Future of Control | Control Automation: DMA (Digital Maturity Assessment) 

With the development of digital technology, more and more enterprises have started digital transformation, but for most enterprises, digital transformation is uncharted territory with limited experience to learn from. In a recent research report¹ , it was highlighted that the success rate of enterprise digital transformation was only 20%, which means that 80% of enterprises have failed to meet their digital transformation objectives. Supporting organisations to successfully introduce digital technologies is a key component of the Future of Control.

i. Service Introduction

With years of rich research and implementation experience in digital transformation, Deloitte China’s Risk Advisory team has built a digital maturity assessment system, which is designed to determine the digital stage of enterprises, identify possible challenges, and help enterprises complete digital transformation better and more efficiently.

In fact, technology is not the key to digital transformation, flexibility is more important than technology, and the ability to respond to changes promptly and rapidly is an important capability. Achieving digital transformation requires more than just management support, it also needs forward-looking establishment of a digital strategy, encouragement of technological innovation in business processes, cultivation of digitally competent and thinking people, and an all-round upgrade from tools to people. Deloitte believes that the three key pillars to assess digital maturity of an organization are: digital strategy, technology-driven processes, and agile organization.

Digital strategy

Strategy in a progressively digital organization constantly monitors potential challenges and disruptions, working together to create and encourage agile ways of working. Companies use digitalization to increase efficiency and improve the user experience, while more mature companies use digitalization to transform their businesses and put them ahead of the competition.

Technology-driven processes

Research² shows that while 87% of executives anticipate the disruption caused by digital technology, only 44% are adequately prepared for it. Less mature digital companies tend to focus on technology alone and on a strategy focused solely on operations, while most mature companies have a digital strategy focused on business transformation.

Agile organization

Digital is not just about implementing more and better technology; it is also about embedding agility into culture, people, structure and KPIs. Digital transformation is changing rapidly, and the ability to adapt quickly to change and make reasonable adjustments is also an important capability.

¹ From <McKinsey Global Survey on digital transformations>

² From <Global survey of managers and executives conducted by MIT Sloan Management Review and Deloitte Digital>

ii. Representative Services

The clients who are currently using the digital maturity assessment service come from the banking and manufacturing industries, however other sectors have a high demand for digitalization.

Take the digital maturity assessment process project of an enterprise in China as an example, we have successfully promoted the digital transformation of the enterprise through the digital maturity assessment service, in which the main functions of the service were:

1. Understanding

• Collecting information and feedback on enterprise processes and systems.
• In addition to scoring, respondents' opinions will also be collected.

2. Assessment

• Through interviews, the project team used the scoring framework to determine the requirements and capabilities of the enterprise.
• The scoring scale is 1-3, with 1 representing Digital Dabbler and 3 representing Digital Native.

3. Recommendations

• Create an analytical model for each pillar.
• The project team will identify the most appropriate solution based on the analysis.

The blue score is the industry standard level by which you can see where your organization is in the industry in terms of digital transformation.

iii. Value

• Overall Assessment
  Based on the current state of the company's processes and systems, an overall assessment of the areas where digital opportunities exist and the direction of transformation is provided.
• Process Opportunities
  For processes where digital opportunities exist, specifically set out and design digital transformation opportunities.
• Process ROI
  For each digital opportunity, evaluate its costs, cash benefits, and non-cash benefits to calculate ROI.
• Overall Plan
  An overview of the ROI of all digital opportunities is provided in the digital assessment system, as part of a digital roadmap through the comprehensive evaluation.

Digital transformation of enterprises is a continuous process, and this process will inevitably go through multiple stages from start-up to maturity. Digital maturity assessment will help enterprises clarify their current digital position and have a clear understanding of the digital transformation path, which will provide a reference and decision basis for the subsequent development of suitable digital transformation strategies and feasible action plans. Deloitte DMA is a complete system covering organizational strategy and operations.