Indonesian Firms Expanded Their Digital Transformation Efforts In 2021 But Fell Short Of Their Objectives
Indonesian firms expanded their digital transformation efforts in 2021 but fell short of realizing the goals they set out in 2020. Our latest survey in the country also shows that enterprises will put a much bigger emphasis on aligning transformation efforts with business goals and metrics in 2022. Respondents also identified technology strategy as a key transformation challenge, with a need to reinvent this strategy to remain relevant and future fit in a fast-changing and uncertain world. Comparing the results of our 2021 and 2020 surveys reveals that:
- More firms were engaged in digital transformation initiatives in 2021. About half of the services decision-makers we surveyed in Indonesia in 2021 said their firm was actively engaged in digital transformation. While this is up from 43% in 2020, it falls short of the intentions they declared in our 2020 survey. When we asked planners in 2021 about the challenges that prevent them from executing their transformation, they most often mentioned a lack of nontechnical skills (35%), technology strategy (33%), and data issues (32%).
- Few firms still do not have any plans. Firms in Indonesia with no immediate plans to implement a digital transformation initiative were in a clear minority of 8%, down from 13% in 2020. This is a positive indication that some firms have moved to the planning stage. We can expect that a similar number have moved from planning to implementation.
In 2022, Accelerating The Shift To Digital Remains A Top Business Priority For Firms In Indonesia
While the rankings have shifted slightly, the top business priorities remain largely unchanged from 2020 and focus on product and services improvement, revenue growth, brand reach, and customer experience. Accelerating the shift to digital rightfully remains a top business priority. But Indonesian firms must quickly address the rising challenge of adopting the right technology strategy to deliver successfully on their business priorities.
Forrester clients can read more details about the state of digital transformation in Indonesia and why Indonesian firms should adopt a future fit technology strategy to make their business more adaptive, creative, and resilient, in the report: The State Of Digital Transformation In Indonesia, 2021.
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