The findings of our ‘Death by Digital Disruption?’ survey of the German DAX 30 corporations underscore the importance of innovation and digitization in these firms. Both activities are becoming increasingly inseparable, and they are the keys to sustaining superior financial performance over time. Experts from all 30 DAX corporations participated in the survey, which is complemented by insights from additional interviews of experts, and by our project experience. Moreover, a peer evaluation by industry experts identifies the top five digital transformers among the DAX 30 firms.
The results have boiled down to key findings of why some of the DAX 30 firms – like many other large established corporations – have difficulty strengthening their innovation and digitization activities. In the context of digitization, core competencies may become core rigidities, and established innovation practices may turn into deadly sins that block successful digital transformation. Merely assigning a Chief Digital Officer with insufficient power will not solve any digitization challenges. To fully profit from digitization, firms need to develop a new type of competence – digital intelligence. This is the central capability to gain digital momentum and facilitate a game change.