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Press release

Report Analyzes Link Between Revenue Growth and Digital Technology Leadership

CIOs and IT leaders who foster a culture of digital learning and shared accountability generate greater business outcomes, a Harvard Business Review Analytic Services survey sponsored by Red Hat shows

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In order for organizations to compete and succeed in today's digital world, leaders across the business - not just those in IT - must prioritize their understanding of technology trends. The payoff for educating business leaders on digital trends can be compelling. Companies that excel in digital leadership were found to be significantly more likely to have experienced revenue growth of 10 percent or more over the last two years, according to the results of a Harvard Business Review Analytic Services survey of 436 global business professionals, commissioned by Red Hat, Inc. (NYSE: RHT), the world’s leading provider of open source solutions.

The report, "Driving Digital Transformation: New Skills for Leaders; New Role for the CIO,” explores whether business leaders have the digital acumen to transform their organizations for today's digital economy. The report revealed a gap between the knowledge and skills needed to drive digital transformation and the reality within the walls of most organizations. Less than a quarter (23 percent) of all survey participants are confident their organizations have the knowledge and skills to succeed in the digital aspects of their business.

The silver lining comes in the form of what the report calls Digital Leaders: companies that employees rated highly in both digital leadership and management. The report showcases that companies that have a clear vision and strategy for digital transformation coming from the top, as well as the people, processes and technology needed to execute against that vision, were significantly more likely to see tangible business results, such as revenue growth. While only a fifth of respondents (19 percent) fell into the Digital Leaders category, these employees were considerably more confident (67 percent) in their company's ability to succeed in the digital age compared to the average (23 percent).

The survey results reveal an overwhelming eagerness for digital knowledge among business leaders—especially when it comes to data—with close to three-quarters (73 percent) rating analytics extremely important to their area of the business. Only a fifth (20 percent) rate their own analytics knowledge and skills highly. Nearly half (45 percent) of survey respondents cite the lack of an appropriate forum the biggest barrier keeping them from learning about new technology from IT leaders. More than a third (34 percent) say their IT leaders are too busy.

A significant percentage (46 percent) of survey respondents are looking to their CIO to learn about digital trends. CIOs within companies that the report calls Digital Leaders were more likely to be characterized by their colleagues as digital coaches or masters (45 percent). Further, 60 percent of respondents within Digital Leader companies—triple the percentage of respondents who rated their companies low in both digital leadership and management—believe their CIOs seek to educate and empower line of business leaders, and 67 percent have IT leaders who understand what is relevant to each business area. The majority (70 percent) of respondents within Digital Leader companies also have IT departments that provide useful knowledge to employees about technology, compared to only a quarter (25 percent) in companies lagging behind in digital leadership.

Supporting Quote
Lee Congdon, CIO, Red Hat
“It's clear that the role of the CIO and IT leaders is evolving. The report demonstrates how imperative open collaboration and shared accountability are for the entire enterprise. The results are a call to arms for CIOs to get ahead of the industry shift and drastically increase transparency between IT and other business leaders now, before their competitors leave them behind.”

Methodology and Demographics
Harvard Business Review Analytic Services conducted an online survey on behalf of Red Hat to examine the link between digital acumen, business transformation, and the role of the CIO. The survey polled 436 individuals in executive management, senior management or board-level positions in companies with 500 or more employees. Forty-seven percent (47 percent) of respondents were from organizations of 10,000 or more employees, and a third (33 percent) of companies had 2013 revenues of $5 billion or more. Respondents represented major sectors, including technology, financial, and manufacturing. Respondents were from North America (35 percent), Europe (26 percent), and Asia (24 percent). Fifteen percent (15 percent) were from the rest of the world.

Additional Resources

  • See these and additional results of the Driving Digital Transformation: New skills for leaders; New role for the CIO study in an infographic
  • Download the Harvard Business Review Analytic Services report

Connect with Red Hat

About Red Hat

Red Hat is the world’s leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.

前瞻声明

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending; the effects of industry consolidation; the ability of the Company to compete effectively; the integration of acquisitions and the ability to market successfully acquired technologies and products; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company’s growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Quarterly Report on Form 10-Q (copies of which may be accessed through the Securities and Exchange Commission’s website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this press release represent the Company’s views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.