By now, it’s inevitable that your company has heard the term “digital transformation,” but do you really know what it means? It’s true the term means something different for every organization because no organization is 100% alike. And it can be a little nebulous. So, what’s the general definition then? Digital transformation is, “the integration of digital technology into areas of a business resulting in fundamental changes to how businesses operate and how they deliver value to customers.”
From its definition, digital transformation sounds like a gigantic and scary shift for your company to make. What if something goes wrong? Is this too big of risk? The simple answer – no. Digital transformation is all about taking risks. “Risk” may not be a word you want your company to get familiar with, particularly in IT. Due to digital transformation often being driven by customer expectations, you will have to find more comfort in risk. These expectations around your products and services change on a daily basis – many of them exceeding what your company can actually do, so it’s important to take risks. If you don’t, your company may cease to be relevant in today’s society, and therefore, lose customers. In the end, the risks are almost always worth the reward.
Companies who take the risk and make the shift are constantly asking themselves, “What outcomes do we want to achieve for our customers?” To answer this question, companies need to create a Technology Strategy that supports their Business Strategy. Without a solid plan in place for the future, the outcome of their operations and the value delivered to their customers won’t be effective in the long term. It’s true that plans change, but if you already have a sturdy framework, making changes to it won’t disrupt your end goal or make you start over.
Your company can make tremendous gains with digital transformation, but if you’re still feeling skeptical, just measure the ROI. However, that’s easier said than done. Digital transformation projects reshape your business operations and customer interactions, so how are you supposed to measure that? First, you need to set up a holistic view of your digital transformation performance. When doing so, consider the best practices regarding digital transformation metrics because it can be difficult to pinpoint the key performance indicators without a little nudge in the right direction.
The spending on the technologies and services that enable digital transformation worldwide is expected to amount to $2.3 trillion USD by 2023 – a staggering a 77% increase from 2020. As the technology world is constantly evolving, digital transformation is essential for all companies moving forward. All said, the need to shift your company may seem like a race against competitors, but in the end, there is no finish line. Meeting the needs of your customers is what matters most and the ways you deliver them are always subject to change.
Reaching the finish line of a digital migration doesn’t happen overnight. We help enable and streamline IT so you can get back to the business of what you do best. “Get There” by contacting us today.