Digital technologies are all around us, - increasingly ubiquitous and commoditized. But, are they a major source of competitive differentiation? Are they still a strategic value to business? Can digital innovation drive long term economic growth?
Several weeks ago, the McKinsey’s Global Institute (MGI) published a report addressing these questions. Digital America: A tale of the haves and have-mores aims to quantify the state of digitization of the US economy. The report introduces the MGI Industry Digitization Index, a methodology for exploring the various ways US companies are going about their digital journey, - based on 27 indicators that measure how they’re building digital assets, expanding digital usage, and creating a digital workforce.
“Digital innovation, adoption, and usage are evolving at a supercharged pace across the US economy,” notes the report in its opening paragraph. “As successive waves of innovation expand the definition of what is possible, the most sophisticated users have pulled far ahead of everyone else in the race to keep up with technology and devise the most effective business uses for it.”
Let me discuss a few of the findings in this extensive report.