It’s no secret that media companies are among the most technologically disrupted organizations in the world today. The kind of massive transformation that took place in the music industry over the past 15 years is now taking place in other verticals.
Our survey revealed an intriguing contradiction among media executives, however, when it comes to their attitudes about the opportunities presented by disruption compared with their companies’ levels of preparedness. When asked about the impacts of disruptive technology on their organizations, 60 percent of decision-makers said disruptive technologies were having a ‘somewhat’ or ‘significant’ positive impact on their organization. However, that strong sense of optimism about the opportunities presented by disruptive technologies simply does not translate into operational preparedness. To that end, only 33 percent of media company decision-makers say they are ‘very prepared’ to address the strategic vision for technology amid a disruptive environment, while just 25 percent say their companies are ‘very prepared’ when it comes to the talent and skills of their employees.
These findings warrant the attention of decision-makers in the media industry. The difference between these high levels of optimism and low levels of preparedness is stark and may point to a sort of false optimism among the executives of these companies. This is a sizable business risk, as a company cannot adapt toward an opportunity that it has not yet identified.
The survey results tell us that to a high degree, media executives’ concerns about their own organizations’ performance are rooted in competitive pressures – not only from existing competitors from within their industries, but also from players from other industries who are now encroaching on their turf.
Further complicating things for many media companies today is the fact that that rapid pace of technological disruption (and the associated increase in competition) is making it difficult for many of them to catch up once the competition has made its move. More than a third of respondents (35 percent) said that ‘we saw the new technology trend coming too late’, while nearly half of respondents representing media organizations (44 percent) said ‘we can’t invest quickly enough to keep up’.