brands embracing net promoter score as their leading success metric by the end of 2020.
- Prediction 4: By 2020, 80% of enterprises will create data management and monetization capabilities, thus enhancing enterprise functions, strengthening competitiveness, and creating new sources of revenue.
- Prediction 5: By 2020, 30% of G2000 companies will have implemented advanced digital twins of their operational processes, which will enable flatter organizations and one-third fewer knowledge workers.
- Prediction 6: By 2023, 35% of workers will start working with bots or other forms of AI, requiring company leaders to redesign operational processes, performance metrics, and recruitment strategies.
- Prediction 7: By 2020, 30% of G2000 companies will have allocated capital budget equal to at least 10% of revenue to fuel their digital strategies.
- Prediction 8: By 2021, prominent in-industry value chains, enabled by blockchains, will have extended their digital platforms to their entire omni-experience ecosystems, thus reducing transaction costs by 35%.
- Prediction 9: By 2021, about 30% of manufacturers and retailers globally will have built digital trust through blockchain services that enable collaborative supply chains and allow consumers to access product histories.
- Prediction 10: By 2023, 95% of entities will have incorporated new digital KPI sets — focusing on product/service innovation rates, data capitalization, and employee experience — to navigate the digital economy.
Learn more about the 2019 Digital Transformation Predictions
For context around these predictions, including the IT impact and guidance on how to integrate each prediction in the digital strategy of the enterprise, view the IDC FutureScape: Worldwide Digital Transformation 2019 Predictions web conference on-demand.
Bob Parker, Group Vice President, IDC