Digital is real and requires companies to undertake a set of fundamental changes to ensure their long term survival. But be warned, digital transformation projects are nearing a period of intense scrutiny.According to Gartner’s global head of research Peter Sondergaard, digital 12 to 18 months away from the ‘trough of disillusionment’.“
It is highly likely that 12 months from now — if not that then 18 months from now — we will go into the trough of disillusionment regarding digital. Because large parts of your organisation will be frustrated with the speed of how things have changed and will start to argue, ‘There’s nothing to this’,” Sondergaard said during a speech at an Australian Institute of Company Director’s lunch in Sydney last week.
The trough of disillusionment is a phase on the Gartner Hype Cycle which all technologies pass through. It represents the disappointment that follows the ‘peak of inflated expectations.’ On the other side of the trough is the ‘plateau of productivity’ when the tech becomes mainstream and starts to pay dividends.
“If you do nothing, I can promise you that five years from now Google, Amazon, Facebook, Baidu, Tencent, will end up owning at least 20 per cent of all digital transactions globally,” Sondergaarden said.