- Eight in 10 organisations in Malaysia lag in electronic ability
- Lack of abilities, talent hinder digital transformation
A study commissioned by enterprise software program player Workday found that eight within ten (79%) organisations in Malaysia continue to be lagging in digital agility, that is in the slow plus tactical stages associated with digital agility maturity.
In a statement, the company claimed this is regardless of the opportunity to accelerate digital transformation and increased technology adoption during the pandemic.
It said the research found that the insufficient skills in both skill acquisition and talent retention were the greatest challenges cited simply by organisations in Malaysia in pursuing electronic transformation.
Conducted in association with IDC, the IDC-Workday Electronic Agility Index Asia/Pacific 2022 highlights the particular extent to which Asian countries Pacific (APAC) organisations have progressed within digital agility since the Covid-19 pandemic.
1st started in 2020, the research assesses and ranks organisations on the Electronic Agility Index.
From their ratings, Workday said these types of organisations are discovered either as “agility leaders” if they are found to be in the agile/ integrated stages of digital agility maturity, or “agility followers” if they are determined to maintain the slow/tactical phases.
The study found that across the nine Asia markets surveyed, progress in digital agility is definitely uneven.
It showed that will Malaysia ranked seventh in this year’s Digital Agility Index – a position it also held in 2020. 
Organisations in Australia accomplished the greatest progress within digital transformation initiatives and ranked initial this year, the study mentioned.
Singapore, which ranked initial in 2020, dropped to second placement, followed by New Zealand, Korea, and Hong Kong, the survey pointed out.
Meanwhile, Taiwan, a new addition to the study, ranked 6th whilst Indonesia ranked in eighth position, followed by Thailand, this said.
From a regional viewpoint, the survey showed only 38% associated with Asian organisations are in the advanced levels of digital agility.
Still, progress is being made overall as this number reflects an eighteen percentage point boost when compared to 2020, it said.
For the 62% associated with organisations in Asia lagging in electronic agility (agility followers), technology adoption is frequently driven by practical requirements and business needs such as just for e-commerce, safety measures, and remote work during the pandemic, Workday observed.
The survey emphasised that will organisations in Malaysia should look to incorporate digital tools plus processes enterprise-wide to gain a holistic view associated with resources, enable data-driven insights, and drive greater digital agility.
However , it mentioned only four in 10 (42%) businesses managed digital change initiatives at the functional level, as opposed to applying such transformations in the enterprise level.
In addition , IT and financial leaders also highlighted function-specific challenges.
A high proportion of IT leaders (73%) said they skilled challenges in choosing the right technology solutions which will help drive business speed.
Similarly, finance commanders (63%) surveyed highlighted challenges in identifying new growth possibilities while driving profitable revenue growth in a rapidly evolving business environment.
The lack of an integrated finance process backed by an enterprise-wide technology architecture as a result drives fragmented economic reporting and slows timely business insights and decision-making, the research reported.
It said leveraging digital transformation more aggressively can help businesses achieve better final results in attracting and retaining talent.
More than half (57%) of human resource (HR) leaders in Malaysia said they are challenged in identifying the proper skills needed to support evolving business requirements.
In terms of skills development, the study also found that will about over fifty percent (67%) of HUMAN RESOURCES professionals in Malaysia are solely concentrating on core skills needs, as opposed to adopting a holistic strategy based on employee engagement and data analytics to identify exercising needs and development areas.
In the new norm led by a digital-first economy, leveraging electronic agility can offer aggressive advantages, the report noted.
But this is only possible if companies rethink their approach to closing digital speed gaps through technology and alignment associated with functional business needs across the c-suite, the study highlighted.
The study also showed that will for positive business outcomes, not only should organisations accelerate their particular digital transformation to narrow the agility gaps but also come with an integrated approach being a strategic imperative.
Sandeep Sharma, president with regard to Asia, Workday said, “With agility now a key way to obtain competitive advantage in today’s digital-first economy, organisations supported by data-driven processes plus imbued with electronic skills and work cultures are best placed to thrive in today’s changing entire world.
Lawrence Cheok, associate study director of digital transformation at IDC said, “It is not surprising to see increased technology adoption traveling agility improvement.
“However, real digital agility is about capitalising on alter in order to thrive — to do so, organisations have to emulate agility commanders and make the step from tactical to strategic enterprise-wide changes in their culture, people, processes, and technologies implementation. ”
Click here to access the entire report: IDC-Workday Electronic Agility Index Asia/Pacific 2022