DIGITAL AMERICA: A TALE OF THE HAVES AND HAVE-MORES
The new McKinsey Global Institute (MGI) report, Digital America: A tale of the haves and have-mores, represents the first major attempt to measure the ongoing digitization of the US economy at a sector level. It introduces the MGI Industry Digitization Index, which combines dozens of indicators to provide a comprehensive picture of where and how companies are building digital assets, expanding digital usage, and creating a more digital workforce. In addition to the information- and communication-technology sector, media, financial services, and professional services are surging ahead, while others have significant upside to capture.
The report also quantifies the considerable gap between the most digitized sectors and the rest of the economy over time and finds that despite a massive rush of adoption, most sectors have barely closed that gap over the past decade. The lagging sectors are less than 15 percent as digitized as the leading sectors (exhibit). In fact, because the less digitized sectors are some of the largest in terms of GDP contribution and employment, we find that the US economy as a whole is only reaching 18 percent of its digital potential (defined as the upper bounds of usage by the leading sectors across a variety of metrics).
About the Author
It is 25 years since the founding of the McKinsey Global Institute (MGI). Over that time they have sought to develop a deeper understanding of the evolving global economy. They are a business and economics research arm of McKinsey & Company, MGI which aims to provide leaders in the commercial, public, and social sectors with the facts and insights on which to base management and policy decisions.
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