Unleashing digital transformation: The crucial role of strategic management in driving change
With technology touching practically every aspect of our lives today, one would believe that every organization in existence would make it a business priority to have comprehensive and accurate visibility into technological assets.
Unfortunately, this is not often the case.
All too often, organizations learn too late that IT visibility is a key component in the overall operational process. A lack of transparency can catch businesses off guard from cybersecurity incident fallout, unexpected expenses, and other adverse outcomes.
Most IT leaders act on the assumption that a long-term and serious investment in tools designed to transform data into actionable intelligence will, in itself, solve the problem. However, without the selection of appropriate strategies and technologies, or their effective implementation across the enterprise, businesses might still suffer from data mismanagement, cost inefficiencies, and even increased cybersecurity vulnerabilities.
When digital transformation is defined as the process of transforming an established business to ensure it thrives and remains competitive in a world characterized by constant digital evolution, three key aspects stand out, namely:
Digital transformation is essentially about business, not technology. It might use technology to execute very specific strategies, but its core focus is on the customers, employees, and the fundamental work of an organization. Technology is more about the enabler in nature, while the very transformation is about aligning a business to the emerging needs and opportunities.
Digital transformation involves reshaping an existing organization. It differs from building a new startup because in this case, one is supposed to build on the strengths and resources of an already existing organization, envisioning its future operations. This process thus requires an approach that respectfully honors an organization’s legacy and positions it for continued relevance and growth.
Digital transformation is a journey. It is not a bounded project with a beginning and an end but a never-ending process of creating an adaptive, resilient organization capable of responding to the endless waves of digital change.
It is also important to note that digital transformation in itself is a very hard thing. Studies conducted by leading management consultancies-McKinsey, BCG, KPMG, and Bain & Company-in the last few years give a sobering reality that between 70% to 80% of companies pursuing digital transformation report failure in achieving their desired outcomes.
This underlines the complexity and rigor required to successfully navigate this transformative process.