Digital

MIT SMR and Deloitte’s 2018 global executive study and research report investigates how born-digital and legacy organizations alike achieving digital maturity through continuous learning.

Less than 5% of companies are using AI to reinvent how they do business, but the competitive intensity surrounding the technology suggests that a wait-and-see strategy could be a costly mistake. To get a share of the global profit pool of US$1 trillion that AI will produce by 2030, McKinsey’s Global Institute says companies should begin adopting it at scale within the next 3 years.

When pundits talk about the impact that artificial intelligence will have on the labor market, the outlook is usually bleak, with the loss of many jobs to machines as the dominant theme. But that’s just part of the story — a probable outcome for companies that use AI only to increase efficiency. As it turns out, companies using AI to also drive innovation are more likely to increase headcount than reduce it.

Virtually all human achievements have been made by groups of people, not lone individuals. As we incorporate smart technologies further into traditionally human processes, an even more powerful form of collaboration is emerging.

The dramatic rise of China’s digital leaders has put the squeeze on Western internet giants. Western players must learn quickly if they are to get back in the game in the world’s fastest growing digital market.

In the eyes of many leaders, artificial intelligence and cognitive technologies are the most disruptive forces on the horizon. But most organizations don't have a strategy to address them.

Companies used to spend years clarifying business requirements before they would even think of launching new software. Today, cheaper cloud-based apps mean that implementation decisions are made on the fly — and there’s no going back.

Virtual reality is used today for job training, but that’s just the beginning. In a Q&A, Jeremy Bailenson, a leading expert in virtual reality, says that VR has the potential to be a much-improved video conference tool — one that’s good enough to reduce our need to commute. What Bailenson calls "avatar-based communication," with eye contact and facial expressions, has the potential "to create the intimacy and non-verbal behavior that you get face to face."

In a Q&A, Sydney Finkelstein, the author of Superbosses: How Exceptional Leaders Master the Flow of Talent, notes that employees entering the workforce today have technological capabilities unmatched by any workforce before them. That's changing the way leaders must operate. Today's best leaders embrace technology as a management tool but retain a human touch, creating opportunities for the employees they manage and enabling flexible work practices.

As sexy as it is to speculate about new technologies such as AI, robots, and the internet of things, the focus on technology can steer the conversation in a dangerous direction. Because when it comes to digital transformation, digital is not the answer. Transformation is. In various industries, including banking, paint, and shipbuilding, digital leaders are finding that technology’s value comes from doing business differently because technology makes it possible.