It’s no surprise that digital transformation will remain a top priority for business leaders in 2024. New technology is rapidly changing the business landscape, there is greater employee demand for hybrid and remote working, and legacy systems are increasingly at risk of falling victim to sophisticated cyber attacks. Companies are also gaining more control over the best way to apply artificial intelligence (AI). Not to mention meeting current customer expectations for a seamless customer experience across multiple digital channels.
But while the reasons for digital transformation are clear, the path to success is often less clear. It’s a huge undertaking – one that can come at a significant cost – and requires much more than just updating old technology or migrating processes to the cloud. Despite this, there is still a prevailing attitude that transformation must be approached from a purely technological point of view, which is one of the reasons why as many as 70% of transformation projects fail.
For most companies, the digital transformation journey can go a lot smoother by embracing the human element behind the process. Companies must recognize the unique needs, motivations and behaviors of their employees, customers and other stakeholders if they want to succeed.
For those looking for a partner who can guide them through the process, it is important to look beyond the technology here. Additional considerations such as shared values, chemistry and effective communication all become critical given the time digital transformation takes.
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People create change
The starting point for digital transformation must always be people. Whether it concerns customers, partners or employees – or a combination of all three – any updates made to IT infrastructure should be guided by the benefits they bring to users. Clear goals must be linked to business outcomes and user needs must be identified first, with technology acting as a means to achieve those goals.
This obviously requires research before we start the digital transformation. By engaging in direct conversations with users and leveraging data analytics, companies can better understand the pain points and inefficiencies in their current technology and where their efforts should be focused.
These insights can then guide companies through the process, helping to set clearer business goals and make more strategic decisions, while benefiting users. Taking a people-led approach can also prevent companies from falling victim to common mistakes and pitfalls that other organizations can fall prey to; This provides greater assurance that the time and money spent on the project will not be wasted.
Find the right transformation partner
While some larger organizations may have the resources needed to manage digital transformation internally, in many cases it makes sense to seek support from a digital transformation partner. By finding people who can take the time to get to know your business, they can help you define strategy, identify the best technology, and build a roadmap that leads to the results you want. However, to ensure success, it is crucial to find the right partner who is willing to understand how digital transformation will benefit both your business and your users.
There is no ready-made answer here either. Some will be better suited to certain companies or sectors, there will be budget considerations, and both parties will need to be on the same page on outcomes. However, it is important to remember that a digital transformation partner is more than just a technology provider. Again, people and what they can achieve with technology should be an important consideration.
There are many companies providing digital transformation support, including some of the largest consulting firms in the world. But to ensure that the transformation process is successful, a methodical approach must be taken when choosing a partner.
These four key considerations can help determine the best transformation partner for your organization:
1. Focus on the result: Before you start the journey, you need to clearly define what you want to achieve with the digital transformation. Determine the problems you’re trying to solve and how technology can help, then work backward to outline the smaller goals that can get you there. Knowing what you want to achieve and how you will work towards it will be crucial in finding the right partner to get you there.
2. Focus on the people: Transformation is an ongoing process and the importance of finding people you enjoy working with cannot be understated. The technology is obviously important, but this is an endeavor that will likely take years. That’s why it’s essential that you find a partner who is committed to your transformation, who communicates effectively and with whom you ultimately have good chemistry.
3. Look for change management skills: A successful transformation means major changes for your organization, which in turn requires change management. When assessing potential partners, it is important to look at their approach to change management and determine whether it aligns with yours.
4. Experience, expertise and budget: These are fairly common considerations for any partnership and are no less important here. Review potential partners’ previous experiences to see if they match your needs, see where their expertise lies and what technologies they offer, and make sure they fit within your budget.
Digital solutions with real-world results
Digital transformation is a necessary but complex undertaking that requires a holistic approach that goes beyond mere technology upgrades. It is obviously a technical process, but success will be much easier to achieve if the goals are set with the users in mind.
The same people-first mindset should be applied by those looking for a digital transformation partner. Organizations need to find a partner that not only has the required technological expertise, but also has the workforce that understands their business and is aligned with objectives, values and culture.
While the transformation process will undoubtedly be challenging, with many pitfalls along the way, prioritizing the human element will help pave the way to success; helping companies stay competitive and relevant in the rapidly evolving digital landscape.
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