How is Digitalisation Achieved?
Not all businesses are born in the cloud. So if you do not identify with the likes of Uber, Netflix, Facebook or Amazon, you are in the majority. But all businesses are technology enabled, and in present times unable to ignore the impact of the digital revolution upon us. So it is worth considering some of the common success factors of digital transformations.
Route to digitalisation – digital transformations success factors
Context is king, and will determine what works best in an organisation and industry – yet there are some common threads of experiential learning that can help accelerate the journey.
1. Executive-level ownership of digital business strategy
It is recognised while technology is critical; the core strategy is about the business. An executive-led management structure takes overall ownership, driving the transformation – orchestrating, prioritising and coordinating – digital solutions across the business value chain. However this works when coupled with a digital mind-set, up and down the organisation, seeking new ways to improve, simplify and innovate to deliver better outcomes.
2. Reward innovation and speed
Minimising the organisational “fear of failure” by taking calculated risks, characterised by rapid prototyping, small-scale trials, developing on the learning, while writing off failures and scaling up success. This also means flexibility from traditional budgeting, monolithic projects and rigorous needs analysis models.
3. Cross-functional teams and capabilities
Successful digital transformation is being achieved only through a mix of process reinvention, mind-set shifts and deepening inter-disciplinary competency. Restructure, elevate roles, fine-tune, as needed, to break down departmental silos and drive improved collaboration and communication between multi-skilled cross-functional teams.
4. Drive improved customer experience
An integrated customer view involving capture and analysis of varied data streams of flowing from all customer touchpoints. The drive is to use this integrated view to monitor, adjust, anticipate and deliver real-time personalised responses, focusing on the customer journey and experience, using a mix of physical and digital assets to engage one-to-one, to deliver the most relevant, convenient and differentiated customer experience possible.
5. Technology decisions are not make or break
The transformation journey will have many milestones, operations and decisions; technology choices need to be seen in an overall programme perspective. While there may be a plethora of technology options, the difficulties in determining which digital products, services or capabilities to pursue are no different than the hurdles for any other product, service or capability.