How to ensure success of Digital Transformation Projects

In 2017 we saw tremendous interest and growth across the industry verticals where organizations invested heavily on getting onboard with digital transformation. It is essential to note that digital transformation is not only key for future growth but also vital for survival in current fast paced world.

Although there are many ways to achieve it, we believe following approach could be optimal

Meaning of digital transformation in your organization

“Digital transformation, in essence, is the reshaping of business and the behaviors and mindsets of people in business to capture new opportunity,” said SYPartners principal Joshua-Michele Ross in a recent interview with TechRepublic. “Many organizations head out the door with a digital transformation initiative that doesn’t actually make sense for their employees, and there’s no way to connect to it from a business perspective.”

Hence it is important that essence of digital transformation need to be well communicated across the organization not only top to bottom but also bottom up. Success of such initiative requires all stockholders put their best foot forward.

Business case for Digital transformation with a plan

Earlier this year, more than half of CIOs polled by TechRepublic said their organization has no formal digital transformation plan, though many said they’d been involved in digital transformation efforts. IT and business need to work together with a proper business use case which would highlight the fact how digital transformation could bring value to the organization may be in terms of cost, increased sales/revenue or overall modernization with future in mind. A half-hearted effort would result in either failure to achieve the goals, or delay transformation resulting in additional cost and frustration.

Orchestrate transformation plan with strategic plan

All digital transformation projects should be centralized, ideally in IT, no matter who does them. By centralizing a project roster, the company ensures that “rogue” projects hatched by other departments and not interfacing with other systems don’t get started. Keeping all digital transformation projects under the umbrella of a single corporate plan also keeps management and the board in step with projects and investments, because everyone knows what the overall plan is, and what each project contributes to business value and the plan’s fulfillment.

Overcome employee resistance and provide training

Internal resistance and fear of job loss can stand in the way of employees readily adopting digital transformation technologies like automation and robots. There are also many of us who have grown comfortable with how we do work–and don’t like to see this changed. Consequently, internal resistance can be a real threat to digital transformation projects.

First and foremost should be done is to prepare and communicate a comprehensive training and skill up-gradation program across the organization, on one side it would help employees to realize that organization is putting an effort to keep up with the changing time and hence would increase participation could result in higher efficiency.

Hire an evangelist not superman

Hiring someone who preaches and practices the same would a job well done. It does not has to be someone from Apple, Google who would lead the transformation without any hurdle. Again here comes the use case example, often people worked in highly successful technology companies may not have seen issues faced by your organization. Each industry vertical has their own nuance, which can most effectively solved by an industry veteran who happen to be digital transformation evangelist.

Vendor section for digital transformation

Your vendors should be committed to continuous excellence innovation rather than promise of perpetual cost saving.FANG (Facebook, Amazon, Netflix and Google) has shown the world that looking for cheapest vendor may help you in short term but not in long term. These companies took the bet and heavily invested in quality people and vendors over years to achieve their leadership position in respective industries. Take an example, while doing a vendor selection for software development, cheapest offshore vendor may not provide you the quality solution, no doubt it will be cheap but it may lack innovation which would undermine your competitiveness in future. Take example of major telecome companies, who heavily relied on outsourcing without investing in innovation now struggling with industry stagnation. Not to mention post recession it was iPhone revolution that spurred the growth in demand not the technological innovation that led the industry revival post recession.