Transforming the enterprise of the future
The new champions in a digital era
New technologies and troves of data are helping enterprises create more value in nearly everything they do.
Indeed, our new survey of more than 2,000 executives around the world reveals that many are now strengthening four building blocks of success in the new era: data and tech foundations, transformation orchestration, resilient cultures, and ecosystem strategies to meet changing demands.
Technological advances don’t create value on their own, of course: success will require leaders to think and act in new ways.
In this report, KPMG professionals share findings from the survey and insights from our work with clients across industries to illuminate how enterprises can capitalize on this historic inflection point, creating more value and achieving enduring competitive advantages.
Key Themes and Statistics
Technology has levelled the playing field and transformation is now constant and concurrent.
Our research reveals that 80% of large enterprises are now pursuing two or more concurrent organizational transformations.
Leadership style correlates strongly with transformation success. Engaged leaders build trust and commitment around their vision.
73% of digitally mature enterprises have high levels of trust in their leader.
Transformation has been plagued by short-term thinking.
Beyond cost savings, the focus is on long-term changes like employee engagement and customer satisfaction.
Technology adoption increases the likelihood of transformation success for 60% of senior leaders.
But clear leadership and communication will always matter.
Transformation success increasingly relies on engaged employees working in agile ways. Learning-oriented, flexible work cultures find it easier to adapt to change and attract and retain talent.
Beyond cost savings, the focus is on long-term changes like employee engagement and customer satisfaction.
76% of senior leaders believe adopting advanced tech such as generative AI, neural networks, digital etc increase the likelihood of transformation success.
Without alignment, even significant investments in technology may not yield the desired outcomes.
Alignment helps organizations to leverage their resources, manage change and meaningfully engage people.
Approximately 40% of senior leaders are planning to rely more heavily on strategic partnerships.
However, only a third of these senior leaders believe that their current partner ecosystem is strongly aligned with their transformation goals.
The new digital building blocks of success
KPMG survey and experience show that these are the most important building blocks in a digital-age transformation, and the key actions to implement them
Culture confers advantage as change becomes constant
Establishing a culture of trust, shared values, and alignment to strategic vision are a key to transformation success and long-term organizational resilience
Digitally mature enterprises will outperform
Many enterprises are not leveraging the full value of their data, technology and people. The underinvestment in data and tech foundations and digital literacy puts future gains at risk.
Stronger partner ecosystems boost competitive advantages
Constrained capital, and demand for new digital capabilities, combined with fundamental changes in business models, will spur enterprises to rethink their partner ecosystems.
Organizational alignment and orchestration speed progress
Enterprises must align and orchestrate across the moving parts to deliver value - an increasingly complex challenge as change becomes constant.
Related Insights
Transforming for a future of value
The KPMG suite of business transformation solutions helps clients get to more productive and sustainable futures.
We design solutions to address different client challenges and different parts of a business or operating model. Each contains rich insights and is underpinned by KPMG’s leading transformation methodology.