A Study on the Perspective of Strategic Planning and the Role of AI Providers in Contributing to Digital Transformation

Abstract

It has been a long time since the need to promote digital transformation (DX) was recognized. Nonetheless, there are not many successful examples of DX in Japan. The purpose of this study is to verify whether Japan's strategic planning direction for DX is appropriate. To test this, we focused on the performance trends of companies selected as “DX Stocks.” The result is that the companies selected for the DX stocks did not perform as well as the other “non-DX Stocks” companies although they had been selected for the “DX Stocks,” and that DX was not a success. This suggests that there are problems with the qualitative criteria used to select “DX Stocks” and with the ways of formulating individual companies’ DX strategies. To deal with this, this paper proposes the use of quantitative simulations. This suggests AI providers’ role should expand to business model simulations.