Changing how an organisation thinks and does things

Digital transformation is the result of making fundamental changes in how an organisation operates. These changes affect the people, processes, marketplace, technology, culture and governance. They help organisations to become more innovative, compete more effectively and be more efficient.

Most organisations commit to digital transformation to identify and create alternative value for their customers. This could be from reskilling their employees to unlock new potential, making use of their intellectual property for other purposes, or simplifying how they do things to become more efficient and maximise their full potential.

Digital transformation is a large and cross-functional initiative. Given the size, scope and time frame of the commitment, it must be driven in phases from the top and across the organisation to deliver sustainable success and growth for the organisation. These changes require a shift in mindset from the organisation, leaders and employees at the same time.

The fundamentals

People

Customers, employees and partners are the most important parts of any organisation. Evaluating the skills and experience of employees and how they view and interact with technology may help leaders gauge where they can streamline operations and break down silos to achieve growth and success.

Process

This transformation phase focuses on how an organisation does things. This generally involves a lot of simplifying, modernisation, digitalisation and automation of the steps in processes. It requires a continuous effort with the aim of providing better value to employees and customers.

Technology

Digital technologies are the tools that enable organisations to unlock additional value, collect data and manage the flow of information a lot more easily. The data and insights collected from these tools enable the organisation to design, build and deliver new products and services a lot faster.

Marketplace

This is where value is delivered to customers. Through owned or rented digital channels, the organisation can exchange information, goods or services with their customers in a place that is convenient for them. Digital channels can also be used for market expansion and to acquire new customers at a lower cost.

Culture

Transforming the culture is a more challenging phase of digital transformation. This requires an internal audit of the brand to determine and realign the organisation’s purpose, vision, mission and values. This phase occurs hand in hand with the people phase to evaluate and determine the needs of customers and employees in order to plan for the change.

Governance

Digital platforms, tools, products and services expose organisations to new threats and risks. To mitigate these risks, organisations must transform their risk management to incorporate digital governance. This helps to establish roles, decision-making processes and accountability for managing everything digital in the organisation.

Where to start with digital transformation

• An assessment of the current situation and capabilities.

• Setting goals and objectives to measure success.

• A plan for how to get there.

• Finding the right solutions for your needs.

• Putting the plan and solution into effect.

• Measuring success.

• Celebrating small wins.

A dedicated person, team or strategic partner is also important for a successful digital transformation. The management of these initiatives should be someone’s only responsibility and not added to their existing role.

Final thoughts

Digital transformation used to take many years but technological advancements, and now the COVID-19 pandemic, have accelerated the urgency of these changes and timelines.

Digital transformation is about being digital, not doing digital. It’s about the daring shifts that an organisation makes that change how everyone thinks and does things in order to grow.

If you’re looking to move from where you are to where you need to be, get in touch with our consultants today to see how we can help you navigate your digital transformation journey.