Digital transformation: bridging the divide between leadership and the frontline

Despite significant investments, UK industrial companies face divided views on digital transformation success and productivity.

Recent research by the AI platform Cogna highlights differing perspectives between senior leadership and employees in the UK's industrial sectors regarding digital transformation. While many leaders report positive outcomes and productivity improvements, employee responses indicate continued reliance on unofficial workarounds to manage day-to-day tasks.

Despite substantial investment in digital transformation initiatives, a survey of operational staff found that 39% of their working week is spent on repetitive tasks that could potentially be automated. Additionally, 29% of respondents reported that at least half of their week is spent on manual tasks, compared with 22% of senior decision-makers who expressed the same view.

These differing perceptions are reflected in the use of 'shadow IT' solutions. The research found that 65% of employees have created their own tools or processes, such as spreadsheets and informal workflows, to address limitations in official systems. According to the report, these solutions can create security risks and contribute to fragmented organisational data.

Leadership respondents reported strong confidence in technology-driven productivity gains, with 89% attributing improvements to technology. In contrast, employees identified operational challenges including slow approval processes (20%), poor communication (19%), and outdated systems (17%) as barriers to efficiency. These findings suggest that some operational issues remain despite technology implementation efforts.

AI and automation were recognised by employees as having a positive impact in certain areas, with 34% reporting improved efficiency in their roles. At the same time, many leaders reported pressure to expand AI adoption, citing concerns that competitors are progressing more quickly with AI-enabled solutions and noting the influence of customer expectations on digital strategy.

Financial constraints were identified as the most commonly cited barrier to further AI adoption, with more than 40% of leaders selecting this factor.

The findings indicate that organisations may benefit from aligning digital transformation initiatives more closely with operational requirements. The report suggests that addressing frontline challenges and converting informal workarounds into secure, scalable solutions could help organisations realise greater value from their digital investments.

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