Organisations are still moving conservatively with their digital transformation efforts, with many adopting a protective stance with the mindset that disruption from COVID-19 will pass in due course. — Photo istock

Digital transformation is an indispensable factor to help businesses gradually get used to the new economic state after the COVID-19 pandemic, according to a recent SAP survey.

SAP on Thursday announced the results of its poll of 4,500 Southeast Asian business leaders, revealing the extent of COVID-19’s impact on businesses across the region, and concerns about long-term prospects.

Unveiled at the inaugural SAP Forward Together virtual event on the new reality of businesses, the survey revealed that 40 per cent of the businesses polled are still adopting a “wait and see” approach in response to the pandemic.

The digital era is evolving into an “intelligent” one whereby businesses are facing mounting new challenges amidst digital disruption and new rules to the game. Winning companies are those that transform through innovation, more so in today’s “digitally disruptive” world compounded by the pandemic.

“In a new reality, intelligent enterprises can ‘do more with less’, deliver best-in-class customer experience, build resilient supply chains, while inventing new business models and revenue streams,” said Rachel Barger, President and Managing Director, SAP South East Asia.

The majority of regional business leaders (63 per cent) surveyed have already seen changes in customers’ purchasing behaviour and motivations since the start of 2020, although 21 per cent of businesses are unsure or lack insight on changes in their customer’s needs. Amidst this shift, organisations are still moving conservatively with their digital transformation efforts, with many adopting a protective stance with the mindset that disruption from COVID-19 will pass in due course.

For Viet Nam, 61 per cent of business leaders surveyed have already seen changes in customers’ purchasing behaviour and motivations since the start of 2020, while 22 per cent of businesses have not seen any changes in their customer’s needs and 16 per cent remained unsure.

Although businesses have pivoted their operations towards e-commerce and online selling, smaller businesses still worry over implementation costs of digital platforms and juggling operations to meet the sudden influx of demand. Around 20 per cent of businesses foresee a need to adapt their customer experience strategies to meet evolving expectations and needs of customers across platforms.

Prior to the COVID-19 crisis, the drivers of technology were focused on cost reduction and productivity. The goal was to make well-run businesses run better. As we adapt to the new realities caused by COVID-19, the roles of technology will have to evolve to achieve resiliency, deliver profitability and act sustainably.

To support business continuity through these challenging times, SAP has opened up access to selected technology solutions.

As a result, SAP is providing free access to SAP Ariba Discovery, the world’s largest business network until December 31, 2020, so any buyer can post their immediate sourcing needs and any supplier can respond to show they can deliver. — VNS