Distributors often fail to grasp how digitization is fundamentally changing industry, but by not getting on board with the latest technologies they risk falling further behind, according to MDM President Ian Heller in No Shortage of Oblivious.

"When we conduct research with distributors, a surprising number of leaders remain doubtful about the potential for online marketing and selling tools," Heller writes. "This skepticism about their own opportunities makes these executives complacent about powerful digital competitors."

For example, Amazon capitalizes on an ability to recognize opportunities and exploit them faster than its rivals. Digital hesitancy could put you in the company's crosshairs.

"Failing to plan and act quickly right now is extremely dangerous," Heller says. "If your company is still doubting whether or not digitization matters, you are a sitting duck. To paraphrase a line from The Shawshank Redemption, 'Get busy digitizing or get busy dying.'"

Putting leadership in place that recognizes the threat, and the potential of digitization, is fundamental to keeping pace. Heller recommends finding "a leader with the vision, courage and intellectual horsepower to build an effective strategy in the face of an unknown future and in defiance of the existing paradigm about how distribution 'should' work. Those paradigms are creating terminal inertia in many distribution companies."

Read more on how digitization is fundamentally changing distribution in No Shortage of Oblivious.