KPMG global tech report: Technology insights

The digital transformation journey is an important strategic consideration for all sectors, but none more so than the technology sector. This means it has to do two things simultaneously: lead by example and rethink its own strategies.

As tech innovation offers almost endless potential, many tech leaders are afraid of falling behind. This can lead to the temptation to make hurried decisions, which may prove misguided, risky and expensive.

In “KPMG global tech report: Technology insights,” our insights show that much of the tech sector’s digital transformation success is a result of discipline and targeted investments. Through strategic spending decisions, such as prioritizing AI and environmental, social and governance (ESG) activities, the industry has become skilled at protecting its transformation progress from volatility.

Key themes

The tech industry is preparing itself for cost shocks

Three-quarters (76 percent) of tech executives say their total cost of ownership and cost-benefit-analysis forecasts are usually accurate. The same proportion say they run calculations to forecast the potential value of the technology before investing, which is slightly above the cross-sector average.

ESG goals are a key focus for how tech workforces leverage digital transformation

Tech is one of the sectors in our survey that is most likely to prioritize technology investments based on employee feedback, with a five percentage point lead over the global average. 73 percent of tech executives say their workforce leverages its organization’s tech investments so they target their sustainability and social goals, which slightly higher than the cross-sector average.

Tech firms plan to keep a democratized approach with AI experiments

Most sectors are working toward a centralized approach to AI implementation. But the tech industry plans to continue developing AI governance policies and democratizing its approach to AI experimentation as it builds more experience in that area.