In order to thrive, organizations must be on the lookout for that extra something that will elevate them above their competitors. Innovative new technologies such as AI (Artificial Intelligence), (ML) Machine Learning, Blockchain and the IoT (Internet of Things) that enable digital transformation, are that special something that can give organizations an edge. If leveraged correctly to suit a particular organization and its industry, digital transformation can improve operations, increase profitability and also open the door to exciting new opportunities.
Analyst reports are predicting that around $2 trillion will be spent worldwide in 2019 on digital transformation technologies. However, almost 70% of enterprises admit that they don’t have a rational plan.
Before blindly rushing ahead with an attempt at digital transformation, you must first evaluate whether your organization is ready for a digital transformation. The power of a digital transformation strategy depends on the scope and objectives you chart for your organization’s digital transformation initiative.
Don’t Forget About Employee Skills
An evaluation of the employee skill sets that will be required to support digital initiatives should be a part of an organization’s plan for digital transformation. The organization may find itself with a skills gap which can defer or impair the gains the digital initiative would provide without human resource planning. The evaluation will reveal the skill areas that are lacking against the digital initiative. Based on this, the company can decide if current employees have the potential to learn new skills or whether a new set of skills need to be sourced.
Criteria to Consider
Investing in technology to drive your own digital transformation is crucial. Before that, there need to be a few questions to analyze the current status of your organization, and goals for the transformation. A proven starting point, that can show how technology can advance your core business, is to task a small team to re-imagine your business.
There are certain questions that you must ask yourself before assessing whether you are ready for transformation:
- How can technology boost my core business?
- How much should I invest in digital transformation?
- What processes are deemed unnecessary thanks to a digital transformation?
- Does it provide better security?
- Does it give a competitive edge to your organization?
- Does it open the door to new opportunities?
- How will I evaluate or measure the value of the transformation?
Embarking on digital transformation requires a team with a cross-functional mandate and strong support. When organizing your IT team for digital transformation, the ideal team is a well-defined one with a narrow scope. The team should be placed in such a manner that their position on the organizational chart affects their ability to influence the cross-functional groups that are integral to real digital transformation.
Measure the Value
Measuring the value of digital transformation is a crucial task at hand. While a digital transformation initiative doesn’t always affect the KPIs, the end goal of a transformation is to improve revenue, profitability and investor value. The identification and tracking of early indicators along the transformation journey enables you to monitor the progress of your initiative.
At the end of the day, ensuring successful digital transformation in your organization depends on creating meaningful metrics, having palpable benchmarks and ensuring clear communication of the expected progress. Management should lead at the front-end to cultivate a digital culture founded on the grounds of consistent change and innovation.
At Triassic, we have extensive experience leveraging breakthrough technology such as AI, IoT, RPA and Blockchain, to digitally transform organizations for greater success. If you’d like to explore such solutions, please feel free to contact us and we will be glad to help you.