Businesses Are At A Fork in the Road When it Comes to Digital Transformation

December 10, 2020

Recently I shared some thoughts about digital transformation in an article for the Forbes Technology Council. I noted what it is and what it is not, as well as how to get ready for the journey.

We’re at a pivotal time when it comes to taking the digital transformation plunge. Businesses who take the wrong road and delay the move to a digital-first organization could be left behind, without the ability to compete in the future.

As I mentioned in my Forbes article, a key reason for the delay is confusion about what digital transformation is, after all, the term is tossed around quite loosely. It’s often confused for technology modernization, which usually has a very different goal.

Technology modernization is upgrading your current technology to improve its capabilities, yet digital transformation means a complete change in your overall business model and finding new forms of revenue through digital value streams.

Digital transformation is no easy feat even for the boldest of companies, but there are some ways to make the journey a little easier:

  • Lead by design. Organizations can take a design thinking approach to make sure your initiatives are being driven by the actual people who will be using or benefitting from them.
  • Restructure to get the best results. Digital transformation not only requires top-down support from management, but many times it’s important to create a new business unit, with its own staff, budget and other resources to give it the priority it needs.
  • Take an incremental approach. It’s not necessary to dive head first into digital transformation without first putting your toes in the water. Some companies are turning to innovation sprints to determine if a full-fledged tech project is warranted.

When it comes to remaining relevant, digital transformation and adopting a digital mindset will no longer be an approach for the riskiest of companies, but a requirement for everyone, across the board. By taking some basic first steps, the journey can begin today.