A vast majority of business leaders around the world lack the skills and mindsets necessary to lead in the digital economy, Sloan, the business school of Massachusetts Institute of Technology, has found.
The report, based on a survey of 4,394 global executives from over 120 countries, says most of the business executives are not ‘tech-savvy.’ Worst still, they are out of touch with what it takes to stay competitive in the digital economy.
“A generation of leaders in large companies are out of sync, out of tune, and out of touch with their workforces, markets, and competitive landscapes,” says Benjamin Pring, co-author of the report, and director of the Center for the Future of Work for Cognizant, which also took part in the study.
“What got them to their current exalted status won’t be effective much longer — unless they take swift action.”
In the survey, less than 13% of respondents agreed that their organization and business leaders have the right mindsets and skills necessary to thrive in the digital economy.
Only 13% strongly agreed their organizations are prepared to compete in increasingly digitally-driven markets and economies.
A large majority, 71%, of respondents believe that they are personally prepared to lead in the digital economy. Yet, hardly a few could answer when asked whether they know how to use data analytics and machine learning technologies.
Most of the respondents appeared to be aware that the new economy will need “digitally savvy” leaders. However, less than 10% agreed their organizations have the right leadership to thrive in the new digital economy.
Just 40% believe that their organizations are taking the necessary steps to build robust digital leader pipelines.