Many businesses are speeding up digital transformation to boost development and enhance their competitive advantage but have been advised to recognize and avoid “traps” in the process.

Forbes has assessed the risk of failure in digital transformation by businesses at 84 per cent.

According to McKinsey, BCG, KPMG, and Bain & Company, the risk of failure falls somewhere between 70 per cent and 95 per cent.

The Vietnam Software and IT Services Association (VINASA) said the figure in Vietnam is nearly 90 per cent.

Experts have said that, during the digital transformation process, businesses can fall into a number of “traps” when applying too many tools without properly assessing their appropriateness and effectiveness, causing waste. Many businesses mistakenly believe that they have completed the transformation roadmap while they have just applied part of the technology.

Businesses also often pay too much attention to technology and forget the cultural factor in digital transformation. The failure is not due to the low capacity of information technology but because of the readiness and adaptation of all members of the business.