Contrary to what the average manager might think, digital transformation solutions of a business entails far more than simple upgradation of technology. Enterprises undergo digital transformation to scale digitally as well as to transform their operating models. In the short term, it is not easy to change the operating model of an enterprise—however, the investment certainly pays off richly in the long term.
The Secret to Digital Success
Not all companies find it easy to realize successful outcomes through digital transformation. Digital success comes through a fine balance between technology upgrades and upheaval of operating models. If an enterprise focuses on technology without allowing its operating model to catch up, it will face a dip after an initial digital boom. The defining features of such a dip include a soiled approach, conflicting stakeholder views, confusion over KPIs, and slow user adoption. On the other hand, changes in the operating model without matching technology upgrades will limit enterprise efficiency.
Ultimately, digital success relies on transformation across the breadth and depth of an enterprise. This can easily be achieved through dedicated completion of smaller projects. For concrete success, digital transformation has to be driven through an end-to-end IT and operations framework that leverages analytics, automation, agility, and cloud.
How Enterprises Transform Technologically
To develop intelligent operations, enterprises must focus on four key elements:
- Integration of operations across IT, business processes, and infrastructure services
- Automation of routine manual processes
- Extraction of actionable insights from the data created by these automated processes
- Identification, prevention, and correction of imminent process disruptions
Such an approach can be practiced through the use of advanced analytics and AI to generate insights and automate tasks in order to make processes more accurate, less expensive, and faster.
By switching from a process-centric stance to a data-centric stance, executives can help their business transform technologically. For instance, if aggregated business data clearly displays that some features of a certain technology do not appeal to employees or customers, that technology must be revised accordingly regardless of leadership sentiment.
Along with the automation of operations must come the automation of insight delivery. Filling orders, ordering supplies, and responding to customers must happen without the need for human intervention. Systems that support cognitive operations can be leveraged to predict problems before they occur. These systems can also give executives insights that will enable them to perform the tasks that machines cannot.
The Need for Operational Transformation
Digital transformation of operational technology often needs to be decided at the board level, since such a transformation would require the employment of differentiated talent, targeted upskilling, and long-term commitment to a far-reaching change in company culture. Upcoming digital enterprises must:
Be willing to learn
Often, organization structure is perceived as a barrier to digital transformation—something that can only be overcome by a management team that is willing to learn. Next-generation businesses deploy agile teams to incubate digitization initiatives across business units and functions. Digital command centers can be used to drive enterprise-wide innovation. As intelligence and automation are entrenched into the workings of an enterprise, the value of business context will increase dramatically, leading to a requirement for cross-functional employees with techno-ops skills. While it is undoubtedly a long and expensive process, it will ultimately yield rich dividends.
Lack of funding is another big reason for the failure of digital initiatives. Flexible management teams will understand that digital transformation can take place one process at a time by adjusting journey cycles and leveraging multi-modal funding structures to balance innovation and risk.
Digital transformation demands an ownership-driven work culture with a strong focus on experimentation. Leadership teams should strive to overcome inertia and resistance; encourage collaborative innovation across teams, and drive adoption and embrace transformation personally while encouraging their subordinates to do the same.
Digital transformation helps enterprises elevate their operations to the next level. The advanced technologies required to deliver a transformative experience have already been developed—all that remains is to re -engineer business processes using these technologies in order to extract maximum benefit. With cutting-edge solutions and easy implementation processes from leading players like Cognizant, IBM, Google, Salesforce, and Microsoft, revolutionizing an enterprise digitally is easier than ever before.