The world is transforming digitally to the enormous benefit of learners and forward-thinking companies. It isn’t enough to sit back in awe of this next stage of the digital revolution — businesses must harness the power of digital transformation before the competition does.
Move beyond technology
The benefits of digital-led business change include improving operations and offering an elevated customer experience. Transformations must address key business concerns to drive desired results.
Change cannot happen in a silo and departments cannot label themselves as digital and then separate themselves. IT and content managers must work together and share business goals to be effective.
Focus on the long-term, not the short-term
Delivering transformational services to customers should take top priority. Team members should focus on defining what the digital transformation really means to them. Ultimately, the goal should be creating great customer experiences for powerful word-of-mouth marketing.
Digital transformation must create new and ongoing value on a continual basis to:
- accomplish tasks
- establish clear objectives
- focus on clear outcomes for digital products
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Be honest with customers and shareholders
By boosting organization efficiency and engagement, data can be used to transform businesses. Understand the digital strategy to find opportunities in the value chain from a customer’s perspective.
Digital transformations must solve customer problems. Focus on new services integrating with legacy systems.
Create a new future by rethinking successful processes
Technology is a strategic lever. Processes should be reinvented, even effective and profitable ones. Digital transformation must be continual and focused on the customer. Any slow growth could mean losing customers.
Chase agility to future-proof any business. Companies may pursue new business models and revenue streams as part of their digital transformation. They may begin incorporating digital technology into all areas to change business performance.
Types of digital transformations
Process Transformation
Businesses might turn to AI and machine learning to reduce costs, boost quality and lower cycle times. For example, pizza companies have reimagined the food ordering process via a digital transformation. Automation can simplify every business process, from accounting to customer service.
Business Model Transformation
Traditional business models are now seen as outdated. Value must always be delivered throughout the building blocks of process transformation. Just like Netflix redesigned video distribution to great success, business models can evolve.
Domain Transformation
Amazon transformed Amazon Web Services into the top cloud computing/infrastructure service. Amazon/AWS has redefined its products and services via innovative technology. This also creates new industry boundaries and non-traditional competitors.
Cultural/Organizational Transformation
A focus on long-term digital transformation means redefining processes, organizational mindsets, and talent.
Success lies in boosting:
flex workflow
decentralized decision making
openness to testing and learning
various business ecosystems
Experian, the consumer credit agency, pivoted with collaboration and agile development. As a result, employees company-wide were directed to shift from equipment focus to data.
Three approaches to digital transformation
Observed results
Your digital transformation may need time before yielding the desired results. Most companies mix digital and non-digital solutions to see what catches on. Competitors can use this waiting period to their advantage.
All-inclusive digital strategies
Some companies want all their ducks in a row before starting. There must be a long-term plan in place with this approach. Culture changes and innovation are quickly implemented, which can get pricey. This approach requires patience and tolerance for risk.
Digital skill delivery in increments
Companies begin their transformations by identifying an initial target and route. Benefits are delivered while possibly pivoting toward a new digital destination. Goals and paths can change as lessons are learned, and new inputs are considered. This malleable strategy changes as the industry does.
Companies can take any of the above approaches for economic survival. Even if a business is not experiencing supply chain disruptions, pressures to time the market, or heightened customer expectations, it must begin its digital transformation to head into the future.
The more technology changes, the more companies must adapt.
ThriveDX recognizes the value and challenges of moving beyond the hype of digital transformation. Check out our offerings that can help you harness the power of the future today.
