Digital Transformation (DT) is very different from a typical “IT project”. Overcoming those 3 key challenges is imperative to DT success.
We live in a time when a digital presence is no longer an option, but a necessity. The way products and services are developed and brought to the market is changing rapidly, as are consumer and customer requirements and user experience expectations. At the same time, the convergence of Big Data, AI, cloud computing, process automation, machine learning, supply chain automation, and other technological advances are taking place, further confounding business leaders as they attempt to layout their organisational plans.
As a result, companies need to be proactive and reactive with new digital tools, marketplace platforms, business and operational processes, while discovering digital talent to compete in today's global economy; all at once. It has become critical to have a trusted digital transformation partner to help navigate the maze to digital transformation and success.
But what is digital transformation?
Digital transformation can impact every aspect of a business, from how it operates and delivers value to customers, to retraining, attracting and integrating the best talent. Digital transformation is a culmination of the ongoing processes undertaken by organisations to become more resilient and adaptable to the rapidly changing market requirements.
Digital Transformation may sound like a big undertaking, but developing a digital strategy doesn't have to be daunting. A thorough analysis and carefully planned road-map for digital transformation - which can include phases over time - can yield significant benefits and make a company more resilient to market demands in both the short and long terms
The 3 biggest challenges organisations face on their digital transformation journey:
1. Organisational change According to researchers, the main reason transformative change programs fail is due to employee resistance and lack of management leadership. Digital transformation involves significant organisational changes, and this usually affects employees' job descriptions, compensation, hierarchy, and their traditional roles. Adjustments across the organisation can be overwhelming without the right guidance on how to effectively adapt to the new business model.
2. Security According to surveys, more than half (55%) of organisations say that security is the number one challenge in implementing enabling technologies in digital transformation. Security is almost always the main reason why companies are sceptical about technological changes, new platforms, and changing their established processes. While cyber-security is complex, dynamic, and supple, it's not an obstacle that can't be overcome with the right expertise. All you need are the right professionals to support you.
3. Understanding consumer demand This is perhaps the most important and delicate challenge for businesses. From SMEs to Fortune 100 companies, understanding the changes in consumer demands and behaviour, is critical to business prosperity. Companies need to enhance their understanding of what customers want and when and how they will want it. The trickier part is understanding how to connect consumer requirements with the strategy of the business organisation. That is the inflection point where digital transformation will be a valuable ally.
Change is all around us, affecting everything from consumer behaviour, to technological developments, to market trends. This evolution shows no signs of slowing down, on the contrary, it will accelerate. The key to success lies in embracing this change and adopting a philosophy of continuous learning; remaining flexible and cultivating an environment that fosters creativity.
The Xenatus team is helping hundreds of leading companies successfully navigate digital transformation and thrive in this new era. Xenatus is your trusted ally on the road to digital transformation.