Cyber security is “number one challenge” impeding digital strategy, say businesses

Around 55 per cent of businesses consider security to be the “number one challenge” when it comes to implementing digital technology, a new study has revealed.

The survey, conducted by software supplier SoftServe, questioned SME owners across the UK and US on the risks, challenges, and opportunities surrounding digital transformation for modern businesses.

It indicates that implementing digital enablement technologies is at the top of the list for the majority of owners, with 27 per cent of organisations having already implemented a strategy across the entirety of their business, 45 per cent having already implemented a strategy across a section of their business, and 25 per cent suggesting that they planned to adopt strategies in the future.

In fact, says the report, just two per cent of organisations had no plans to adopt digital transformation.

The report suggests that cloud computing services, e-commerce, and financial services stood out as areas of digital transformation that businesses would most benefit from, perhaps because of the impending introduction of Making Tax Digital, the Government’s all-new digital tax overhaul.

In terms of challenges, security concerns topped the list with 55 per cent of businesses citing this as their greatest obstacle to digital transformation, following by budget constraints (50 per cent), lack of strategy (31 per cent), and lack of skills (27 per cent).

Robert Corace, executive vice president at SoftServe, said: “In the business world, new market entrants are digital natives. They enjoy the flexibility and agility that comes with being a start-up and as a result of embracing digital technologies like Cloud services, they’re realizing the cost benefits that were once the preserve of businesses of scale. In many respects, ‘traditional’ businesses are playing catch up in a race they could lose as a result of an inability or reticence to adopt transformative technologies.”