WEEKLY INFORMATION TECHNOLOGY AND ECONOMY NEWSPAPER
Samsung Electronics announced the “CEO Perspective of the Digital Transformation in Turkey” research results conducted for the first time in Turkey with TUSIAD’s support and Deloitte & GfK’s cooperation. Samsung Electronics Turkey Vice President Tansu Yeğen stated that they set out with the “CEO Perspective of the Digital Transformation in Turkey” research in order to look at it from a different angle to the digital transformation process in Turkey and added: “Via the special study we carried out where we look at the digital transformation through the eyes of CEOs, leaders shaping the business world, we aim to reach important information and data to shed light on the future. With this study for which we carried out meetings with the senior executives of Turkey’s leading 58 companies active in different sectors of the business world, we perceived the level of the digital transformation in Turkey and reached important information on which fields the digital investments are made, how the transformation process is managed and by whom, at what stage we are and what opportunities it offers.” Footsteps of the digital transformation in Turkey Sharing the research results with details Tansu Yeğen explained that the important findings of the research show the digital transformation began and accelerating in Turkey and added: “The digital transformation is supported by senior managers in Turkey. 90% of respondents said that the digital transformation leadership is undertaken by senior managers. Nearly 40% of the companies are led by technology departments, while 20% said they plan to be led by the technology departments in the future. However, the digital transformation in Turkey is not handled as the ‘big picture’ yet. The transformation is independently developed and managed within the framework in various
CEOs are the leaders of the digital transformation process
organizational units. Companies are investing in individual technologies with an operational focus.” Tansu Yeğen explained that the other findings of the study indicate that the coming period will bring significant improvements both Turkey’s economy and Turkish business world and added: “Examining the turnover from digital channel percentage of companies, we see that the turnover average is 11% for the participants. When we look at the Net Digital Strategy, 54% of respondents agreed that the ‘digital strategy must be clear and understandable”. Managers in the research are asked about their digital maturity level perception and 7% stated as the entry level; 59% as the developing level and 34% as the mature level. The total share of digital investments made by the companies showed that the average digital investment percentage of participants appears to be 27%.” • Two in three participant companies think that they have ‘a clear and understandable digital strategy’ The participants of the research define the most important factor to be successful in the digital transformation as having a clear and understandable strategy. While two in three participant companies think that they have ‘a
clear and understandable digital strategy’; one in five companies say that they do not have a clear and understandable digital strategy. In the research, it is visible that the companies in banking, telecommunications, retail and durable consumer goods are in a great level for creating a digital strategy and making it understandable. When survey participants are asked about the reasons encouraging them for digital transformation, 17% chose the increase in productivity and 16% chose responding quickly to customer needs among all other options. Looking at the rankings of options, the most important reason seems to increase productivity by 21%, to respond quickly to customer needs and competitive advantage follow it both by 19% and profitability by 12%. • Digital investment focuses differ in end user oriented B2C and B2B companies In the research, it is seen that the companies in contact with the end customer invest more in digital marketing, mobile technology, customer experience and e-commerce than B2B companies.
On the other hand, B2B companies invest more in the internet of things (IoT), renewable energy technologies, business analytics, robots and supply chain fields compared to the B2C companies. • The competition is expected from companies in other sectors or entrepreneurs (start-ups) According to the evaluation of the companies participated in the research, the competition is expected from the same sector they are active in by 45%, from other sectors by 30% and from 25% by start-ups. This emphasizes the importance of competition out of the sector. Especially companies in banking, telecommunications and fast moving consumer sectors perceive other sectors and entrepreneurs as a major threat Telecommunications industry thinks that the companies from other sectors will be in new formations. When the competitive sectors are asked to the companies which stated that the competition will arise from other sectors or startups, they indicate the technology and retail sectors. • CIO/CTO positions remain in digital
transformation process while C level assignments responsible by digital transformation are done rapidly According to the research results, the leader in digital transformation processes in Turkey is mainly information technologies (CIO / CTO) department. However the companies are aware of the critical importance of positioning the leaders executing the process as well as the right vision and strategy in order to successfully implement the digital transformation. In the study; Chief Digital Officer (CDO) is perceived as an umbrella position containing all assignments for digital transformation rather than a single title or position. In the existing situation, there are managers in the position of CDO in the 38% of the companies in Turkey. However, only 26% of the participating companies stated that this position has the CDO title. The rate is 67% in banking, telecommunications, and durable consumer goods sectors while it is only the half in the retail sector. By 80 percent, the companies without a CDO position plan to fill this position over the next 3 years.