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ARC has been tracking the digital transformation initiatives of companies by conducting surveys and analyses for the last 5-7 years. All this information has been collated and the Top 25 global industrial digital transformation leaders, across multiple industries and geographies, have been identified. ARC’s Industrial Digital Transformation Top 25 report highlights companies that are successfully integrating digital technology into all areas of business, fundamentally changing the way they operate and deliver value to their customers.
The tidal wave of digital transformation has restructured global industrial operations. In a pandemic-affected world, digital transformation has moved beyond the “nice to have” boardroom jargon to a “must-have” imperative. Organizations were forced to adapt with agility and flexibility to this new normal and accelerate industrial innovation. Established practices and business models were disrupted and destroyed, but destruction led to reconstruction and new ways to resolve challenges.
Defining “digital transformation” is complex as it encompasses the gamut from technologies, processes, and collaboration across teams and geographies. ARC Advisory Group defines digital transformation as: “The integration of digital technology into all areas of business, fundamentally changing the way companies operate and deliver value to customers. The organization is typically charged to innovate and improve across multiple dimensions such as digital/disruptive technologies, culture and leadership, operational agility, workforce engagement, customer experience, environmental, social and governance, and competitive performance.”
This is the ninth in a series of blogs on the leaders in the digital transformation space.
Volkswagen
Volkswagen has invested heavily in its digital transformation roadmap creating new digital jobs, agile working methods, and improved IT processes. The guiding principles adopted in the company’s “Future Pact” and digital transformation roadmap govern the strengthening and internal transformation of the workforce and 
creation of jobs in forward-looking areas. Volkswagen aggressively puts measures in place to pursue greater productivity and production. The company established the overarching framework “TRANSFORM.TOGETHER” to realize its production goals.
One key area of focus is driving automation in assembly by increasing the use of robots, particularly in less ergonomic jobs. Volkswagen also uses computer vision to increase manufacturing efficiency at its factories. The process extracts information from optical data at the plant and then evaluates using artificial intelligence in recognizing, processing, and analyzing images, resulting in significant energy use and cost cutting – as cited by the company.
Going Forward
The prevailing philosophy behind digital transformation has been that this transformation naturally translates to success. ARC will continue its research in all areas related to digital transformation to learn more about what is working – and what isn’t – as companies pursue their unique digital transformation activities. The Industrial Digital Transformation Top 25 report will be published annually. With this being the first issue, your feedback is very important to investigate new approaches and measures to adjust our methodology, identify successful digital transformation initiatives, and help the industry as a whole digitally transform. To download the final report, please click here.