Unlocking value: the data-first approach to digital transformation

Enterprises are investing in digital transformation, and a study by Forrester Consulting—commissioned by SAP and Syniti (part of Capgemini)—examines how financial returns may be higher when companies take a more deliberate, data-first approach.

Findings from the study indicate that organisations prioritising data accuracy, governance, and large-scale usability may be more likely to achieve returns from transformation projects. Based on a hypothetical global company with 10,000 employees and $5 billion in revenue, the study reports the following estimated impacts:

• An estimated 218% ROI and a net present value (NPV) of $2.8 million over three years.
• Total benefits of approximately $4.1 million compared with costs of about $1.3 million.
• Reported efficiency improvements associated with the use of business-ready data.
• Around $2.1 million in savings attributed to improved data quality and more efficient processes.
• About $1.6 million reduction in resource requirements.
• A reported 30% increase in operational efficiency.
• An 80% reduction in audit preparation time.

Despite these reported benefits, the study also highlights common data-related challenges that can affect transformation efforts:

• Use of fragmented tools and manual, error-prone processes.
• Issues related to data quality and accessibility.
• Inconsistent data governance and accountability across systems.
• Dependence on external vendors for aspects of data management.
• Delays, rework, and increased transformation costs.
• In some cases, data was not sufficiently prepared to support transformation initiatives, which affected outcomes.

Where these challenges are addressed, the study associates several operational changes:

• More consistent data governance and improved data quality.
• Faster decision-making processes.
• Reduced operational risk and lower costs.
• Greater organisational agility in supporting ongoing transformation efforts.
• More structured management of data across its lifecycle, contributing to more consistent and reliable business use.

Overall, the study suggests that treating data as a foundational element—ensuring it is accurate, governed, and accessible from the outset—may support smoother transformation delivery, reduced costs and risks during implementation, and continued value after completion. It also links this approach with improved decision-making, operational performance, and efficiency.