An organization's decision to move forward with the implementation of digital transformation is an exciting venture. But, it's not an easy task and there can be a level of discomfort that comes with stepping into the unknown.
This uncertainty can cause paralysis — where companies don’t make any moves at all — because the process feels too complex. In fact, a survey by Progress, a global leader in application development, revealed:
47% of organizations have not initiated a digital transformation yet
59% expressed concern that it may be too late for them to begin implementing digital transformation measures
Don’t let inaction harm your business. Instead, follow these seven steps to ensure your organization is on the path to a successful digital transformation.
A digital transformation strategy should provide a clear understanding of what your objectives are, and what steps are required to reach your goals.
Because digital transformation looks different for every organization, it's important to note that each organization's objectives will vary as well. However, there are basic objectives every organization should consider:
How can you enhance the customer experience?
Can you create a more efficient and cost-effective operation with the adoption of new technology and processes?
How can you become a company that can adapt and embraces change?
Do you have processes in place to gather insight from analytics to help with rapid movement?
By asking yourself these questions, you can identify areas within your plan that require special attention, or which components of your strategy should be addressed first.
Digital transformation is all about leveraging digital tools in order to increase customer value. In fact, research from IDC, a provider of market intelligence and advisory services, discovered that two-thirds of Global 2,000 company CEOs will make the shift to digital strategies before the end of 2019 to improve their customers’ experience.
So, to have a successful digital transformation, everything you plan for should take customer needs into consideration. For example, to supply more channels for communication, try combining customer management and communication in one place. Logging every email and detail of previously held conversations will allow you to better manage and cultivate customer relationships.
If your customers want these digital interactions, then you must make the necessary transformations internally. Focus on the processes and technologies that enable digital change.
Your 'business as usual' approach may not coordinate with your digital transformation initiative. As such, creating and adopting new processes can help your organization succeed.
For some organizations, digital transformation will require a complete overhaul in processes. To organize this change, it’s critical to rally employees together to ensure everyone understands the updates, who is accountable for what, and what systems are implemented to support the team.
You don't need every piece of technology in existence to successfully implement digital transformation. Instead, choose technology that will support the processes you're optimizing.
For example, do you want to:
Standardize common processes and workflows
Collaborate with clients and bring them into your workflow
Estimate time and budget to help make better-informed decisions
Share client data and trigger workflows
Ultimately, the technology you select should align with your goals, and help your organization meet its objectives.
'Restructuring' is a scary word. But, it's the only way you can become a 'digitally-fit' organization, according to an issue of Inside magazine.
"Presently, dwindling numbers of organizations operate using highly hierarchical models, in which decisions are taken in a traditional top-down manner," the magazine noted.
Instead, organizations have started adopting 'loose hierarchies,' which means employees are given the opportunity to accomplish objectives without the traditional top-down control. This type of model is project-oriented and tends to be more agile in nature, allowing employees to work with a great deal of operational autonomy. And, as a result, they become more vested in their organization.
You've done all the prep work and now it's time to put the plan in motion. However, your plan may come with many moving parts. Rather than trying to incorporate all of your changes at once, take a step back and work in iterations.
An iterative plan means a flexible plan, and each stage in the journey can vary in time; anywhere from one week to a month. At the beginning of each week, gather your team and break down your plan into tangible asks. Discuss the progress of tasks, ensure you’re working within scope, and assess any issues that have come up that may require adjustments to your plan.
By executing a plan in digestible chunks, you can make continuous and significant improvement on a regular basis without introducing sporadic, overwhelming and disruptive change. Most importantly, an iterative approach will ensure resources are concentrated in areas where they will be most impactful.
A survey by McKinsey & Company, a management consulting firm, found that less than 30 percent of companies are successful in implementing digital transformation. And, only 16 percent of respondents said their digital transformation plan successfully improved performance and sustained long-term changes.
But don’t let this scare you. Instead, treat this as a reminder about the importance of planning well and being agile.
Is your team adopting process changes?
Are you meeting your goals?
Is there space to be more impactful in your change?
As you watch the process unfold, you may identify issues or opportunities to change for greater success. With every adjustment to your plan, take time to reflect on lessons learned so you can come at future adjustments with a deepened knowledge of your new process.
Digital transformation is a journey, not a race. In order to stay in the digital game, your organization must be able to easily adapt to change, evolution and progress