With the rise of technology such as the Internet of Things (IoT) and mobile devices, the world is constantly transforming digitally. Everything is now connected and businesses have to constantly evolve to stay relevant and up to date with trends. One of the most important aspects of this change for businesses is to invest in a powerful digital transformation strategy.
A good digital transformation strategy considers a business’s goals and how to move forward on a transformational mission in a way that makes sense. Businesses must also match their transformation strategy with the right programs to effectively develop the required knowledge and competencies to competently sustain digital leadership. Additionally, employees must become more flexible, embrace a culture of constant improvement to thrive and grow among all the new challenges that come with this transformation.
Some of the leading companies in the world have successfully transformed digitally, often with the help of digital transformation consultants. Some examples include:
Leading sportswear company Nike wanted to move away from its outdated traditional shopping experience. In recent years, they’ve moved their focus to data analytics, updated their e-commerce strategy and designed stronger digital marketing campaigns.
In 2014, software giant Microsoft decided to change its strategy to stay up to date with current trends. Its solution was to design a cloud networking system business that is more forward-focused. The company shifted its focus away from traditional software to a cloud system that’s more robust and scalable for both businesses and personal use.
- Best Buy
In recent years, multinational consumer electronics retailer Best Buy embraced digital marketing, offered consumers customized assistance and recommendations based on digitally gathered data, enhanced delivery times, and a price matching program.
What Exactly Is Digital Transformation?
Digital transformation involves a foundational change in how businesses deliver value to their customers. It can be seen as a method of using digital technologies to create new processes, cultures, and customer experiences to match changing business requirements and market needs.
One of the first steps of transforming digitally is to identify the best technology to update a business’s infrastructure. This can include moving from using manual ways of storing data (such as handwritten logs) to using cloud software to gather, store and manage large sets of data.
Once the infrastructure has been digitized, transforming further into a digital business starts with the identification of business processes that can be optimized and automated.
Both simple procedures and complex processes with many integrations benefit from automation. By prioritizing operational requirements and creating a digital strategy to match those needs, a business can transform its processes to be more streamlined.
Why You Need a Digital Transformation Strategy
A digital transformation strategy can help businesses to understand where they are currently, where they want to be and how to get there.
Businesses that don’t understand their current processes and operations cannot identify priorities and goals. Businesses also need reliable information to take advantage of opportunities and mitigate risks.
Without these capabilities worked into a business’s processes and culture, its transformation will stall. A strong strategy can help businesses to develop and harness these capabilities effectively.
What Question Can Solve a Digital Transformation Strategy?
When a business wants to create its transformation strategy, it must consider how and where to begin. The key question to ask is: What are the most essential goals a business wants to achieve with its transformation. This can include wanting to improve efficiency, enhance customer service, boost flexibility or increase profits.
Once these goals are identified, a business can start to plan its strategy from start to finish. The goals will determine which resources are required, which changes are needed, and how to implement new technologies.
How to Level up a Company with a Digital Transformation Strategy
Simply creating a transformation strategy is not enough to take businesses to the next level in their field. There needs to be an effective process of implementing the strategy in place. This may include:
- Identifying goals and desired outcomes
A transformation is about reaching long-term goals. With a clear understanding of where a business is now, it can start looking to the future. Businesses have to consider what their digital transformation demands and goals are and what they hope to achieve.
- Align transformation with business goals
Alignment is the most important step to a successful digital transformation, and it must be supported from the top down. Therefore businesses must outline the right outcomes and ensure that they are fully aligned with the business’s overall path, goals, mission and planned future.
- Having a good communication plan
Creating an effective strategy requires that businesses understand how to communicate any changes and the value it produces. If they fail to convince customers and internal teams, the strategy won’t work. Therefore, everyone needs to be kept up to date throughout the process and efficient training needs to be offered where needed.
- Creating a culture of innovation
A transformation strategy should include a culture of innovation. Internal teams and customers must feel motivated to move forward, accept change and think creatively.
- Mastering risk management
Transforming digitally is all about moving fast and developing operational mindsets and scaling new technologies. However, these very characteristics demand the careful design of risk management and controls around the transformation effort.
- Testing and implementing effective technologies
Whether a business wants to improve its customer experience, drive employee performance, analyze data or achieve innovation, there are technologies designed for every need and goal. Some technologies that can be tested and implemented include:
- Cloud computing
- Mobile applications
- Artificial intelligence
- Internet of Things (IoT)
- Augmented and virtual reality
- Getting expert advice
Businesses who want to ensure they design a successful strategy from start to finish should look into getting the help of digital transformation consultants. These professionals have the skills and knowledge to offer IT strategy consulting that precisely identifies goals, resources, timeframes, and budgets.
Succeeding with a Strong Digital Transformation Strategy
In today’s fast-paced, tech-focused world, the impact of digital transformation is very clear. Established businesses are being disrupted by ever-evolving and advancing technologies. As a result, business owners have to invest in transforming to move forward.
But for businesses that didn’t start out completely digital, automating and redefining processes to enhance operations are often not enough. They must also build efficient experiences for customers and employees. This typically requires businesses to transform traditional structures and processes into digital processes through a strong strategy designed with the help of digital transformation consulting.