We have been talking about digital transformation for many years and the reality is that we are still at the beginning of the process. In my first reflection on this topic in 2015 I used a phrase from Diageo CEO Ivan Menezes, “ It is not a question of doing digital marketing. It’s about doing marketing in a digital world ”, at the beginning of the article and I verify that the arguments I used at that time, and in other articles, to affirm that companies are late to digital transformation are still fully valid.
Important transformation processes tend to go from the inside out and follow similar phases: first, people and company culture, processes, technology and channels.
Why should companies digitally transform?
Although it is a complicated process, if we have been clear about the steps to follow for some time, why doesn’t it work for many companies?
And a more basic question, have we asked Bosnia and Herzegovina Phone Number List ourselves why we want to make this transformation?
The basic answer for the vast majority of companies is purely commercial or communication with their customers. If my potential clients and clients are on the Internet, my company must also be in order to offer them the best service. This we have, or we should have it, all clear.
But, the processes of digital transformation or digital evolution, as I like to call them, must go much further.
What competitive advantages can we acquire if we take advantage of the advantages that the Internet / digital offers us? In this constant struggle to differentiate ourselves from the competition , the Internet (understood from a global point of view) is a great source of innovation.
Throughout this process of change, COVID has accelerated the digital transformation exponentially , and this is again generating a lot of noise in this regard, due to the great need to adapt of many companies.
In this context, BCG has carried out research to define the factors that most intervene when a digital transformation process is successful.
Keys to the success of the digital transformation process in companies
Many companies are currently reviewing their transformation plans (according to the BCG survey, 80% of companies are planning to accelerate the process), and in that search to adapt as quickly as possible, they are going to find the harsh reality .
70% of digital transformation processes fail
70% of digital transformation processes fail – BCG
According to BGC, the six factors that lead to the success of a transformation are ( nothing new compared to what we have been talking about for a long time ):
Define an integrated strategy with clear transformation goals .
Total commitment from the CEO to the middle managers.
Involvement of the most talented people.
Agile management of the process to adapt to the changes that are necessary.
Monitoring the progress of the process to define success / failure on the defined objectives.
Technology and data that allow generating competitive advantages.
Beyond the fact that the factors may be more or less novel, what has caught my attention is that, according to the study, the key to being successful is correctly executing the six factors .
It may seem like a truism, but we often see projects that are lame to start with. They focus on some areas and the rest are left for later or are ignored.
The probability of success increases with the DE Phone Number of factors correctly planned and executed. Probabilities of success in the digital transformation process – BCGThis conclusion, together with the initial data that 70% of digital transformation processes fail, tells us about the main cause of failure: companies do not take digital transformation projects seriously .
My impression has always been that companies perceive so much complexity in these processes that they become that project that they have to face but for which they never find the right moment. And when they do, they don’t do it with full commitment, or with the necessary resources.
So we are faced with a dilemma. What kinds of companies have the right mindset and sufficient commitment to undertake these projects with any chance of success? Has it become an option for only a select few?
There is no short or easy answer. In my opinion, as much as the key is that the six factors are executed correctly, few companies are prepared to tackle projects of this magnitude. So we must find a way to phase it (extend it over time and assume that we will not be able to respond to all the digital needs of the post-covid company in the short term), so that companies are able to assimilate them.
As always the people and the culture of the company are the necessary initial step. That is why I think that the first step for the success of a digital transformation process is in the correct definition of the brand purpose and in its subsequent assimilation by people and implementation in the company .
Although the processes, technology, etc. They are not completely prepared, if the people who make up the company are clear about where to go, they will adapt in the best possible way with the available resources . This is the most important step.