Organisations of different sizes will be leveraging digital technologies to optimise operations, launch new products, engage with customers in the coming decade. The key question is no longer Why but when and where to start transform digitally. However, the starting point is key for successful digital transformation.
The following are the key elements executive must focus before embarking on digital transformation initiatives.
Digital is reshaping the world
Digital tools, technologies will help businesses to re-imagine their business models and sources of revenue. Executives need to understand this fundamental fact of digital being inseparable in their organisational decision-making is the first step towards the journey.
Organisations need to analyse changing business environment before any new digital initiatives. Digital transformation are business initiatives and not a simple technology upgrade. Start with a detailed analysis of challenges faced in implementing the current strategy, industry value chains and new players. Customers are knowledgeable today than a decade before and their expectations are changing towards better, cheaper products. Hence, Customer focus should be the center for any transformation initiatives with digital as an enabler.
Impact of Technologies
Cloud, Big Data, Artificial Intelligence, Robotics, 5G, and 3D printing are popular digital technologies. These technologies on their own or together can have a large impact on solving various strategic challenges for the organisations. Broad level understanding of their impact and how your customers can benefit through the products/services in combination with these technologies is a must.
Understanding Macroeconomic trends, Specific Government Initiatives, and Regulations can help in prioritising different digital initiatives and decide on the focus areas to start with.
Motivation is the underrated element of any transformation initiatives. Individual and team motivation for digital transformation helps the organisation aligned towards digital and allocate resources and be ready for the change through digital.
Organisations start Digital Transformation initiatives with much fanfare and celebrations without clarity on the above elements. Therefore, understanding the above five elements can help organisations adopt digital in a smooth and risk-free manner successfully.