It’s the talk of the town. Yet, not all organizations still have a clear understanding of what digital transformation really means in practice. Many projects have focused on digital transformation (especially in the last three years), and there are numerous trends of the moment involving it. Nevertheless, not everyone has been able to achieve the desired results. This is because, in order to build a customized path aimed at adopting the cloud and modernizing IT, a “digital foundation” is needed—a true reform of the company culture that prioritizes the ability to embrace change, which brings value and competitiveness, while avoiding what is considered unnecessary..
The pillars of digital transformation for businesses.
The topic has been hot for quite some time now, but very few know its real meaning and application for businesses that intend to “embrace it.” We are talking about digital transformation, understood as the digital transformation of both private and public companies, starting from the application of digital tools and technologies to the daily work processes. This means one thing and one thing only: digital transformation involves a redesign of processes, and it must be accompanied by a change management journey in order to overcome the normal resistance to change. Strong digital transformation, therefore, means process redesign, the introduction of automation, but also the development of new products and services enabled by digitization.
A striking example of digital transformation is smart working. We know that technology helps us innovate and grow business and competitiveness, but it also introduces a critical aspect, which is navigating a sea of IT solutions that risk losing focus on the goal.
And here, it becomes necessary to delve into the topic of digital transformation, particularly the possibility of focusing on the three components on which it rests: people, company, and technology. This is because the integration of these three components allows businesses to fully realize the benefits of digital transformation.
The success for companies that choose to embrace digital is found in those capable of changing their mindset (a challenging but possible task), strategy, and culture to keep up with the ever-changing demands. The result? Digital activities and innovation focused on the customer and the experience. A company is defined as digital not only if it uses technologies, but if it uses them correctly, guided by a mindset that views the world through the lens of digital reality. In a company, at the helm of this transformation, there must be competent and certified management capable of instilling the value this innovation brings to the business today, such as the CIO or an intermediary role between IT and business, like the Digital Officer and Marketing Technologist.
The pillars of digital transformation for businesses: advanced technologies, leadership, and training.
From what we have had the opportunity to explore so far, a digital transformation project, once started, requires a lot of dedication and attention. Among the fundamental best practices for discussing digital change, leadership, the change in the way employees work thanks to digital tools, and transparent and widespread communication across all departments to share and support the new strategies must be present. In particular, a survey by McKinsey shows that businesses benefiting from digital transformation mainly gain an advantage from the use of more sophisticated technologies, such as AI, IoT, and machine learning. These technologies are complemented by other elements, such as experienced digital managers and skills updates for employees. However, the increase in technological “capabilities” is the foundational base. This is the starting and ending point of the success of this ongoing process.
The foundations for creating a digital transformation 4.0.
Earlier, we mentioned that in order to build a customized IT-focused path, a digital foundation is necessary, meaning the creation of a new company culture.
Well, the digital foundation is built through a customized implementation that places data security at the center and allows for the rapid modification and improvement of the business with a concrete, measurable result and an overall vision that includes culture and people. Specifically, there are unwritten rules that businesses must follow if they wish to embrace digital transformation and do so in the long term. Below, we propose a brief list:
- Adaptability: organizations that have modernized their technological infrastructure can change quickly and innovate continuously.
- Speed: the right platforms and tools, new skills and operating models, automation, and streamlined processes enable organizations to accelerate the speed of their operations.
- Data centrality: IT modernization enables a much deeper understanding of the organization, making it easier to activate new business processes.
- In-depth analysis: organizations need to have a real-time overview of their activities and operations, proactively seizing the opportunities that arise, reducing costs, and driving innovation.
- Collaboration and scalability: developers need a platform to quickly integrate and scale business services, creating value for the business.
- Security: security must be part of every step of IT modernization. All data is encrypted for security and privacy.
- Economic feasibility: IT modernization must provide a quick and clear ROI for continuous optimization.
The analyses have also identified some obstacles that often hinder digital transformation, such as the non-scalability of many solutions, the absence of a unified platform, excessive system complexity that prevents integration with applications, lack of adequate talent or skills, and insufficient budgets. That said, what is crucial to remember is that “data is the value, technology is the enabler.” This is why adopting a multidisciplinary approach to trigger cultural change proves to be the “unwritten rule.” The goal is and remains to improve customer experience, efficiency, and productivity to meet market demand and always stay one step ahead of the competition.
Conclusion
From what we have explored so far, when a company thinks about success, it should not refer solely to the use of the technological tool itself, capable of improving work and productivity. What should be questioned is how the tool becomes indispensable by being ready to meet consumer expectations, making them always feel like “protagonists.” This is because digitalization is a journey that requires training and study, a desire for improvement, introspective abilities, and awareness so as to leave no room for misunderstandings. Its continuous evolution makes it both the same and different, because time, which flows and passes through it, is different. Are you ready to accept the challenge and initiate the Digital Transformation process within your company? Keep following us. In the next blog post, we will continue discussing digital innovation, particularly the trends surrounding it, always with a particular focus on the customer, the true nourishment of a process that sees only opportunities, not obstacles.
FAQ
1.What is digitalization and why is it important for SMEs?
The goal of the business digitalization process is to leverage the opportunities provided by new technologies to improve business performance, such as increasing sales and customer loyalty.
2.What are the main aspects of digital transformation in the workplace?
Among the key aspects, the optimization of customer experience, operational flexibility, and innovation certainly stand out as the three main drivers of digital transformation today. This is followed by other relevant aspects such as the development of new revenue sources and value ecosystems based on information.
3.Which organizational model is best suited for digital transformation?
The organizational model that best suits digital transformation is the teamwork model, which is made up of several essential aspects, including: building trust, which is a key element for establishing order in chaos, common goals, a sense of belonging, involvement in the decision-making process, the ability to motivate responsibility and commitment, and promoting communication.
