Don’t get lost in the digital transformation. See what leading companies are doing to prepare.
Digital transformation is the new buzzword consuming businesses large and small. While larger organizations tend to understand digital transformation better than smaller firms do, there are benefits for both.
The digital age is here and if you have not at least started your digital transition, you are falling behind the times – and the competition. However, resistance to change often complicates the process. Remember, you are asking people to change how they work.
What is the digital transformation?
According to MIT, digital transformation is “the use of technology to radically improve performance or reach of enterprises.” When grouped with other digital powerhouses, such as analytics, big data and smart electronics, the digital transformation gives companies the opportunity to radically rethink the way they do business, especially when it comes to interacting with customers.
Digital transformation primarily affects the follow areas: Business model, business operations, customer experience.
As experts in managed IT services, we know what it takes to efficiently and successfully complete a full digital transformation. We have studies businesses large and small to learn what went right and what went wrong in their transformations.
Build momentum for you digital transformation
Employee buy-in will be integral to a successful digital transformation. Nobody likes changes, even when it’s for their benefit. Overcoming that roadblock is the first step. Here’s how to proceed:
- Have a clear plan. In order to gain full buy-in from customers and, more importantly, employees, you must have a clear plan. This will help rally employees and build excitement throughout the company.
- Communicate clearly. When it comes to a big move, such as a digital transformation, nothing is quite as important as communication – in both directions. Don’t just connect with your team, listen to their input and gather as much feedback at possible. Communication is a two-way street that, if done properly, will help turn skeptics into believers.
Leading, forward-thinking CIOs are in the midst of a full-blown digital transformation. As the line between IT and marketing begins to blur, the opportunities for companies to grab market share from competitors is widening.
A study conducted by EY, a global leader in advisory services, found that “65 percent of digital-ready CIOs devote time to discussing how IT can research and develop new products and services for the business, compared with only 50 percent of typical CIOs.”
How leading firms are preparing for the digital transformation
As technology continues to disrupt ever industry in touches, it’s important to be on the front lines of the revolution within your industry.
The follow are five steps leading companies are taking to prepare for a digital transformation:
- Develop a roadmap: Digital-ready companies have a strategic vision for how technology will affect their specific industry and have already begun developing a roadmap for the implementation of that transformation.
- Commit to innovation: Companies preparing for the digital transformation are obsessed with innovation. They are constantly turning to technology to find new ways to cut costs, boost revenues and become more efficient. These companies step back and take a birds-eye-view of the entire business at once.
- Use technology to grow: Historically, IT departments are shoved in some small, windowless office proving hardware, software and tech support. Today, companies preparing for the digital transformation realize the full potential of information technology and are relying more on the IT department to push new projects and work with other business leaders to create new products.
- Communicate your vision: As we mentioned before, communication is key. The EY report found that certain skills, such as communication and the ability to influence people, “are especially important” for digital-ready companies. Knowing how technology will impact your company is one thing. Selling that vision to other stakeholders opens many more doors.
- Take calculated risks: There’s no doubt it takes courage to make the leap into the digital transformation. For many businesses and business leaders, they are stepping out of their established comfort zones. Since many new technologies are untested, some risks are necessary.
Whether we like it or not, the digital transformation is happening. Don’t believe us? Consider that Uber, the largest transportation company in the world, doesn’t own a single car. AirBnB, one of the largest hospitality companies on the planet does own a single piece of real estate.
Technology has already transformed the way we do business. If you’re not ready, the opportunity to take your business to the next level could pass you by.