In previous blog posts, we’ve discussed the current state of digital transformation and how businesses have benefited from it. But what do you need to execute a successful digital transformation and reap these rewards?
5 Tips for a Successful Digital Transformation:
1. Define the business case
Every technology change needs a Business Case: you’re not delivering new technology for the fun of it! There must be a business reason for wanting to undergo a transformation.
Things you should think about are: how will your business benefit from digital transformation? How are current solutions falling short? How will a digital transformation drive more efficiency and increase revenue? Are your competitors outdoing you because they have digital capabilities that you don’t?
Clarity around the problems that the transformation aims to solve and what you want to gain from it will help to concentrate your efforts, increasing the chances of success. Defining the business case for transformation will also help you to get the support you need from the rest of the business.
2. Secure management support and dedicated funding
Without management support, an enterprise-wide change is unlikely to succeed. Similarly, a digital transformation needs its own dedicated strategic funding, not money carved out of the regular IT budget used for maintenance and compulsory regulatory changes.
3. Create a dedicated transformation team, but include the whole enterprise
Once you’ve secured support and funding, you should form a dedicated digital transformation team. This should have clearly defined roles, responsibilities, objectives and accountability. Focus and experience will be needed to ensure the project is a success.
Although your dedicated team will be the ones implementing the transformation, the changes made should affect every area of the business. This means that communication and transparency about the project’s aims, scope and status are essential.
4. Measure success as you go
It’s important to consistently measure the success of your transformation activities. It’s a long-term project, so you should set pre-planned milestones to measure whether you’re remaining on track throughout. Using the right tools to gather data will enable you to better visualise your progress and what still needs to be done, helping you to remain on time and within budget.
Gathering and sharing this kind of data is also good for visibility throughout the enterprise and keeping management informed and engaged.
5. Don’t forget about culture
In many ways, a digital transformation is just as much about culture as it is about technology. For a truly successful digital transformation, people throughout the company will have to update their existing processes and attitudes to change. Becoming agile will require a shift in culture and values alongside the technological change.