Valuation of digital transformation

Reynaldo C. Lugtu Jr. | 16 December 2021

Which of the following would be more valuable to the organization: (1) investing in a new e-commerce site or (2) investing in some automation software that could improve the company’s procurement processes?

This is the problem when business executives evaluate the impact of digital transformation. In a 2018 McKinsey survey of 1,733 managers pursuing digital initiatives, only 14 percent of them managers said they had realized significant performance improvements from these efforts, and only 3 percent said they had successfully sustained any changes.

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