Why Strong Technology Leadership Matters to Europe’s Future Competitiveness

There is no shortage of innovation and business in Europe today.

Companies like Mercedes Benz in the automotive sector, Airbus in aerospace, AstraZeneca in pharmaceuticals, and L’Oréal in cosmetics are living legends. But to maintain global competitiveness, European companies must master adopting and absorbing technology by building strong digital leadership, finds Accenture’s latest report, “Innovate or Fade”.

"European companies thrive in productivity enhancement, but fall behind their US peers in generating profitable growth," notes Accenture experts Jean-Marc Ollagnier, Svenja Falk, and Surya Mukherjee.

The article articulates a compelling narrative regarding the indispensable role of robust technology leadership for European companies in navigating a rapidly evolving business landscape driven by technological advancements. The authors emphasize the pressing need to enhance leaders' "technology quotient" (TQ), a multifaceted amalgamation of knowledge, expertise, and strategic vision, to bridge the existing gap in technology adoption, R&D investments, and patent creation across various European industries.

Here are a few takeaways:

• The Tech Deficit and Its Impact. The article discusses the concept of a "tech deficit," highlighting the disparity in technology adoption, implementation, and effective use across European companies. Addressing this deficit is crucial to sustaining Europe's competitiveness and future economic growth.
• Necessity for Tech-Savvy Board Members. The article stresses the need for technology expertise at organisations' board and CEO levels. Greater tech literacy at the executive level can drive informed decisions and successful technology implementation.
• Strategies to Enhance Technology Quotient. Practical strategies to enhance TQ include institutionalizing tech advisory panels, educating the board on technology, setting measurable learning goals for all employees, promoting gender diversity on boards, and encouraging networking among board members interested in technology.

Jean-Marc Ollagnier is the Chief Executive Officer of Accenture for Europe, Middle East and Africa, and a member of Accenture’s global management committee.

Svenja Falk is Managing Director and leads Accenture Research, Europe.

Surya Mukherjee is a Senior Principal at Accenture and Head of Technology Research in Europe.

You can read the full article for free on the website.