Published on the 24/09/2013 | Written by Newsdesk
Professional services giant Deloitte continues to prepare itself for the digital disruption that it warned would impact just about every sector of the Australian economy over the next five years…
When Deloitte released its Digital Disruption: short fuse, big bang? report last year it forecast that the professional services sector would be impacted by digital disruption within two to three years. Preparing for that the firm plans to continue acquiring digital capability, and earlier this month announced that it had bought local web content business Digicon which delivered 20 additional digital experts to the firm.
As part of the integration Deloitte will establish its fourth digital studio in Australia, this time in Brisbane. A further two technology related acquisitions are expected shortly.
Chief executive officer Giam Swiegers said Deloitte was boosting its digital capability – in part to form a buffer against the challenges to traditional audit revenue streams that digital technology might deliver. The firm is reportedly seeking to build a $1 billion business from its digital capability.
According to Swiegers: “Where today digital business represents a fraction of our economy, the evidence is mounting that it will permeate more than two thirds of all business activity within five short years and will be central to the productivity gains our country aspires to.”
By investing in technologies including mobile, social media and digital customer platforms Deloitte is looking to expand the range of services and products it can deliver to its clients. Last year the company bought Ubermind, a US-based business with a strong mobile heritage. Internationally the firm has made 30 acquisitions this year.
It’s simultaneously hiring technical expertise. This month Deloitte Private announced it had hired a new partner Gordon Irons who is expected to consult to Deloitte clients considering a move to cloud computing. Deloitte also appointed Sid Maharaj as a technology risk partner hired for his experience in computer security issues.
In essence the firm is taking a giant swig of its own medicine. In the 2012 Digital Disruption report Deloitte noted that organisations which wanted to respond to the digital threats, and also position themselves to take advantage of digital capabilities organisations had to recalibrate their cost structures, replenish revenue streams, and reshape their corporate strategies.
