One in Two Managers Across Germany, Austria and Switzerland View Digital Pioneers as a Threat, Says DXC Technology Survey

Pressemitteilung -- Januar 15, 2019

Böblingen, Jan. 15, 2019 — Half of all managers across key industries in Germany, Austria and Switzerland (DACH region) believe that digital pioneers from their own industries are a threat to their traditional business models, according to the survey “Digital Agenda” by DXC Technology (NYSE: DXC).

The survey shows that established digital companies such as Microsoft and Amazon, or even start-ups, are not identified by the majority of respondents (70 percent) as risks to their market positions. On the contrary, every second company expects to benefit from the know-how of these native digital companies.

Eighty-six percent of DACH managers are convinced that digital transformation has already changed the market for their own companies, while 71 percent have already established digital agendas — an increase of 20 percent compared to the previous year. A further 11 percent plan to adopt their own digital strategies within the next year.

Successful practical experience

The majority of respondents were satisfied with their practical experience on the “digital journey” so far, with 56 percent reporting first measurable successes. The managers acknowledge the established digital companies as possible accelerators of the digital transformation in their own companies: 53 percent share the opinion that their business models benefit from companies such as Microsoft, Amazon.

Benefiting from digital companies

An example of the benefits is the use of cloud-based IT infrastructure on demand such as Microsoft Azure and Amazon Web Services (AWS). Amazon originally developed the system to run its own e-commerce platform.

“DXC Technology and AWS have signed a global cooperation agreement, ‘DXC-AWS Integrated Practice’, offering our customers accelerated cloud migration, modernizing IT with digital services and developing business innovations,” said Michael Eberhardt, vice president and general manager, North and Central Europe, DXC Technology. “As the survey shows, many companies in the DACH region have already recognized that the know-how of digital professional companies can be used to stimulate their own business model without having to reinvent the wheel themselves.”

Benefiting from digital startups

In addition to digital corporations, every second manager said that they expect startups to provide digital impacts for their current business model. A practical example from the manufacturing industry illustrates the effectiveness of such a strategy: Together with the Dresden-based startup Contractus, DXC recently developed a secure, decentralized I-4.0 network based on blockchain technology. This Industry 4.0 platform will enable legally compliant interaction between partners (smart contracts), automate the conclusion of contracts, document the degree to which they are fulfilled or will serve as a platform for networked production.

“As the examples show, companies have numerous opportunities to make a virtue out of necessity: If digital pioneers from their own industry are the greatest threat to traditional business models, companies should become digital pioneers themselves as quickly as possible through cooperation with experts, in order to use the advantages as first movers,” says Eberhardt.

About DXC Technology’s ‘Digital Agenda’ survey

DXC Technology conducted the study “Digital Agenda” in October 2018 via a market research institute. In Germany (N=400), Austria (N=100) and Switzerland (N=100), 600 managers in digital transformation decision-making roles were interviewed. The study focuses on the manufacturing, services, trade and consumer goods sectors.

About DXC Technology

DXC Technology (DXC: NYSE) is the world’s leading independent, end-to-end IT services company, serving nearly 6,000 private and public-sector clients from a diverse array of industries across 70 countries. The company’s technology independence, global talent and extensive partner network deliver transformative digital offerings and solutions that help clients harness the power of innovation to thrive on change. DXC Technology is recognized among the best corporate citizens globally. For more information, visit dxc.technology/de.