Software quality, speed, and digital customer experience are top priorities.

CA Technologies announced on the 28th the results of a global survey on leading companies driving change through disruptive innovation in today's application economy era. This survey identifies specific actions that leading companies are implementing or considering for competitive advantage and provides insights into how rapidly business models will change in the future.

According to a survey of 250 business and IT executives worldwide conducted by Harvard Business Review (HBR) Analytics Services with sponsorship from CA Technologies, 44% of respondents predicted that their industries would experience rapid disruptive digital innovation over the next three years. 22% stated that rapid disruptive innovation had already occurred. More than half of the respondents (58%) expected their business models to be "dramatically" different from today in three years. Recognizing the impact and speed of change, 66% viewed their companies' future as largely dependent on software quality.

Changes in customer behavior and expectations (46%) and innovative new competitors (25%) were cited as the most common causes of disruptive innovation. This clearly demonstrates the importance of constantly recognizing and adapting to new trends to avoid falling behind the times.

Michael Choi, President of CA Technologies Korea, said, “In the application economy, digital transformation is permeating every area of business. “Many companies are seeking to innovate their businesses by building digital readiness based on the latest technology and communication,” he explained. “Applications are a primary means of connecting consumers with businesses. With high smart device penetration rates, the Asia-Pacific and Japan regions, including Korea, are well-prepared to leverage the application economy. Furthermore, the large Millennial population, familiar with digital innovation technologies, will play a key role in promoting the application economy.”

More than half of all respondents (53%) stated that they are already investing in or plan to invest in the latest technologies that enable them to develop digital products and services much faster. Industry leaders rated as implementing Agile management more quickly demonstrated significant advantages in terms of speed. 68% of these leaders stated that they are adept at rapidly developing new technologies and assessed that their digital products are ahead of their competitors. One-third of these leaders (33%) stated that more than half of their current revenue comes from digital sources.

"To create something good, you must be able to iterate quickly. This means constantly accepting customer feedback and continuously improving. If development speed is not maintained, it does not matter how good the current version is. Based on this spirit, CA adheres to continuous delivery for customers and agile management principles," said CEO Michael Choi.

42% of respondents stated that they are placing a special focus on "Digital First" and are actively implementing or considering improvements to customer touchpoint business processes. Regarding investment priorities related to this, creating outstanding digital customer experiences (42%) received the most attention, followed by core operations and process innovation (34%) and employee process innovation (31%). Interestingly, only 24% of respondents cited investment in new digital products and services as a priority.

Security concerns arise due to digitalization

Security concerns have also emerged alongside digitalization. 45% of respondents stated that they are very concerned about security issues, such as data breaches, compliance, and lawsuits, as their companies become increasingly digitized. 49% answered that enhanced industry-wide tools need to be developed for cybersecurity, while 35% said their companies need to invest in more secure technology infrastructure. It is becoming easier for senior executives and boards of directors to recognize cyber threats and justify security investments.