Executives at large organizations broadly recognize that effective use of digital tools significantly contributes to achieving business objectives. But how proficient are leaders and employees when it comes to using these digital tools? What strategies are currently in place, and what risks and opportunities do leaders perceive?
Our recent research among employees and executives at organizations with over 500 employees who use software at least weekly reveals that there is substantial room for improvement when it comes to policies surrounding digital skills.
Key findings:
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54% of executives at large organizations admit they would like to improve their own digital capabilities.
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63% of large organizations lack a successful digital skills policy. Some have no policy at all, while those that do tend to adopt a defensive, risk-focused approach, overlooking the opportunities digital skills development can offer.
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67% of employees say an organization becomes more attractive if it actively invests in digital skills. However, only 21% of executives are aware of this.
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87% of employees use software daily—rising to 91% among those with higher education—yet not all find it easy to use. Only 52% of employees overall and 48% of public sector workers say they find IT easy to use.
Current skills and policies
Executives do recognize the importance of digital competencies, rating the link between digital skills and organizational success at 7.5 out of 10. Still, 54% acknowledge they need to improve their own skills.
According to our data, employees give themselves an average self-rating of 7.2 out of 10 for digital proficiency but actually perform at a 4.8. Ideally, they would like to reach 8.8.
While 69% of executives believe their employees are keeping up with digital change (7.1/10), the reality is different: 46% of employees report high levels of stress due to digital change, and only 53% feel they can keep pace. This highlights a gap between leadership perception and employee reality.
When it comes to existing digital skills policies:
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5% of executives are unaware if a policy exists.
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10% state no policy is in place.
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17% assess the need for skills development on a project-by-project basis.
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32% acknowledge a policy exists but say it requires further professionalization.
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37% report having an established policy to support digital skills.
Risks and opportunities
There is growing global consensus that digital skills should be high on the leadership agenda. The World Economic Forum, for example, ranks technological literacy among the top Core Skills for 2030. The rise of AI and evolving regulatory requirements, particularly within Europe, make strategic investment in digital skills more urgent than ever. Yet many executives either fail to see the value or lack the necessary skills themselves to lead these initiatives.
Executives identify the following risks when digital tools are not effectively utilized:
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62% fear increased vulnerability to cybercrime.
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54% cite non-compliance with quality standards and legislation.
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38% see a negative impact on innovation.
Despite these risks, most leadership teams remain cautious and reactive rather than proactive. The opportunities of a more forward-thinking digital skills policy remain largely untapped—opportunities such as attracting top talent, increasing employee satisfaction, and more effectively achieving strategic goals through optimized technology use.
With 67% of employees stating that a commitment to digital skill-building makes an organization more attractive—and this rising to 73% among highly educated and younger workers—there is a clear competitive advantage to be gained. However, only 20% of executives see the lack of a digital skills strategy as a risk to talent acquisition.
Furthermore, 46% of employees experience stress due to digital transitions, and only 53% find the pace manageable. Investing in digital skills not only boosts employee engagement but also helps reduce workplace stress and related health issues.
While organizations may invest heavily in acquiring IT systems, these tools are often underutilized. Embedding digital skills development into organizational policy can bridge this gap—helping to unlock the full potential of technology in driving business success.
Source: Emerce