A recent survey of over 650 global technology leaders highlights an optimistic outlook on short-term growth for enterprises, but identifies a major roadblock in the form of short-term technology strategies hindering long-term ambitions. The study reveals the importance of comprehensive digital strategies for sustained high growth, with insights on key technology priorities and challenges ahead in the AI era.
Survey Highlights Short-term Focus Hindering Long-term Growth for Enterprises
Expereo has released new insights from an IDC InfoBrief detailing findings from a survey titled “Enterprise Horizons 2024: Technology Leaders’ Priorities on Their Digital Business Journey.” The study, based on responses from over 650 global technology leaders, highlights the high growth expectations of global enterprises in the AI era, but it also pinpoints several challenges, particularly a short-term approach to technology strategies, that could impede these ambitions.
Optimistic Growth Projections
The survey reveals that a significant majority of global technology leaders are optimistic about their business prospects over the next 12 months. Specifically, 52% of enterprises anticipate moderate growth, while an additional 29% expect high growth. With this economic optimism, the role of technology is increasingly seen as critical for achieving business objectives. Approximately 29% of technology leaders cited growth, including revenue increase and market expansion, as a top priority driving tech investments.
Short-term Focus: A Major Roadblock
Despite the optimistic outlook, only 22% of global enterprises report having reached full digital maturity — characterized by a comprehensive, long-term digital strategy. The survey indicates that many organizations are still reliant on short-term, isolated digital initiatives confined to specific business units rather than being part of a cohesive enterprise-wide plan. Furthermore, 33% of respondents admitted their digital strategies have a short-term focus.
This short-termism is compounded by organisational challenges, including insufficient collaboration between CEOs and technology leaders, potentially jeopardising long-term digital transformation efforts.
Digital Maturity and Challenges Ahead
The survey identifies several inhibitors to growth over the next 12 months. Leading among them are geopolitical issues, cited by 38% of respondents, followed by inflation (34%), economic uncertainty (32%), uncontrolled spending by business units (31%), and connectivity performance issues (30%).
Executing digital initiatives faces its own set of challenges. IT integration complexity (41%), the capabilities of partners (40%), and a lack of regional expertise (35%) were frequently mentioned as significant hurdles.
Strategic Approaches and Key Technology Priorities
To overcome these barriers and drive growth, enterprises are focusing on various strategic approaches. Increased automation is a primary driver, with 49% of companies planning to leverage automation to deliver global growth, and 60% of respondents affirming its importance. Additionally, cost containment and increased efficiency (44%) and innovation (39%) are key areas of focus.
AI has emerged as the leading technology investment priority for 42% of respondents, narrowly surpassing security (37%) and cloud or multicloud networking (35%). A substantial segment of technology leaders (31%) believes that AI and machine learning (ML) will be crucial in fulfilling business ambitions, with 60% affirming its importance.
Expert Insights
Ben Elms, Chief Executive Officer at Expereo, highlighted the need for a holistic digital strategy. “There is growing optimism about global growth driven by technology, yet the journey towards digital transformation is ongoing for many. Bridging the gap between the digitally mature and those still progressing is imperative. A comprehensive long-term digital strategy encompassing all aspects of technology, from AI and automation to cloud performance and network visibility, is essential for sustained high growth,” said Elms.
The IDC InfoBrief underscores the significant role technology plays in modern business growth but also emphasises the need for long-term, cohesive strategies to navigate current and future challenges effectively. For more detailed insights, the full IDC InfoBrief is available on Expereo’s website.
Expereo continues to play a pivotal role in global connectivity solutions, serving 60% of Fortune 500 companies and operating in over 190 countries. The company was acquired in February 2021 by Vitruvian Partners, who acquired the majority shareholding from Seven2.
