C-Suite Challenges/Barriers - Digital Transformation
To understand the biggest challenges and barriers facing CIOs, CTO’s and CEO’s of fortune 500 companies today and specifically those implementing digital transformation for their fortune 500 companies. The end of goal of this research is to inform a sales pitch for Cognizant.
CIO/CTO DIGITAL TRANSFORMATION CHALLENGES
Cyber Attacks, Security and Accessibility
- Increased security breaches, vulnerabilities in company data platforms, and a decrease in consumer trust are some of the biggest challenges in ensuring that companies remain secure yet accessible to their customers when establishing digital programs. Areas of primary focus for CIO's and CTO (IT leaders), include data protection around security events and increased awareness of vulnerability issues. Ray McKenzie, Founder and Principal of Red Beach Advisors states that, "The biggest challenge for CIOs and IT leaders in 2018 is the strategic protection of PII and data for their enterprises."
- Equifax saw its largest breach of data in 2017, meaning that cyber attacks are becoming sophisticated enough to topple even the newest data security features. IT experts are predicting that this year we may see data breaches larger than that. By 2021, it is forecasted that enterprises will be spending into the billions with regards to data security.
Changes in Data Privacy Regulations
- Fortune 500 companies doing business with consumers, customers, and clients in Europe are seeing major changes to data privacy regulations. In May of 2018, The Euopean Union Global Data Privacy Regulation went into effect. The regulation adopts wider views of what constitues individual protected information. Information such as cookies and an indiviual's IP address will fall into the realm of data that must be privacy protected. In some cases, the technology required for this information will have to resemble the level of technology used to protect secure data, such as adresses and social security numbers.
- Businesses will need to become compliant with these regulations or face fines that can range into the millions of dollars.
CEO DIGITAL TRANFORMATION CHALLENGES
- Disrupting technology, such as artificial intelligence, the Internet of Things, and big data will gain momentum very quickly. In fact in a 2018 article, Forbes Inc. states that two-thirds of surveyed executives believe that 40% of Fortune 500 companies will likely perish due to digital disruption. The primary mechanism responsible for this is the sophisticated platform technology that these companies will not be able to compete with. CIO's, CTO's and CEO's must work together to identify new disruption technologies and develop a plan of action.
Underinvestment, Lack of Skills/Training, and Underprioritization,
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