Where the future is headed towards
"Digital" is the buzz word today. But very few have thought through and able to decipher what it means and what it will take to sustain the digital war in the long run. Digital has caused true disruption and we witnessed some of the greatest incumbents like Kodak failing as they missed the train of where the businesses are evolving. While digital transformation is on the agenda of the CEOs, not many have been able to get the economics right. Many are struggling to sail through digital turbulence as they are grappled with ambiguity, uncertainty and risks. How to battle it out and what is it that has blinded the vision is something to ponder upon. Myriads of strategies have been formed but what caused some to fail and some to win is what we need to examine before we plan the next move. Before you take the next big step, it’s crucial to take lessons from what is happening around. Understanding why some digital strategies miserably fail will not only help you to avoid the mistakes but also enable you to transform and scale faster than your peers. Digital enterprises are known to increase the market capitalization at a faster rate than its competitors and this is what every CEO aspires for.
Many organizations think of digital transformation as a remedy to the changing business landscapes and competition than an accelerator and enabler to their business. This makes them take some hasty decisions and make misaligned investments. Digital transformation in an organization is a gradual and an evolutionary process and occurs in the three stages as explained further.
Innovate- foster the digital culture First step towards digital transformation is -thinking beyond what’s possible and delivering it faster. This requires organizations to explore and experiment in different domains. Innovation attitude must be successfully ingrained and practiced organization wide to help ideation within the organization. High level of commitment and low resistance is observed when people within the organization are engaged in the innovation journey. Nowadays companies are trying different methods like design thinking, brainstorming workshops etc. to bring in new ideas and promote innovation culture in the organization. Innovation driven by deep and valuable insights ensures faster success and reduces risks of failures. Therefore, embedding the data insights while designing your products and services makes them appeal to the consumers. Digital enterprise encourages outward thinking to engage with customers for developing new offerings.
Transform- a roadmap to change A digital strategy will be rendered futile if it is not incorporated into operations of the organization. Traditional operating models will lack the agility and robustness that the digital landscapes demand and therefore will fail to deliver the results the organizations aspire. This will demotivate and disinterest the leaders and employees to pursue the transformation goals they have set. Therefore, charting a proper implementation roadmap and enabling the culture transformation within the organization is crucial to reach the target operating model. Digital enterprise will thrive and succeed when supported by resources, capabilities and enabling ecosystem. Every element in the organization must function in alignment and agreement to avoid the duplication of the investments and conflicts generation. Digital capabilities alone may not succeed to drive the transformation unless digital culture is promoted. More focus on learning, experimenting, risk taking will encourage people to be deliver results faster and collaboratively.
Scale- stay ahead and lead An organization will truly achieve a “Digital Enterprise” status when it is able to develop resilience and scale the transformation efforts made organization wide. Firstly, success metrics relevant to the organizations must be defined and assessed to help the course corrections. Secondly, a governance system that will drive the change management and comply to the plan to enable the alignment of the initiatives. Lastly, Center for Digital Excellence must be set up with the objective of enabling and guiding the leadership and employees through the transformation journey. In the coming years, not even a single organization will remain aloof from the digitization and we will witness the digital war. Right approach today will determine the success of tomorrow.