Guest Commentator: Daniel Miles, Ph.D., Senior Vice President and Principal, Econsult Solutions, Inc. @econsultsolutns
What strategies have you seen begin to develop out of the businesses community as our region begins to shift to recovery from the COVID-19 crisis?
The COVID-19 pandemic has not only upended society and inflicted tragic losses; it has also been a defining moment for business. The crisis has accelerated the use of digital technology and many of the practices that have become commonplace during the pandemic – from online commerce and banking, to remote work and health care, and to digital learning and entertainment – may become the new normal long after the crisis subsides.
To get a sense of how senior executives are responding to the crisis, Cognizant commissioned ESI ThoughtLab to conduct a survey of 500 senior executives at U.S.-based companies. For the full results of the study, please see: COVID-19: The View From the C-Suite.
The pandemic has the potential to permanently change the business terrain with almost half of companies surveyed believing that the pandemic is a watershed event that will alter how business operates.
One big shift will be a rapid acceleration of digital transformation to keep up with fast-changing expectations and behaviors among customers and employees. Overall, our research shows that COVID-19 will alter digital transformation plans in three fundamental ways. First, companies will look to build a stronger foundation for becoming a digital-first company. Second, they will need to upgrade customer and employee digital experiences. Thirdly, companies will need to recast their digital value proposition and implementation plans.
Companies also plan to invest more in key digital technologies, particularly cloud, IoT, AI, and digital payments. In fact, half plan to increase their digital budgets this year and nearly two-thirds plan to do so next year. With about four out of 10 firms saying they will need to carry out a major cost-cutting program due to the crisis, one of the quandaries for top management teams will be how to finance these initiatives in the face of a looming recession.
The rapid increase in digital transformation has exposed the weaknesses in companies’ ability to detect, protect, and respond to rising cybersecurity threats as cyber criminals seek to take advantage of the initial chaos. As companies continue to digitally transform, cyber risks will only become more pervasive and complex. Companies need to revise their cybersecurity strategies to encompass proactive prevention along with a deep understanding of the risks they face and the heightened nature of today’s sophisticated cyberattacks.
To help companies do that, ESI ThoughtLab conducted a comprehensive benchmarking study covering the cybersecurity investments, practices, plans, and performance results of 1,009 companies to provides insights into how cybersecurity leaders organize for success, where they invest, and which technologies, processes, and analytical tools they are using to deal with increased threats.
The Chamber’s COVID-19 Information Hub provides insight, updates, and resources to support our business community during this unprecedented time. The hub is updated regularly with legislative updates, crisis support for business, and resources to recharge and recover. Members can submit their own COVID-19 resources to the From Our Members section of our website by logging in through the portal.
