You can’t but must be on the same page with the newest trends and cultures. However, if we genuinely ask how this word is understood, we probably won’t hear anything eligible to be true about the nature of this term.
Nonetheless, this doesn’t mean people are not curious about how digital transformation affects the globe. Furthermore, this trend’s popularity has been growing fast since 2009 and nothing has been noticed that signals about decreasing the value of that phrase according to Google analytic data.
What Digital transformation is?
The first idea that comes up when we hear the ‘digital’ term is that something related to technology. So, apparently, the ‘digital transformation’ of organizations should have meant the implementation of the newly-appeared technologies into the business processes of those organizations, or, at least, that would be a try of senior management to change the old-school mindset of some aged companies towards digital-oriented one.
This definition sounds pretty much better than ‘using-some-cutting-edge-technology-which-we-do-not-even-we-need-this-technology’. However, this is not a complete definition and such a meaning could be treated as an intricate notion. In common and rough sense, the digital transformation is a way a company responds to digital trends and adapts to changes which the digitizing causes.
The real understanding of how serious the digital transformation should be accepted, taken on board and implemented into the business processing of every self-respectable company could be expressed by the words of former Cisco Chief Executive John Chambers, who said:
“40% of the companies in this room will not be around in a meaningful way in 10 years including ourselves if we fail to execute or if we miss an opportunity in relation to transformation.”
So, the best ‘digital transformation’ definition we could have is the adaption of companies to disruptive technologies revolution that affects everything starting with ways of how to run businesses up to how consumers make their choices.
What are the main implications of the digital transformation revolution should be taken into account?
First, that is how organizations respond to drastically changing business environment like how partners, suppliers, customers think, what they expect to get and what goals they do strive to achieve. Unfortunately, those changes are mostly out of our control, so we do have to find approaches on how to react quickly and effectively to the World’s digitizing, because, this is getting a crucial moment for every CEO and business runner.
As a second implication, the fact that implementing new technologies into companies business processes does not give as any right to call such a company digital-transformed. Technology is only a tiny part of digitizing in this case. Besides tech aspects, some more things are put on the surface to be worked on like management, planning, market investigation, business relation establishing, which are as important if not more for being successfully digital-transformed.
That concept and provided implications lead us to the logical conclusion that becoming a digitally transformed one is not a one-time action or simple status updating, it’s a continuous process where both the beginning and the end are hardly detected. Like nurturing prospects in marketing and closing deals at the high point, the readiness of organizations to become digitally transformed is defined more by their maturity and needs and less by their willingness and strategies.
What exactly does ‘ Digital Maturity’ mean?
What will happen if senior management staff stops trying to become ‘digital-transformed’ and focus all their energy and efforts to reach that notorious ‘digital maturity’ condition? The answer is they will stop using the unnecessary technologies in unnecessary cases and do digitize their weak points to strengthen their positions in the competitive digital environment.
However, we need to understand that it’s not possible to become digital mature in short terms. This is a continuous process with certain stages of completion so that organizations cannot skip some compulsory phases of development while going through their digital mature path. And, like a personal improvement, becoming digital mature is an endless task. That means this goal could be achieved in different ways and there will always be something to improve in every organization current condition of the digital maturity.
So, the good news is that we could become digital mature much more every day and an endless number of ways could help us do that.
The bad news is that we cannot be sure what kind of organization the current one will mature into when it starts changing towards digital maturity. That rule could be simply applied to us, people, who don’t know what will be their occupation till becoming an adult. And, speaking frankly, most of us were dreaming about singer career, actor fame, becoming a sports star, but we have ended up in software development, marketing, insurance, real estate industry, etc. Provided that even thought consequences of our actions cannot be predicted for 100% sure, this shouldn’t keep organizations away from making little, but confident steps towards digital maturity.
Furthermore, as there are no limitations of self-improvement, no limitations will be met when an organization chooses the self-restructuring into a digital mature one. Additionally, as there is no definition of the digital maturity final state, an organization could decide for themselves what development strategy to stick, resources to use and what final aim of digital mature to set. Those factors only encourage businesses to enter the digital epoch.
There is also one important aspect of digital maturity that is to be taken into account. By nature, becoming digital mature is a process, however, the last one cannot be held in automatic mode. This is the process of adaptation and learning what to do to survive and beat rivals in the aggressive digital pool.
At the end of the last 2017 year, nearly 70% of CEOs that running Global 2000 companies put the digital maturity as the highest priority of their corporate strategy.
So, why do we need to strive to be digital mature?
Organizations that have started transforming admit those crucial points affected:
- making stronger the progress in enabling real-time transactions;
- making stronger the progress in increasing the operations KPI;
- increasing the number of acquired customers;
- making smarter the process of creating the new sales channels;
- increasing in using AI for repetitive tasks by workers;
- significant revenue and customer satisfaction growth;
- increasing product development both potency and possibilities.
Isn’t the right time to get digital matured for your own good?