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PERSPECTIVE

Reinvention, by the numbers

5-Minute read

January 18, 2024

The current pace of change presents both a challenge and an opportunity.

Organizations that understand the dynamic forces at play are reinventing themselves. And it’s working.
Read on to see the data behind why – and how.

The one constant? The pace of change is accelerating

183%

The rate of change affecting​ businesses has risen sharply​ since 2019 – 183% over the past​ four years and 33% in 2023 alone

88%

of C-suite executives anticipate an even faster rate of change in 2024

#1

Technology disruption increased the most in 2023, rising from #6 in 2022 to become the #1 cause of business change

Technology aside, C-suite leaders globally rank the remaining five factors differently​

And many leaders don’t feel prepared

52%

of executives feel they are not fully prepared to respond to the change they will face

To what extent is your organziation prepared to respond to any changes.

To navigate change, executives are turning to reinvention as their core strategy

To navigate change, executives are turning to reinvention as their core strategy. 81% of organizations are on the path to reinvention. Only 9% of have fully embraced a strategy – we call them “Reinventors”.
To navigate change, executives are turning to reinvention as their core strategy. 81% of organizations are on the path to reinvention. Only 9% of have fully embraced a strategy – we call them “Reinventors”.

“Reinventors” see significant value...

Reinventors realize significant value. 17% Reinventors realize higher revenue growth vs others in the last 2 years. Reinventors forecast 2.5x higher revenue growth vs others in the next 2 years.
Reinventors realize significant value. 17% Reinventors realize higher revenue growth vs others in the last 2 years. Reinventors forecast 2.5x higher revenue growth vs others in the next 2 years.

…and they expect to get there faster

Reinventors realize value faster. 20% of Reinventors reach greater value within six months. 45% of Reinventors see greater value within 1 year.
Reinventors realize value faster. 20% of Reinventors reach greater value within six months. 45% of Reinventors see greater value within 1 year.
Reinventors compared to their Industry peers
Reinventors expect to see big benefits in other areas too

Beyond financial benefits, they see value in every direction.  Something we call 360° Value.

What‘s next? Embracing new tech, such as generative AI, responsibly

Gen AI will accelerate reinvention​

82%

see gen AI as a key lever in their reinvention strategy

76%

of executives see gen AI as more of an opportunity than a threat​

76%

see gen AI as being more beneficial to revenue growth than to cost reduction in their organization

…and executives know if they don't embrace the ongoing ​tech revolution, they could be left behind​

What are the consequences of failing to harness the ongoing tech revolution? 67% believe they will miss future opportunities. 65% believe they will forfeit value. 63% believe they will lose competitiveness.
What are the consequences of failing to harness the ongoing tech revolution? 67% believe they will miss future opportunities. 65% believe they will forfeit value. 63% believe they will lose competitiveness.

These critical imperatives are key​ to reinventing with generative AI

Lead with value

Beyond no regrets moves, Reinventors are focused on making strategic bets with gen AI in challenging areas

Beyond no regrets moves, Reinventors are focused on Gen AI to make strategic bets in challenging areas
Beyond no regrets moves, Reinventors are focused on Gen AI to make strategic bets in challenging areas

Leaders must learn in new ways to understand how gen AI can apply to their busines

66%

of leaders in the C-suite recognize that they and their direct reports lack a range of essential attributes, including practical understanding of what technology, data, and/or science can achieve 

Set yourself up for success

Reinventors are strengthening their digital core for the gen AI era

1.8x

more Reinventors rate their company‘s digital core as strong, relative to all others

9x

more likely to invest in remediating technical debt

Companies believe their legacy tech and data strategy require the most amount of change to leverage gen AI in their organization

47%

of C-suite executives say one of the top challenges they face in using and implementing gen AI today is getting the data strategy right

Close the gap on responsible AI

Making the right judgements on the responsible deployment of generative AI is a key imperative for leaders today

$10.3 T

additional economic value can be unlocked by 2038 if organizations adopt gen AI responsibly and at scale

72%

are now approaching technology investments with more caution because of societal concerns about the responsible use of AI​

93%

of executives agree that with rapid technological advancements, it is more important than ever for organizations to innovate with purpose

The vast majority (96%) of organizations support some level of government regulation around AI, but only…​

2%

of companies have self-identified as having fully operationalized responsible AI across their organization

Empower people’s ingenuity

Gen AI and other intelligent tech will create entirely new levels of productivity and creativity

#1 most important lever to delivering Reinventors’ productivity improvement goals is AI/ Gen AI. Reinventors are 2x more likely to be prioritizing the soft skills that are increasingly important to ensuring Gen AI adoption and value.
#1 most important lever to delivering Reinventors’ productivity improvement goals is AI/ Gen AI. Reinventors are 2x more likely to be prioritizing the soft skills that are increasingly important to ensuring Gen AI adoption and value.

94% of people are ready to learn new skills to work with gen AI.​

But only...

5%

of organizations are providing gen AI training at scale

Change is constant, and thus, the path to reinvention never ends

Organizations cannot approach reinvention as a one-time effort undertaken every few years. They must build the capability to continuously reinvent and make the ability to change part of the organizational DNA.

We believe that the companies that will succeed in the next decade are those that embrace a strategy of continuously reinventing every part of their business using technology, data and AI, including harnessing the power of generative AI and ensuring their people are at the center of their transformations.

Jack Azagury, Group Chief Executive—Strategy & Consulting, Accenture​