In a digital age, business survival depends on responsive IT. That is one of three key findings from a recent global survey of 750 business and technology leaders that I led for HBR Analytic Services ("The Leadership Edge in Digital Transformation"). Almost half of respondents (47%) said their organization had missed opportunities because IT was too slow to respond. While it's reasonable to expect some misses, companies with slow-to-respond IT departments were much more likely to say this at 64% than were respondents from companies with responsive IT (only 27% said they'd missed opportunities).
Companies with highly responsive IT (let's just call them the "Leaders" for brevity's sake) have gone faster and farther in making the transition to digital business than their competitors. This proved to be the case across many dimensions, starting with the ways in which they engage with customers: 68% of the Leaders said their customer engagement had been transformed by their use of new technologies compared with only 33% of Laggards. The delta was even greater when it came to business model transformation, with 62% of Leaders transformed compared with only 24% of Laggards. This translates directly to competitive advantage.