Digital transformation has reached the buzzword status. Looks like a great term, but a terrible one at the same time. When we ask what is digital transformation? Everyone is saying we are here to help do digitally transformation. Every solution and vendor are coming in and saying we are the solution to help you do digital transformation. Getting heavily overused, maybe without value.
Digital transformation is about digitizing things to do end-to-end transformation. Digitizing to give a fully automated experience, this is something people will understand.
Some people would consider doing a mobile app or a new enterprise website as achieving their mission of digital transformation. This will not change customer experience or transform the company; and if it does not, it cannot be named as digital transformation. We are into an era of complete lack of attention on how the company operates which leads to confusion on what is should be considered as a digital transformation campaign or initiative.
Take a different approach to Digital TransformationDigital transformation requires going deep and wide, both altogether. Deep from being structured, methodological, focused on cost reduction and compliance, and at the same time fast, and focused on outcomes.
Being structured and methodological will help you in going wide quicker, through being able to understand what exactly you should start by transforming. Focusing on the outcomes will change the conversation in a clear fundamental way, in a way that can impact your customer experience and elevate your odds of a successful digital transformation strategy.
The Four Steps of TransformationIf we can put the four steps of digital transformation from our point of view, we would summarize it in the following way as a continuous cycle businesses should look at:
1. Identify Improvement Potential: looking at the exact areas you should transform first, before entering into transformation initiatives that may not result in any operational improvements or customer satisfaction. The most important part of digital transformation is to know what you should transform.
2. Analyze root causes & select solution: after understanding the potential improvement areas, we need to analyze the root causes that are hindering the process, or affecting in terms of delay, productivity or something else.
3. Operational change: after understanding which root causes in processes affecting the business, time to put your different operational processes that needs change in action, with clear timelines and KPIs to the success of the change you are looking forward to achieve.
4. Measure & sustain: through connecting various operational systems and mastering your processes in reality versus planned ones.