Study Reveals British Business Leaders Lack Confidence in Digital Transformation
Cornerstone OnDemand sponsored study finds British business and HR leaders are the least confident in their digital strategies compared to other countries in Europe
LONDON – 20th June 2017 – Most businesses look to adopt digital business models and deploy new technology, but few British businesses feel like they are best-in-class. A new study conducted by IDC and sponsored by Cornerstone OnDemand (NASDAQ: CSOD), a leader in cloud-based learning and human capital management software, found that the UK’s business leaders don’t deem themselves ‘top performers’ in digital transformation, compared to confident regions such as The Netherlands, Sweden and Germany.
When HR and line-of-business managers were asked how their organisation compares to peers in its ability to leverage digital technology to drive changes in business models, only 23 percent of British business leaders felt they exceeded their peers or were best-in-class. Swedish respondents were the most confident with 39 percent, followed by the Dutch respondents with 30 percent and German respondents with 27 percent.
The study entitled Future Business: Unleashing Your Talent examines talent’s role in digital transformation through the perceptions and expectations of HR leaders and business managers across 14 European countries.
The shift to digital business models often requires changes to core organisational processes, and the biggest barrier to those changes is people – not technology or financial constraints. Aside from legacy IT systems, the biggest hurdles to digital transformation in the UK are centred around the company’s workforce.
Top five barriers
Percentage of UK respondents
Legacy IT systems
Inability to keep critical talent and skills
Lack of vision from leadership
Unable to retrain and develop talent
HR professionals have a key role to play in executing digital transformation strategies. A large majority (84 percent) of European organisations interviewed are digitally transforming or planning to digitally transform their business. Line-of-business managers understand the importance of HR’s role in transformation, with 80 percent believing that HR is important for digital success.
The study, which follows 2016’s Future People: Workplace Evolution in the Age of Digital Transformation, revisits some of those key themes and findings, but with focus on the new hurdles that organisations face as they seek to fulfil digital ambitions. In this year’s study, IDC interviewed 1,469 HR professionals and business managers across 14 European countries working in organisations with more than 500 employees.
Comments on the News
“Every business is at a different stage of digital transformation and it’s both exciting and daunting in the same measure,” said Vincent Belliveau, Executive Vice President and General Manager of Europe, Middle East and Africa (EMEA), Cornerstone OnDemand. “HR has a fundamental role in digital transformation – especially given the numerous barriers, largely involving the workforce. HR’s shift to a strategic role in the business means focusing on engaging the workforce for digital success – and in turn boosting the confidence of British businesses.”
“Digital transformation has become a top priority for organisations in the UK”, added Bo Lykkegaard, Associate Vice President, IDC Software and European Enterprise Applications. “Successful transformation requires changes in the way employees are managed, motivated and their skills developed. It also requires significant efforts in internal communication and change management. A clear majority of line managers recognise HR as playing a vital role in achieving successful digital transformation.”
Cornerstone will host a series of local events across Europe this summer to reveal the full results of this study with IDC. To register interest, please visit: https://www.cornerstoneondemand.co.uk/hrmakeit-tour
About Cornerstone OnDemand
Cornerstone OnDemand (NASDAQ: CSOD) is a global leader in cloud-based learning and human capital management software. The company is pioneering solutions to help organisations realise the potential of the modern workforce. From recruitment, onboarding, training and collaboration, to performance management, compensation, succession planning, people administration and analytics, Cornerstone is designed to enable a lifetime of learning and development that is fundamental to the growth of employees and organisations.
Based in Santa Monica, California, the company’s solutions are used by nearly 3,000 clients worldwide, spanning more than 31 million users across 191 countries and 43 languages. To learn more about Cornerstone, visit us on Twitter, Facebook, LinkedIn and our blog. www.cornerstoneondemand.co.uk
Cornerstone powers the future ready workforce, with HR software and solutions designed to unite people, teams, technology and business, and inspire a work environment of growth, agility and success for all. With an AI-powered and skills-forward system designed for the contemporary workforce, we help organisations modernise the learning and development experience, deliver the most relevant content from anywhere, accelerate talent and career mobility, and establish skills as the universal language of growth and success across the business. Cornerstone serves over 6,000 customers and 75M users and is available in 180 countries and 50 languages. Learn more at Cornerstone OnDemand.