Learning, leadership, and legacy - Digital Business Environment

S U R V E Y B Y T H E N U M B E R S :
As top-down, hierarchical organizational
structures give way to distributed
decision-making environments, new ways of
learning and leading, at both the individual
and organizational level, may be required.
Learning and
leadership models are
evolving in the digital
business environment.
What can you do about it?
Companies appear to
be coming of age in a
digital environment.
But organizational challenges persist. And the business environment is very different.
Digital maturity is growing,
according to survey respondents.
Respondents were asked to “imagine an ideal organization utilizing digital technologies and capabilities to
improve processes, engage talent across the organization, and drive new and value-generating business models.
How close is your organization to that ideal?” (Answers were on a 10-point scale where 10 is most mature.)
What is the biggest difference between working in a digital environment vs. a traditional one?
4,300+business executives
123countries
32% US
68% International
28industries
30%$1B+ revenue
companies
Results are consistent
across all maturity levels.
Open text question: Respondents were free
to enter whatever they wished. More than
3,300 responses were coded and categorized.
Biggest challenges impacting company’s ability to compete in a digital environment:
Digitally maturing organizations
are more committed to learning
through: experimentation,
feedback, and sharing lessons.
More than twice as many respondents from
maturing companies versus early stage say
their company encourages feedback and
iteration to learn how to work in new ways:
Early
companies
Maturing
companies
+2x
Experimentation (getting people to take risks)
Ambiguity and constant change
Buying / implementing the right technology
Distributed decision-making
Transparency, democratization of information
Fluidity in organizational structures
Multigenerational workforce issues
Transient, rapidly changing team structures
Workforce augmentation
Segmentation of customer bases
Other / don’t know
20%
13%
12%
10%
9%
8%
8%
5%
4%
4%
7%
23%
19%
18%
16%
13%
10%
1%
Pace of business
Culture and mindset
Flexible, distributed workplace
Productivity
Improved access to / use of tools
Connectivity
Other / no difference
Executive leadership should evolve as well,
creating conditions to enable success.
Even maturing companies need new leaders. But they are more
likely to develop these leaders than early-stage companies.
My organization needs to find
new leaders for the organization
to succeed in the digital age
(strongly agree / agree).
My organization is effectively
developing leaders who have the
capabilities necessary to lead the
organization in a digital environment
(strongly agree / agree).
Digital Maturity
1 1098765432
10% 10%
17%
28%
31%
41%
59%
68%
74%
70%
79% 78%
77%
76%
70%
69%
57%
50% 49%
58%
Leadership gap
Change from
2017–2018:
-9% +3% +5%
1 1098765432
Early
3%
8%
14%
13%
14%
17%
15%
8%
4%
3%
Developing Maturing
25% 44%*
30%
*Values may not equal 100% due to rounding.
Continuous learning is important as
individuals take more responsibility.
Decision-making is being
pushed down further in
the organization as
companies digitally mature.
Individuals are feeling the
need to update their skills
more frequently to work
effectively in a digital
environment.
73%At least every
6 months: 44%Continually:
Digital Maturity
24%
18%
23%
32% 32%
43%
50%
52%
63%
67%
1 1098765432
C O M I N G O F A G E D I G I T A L L Y :
Learning, Leadership, and Legacy
To read the full report, visit sloanreview.mit.edu/digital2018.
To understand the challenges and opportunities associated with the use of social and digital business,
MIT Sloan Management Review, in collaboration with Deloitte**, conducted a seventh annual survey of
over 4,300 business executives, managers, and analysts from organizations around the world.
**As used in this document, “Deloitte” means Deloitte Consulting LLP and Deloitte Services LP, which are separate subsidiaries of Deloitte LLP. Please see
www.deloitte.com/us/about for a detailed description of our legal structure. Certain services may not be available to attest clients under the rules and regulations of public accounting.
Deloitte Insights | “Coming of Age Digitally” @DeloitteInsight @DeloitteDigital @MITSMR #DigitalEvolution
©2018 Deloitte Development LLC. All rights reserved. Research data ©2018 Massachusetts Institute of Technology
Commit
to developing leaders
and employees with
opportunities that go
beyond the training room.
Create
pockets of fresh
thinking and innovation
to inspire change.
Leverage
learnings from success
and failures. Don’t stop
after experimentation.
Experiment
and iterate on new ways
of doing business to
encourage new learning.
Most important opportunity your
company provides you to develop
in a digital environment:
(Top 3 responses for digitally maturing companies)
27%
On-the-job
learning
26%
Training
programs
16%
Supportive work
environment
On-the-job training is
now more important
than traditional
training programs.
To navigate digital trends, leaders
should provide more of the following:
(Top 3 responses when percentage of respondents
who rated choice #1 are shown)
26%
Direction:
Providing vision
and purpose
18%
Innovation:
Creating the
conditions for people
to experiment
13%
Execution:
Empowering
people to think
differently

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