FIRST of digitally mature organisations is the “ability to recognise the importance of a formal and proactive governance body for digital transformation programmes.” Data from the study showed that having a formal governance body or committee for digital transformation is more prevalent in Leaders (65%) than other organisations surveyed (49%). More than two-thirds or 70% of Leaders also understand the importance of having a body or committee, saying they should have a proactive role in the organisation, the study showed.
PROBLEM-SOLVING IS THE KEY DRIVER OF BUSINESS
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ext-generation entrepreneurs no longer see passion as a driving force in doing business. This was revealed in the inaugural ecosystem report of Entrepreneur First titled “Singapore’s Future Founders: Catalysts, Hurdles & Moonshots.” In the report, it was found that 76% of next-generation entrepreneurs believe problem-solving is the most important trait to have when entering a business, followed by vision (74%) and risk-taking (68%). Passion, which the report said was a “catalysing ingredient” of a business startup, only ranked fourth amongst entrepreneurs aged 2335. Amongst Gen Zs, the trait was deemed least important. Successful startups Apart from traits, Gen Zs and Millennials had different views on startups, particularly on why they want to start one. Whilst money (65%) drives both Gen Zs and Millennials into entering a business, the former is influenced by the autonomy startups offer (64%), whilst the latter is attracted by its flexibility. Those who already started their business are 89% first-timers. 61% of them have spent less than four years in the working world before launching their startup, according to the report. Meanwhile, Gen Zs and Millennials also have a different view on what they think contributes to a startup’s success. Millennials said, “business model” (43%) matters most, followed by “unique idea,” which to Gen Z entrepreneurs was not at all important. For Gen Zs, having “compatible cofounders” will contribute most to the success of their startup. Overall, the survey showed how “founders still feel that they need to know everything,” according to Teik Guan Tan, a venture partner at Entrepreneur First. “The reality is, a good founder does not need to have all the answers but they do need to craft an edge for themselves,” Tan said.
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THE ASIAN BUSINESS REVIEW
Second trait: Sees tech readiness as their weakest governance link Digitally mature organisations regard technological readiness as their weakest link in the governance of digital transformation programmes, followed by mindset readiness, and multiple decision-making points, according to the study. Third trait: Places ownership of risk identification with individual business units Leaders were more likely to have their individual business units (45%) bear the primary responsibility for risks associated with their digital transformation programmes. Businesses are SMU’s School of Accountancy Dean, categorised Cheng Qiang, said placing ownership based on digital maturity level: of risk identification and monitoring Leaders, Chasers, company activities on individual and Explorers business units facilitates an “enterprisewide view of risk.” “[It] enables the functions of enterprise risk management, compliance, and internal audit functions to focus fully on their roles – that is, providing objective assurance, as well as advising, monitoring, and reporting on the effectiveness of the organisation’s risk programme to management,” Cheng added.
Digitally mature organisations manage the governance, risk, and compliance aspects of digital transformation
The 4 traits of digitally mature organisations
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study conducted by Deloitte Southeast Asia and the Singapore Management University said there are four traits that could identify digitally mature organisations based on how they manage the governance, risk, and compliance aspects of digital transformation. From the second to the third quarter of 2021, Deloitte and SMU interviewed 48 Singapore-based executives, who have been categorised into three, based on their self-reported digital maturity level: Leaders, Chasers, and Explorers. Based on their respective names, Leaders are organisations that consider themselves as “quite or very advanced” in terms of digital transformation. Meanwhile, Chasers are those with moderate progress, and finally, Explorers are those with “not very advanced” progress. First trait: Knows the importance of a governance body Deloitte and SMU said the first trait
Fourth trait: Acutely aware of their programmes’ regulatory compliance complexity Digitally mature organisations “strongly agree” that regulatory compliance has become more complex as a result of digital transformation initiatives. The same type of organisations also perceives regulatory non-compliance to be posing a high or extremely high risk.
