Zinnov, released a compelling report titled ‘Large Enterprises: Transforming India’s Digital Future’. This report brings to light how Indian Large Enterprises are undergoing digital transformation with a focus on enhancing operational efficiencies and delivering an unparalleled customer experience. The Indian economy has grown at a tremendous pace over the last two decades and large enterprises are the harbingers of accelerated growth expected in the coming years as well. As per Zinnov, a large enterprise denotes a business entity operating in India with HQ in India / outside India, and having a headcount of 1,000 plus employees. The list includes private enterprises as well as PSUs and Government undertakings.
India has around 3400 large enterprises, out of which roughly 1200-1300 are public-listed on Indian stock exchanges. These public-listed large enterprises generate revenues equivalent to nearly 40 per cent of India’s GDP. Manufacturing, Real Estate & Construction, Retail/CPG, and BFSI sectors dominate the public-listed large enterprise landscape. Consistent performance over the years has led to 141 of the public-listed Large Enterprises clocking revenues of over $1 Billion in FY17, said the Zinnov report.
Delving deeper into the performance of Billion Dollar public-listed Large Enterprises, the report analyses the performance of various sectors over the last four years to find that Energy & Utilities, Manufacturing, BFSI, Mining & Trading, Real Estate & Construction, and Telecom have been sluggish whereas Retail/CPG, IT/ITeS and Healthcare led by Transport & Hospitality have emerged stronger and nimbler. Indian large enterprises are walking a thin line between tackling the challenges and capitalising on the opportunities.
Commenting on large enterprises’ approach in tackling the challenges and its effects, Praveen Bhadada, Partner & Global Head – Digital Transformation, Zinnov said, “We are witnessing a wave of digital transformation in Billion Dollar public-listed large enterprises, particularly on five tenets of talent, processes, infrastructure, business models, and innovation. The Billion Dollar public-listed large enterprises are expected to spend in excess of $360 Million towards Digital Transformation by 2020, growing y-o-y at a staggering rate of 45 per cent. We also expect a direct impact, not just on the workforce within these Billion Dollar public-listed large enterprises, but also on adoption of digital technologies by the entire business ecosystem.”
Rajat Kohli, Engagement Manager, Zinnov added, “In this study, Zinnov has also assessed the digital capabilities of Billion Dollar public-listed large enterprises based on their focus on advanced digital technologies like Artificial Intelligence (AI), Robotic Process Automation (RPA), and Internet of Things (IoT), investments in digital talent, partnerships, and acquisitions. It’s interesting to note that more than 40 per cent of the enterprises have already made investments in AI, RPA, and IoT, and ~20 per cent of the enterprises are well underway in their digital transformation journey.”