The New Champions of Digital Distribution - Incumbent Organizations

Today, most incumbent organizations (those established before the onset of the digital revolution) in every industry are grappling with the risks of disruption with one hand even as they reach for its opportunities with the other. After years of looking the other way, and then reluctant admission, incumbent organizations have come to accept and even embrace disruption in the business. Most are responding by commiting to the idea of digital transformation. But that is where the similarity ends.

While a few incumbent organizations have holistic perspective of transformation with their sights set on higher order improvements and growth along with business model - and operations - altering outcomes, most are yet to evolve a similar outlook. This distinction in the digital transformation focus of large companies is quite visible from a study of their priorities as stated in their quarterly investor briefings. Recently, when we examined these reports of 100 large companies, over two quarters, we found that while themes like effciency, productivity, and experience dominated the narratives, there was scant mention of strategic themes like business model innovation and enterprise digitization


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