7 Digital Transformation Strategies for Sustainable Success in 2022
Digital Transformation Stems from Digital Readiness
Digital transformation (DX) being a tenet of IT, has led organizations to adopt more digital technology, to gain momentum in the business. As digital technologies are reshaping industries, business leaders need to convert their visionary steps into a clear set of digital initiatives that takes organization towards transformation.
The growing demand for advanced technologies such as IoT is promoting the adoption of data-rich and analytics solutions. According to Grand View Research, the global digital transformation market size is expected to grow at a CAGR of 23.6% from 2021 to 2028.
The direct digital transformation investment from 2020 to 2023 is expected to approach $ 6.8 trillion, according to IDC.
As the pandemic continues, IT leaders are facing challenges to position their business for the new digital normal, to maintain the post-pandemic momentum, and to prepare their teams for success. Exposure to the best practices can help companies prop up their success in digital transformation.
7 Best-practices for Successful and Sustainable Digital Transformation
Competing in the digital world means transforming both tech stacks, operating models and figuring out winning patterns like digital foundation, the landscapes, how to digitally modernize tech infrastructure, and addressing customer demands and competitive pressure.
Prioritizing the following practices will underlay a strong foundation for digital transformation:
- Create a Clear Vision of DX: The real benefit of transformation comes from creating a vision for the future, communicating it in the organization, seeing the potential synergies from silos, and providing opportunities where everyone can unlock values.
- Seek Diverse Tech Talents: DX requires talents enabling change for desired digital maturity and enterprise-wide impact. Metros are certainly having a higher concentration of talents but compete with tier-II cities especially post-pandemic.
Value proposition and inspiring vision motivate talents from tier-II cities and organizations are flourishing there to preserve stable teams.
To know more about the advantages of companies in tier-II cities, read here
Embed Digital in Overall Transformation Strategy: Incorporating digital in overall business strategy is an important digital readiness parameter to achieve success. A digital transformation strategy builds bridges between the current state and the desired long-term plan, with information, data, processes, technologies, human aspects, and more.
The basic things to examine to operationalize digital transformation strategy are:
- What are long-term objectives and intermediate objectives?
- What does your company want to achieve?
- Who needs to be involved in strategies? And more.
The dimensions expand when there are more actionable opportunities.
Address Risk & Challenges: In a strong risk-management culture, the behavior of individuals and groups within an organization defines its approach to risk-taking.
Understanding the risk before stepping into digital transformation is a critical area to deal with, whether it is failure due to obsolete technologies, unauthorized usage, inadequate controls in operations, or inappropriate handling of sensitive information.
For better risk mitigation:
- Analyze the digital footprints and impacts.
- Develop a framework to deal with failure in functionality.
- Plan digital enablers for better risk governance.
- Monitor the regulatory requirements.
While IT will play an important role in driving the digital transformation strategy, the work of implementing and adapting to the massive changes accompanying digital transformation is up to everyone. Digital transformation initiatives often reshape workgroups and business processes.
Find the details of above best practices here.
Aligning Digital Capabilities with Company’s Vision will Ramp-up Digital Transformation Success Rate
Digital transformation capabilities seek organizational boundaries as well in terms of the right mix of capabilities, whether the technologies can meet specific challenges, and whether they would be able to match the speed of execution required.
Be Agile: Companies undergoing a digital transformation journey have to adopt an agile way of working removing barriers to long-established industrial processes. Working towards the twin strategy of growing business and developing the digital capabilities is significant but also critical to keep the two connected. Hence, such a risky endeavor of creating a close relationship between DX and business goals needs responsible steps.
Exhibit Persistence Within Organization: To ride the current wave of digital transformation and stay agile and competitive in the future, companies need to constantly monitor the changing environment, to test existing business practices, assumptions, and other biases so that digitalization can help fuel growth by adapting to customer needs.
