Focus on transformation to succeed in digital
Anneli Pille, Change Management
Digital transformation is no longer an option in the modern business landscape. It is a necessity to remain competitive and sustainable. Quite often, the expectation of digitalization is that new technology will solve business challenges unrelated to technology.
To understand Digital Transformation, it is crucial to realize that Digital Transformation consists of two parts: Digital and Transformation.
What we most often see is a primary focus on digital — pursuing emerging technologies, tools and trends. Transformation gets little attention or, most often, no attention at all.
The use of technology must have a purpose. Technology for its own sake cannot be the purpose.
Not every change is a transformation
Often companies do not meet their digital transformation goals, because they do not realize the extent of the actual transformation required. Transformation concerns people, mindsets, processes, etc. It is a change driven by purpose which in turn, results in value and allows the business to evolve.
For an organization, transformation creates new business value by maximizing the business potential, leveling up through initiating the change in strategy, people, processes and all necessary tools.
The change is not big enough to be called a transformation if it doesn’t produce tangible value for the stakeholders.
Some stakeholders to consider are:
- Customers (who buy your product or service)
- Employees (who deliver value to the customer)
- Owners and managers (who set the business targets and provide investments)
Businesses often do not allocate enough time to study, understand, and clearly communicate the impact of digital transformation value to relevant stakeholders.
The alignment of stakeholders on the digital transformation journey reduces the risk of moving in the wrong direction.
To succeed in the transformation you need to understand the impact of the transformation.
Change is transformation only if it makes a valuable impact
How can the business know what is a valuable impact? What needs to be changed to lead in your industry? How to remain competitive?
Behind every transformation, there is a need. The hard part is figuring out what the need is. If you discover and understand the need, you are able to create the change to meet the need.
In the process of problem framing, ask questions and “peel the onion” to get to the core.
- What impact do you want to create?
- What exactly is going to change?
- Who is affected by these changes?
- What happens if we do not change?
- Why this change is needed now?
Having clear, tangible evidence proving the need for transformation allows businesses to choose the best-suited approach, tools, models, and systems to move forward.
You get what you focus on
A large number of projects are evaluated based on the problems that exist at a given moment, and no room is left to visualize the desired future state. If we don’t know where we’re going and when we want to arrive, how we can predict the required time, people, money and even the scope of what we need to get there?
Imagine how the future you want to create is reflected in your business, producing value for your customers and your own company. Visualize and describe the state of your business after transformation. How do your future products, services, quality, operations, company culture, and decision-making processes impact the stakeholders?
Fear of the unknown often holds businesses back. Because we know our problems we tend to love them. Digitally transforming your business is often like stepping into the unfamiliar territory.
Start anywhere, go everywhere
How you start the process of digital transformation is your choice. For some, it’s tempting to start from a familiar territory with problem framing, leaving the visualization of the desired future state as a source of inspiration. Some prefer to get themselves immediately to the future and work backward into today. Do what suits you best. The biggest mistake is doing nothing.
Digitally transforming your business and services is certainly not an easy task. Purpose, impact, deliverables, and value must be meticulously considered. Question your business; question your customers; question yourself, and identify the need for transformation.
Digital transformation doesn’t happen by chance — it happens by choice.
Choose Proekspert to partner with for digital transformation. With us, you can do better!