We are on the verge of creating unprecedented value for both industry and society, driven by the changes enabled by digital technology. Whether it’s collecting patient data to share it quickly or the shift from disease management to wellness in the healthcare industry, digital transformation is changing the way we live and work.
What has been called the Fourth Industrial Revolution is a significant disruption in traditional industry, fueled by speed, cost savings, and how companies grow. There is broad consensus that the economic opportunity from digital transformation could reach $100 trillion across industries over the next decade.
But this impact goes beyond economics. Take the automotive industry, for example. A recent analysis by the World Economic Forum estimates around $670 million in industrial value, plus roughly $3 trillion in social value by 2015, with nearly 1 million lives expected to be saved through digital transformation as autonomous vehicles become widely adopted.
From Uber to Tesla, leading startups are already reshaping traditional industry. Every business and sector is now considering what digital transformation means for them and how they can reimagine their company and industry (look at examples like Airbnb, Netflix, or Amazon Go). The question is no longer “if” or “when,” but “how.”
However, embracing digital change can yield uncertain results. This is because there is no predetermined path to digital maturity or mastery.
What’s the Recipe for Success?
Studying successful companies across industries highlights two key factors:
- Strong Leadership: A change of this magnitude requires very strong leadership, with a vision focused on real business outcomes.
- Digital Adoption Across the Business: Start with small, measurable projects that allow learning, but plan for change across all areas of the company.
A digital roadmap can be built around key questions:
- How does the customer experience change from sale to service?
- How does the company enable its people to work together, work better, and do more with less?
- How can operations be optimized for greater efficiency?
- How can digital open possibilities to transform products, businesses, and even the industry?
In the automotive industry, we will reinvent how vehicles are built. We will change how cars are purchased. We will reimagine what it means to “own” a car. Driving experiences will be democratized for billions of people worldwide, powered by emerging digital capabilities. Traditional manufacturers are already introducing ideas about connected and autonomous vehicles. A major economic and social impact is already underway. The future of the automotive industry is being created—a transformation far beyond a single industry.
From entertainment and connectivity to predictive maintenance and customer service, the customer experience is evolving, as is road safety. Digital will transform every aspect of the automotive industry, from core operations (supply chain, production, service, retail) to the associated value chain (after-sales, financing, insurance). Automotive ERP systems must be ready to support this change.
Digital transformation marks the inflection point where new technologies become an essential part of a company’s nervous system, connecting sales, marketing, finance, HR, production, logistics, and customer service, while permanently changing how people operate and interact.
Cloud computing, artificial intelligence, augmented reality, and other emerging technologies, combined with evolving data analytics and ERP systems, enable new, better, and sometimes disruptive business capabilities. The key is to combine these tools with business insights and methodologies like design thinking to approach problems from different perspectives and create new opportunities.
Welcome to the era of the connected company. The connected people. The connected world, ultimately. Digitally enabled and transformed.
CbC Reporting 
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