Only 12% of domestic companies are pursuing digitalization across the entire organization.
Domestic Companies' Confidence in IT Capabilities Lower Than Asia-Pacific Average

According to a survey by CA Technologies, while most domestic companies are well aware of the impact of digital innovation on the industry, only 23% have a complete digital transformation strategy. Although this is higher than the Asia-Pacific average of 17%, it is considered insufficient for readiness for digital transformation.

CA Technologies Korea released the 'CA Technologies Asia Pacific Digital Transformation Impact and Readiness' report, which assesses the impact of digital transformation in the Asia-Pacific region and surveys the status of corporate readiness. 900 business and IT decision-makers from nine Asia-Pacific countries, including Korea, China, and Japan, participated in the survey. 100 respondents from Korea took the survey.

The majority of domestic companies responded that their industries (93%), organizations (82%), and operations (81%) are being affected by digital innovation. This exceeds the Asia-Pacific average (80%, 78%, 78%). Countries in the Asia-Pacific region, including Korea, predicted that these changes will intensify over the next three to five years.

A survey revealed that companies in the Asia-Pacific region are failing to keep up with the pace of digital innovation. Only about half (52%) of domestic companies have embarked on digital transformation projects with clear corporate goals, such as increasing productivity and revenue. Furthermore, only 12% of domestic companies are pursuing full digitalization across the entire organization, ranging from redesigning operational methods to developing new business models. In both categories, the Asia-Pacific average also stood at only 51% and 9%, respectively, indicating that digital transformation is still in its early stages.



Digital Transformation Pressure Factors and Business Priorities
Asia-Pacific countries cited economic conditions and customer expectations as key driving forces for digital transformation. To address this, domestic companies were innovating their businesses to align with the changing market environment by prioritizing operational efficiency optimization (66%), development of diverse business models and revenue streams (55%), and the development of new products and services (46%) in their actual digital transformation projects. Improving customer experience (27%) was cited as a low priority, indicating room for improvement. In contrast, other Asia-Pacific countries placed high priority on operational and productivity improvements, including operational efficiency optimization (56%), workforce productivity and collaboration enhancement (49%), and operating cost reduction (46%).

Domestic companies show low confidence in their IT capabilities
While the majority of companies in Korea and the Asia-Pacific region were confident that they would achieve digital competitiveness within the next three to five years, they generally rated their current digital transformation capabilities as low. Domestic companies expressed confidence in a suitable corporate culture capable of accommodating risk-taking, innovative thinking, and talent diversity (50%) and strong leadership (46%). However, their evaluations of suitable technology and capabilities (34%) and appropriate operational processes (34%) were lower than the Asia-Pacific averages (40% and 41%, respectively).

Domestic companies showed lower confidence than the Asia-Pacific average regarding the IT capabilities required to drive digital transformation. Only a small number of domestic companies responded that they possess appropriate policies and technologies to prevent cyber attacks (27%), a clear technology roadmap and roles (27%), high-quality app development, launch, and maintenance (24%), and appropriate next-generation computing resources (24%). Meanwhile, domestic companies identified designing and executing the organization's digital transformation strategy as a core role of their IT teams.

Yoo Jae-sung, CEO of CA Technologies Korea, emphasized, “Recently, the government set out to secure national competitiveness by amending the Software Promotion Act for the first time in 18 years. CA Korea will also support domestic companies in building a modern software factory equipped with four core software capabilities—agility, automation, insight, and security—and succeeding in digital transformation.”