I will not bore you with another post on what is digital transformation or digital transformation strategy.
“The digital revolution is far more significant than the invention of writing or even of printing.”-Douglas Engelbart
Let me help you answer the question: How to build digital transformation strategy?
One of common perceptions about digital transformation is that it is all about technology. Technology is the biggest enabler but not the only ingredient for digital transformation. Digital transformation brings huge change to people and processes that organization has adopted. Change is the biggest challenge that can derail digital transformation. Digital transformation strategy should ensure enough investment into change management.
“The first step toward change is awareness. The second step is acceptance.”– Nathaniel Branden
4 key pillars of digital transformation strategy:
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People
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Technology
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Projects
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Processes
People
The first question that needs to be addressed well is how it will impact all stakeholders. Based on the impact build training programs to enable your workforce with skills that are required in the new environment. Ensure that the organization adopts the vision and goals of digital transformation. You may bring in fresh digital talent that can help you strike a balance between knowing your business and knowing digital.
Technology
I assume you already understand it well. Few recommendations:
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Buying technology is not step #1
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Buy technology once you are sure about condition of success for that technology
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Your team and stakeholders should have control in selecting technology.
Projects
Before bringing in technology and enabling your workforce, digital transformation strategy should enlist projects that bring digital investment into life. Some of the high level categories that you should definitely focus on are:
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Understanding the customer and their journey: Customer journey is no more a vertical funnel. It is complex and convoluted due the digital age, many devices and channels. Better Customer Experience leads to better business conversions.
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Increasing conversion: For Marketing it can be creating more revenue or sales enablement, for HR it could be increasing quality resume submissions etc.
Processes
Digital transformation is not only applicable to your customer. Digital transformation should also enable your own workforce by digitizing the processes. This can ensure huge cost savings due to efficiencies, collaboration and reuse. Digital transformation strategy should also promote agile methodologies as it helps improving productive.
