A Guide to Five Pillar Points Of Digital Transformation
By Syed Aijaz VP, Strategic Solutions
Digital transformation is one of the most important things for all businesses right now, whether they are small or large enterprises. Every single study out there, every single article and every single discussion shows the same result: digital transformation is to be something that is a must, not an option. The problem is that most businesses don’t understand what digital transformation is.
Contrary to popular belief, it’s not a catchy way to talk about moving to the cloud. There are very specific sites that have to be taken for digital transformation to take place, and whether you like the term or not, it’s a must. So, in this article, we’re going to answer some of those burning questions about digital transformation for the business.
What Exactly Is Digital Transformation?
The process of using digital technology to create new businesses processes or change up the existing processes is called digital transformation.
The changing processes will include culture, customer experience and more to meet the changing requirements in the market. This is a digital transformation in motion.
The traditional roles in customer service, marketing and even sales are transcended and changed. The digital transformation is used here to engage with customers and change the way that you do that, the way that you think about them and the way you respond to them. We’re embracing technology across the board for its efficiency, so why wouldn’t we embrace digital transformation to change the way we do business?
Small businesses can future-proof what they’re doing from day one, where larger corporations need to evolve to remain relevant. Without the shift from paper and filing cabinets to computers and USB sticks, companies would fail.
The same process is necessary here. Handwritten ledgers and post-its just don’t have the same place that they used to. We need to embrace and use as much as possible in the way of digital planning and transformation to be flexible and agile.
How Digital Transformation Means Different Things To Different People
Some people see digital transformation in a completely different way to others, as proof that some believe that it means moving from servers to the Cloud.
However, if a business wants to be successful with their digital transformation, everyone involved needs to be on the same wavelength.
From the top of the business to the very bottom, the framework for the digital transformation needs to be company-wide and supported.
The Five Pillar Points Of Digital Transformation
So, now that we’ve discussed what digital transformation is and how it means different things to different people, we’re going to talk through the five pillar points of digital transformation. We realize that digital transformation sounds complex, but it’s not as difficult as you think once you understand the pillars on which it stands.
Digital transformation has previously been associated with B2C companies as most of the larger B2B corporations don’t believe that change is necessary.
However, as we know, the digital landscape is ever-changing and it’s a way of talking about all of the technological changes that businesses must make to stay current.
Digital transformation in practice comes with a cultural change and a shift in the mindset of the business as a whole. Let’s take a look at the five pillars required to achieve success.
Vision
For a business to be successful in its digital transformation, it must establish a vision and a strategy.
This is the most challenging of all the five pillars, as everyone has to buy into that vision from the top down. Your vision is only going to be successful if everyone is trained and agrees to it.
Without creating a foundation for everyone to prioritize funding and resources, your digital transformation won’t take.
A digital strategy doesn’t just affect the IT area of the business. It impacts every department across the board and as businesses are constantly changing and evolving, it’s important that this is a strategy all departments are aware of.
Getting every team leader, every department head and every member of the management team together is the first step to ensuring that you get your digital transformation off the ground.
Alongside this transformation, you have a business to continue to run, which is going to apply pressure. Your existing products and services are going to need your attention at the same time.
If everyone is part of the thought process for your vision, you’re going to be able to work on it together. You can use different workshops, thinking games and even innovation techniques to choose where you want your company to be, and you can do it all while you evaluate the current global trends for your industry.
Together, go through how your customer would be impacted and how they could benefit, and create a roadmap to see from start to finish how this transformation will benefit your business. Once you have all this in place, you then need a mission statement to ensure that your whole team and your customers understand what you are doing.
The Customer
Customers – without them, you wouldn’t have a business at all. You need them to be at the very core of the digital transformation for which you’re about to undergo.
The customer should always be in the very forefront of your mind when you are creating a roadmap for digital transformation.
After you have your Vision mapped out, customer outcomes should be your first priority. The business model should be solid and it should include addressing customer pain points.
You have to go through your business data and do a detailed analysis of how you treat your customers, and how the digital transformation will affect them.
Look for the priority areas that will take more of your time and money, and look for quick wins, too. The right journey map shows you how things will play out and provides you with an overall storyboard.
Journey maps provide you with all of the steps for the new processes you created, and they will show you where you’re going to drive value to the business. The key here is to keep the customer at the center of your company’s digital transformation.
Aligning Technology
If the customer is the center of your business, then technology is at the core of the way that you communicate with your customers. Whether it be online, via mobile or in-store, through IT platforms or in your manufacturing environments, your technology is going to be in the center of your communications with your customers.
Alongside your digital roadmap, you need to have a technology roadmap to work alongside it.
For large companies with legacy technology, new platforms will need to be implemented and APIs will need to be included.
Your data needs a cleanup and your ability to execute all of the new technology needs to be precise. The technology you use should be familiar to your IT team and if not, calling in an outside company is a smart idea.
Clearing old data will be the biggest thing that slows you down, and clean data is critical to your digital transformation so that it’s a smooth transition.
With the new technology comes new products, and an upgrade to newer platforms and this is another way you’ll see that digital transformation is required; not optional.
Measurement
Your whole plan has to have a vision for the outcomes and you should base your transformation around those outcomes at all times.
If you know what you want as a result of the full digital transformation, make sure that your plan aligns around achieving it.
The critical success will be within aligning your measurements with areas of the business without a historical reference.
With new business models come new challenges, and understanding those changes will help. If you can see the outcomes, you’ll see where the most dramatic changes will be in your business. Metrics help you to manage your progress, and so you should always include engineering in your metrics that you set up.
Governance
It takes time, it’s complicated and it can get political, but without governance, you will find it harder to push your digital transformation strategy forward.
With a transparent approach, you can ensure smooth success in pushing your strategy forward. Governance allows you time to get around the red tape and see where the market changes maybe, where investment is needed and how timing can help.
The model you choose for governance will be the influence behind any of the changes required.
Why You Should Be Choosing Digital Transformation
Without digital transformation in business, you will become stagnant and irrelevant compared to your competitors.
Your strategy for digital transformation is going to change the way that you do business permanently, and it’s not just about how you interact with people in person, but digitally, too.
Without this change, your business is toeing a very risky line, and it’s the smaller efficiencies that will drive the generation of your revenue.
Digital transformation is a big deal and while it will take some time to straighten out, get your company on board with your plans so you can create the best opportunities for success.
