Embarking on the digital transformation journey feels like navigating through the unpredictable waters of technology. Unfortunately, many organizations find themselves stranded in confusion and chaos due to some amusing yet common mistakes. Let’s take a look at six missteps that often turn the digital transformation adventure into a tech disaster of high cost and questionable value.
1. Digital Transformation ≠ IT Adoption
Many organizations confuse digital transformation with IT adoption, assuming that incorporating new technologies will magically lead to digital transformation. Digital transformation isn’t just about acquiring the latest IT applications; it’s about extracting value from them. Most importantly the value has to be quantified and should directly hit your P&L(Cost savings, Process time savings, Profit maximization etc). It’s like expecting a robotic vacuum cleaner to clean up your messy business strategy – it won’t happen unless you know how to program it right!
2. The Digital Mixologist: Blending Transformation with IT Ops
Ever tried mixing oil and water to make a new cocktail? As delicious as that sounds (not at all!), it’s about as effective as blending IT operations with digital transformation. While smooth and seamless IT operations keeps your business running smoothly, digital transformation is about taking things to the next level, crafting solutions and piloting your ship to uncharted islands of opportunity. So, leave the IT management to the IT crew and grab your innovation compass – it’s time to explore uncharted seas!
3. Extensive Domain Experience + IT Exposure ≠ Digital Transformation Guru
Before attempting to create value, make sure your expert is not just tech-savvy but tech-seasoned. Decades of domain expertise (e.g. Manufacturing, Pharma, SCM) coupled with IT “exposure” doesn’t automatically make you the conductor of the tech symphony. Having a taste of IT skills like AI/ML, automation, analytics, and ERP exposure isn’t enough for a successful digital transformation. One needs to have in depth expertise. Digital transformation requires a blend of analytical prowess, strategic finesse, and in depth technology experience on top of your domain knowledge. The objective is to understand the technology inside out and leverage it the existing process to extract maximum value out of it which directly impacts P&L..
4. Change Management:
Ignoring change management in digital transformation is like launching a rocket without a flight plan – it might go up, but it’s likely to crash and burn. The entire initiative needs to be top-driven, with the biggest stakeholders leading the change orchestra. Remember you are trying to implement something which you have never done before and will lead to significant change in process, value, skill set across your organization. Exposing any digital transformation initiative to a source of resistance in initial phase itself will make sure it is drowned out by the cacophony of resistance or is presented as merely IT adoption exercise.
5. Define Your Metrics
Attempting digital transformation without well-quantified matrices adds to the uncertainty and makes it no different from any IT rollout exercise. Don’t let your digital transformation act be a guessing game; make it a spectacle of measurable success. The metrics should be as per your objective, it should be quantified and measurable periodically. The is the most powerful way to handle resistance and align your organization to this goal.
6. Cost Concern Catastrophe
Overly concerned about the cost of digital transformation ? – you’re missing the point. Digital transformation is about turning IT from a cost center into a revenue generator. If you’re too fixated on the price tag, do not forget to analyse the potential value along with it. Remember, a well-executed transformation is an investment, not an expense. The only constraint should be your ability to extract value not the cost.
Conclusion:
Digital transformation is a serious business, but that doesn’t mean we can’t have a chuckle at the quirks and pitfalls along the way. By avoiding these amusing mistakes and approaching the journey with the right mindset, organizations can navigate the digital seas successfully and emerge on the other side with a transformed, tech-savvy identity.