Tech proficient businesses are two-thirds more likely to anticipate growth than those struggling to modernize, according to ThoughtWorks

The more digitally proficient a company is the more likely it is to anticipate growth in the next year, according a new report by global software consultancy ThoughtWorks

LONDON, May 13, 2021 /PRNewswire/ -- New international research commissioned by ThoughtWorks reveals that, against the backdrop of businesses recovering from the most seismic challenges in living memory, the most tech-proficient enterprises are the ones anticipating growth in the coming months. 

The study, which covered 12 countries, surveyed a representative sample of 969 CEOs and CIOs about their level of proficiency when it came to business technology, and its bearing on business confidence and long-term goals.

The research suggested that digitally proficient businesses were significantly more likely to be growing. Four in five (82%) businesses that described themselves as fully proficient said they anticipated growth in 2021. This fell to 50% among enterprises that recognized their tech proficiency was behind the competition.

Tech-savvy businesses have greater appetite for risk

Asking about the priorities for the coming year, the results suggested that the most proficient businesses were also the most likely to be expanding their enterprises in the next six months. In comparison to less proficient businesses, they were significantly more likely to be launching new service lines (36% vs. 25%), investing in attracting the best talent (46% vs. 34%) and launching into new markets (36% vs. 30%).

Underpinning these growth initiatives, tech proficient businesses were also most likely to place importance on improving operational efficiency (51%), enhancing profitability (46%) and to actively invest in developing their leadership team's technology know-how and proficiency (40%).      

Technology issues preventing expansion

The report found that a high proportion of businesses overall knew their existing systems were in need of urgent modernization to achieve many of their goals for the coming year. Two in five (42%) businesses surveyed would not be able to launch into new markets, or launch new service lines (39%), without a considerable tech upgrade.

Meanwhile, for day-to-day operational activities, over a third (36%) said their systems were not fit for purpose for operational activities, to grow their customer base, or to train members of staff.