Not taking digital transformation seriously means potentially missing out on significant cost reductions for support functions. Various studies suggest that a high level of digital maturity could decrease costs by 10 percent of global value pools, on top of margin generation in front-office applications. These cost reductions can be returned to shareholders or turned into a competitive advantage by redeploying the capital. Additional working capital could increase operational effectiveness or allow the company to expand its core business, without negatively affecting the firm’s rating.
