Infosys commissioned a study to develop a research methodology and get insights into the current nature of digital transformation enterprises undergo, across industry verticals. This deck provides industry specific insights from Retail and CPG.
The study sought to understand a) the specific drivers of digital transformation for enterprises, b) the various facets of this transformation, c) expected and ensuing outcomes, and d) the role of Artificial Intelligence (AI).
2. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
THE RESEARCH
THE STUDY REVEALS
• Specific drivers of digital transformation for enterprises
• The facets of this transformation
• Expected and ensuing outcomes
• Role of Artificial Intelligence (AI)- supported activities
through the digital transformation journey
The study outlines how an enterprise’s digital
transformation can become more than an
accelerator of business, an amplifier of its people.
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IT and business decision makers
were interviewed from industry
verticals across the U.S., from a
range of organizations, with more
than
1,070
employees and
1,000
or more annual revenue
$500M
3. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
CURRENT STATE OF DIGITAL TRANSFORMATION
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53% enterprises in the Retail and CPG sector are
undergoing full-cycle digital transformation
38% are transforming partially or in pockets
9% are not currently transforming but will
do so in the near future
4. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
KEY GOALS TO ACHIEVE WITH DIGITAL TRANSFORMATION
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This research also took a look into what enterprises mandate for their senior leadership to achieve to be able to meet
their organizations’ 12-month growth plans.
REASONS THAT MAKE IT DIFFICULT TO
ACHIEVE THE MANDATED GOALS
feel it is lack of collaboration
among teams44%
say it is lack of time
43%
say it is lack of data-led insights
on demand40%
But only a few enterprises have fully accomplished their stated goals
to deliver great customer
and employee experiences54% to become more agile
and customer-centric43% to build a mobile
enterprise38%
Progress toward digital transformation goals
Limited progress (1-25%)
Some progress (25-50%)
Significant progress (50-
75%)
Near complete (100%)
21%
33%
38%
8%
5. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
ROLE OF AI
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The respondents who say their organizations are transforming indicate that the following AI-supported
activities play a significant role in their digital transformation:
45% Machine learning
42% Automation of decision
making
35% Automated predictive
analytics
35% Cognitive AI-led processes or
tasks
32% Institutionalization of enterprise
knowledge using AI
30% Building AI-based applications to amplify
and improve products and services
6. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
TRANSFORMATION PRIORITY 1 – AUTOMATION
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38% of the respondents indicate their organizations’
first priority for automation is to automate processes
PRIMARY REASONS FOR AUTOMATION
to increase
productivity76%
to save time
65%
to minimize
manual
errors
63%
WHAT ENTERPRISES WANT TO
ACHIEVE WITH AI APPLICATIONS
want AI to provide human-like recommendations
for automated customer support/advice60%
want AI to process complex structured and
unstructured data and to automate insights-
led decisions
41%
want to use AI to create a simulated experience
that then helps a decision-making process39%
want to use AI to create a decision-making system
in which machine learning allows the system to
learn from humans and improve itself
35%
want to use AI to institutionalize enterprise
knowledge20%
to reduce
costs57%
to refocus
people’s efforts
on non-
repetitive tasks
that benefit
from human
intervention
51%
7. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
TRANSFORMATION PRIORITY 2 – INNOVATION
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Organizations that automate and reinvest their people productivity gains into innovation efforts tend to be
more successful
WHAT PEOPLE NEED TO BE MORE INNOVATIVE
need freedom from having to
execute mundane tasks69%
want exposure to new,
breakthrough technologies58%
need opportunities to learn
new skills51%
want more avenues for
experimentation47%
8. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
TRANSFORMATION PRIORITY 3 – LEARNING
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Transformation is most fruitful when based in a culture of lifelong learning that ensures people remain relevant
even in a vastly changed, increasingly digital landscape
LIFELONG LEARNING IS THE
FUTURE
respondents from Retail
and CPG enterprises say
that employee lifelong
learning programs are
extremely important to
their organizations
58%
LIFELONG LEARNING IS IMPORTANT
BECAUSE…
say it improves their ability to fit into new
roles and jobs44%
say it improves their productivity
37%
say it prevents skills loss when
employees with highly specialized skills
retire or switch jobs
13%
9. RETAIL AND CPG
HUMAN AMPLIFICATION IN THE ENTERPRISE
TRANSFORMATION CHALLENGES
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We specifically asked IT professionals about the difficulties in achieving their enterprises’ full-cycle digital
transformation
DIFFICULTIES IN ACHIEVING FULL-
CYCLE DIGITAL TRANSFORMATION
say it is time constraints
60%
highlight IT misalignment
59%
CHALLENGES IN ADOPTING MORE
AI-SUPPORTED ACTIVITIES IN ENTERPRISES
state lack of in-house knowledge and
skills around the technology61%
indicate lack of financial resources
52%
say there’s lack of clear
implementation plan47%