China Digital Transformation Index
In 2023, the Global Disruption Index increased by 33% year-on-year. Most notably, technological disruption index rose 88%, mainly driven by the rise of Gen AI.
During the past year, global disruption continues to rise（slide to see more）
Companies in China are feeling the pressure. Nearly 40% of Chinese executives report unprecedented changes in their operating environment—far higher than the global average of 12%. However, Chinese executives feel less prepared to navigate this challenging and changing business environment. 2024 marks the second year of the upgrade to Accenture's Digital Transformation Index Framework.
4%
of the surveyed 450 companies have become "reinventors" by reinventing various businesses and functions, aiming to pioneer new competitive frontiers, an increase of 2 percentage points from 2023.
To break through in this shifting landscape, companies in China have refocused on innovation and growth. On this year’s Digital Transformation Index, overall score increased from 44 to 46, driven by significant improvements in setting new competitive frontiers and accelerating growth. However, digital core and talent capabilities remain persistent problems as the lowest-scoring dimensions.
From 2023 to 2024: elevating digital capabilities for innovation and growth
As companies strive to stay ahead and adapt to fast-changing markets, they are increasingly turning to AI to fuel their innovation efforts. In particular, Gen AI has captured the public’s imagination, opening up unprecedented possibilities for creativity and efficiency. 59% of Chinese enterprises intend to boost investment in digital transformation projects, and 90% Chinese companies view Gen AI as a significant opportunity to improve both their top and bottom lines.
Three challenges to
realizing value from AI
While gen AI has undoubtedly unlocked new potential across the globe, three major issues hinder Chinese enterprises from realizing its full promise.
Lack of an overall AI strategy
When restricted to individual use cases in the absence of a holistic plan, the impact of AI will be greatly limited.
Weak foundations in digital technology
AI will dramatically change the way work is done. If enterprises are unable to predict these changes and adjust accordingly, they will face risks such as losing talent and resource misallocation.
Being unprepared for new ways of working
AI has raised the requirements on enterprise architecture and IT operating models, with unstructured and synthetic data becoming more important. Immature tech capabilities will not be able to absorb AI, let alone maximize value from it.
The way forward:
Reinvent for growth
To effectively use AI and succeed at reinvention, company leaders must focus on four key imperatives.
