Business Evolved: survival of the fittest Technology may be recognized as the great enabler for any organization seeking to thrive in a digital world, but it is not the catalyst for disruption. Better technology might give businesses the tools they need to respond, but for many business leaders, the disruption that they are facing is the result of customer demand. For almost half (45%) of respondents, customers are seen as the A new speed of innovation most influential force outside of their organization driving their Much of the concern seems to originate with the idea that the pace response to digital disruption. This compares to around a third (31%) and scale of change are almost impossible to keep up with. Within who say the same of competitors, while less than a fifth specify their sector, business leaders say not only that digital disruption has partners and third parties (18%) or shareholders and citizens (5%). helped to drive more innovation (56%), but that it has increased competition (46%) and created a faster pace of change (42%) as well. This represents a marked change from our 2015 study. Although respondents to that survey were also presented with the choice The combined impact of this upheaval is such that almost three to select from internal drivers (such as the IT department or quarters (71%) of those surveyed say digital disruption means employees), just one fifth (20%) of those questioned said that the organizations need to innovate faster in order to remain relevant, a end customer had the greatest influence on shaping their digital sentiment with which less than five percent disagreed. agenda. Many organizations may be struggling to do this successfully, The sense that customers - and in some cases, the competition - are however. More than two thirds (67%) of business leaders wish driving digital disruption seems to weigh heavily on the minds of that their own company could move faster in response to digital some business leaders. Undoubtedly cognizant of the consequences disruption. While it might not be clear whether this is indicative of failing to meet the benchmarks set by these groups, many of the sheer speed with which things are moving or their own respondents express worries for the future. organization’s inability to react as swiftly as desired, the net result remains the same: digital disruption is creating a new speed of For more than half of respondents, digital disruption is something innovation. that gives them cause for concern about the future of their business (53%) and a challenge that they recognize as the biggest that their One of the factors fuelling this high-octane environment is the organization faces today (58%). changing nature of the competitive ecosystem. While respondents say that their digital agenda is driven primarily by their customers, Business leaders may be enthusiastic about digital disruption, and they also acknowledge that their competitive base itself is shifting as they may be excited by the opportunities it offers, but they are a result of digital disruption. acutely aware of the perils of falling behind. 18