Digital Transformation is the novel use of digital technology to solve traditional problems.
It's about finding new ways to deliver value, remain competitive, generate revenue and improve efficiency.
Going paperless is a simple example. Other more sophisticated examples include: predictive diagnostic tools to reduce maintenance and increase reliability, mobile apps, and the generation, management and qualification of sales leads using automated tools.
Whilst there is no standard blueprint for successfully transforming a business digitally, one point is clear; it is not just about technology change. Transformation involves people, process change and risk management.
Our high-level checklist for every digital transformation is included below:
1. Digital Strategy
In our experience a digital transformation begins with a digital strategy; helping answer questions like what is the future of my sector, where will my business be in the future, and how do I ensure the path for tomorrow allows us to adapt with minimal risk to today?
The digital strategy should answer the key question of where your business is going. Complete with a comprehensive roadmap showing what elements of the business can be improved today and the path that will lead to the vision of where the business will be in the future.
2. Business Plan
Digital transformation could be standalone or as part of a wider business plan but it should explain how the digital transformation fits what your business does.
The focus of each technology implementation should be on delivering value to the customer. The digital transformation project should improve operations, customer success, service delivery or other areas; all of which improve customer experience. The project should be written with the customer in mind.
3. Technology and Resource
Once the Digital Strategy and Business Plan have been considered then the right technology is required to make the change happen. The technology part of digital transformation is what you need to get there.
The technology may include upgrades to existing systems, or completely new, with consideration for data, analytics and reporting to analyse the results accurately.
Technology should be easy to get right. The human resources will be the largest challenge and may include skillset updates or changes, new organisational processes and culture change.
4. Project Management
The Project Management should focus on how you will manage change to reach your destination. Digital Transformation can be a challenging implementation, so the correct leadership, planning, strategy and ongoing management of the project is worth due consideration.
Whilst challenging, businesses who successfully transform their business can benefit the rewards of added customer experience and value. Although for some businesses digital transformation is not a choice; competition requires them to meet new customer and market demands.