How Companies Are Digitally Transforming – Strategy

Facebooktwittergoogle_pluspinterestlinkedinmail

Companies are digitally transforming through actionable intelligence. Data and information have become core business assets, sources of revenue and critical enablers in the digital information age.

In order to reap the benefits in the digital information age and transformation economy, organizations need to be ready for accelerating progress, higher business agility, and actionable intelligence (translate the ocean of data and information collected on something meaningful).

Companies need to develop a solid, flexible and agile strategy related to human aspects, technology, systems, processes, information and data. A digital transformation strategy starts with answering the fundamental questions what, why, where, who and how. A digital transformation strategy should focus on the move from current state to desired state in the short, medium and long term.

The digital transformation strategy must focus on:

  • Define a clear, flexible and expandable roadmap
  • Manage risk and uncertainty.
  • Learn to create and develop innovation teams.
  • Dynamic Collaboration between IT and Non-IT Organizations or Departments (e.g. sales, manufacturing, finance, etc.)
  • Educate IT and Non-IT Organizations / Department to speak the same technology, information systems and business operation language.
  • Rapid data processing, generate ‘intelligent’ data and distribute it to the right people at the right time.
  • Agile interaction between the company and the customer.
  • Agile communication between all levels of the organization.
  • Stimulate creativity, and facilitate Innovation & collaboration.
  • Integration between emerging and existing technologies.
  • Understand technologies and align them to the company’s strategic goals.
  • Partner with others to create new and future ecosystems.

 

Companies are Digitally Transforming - Strategy

 

Three Core Capabilities and Considerations

All organizations need to develop three core capabilities and considerations to successfully navigate digital transformation and protect against digital disruption:

  1. Hyper-awareness
    • Identify markets, market evolution, and market pain points.
    • Assess/benchmark where you are.
    • Map current status with major evolutions and opportunities.
    • Assess skillset, culture and readiness.
    • Gap bridges with customers and stakeholders.
    • Focus on long term with intermediate goals.
    • Repeat and Innovate.
  2. Informed decision-making
    • Analyze/prioritize significant evolutions.
    • Focus on core intangible assets: customers, data.
    • Base strategy on where you are and where you are going.
    • Include external and internal help.
    • Develop a roadmap to get where you need.
    • Get clear leadership buy-in.
    • Set goals, KPIs and controls.
  3. Fast Execution
    • Design for innovation, optimization, agility and scale.
    • Optimize information and data maturity.
    • Connect technologies and data (sources) in function of strategy.
    • Build for ecosystems and platforms.
    • Start where it makes sense (calculated).
    • Learn, measure, re-assess, scale, innovate.

 

What, Why, and Who

Based on the core capabilities, some of the questions to ask when an organization wants to develop a digital transformation strategy.

  1. Hyper-awareness
    • What do we want to achieve?
    • What is the long-term objective?
    • What are the intermediate objectives?
    • What do we need to do first?
    • What knowledge do we need?
  2. Informed decision-making
    • Why do we want to transform and whom else do we need?
    • Why do we see a need to transform?
    • Who do we involve?
    • Who do we have and what capabilities do we have?
    • Who can connect what?
  3. Fast Execution
    • Who can help us with the what?
    • Who can help with gathering insight?
    • How do we bring various ‘informers’ together?
    • How is the customer involved?
    • Who does what? Who takes the lead for what?

 

Conclusion

Digital transformation requires strong leadership to drive change. But it also requires a vision for what parts of the company you want to transform. Companies in all industries and regions are experimenting with, and benefiting from, digital transformation.

Whether it is in the way individuals work and collaborate, the way business processes are executed within and across organizational boundaries, or in the way a company understands and serves customers, digital technology provides a wealth of opportunity.

Facebooktwittergoogle_pluspinterestlinkedinmail

Leave a Comment

Your email address will not be published. Required fields are marked *