Most enterprises have only 20% visibility into their supply chains, as opposed to the 70% to 90% percent needed to address key points of volatility where revenue and costs are at risk. Digitization adds to GDP McKinsey estimates that Big Data, Internet of Things, and online talent platforms could add $2.2 trillion to the U.S. While a tumultuous and tragic 2020 will usher in a 2021 fraught with uncertainty, one thing is crystal clear: it will be a distinctly digital year. The construction industry employs about 7 percent of the world’s working-age population and is one of the world economy’s largest sectors, with $10 trillion spent on construction-related goods and services every year. Unlike many past shocks, the COVID-19 crisis is not a banking crisis; it is a crisis of the real economy. Once the gaps are identified, management teams can design strategies to deliver near-term financial impact while starting the process of renewing the digital core. Fewer than 20% of payments to health care providers and their suppliers are done digitally, for example. Studies how much businesses are digitalising their practises when it comes to connecting with external suppliers. Our mission is to help leaders in multiple sectors develop a deeper understanding of the global economy. The McKinsey Global Institute’s Industry Digitization Index uses dozens of indicators to provide a snapshot of digital assets, usages, and workers, and our findings about Europe are sobering. Explaining the productivity puzzle? Then the COVID-19 pandemic hit. To some extent, digital assets are a story that has been playing out since the 1960s. Many still need to break out of their old habit of housing “digital talent” in a separate department. Michael Petch February 07th 2019 - 11:33am. First, digital assets. Burberry, for example, has set the bar among retailers by seamlessly integrating social media and immersive experiences into its physical stores. To benchmark them, the index measures how much companies invest in hardware, software, data, and IT services (whether through outright purchases or contracting with third parties to fill in gaps). Companies do need assets like computers, servers, networks, and software, but those purchases are just the start. The McKinsey Global Institute’s Industry Digitization Index uses dozens of indicators to provide a snapshot of digital assets, usages, and workers, and our findings about Europe are sobering. Use minimal essential Somesh Khanna is a director at McKinsey and leads McKinsey Digital in financial services. For example, products and services are more digitized, supply chains less so. The technology sector comes out on top—no surprise there. Moreover, the McKinsey Industry 4.0 survey of more than 300 manufacturing experts in Germany, Japan, and the United States from January 2016 shows that only 16 percent of manufacturers have an overall Industry 4.0 strategy in place, and just 24 percent have assigned clear responsibilities to implement it. That translates into a significant increase in the number of companies that are “value destroyers,” which we expect will rise to 73 percent of those in the index in 2020, compared with 60 … Measures the extent to which businesses are digitalising their internal processes. But what are the key attributes of a digital leader? Right behind it are media, finance, and professional services, all of which have far more sophisticated digital capabilities than the rest of the economy. Many health care organizations, for instance, use incredibly sophisticated technology in diagnostics and treatment but substantial parts of their workforce use only rudimentary or no technology. What really sets the leaders apart, however, is the third category: the degree to which they put digital tools in the hands of their employees to ramp up productivity. They take advantage of e-commerce platforms—and may even operate their own. These major global shifts make supply-chain digitization in 2020 no longer optional. We use cookies essential for this site to function well. We also estimated the share of workers in each sector in technology-related occupations that did not exist 25 years ago and looked at digital spending and assets on a per-worker basis. A measure of how much businesses are digitalising their practises when it comes to connecting with their clients – be it consumers, other businesses, or governments. DOWNLOADS Open interactive popup. Dezember 2020 – McKinsey Global Banking Annual Review: Banken haben akute Krise 2020 gut überstanden - Erwartete Kreditausfälle 2021... lassen Eigenkapitalrendite auf 1,5% schrumpfen - Mitte 2020 wurden drei Viertel aller Banken unter Buchwert gehandelt The index “combines dozens of indicators to provide a comprehensive picture of where and how companies are building digital assets, expanding digital usage and creating a more digital workforce,” the report authors write. McKinsey Quarterly. McKinsey also found that levels of digital transformation vary by business operations. Industry perspectives Article Solving the digital and analytics scale-up challenge in consumer goods. Alle Ergebnisse finden Sie hier. All rights reserved. Unleash their potential. This requires a renewed external focus to understand more deeply how peers in the industry are digitizing, how customer expectations are changing, and which companies from within or outside the industry can best meet those expectations. But these factors don’t explain entirely why digital transformation in the E&C industry is so hard. Over the past two decades, the leading sectors’ performance on various digital labor metrics—such as the share of tasks involving digital tools and the number of new digital occupations—rose eightfold, while the rest of the economy barely ran in place. Tech: Forward. Digital leaders stand out from their competitors in two ways: how they put digital to work, especially in engaging with clients and suppliers, and how intensively their employees use digital tools in every aspect of their daily activities, write Prashant Gandhi, Somesh Khanna, and Sree Ramaswamy in Harvard Business Review. And how can companies benchmark themselves against competitors? IDC 2019 predictions attributes $2 billion in … Our research included a new Industry Digitization Index, the first major attempt to measure digital progress and adoption in each sector. Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more. Our second category, digital usage, measures the extent to which companies engage digitally with customers and suppliers. Such a renewal is only possible when leaders take a holistic approach to their companies’ digital assets, usage, and labor. In lagging sectors, the digital engagement of the workforce can be erratic; some organizations have made progress in certain areas but have not yet addressed foundational tasks their workers perform. People create and sustain change. Digital assets across the entire economy doubled over the past 15 years, as firms invested not just in IT but in digitizing their physical assets. Our research included a new Industry Digitization Index, the first major attempt to measure digital progress and adoption in each sector. Learn about That’s the only way to unleash innovation and capture efficiencies at an institutional level. In a new report, the McKinsey Global Institute attempts to measure the most and least digitized sectors of the U.S. economy with the new MGI Industry Digitization Index. Since 2015, major players in the healthcare and insurance industries have worked to improve their digitization efforts but still remained woefully behind. '' to help leaders in multiple sectors develop mckinsey industry digitization index 2020 deeper understanding of the global chief operating officer McKinsey. No longer optional please use UP and DOWN arrow keys to review autocomplete results with our insights! Digitally, for example, has set the bar among retailers by seamlessly integrating social media and immersive into. 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