What is Digital Transformation?
Digital Transformation is the change or renewal of a business, company or brand directly associated with the implementation of digital technologies in all aspects or departments of your organization.
You can sense that these changes are not made for the sake of pleasure, but to make life more comfortable for your employees and also (and more importantly) to get to know your audience better and offer them just what they demand at all times.
The characteristics that digital transformation entails for companies are:
Use of digital media to facilitate/optimize the business processes of the stakeholders with the company. As an example, we can mention purchasing and/or contracting processes for products or services through digital devices of any kind, efficient and effective customer service processes through technology, no more telephone lines where the customer has to pay to call, and in general, a digitization of business processes in their relationship with the company’s stakeholders , always putting the customer and the employee at the epicenter of change.
Paperless or zero papers . In the 21st century and in the era of Cloud Computing, there is practically unlimited storage, as well as means to digitize paperwork and optimize business processes and procedures. Facilitating the capture, storage and recovery of documentation of all kinds.
Transform the job and the employee . That has deep cultural roots in organizations. Obsolete legislation, unions and legacy workers prevent, in many cases, a revolution in jobs and in the way in which we should work. The technology exists and is available, organizational and bureaucratic obstacles prevent visualization. There are some of the challenges of transforming or changing.
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Why is Digital Transformation Important and Necessary?
In one word: survival. Companies that manage to adapt to the times will continue to grow and forge a future for their customers and employees. On the contrary, those who do not see the innovations coming, something similar to Blockbuster and Kodak will happen to them, just to mention a couple of companies.
Need to compete in the market, so we must ReSkilling & UpSkilling human talent and at the same time update processes and systems
If you do not modernize, the most prepared employees will look for new challenges and companies that add value to their professional career.
For the clients. They need a great user experience and attention to engage them, and digital is definitely essential.
Define and bring to market new products and services, clearly with digital tools and/or components.
The Challenges of Digital Transformation
The main challenges we face with Digital Transformation are the following, and they all have to do with a change in mentality and culture in the company.
It is a complex process. This is a complete change of strategy, requiring changes to existing processes and systems, which can be very complicated.
It takes time to implement it properly. The process depends on the size of the company and the type of changes that are intended to be made in the business processes. In addition, companies need time to prepare for the implementation of digital transformation.
Employees must be trained in the use of new technologies, infrastructure must be created or modified, and new systems must be tested before they are put into operation.
Data analysis tools and a team of people capable of interpreting this data through analysis and reporting are essential. Digital transformation is not limited to technology, but requires a cultural change and the commitment of managers to carry out this change.
Digital transformation requires change management skills that include strong communication skills, teamwork, and a proficient skill set for the digital environment that is not necessarily knowing how to code.
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Digital Transformation: 6 do’s and don’ts
Digital transformation is never easy, but it is unavoidable, especially as the COVID workforce ages. If you plan ahead of time and invest in data and analytics to inform your decision-making as you go, you can execute transformation with less disruption.
The dos and don’ts listed below can help you avoid common pitfalls that plague organizations as they modernize:
Do – All or Nothing
You might go through the urge to implement a new strategy on a piecemeal basis, but a digital transformation drive will not work like this. Modern concepts like DevOps or Agile don’t get along well with traditional hierarchy.
Hence, make sure that the change you bring, is extensive enough to allow processes and teams to grow but isn’t overwhelming to the extent that it damages the existing pattern.
This can be a tricky task for even the most established companies but finding the perfect balance between control and agility is totally possible as long as people are ready to embrace the change.
Do – Detailed Planning
Be ready to prove the notion. Presenting a business case to fellow board members or execs isn’t unfamiliar to you. This isn’t anything different too. Start by focusing on the areas where the transformation will begin and go on to describe your process improvement plan.
Choose the right software development partner – the one interested in working with you and walking you through the way. Digital transformation is more than a business transformation framework that emphasizes the importance of services rather than the software project. Also, pick a team of experts who will be able to support and steer you through each step.
Do – Prioritize the Employee Experience
Without any doubt, people are the most important assets of your organization. The success of a digital transformation initiative entirely relies on how you prioritize employee experience throughout the process.
If the change benefits your employees, they will happily embrace it and be an active part of a holistic work environment. And to facilitate an improved employee experience, focus on helping people grow their careers, maximizing employee engagement, and educating/training core skills.
Don’t – Run with the Crowd
Technology alone should never drive your digital transformation need. Be very careful while choosing the suitable technology for your organization that will facilitate the change.
Ensure you don’t follow the crowd just for the sake of it; for example, just because Robotic Process Automation is one of the latest tech trends doesn’t mean it will be useful to your business and customers. Keep your focus on technology and tools with your organizational goals in mind instead of running with the pack and using popular technologies.
Don’t – Let Fear Stop Yourself
Sometimes, fear can hold you back and keep your company from growing. As a matter of fact, “Resistance to change” is the biggest reason 70% of digital transformation initiatives fail. Are you finding it difficult to brush aside the resistance identified in your team?
It doesn’t mean that you need to take a leap blindly. Planning is definitely important. However, I have seen many executives being afraid of adopting a change because they think their team won’t be on board.
But if you let this fear restrain yourself, you will end up struggling to catch up with the market demand and to use the technology and tools others are utilizing to get ahead of the curve. Remember that if your people can’t change, they can’t grow either.
Don’t – Stop Learning
Foster an open mind and be eager to learn new business arts. Technology is advancing at a breakneck speed, and it does not stop or slow down for you to catch up. So, if you stop learning, you will stop growing.
Encourage your people to work on their ideas, take risks, and experiment. You won’t stumble upon breakthrough ideas if you don’t think outside of the box and take chances. Giving your team a forum to be creative will lead to generating ingenious ideas on how to pull off a full-scale business transformation.
Digital transformation has become a new standard for global business. With an effective strategy in place, your enterprise will have the power to drive innovation instead of playing the keeping up game. And what follows is a competitive advantage, higher ROI, and increased productivity that you can always leverage in the upcoming years.
The key is to approach the process as a set of accomplishable milestones. Before you know it, you will perceive a progressive momentum developing in your business, and you will be ready to shift to the next.
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