3 ways on how digital transformation is guaranteed to flop
Digital is not just a thing that you can buy and plug into the organization. It is multi-faceted and diffuse. Digital change is an ongoing process of changing the way you do business - and thus, requires leadership from the top!
- Reject the idea that that digital transformation must be initiated by top management. Please do not prioritize it because senior management already has enough to do. Wait patiently for the revolution from the employees «below».
- To give you time to relax, preferably find a single person to manage the digital transformation. To be able to sit comfortably in the passenger seat, simply appoint one of your interns if necessary... . If the project goes up in smoke, at least you have someone to blame.
- Please do take your time because speed and agility are totally overrated. The market is asleep and waiting for you to conquer it. It does not require a strategic approach because it's much more fun to figure it out on the go.
Tried and trusted tips for success in digital transformation
All jokes aside. We know from our experience: Digitization fails when companies buy external resources. How can an externally hired Chief Digital Officers or even an entire team in a Digital Hub credibly convince all employees that radical and profound change is necessary? Success can only come if the change is initiated from the top who fully prioritizes it and has “your back” in case of anything. The process of digitization cannot just be delegated by top management, they must “walk the talk” and participate – at least they in parts of the journey.
In other words, top management must initiate, steer and drive digital transformation. In doing so, managers have a dual obligation: they must educate themselves in the digital field and they must also motivate employees to drive the changes to the best of their ability.
6 (serious) steps to success
1. Strategic vision
The first step to change is a clear vision. It provides a picture of what the future will look like; includes realistic, achievable goals and is comprehensible enough to serve as a guide for decision-making.
2. Top-down leadership
Digitization transforms the company at all levels and is therefore a matter for the ‘boss’. Top management must initiate and drive digital change. Success can only be achieved if the change is initiated from above.
3. Building digital capabilities
By building new skills, you empower your employees to drive change. In addition to professional, technical and business skills; openness, interest and drive for change play an essential role.
4. Focus on customer experience
Often, new technologies for operational efficiency are at the center of efforts – instead of the customer. Put the customer at the center of all business decisions with a consistent customer orientation.
5. Adapt the operating model
Digital change requires the establishment of new operating models with a suitable work organization, which is constantly evolving and building competencies as digitization progresses.
6. Culture of change
Create a culture of constant change and institutionalize the transformation. Articulate connections between new behavior and the success of the organization until old habits are replaced.
Good luck with the implementation!