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The Takeaways: MIT Sloan Faculty Members Offer Their Perspectives (continued)

Why digital maturity matters—“Digerati” drive true value from investments

George Westerman
December 19, 2012
Two years of study with more than 400 firms around the world shows how you can achieve a measurable digital advantage over your competitors.

This research, conducted by the MIT Sloan Center for Digital Business in cooperation with research sponsor Capgemini Consulting, shows that the digital advantage is not about luck or about the industry your firm is in. It is not just about how much cool digital stuff firms are doing. Companies that manage their digital activities in a certain way are 26 percent more profitable than their industry peers, and outperform on other measures as well.

In year one, we interviewed 157 senior executives in 50 large companies to understand how they are using social media, mobile, analytics, and embedded devices to change their businesses. We found that 70 percent were already using these technologies to change internal processes, customer engagement, or business models. But they are getting wildly different results.

The difference? Digital maturity. This year’s survey of nearly 400 firms shows that digitally mature companies do more than just invest in digital technologies. They also have the leadership skills—vision, governance, engagement, and IT/business relationships—to turn digital investment into digital transformation.

Digital maturity matters. It matters in every industry. And the approaches used by digitally mature companies are available to any company that has the leadership drive to do so.

MIT Sloan Experts Blog
George Westerman is an MIT Sloan Research Scientist

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