What stage are you in regarding your organizations’ digital transformation strategy?
Are you just starting on your Dx journey, did your company attempt to implement some digital initiatives with less than stellar results. Or did your digital transformation efforts fail, and you are looking to reorganize knowing that embracing technology is the only way you will be successful?
No matter where you are with Dx efforts, the only way your organization will be successful is by defining your digital transformation strategy.
As one of the longest-serving Managed Service Providers in the Midwest, we have advised and guided our partners with their IT and technology for over 25 years. And during that time, we haven’t seen anything more challenging than the past couple of years.
With the pandemic raging into its second year, with so many service businesses struggling, and with the digital demands of the connected customer, technology has never been as critical to your future as it is now.
We wrote this article to give you a different perspective on technology. And specifically to discuss how you can create an effective Dx strategy.
Why have IT providers and technology projects been given a pass?
What was the ROI of the last new technology your organization invested in?
And isn’t it a bit surprising that so few companies have metrics in place to measure whether their technology is doing what they hoped or need it to do?
Yes, technology can be truly transformational. We have all seen that over the past 10 years, it is incredibly powerful.
But technology is only genuinely transformational if you know its return on investment … and if it has accomplished what it set out to do.
The path to value begins with defining and creating a Dx strategy.
What is a digital transformation strategy?
A Dx strategy is a complete and comprehensive plan for your organization’s focus on the critical challenges with technology’s physical, digital, and human aspects.
Digital Transformation is not a one-and-done scenario. Instead, it is a broad business strategy that includes a roadmap for short and long-term goals. And these goals must match your business’s processes.
With that in mind, we have included 9 key steps to help you develop a successful Dx strategy.
The 8 Key Steps to create a Dx Strategy
- Aligning your team: Getting by in
Before you can start implementing your Dx framework, you need buy-in from the top down. Digital transformation is a vast undertaking that affects every piece of your business. And your strategy will go nowhere if without buy-in and alignment from all key players and stakeholders. Without a unified team, your plan has little chance to succeed.
-
Set a vision
Setting a vision is the first step of any strategy. Your Dx vision strategy should include both short-term and long-term objectives. What do you need it to accomplish? How will this affect your customers and their experience?
Also, build your vision on available resources, including people, processes, and technology. But, on the other hand, don’t set a vision that is totally reliant on innovations you have used.
-
Secure funding
Once you have everyone on board and a clear vision, it’s time to look at the numbers. What funds can you allocate to this project? And keep in mind Dx is not a one-time project.
You will need to allocated ongoing funds to test, change and improve your plan. Your budget will help you structure your strategy by identifying priorities, allocating resources, and determining the scope of the project.
-
Conduct a gap analysis
You know where you are now, and you’ve created a vision of where you want to go. Now you need to identify the gaps and opportunities that exist between these two states.
Are there areas that need to be connected, including customers, partners, employees, culture, and skills? What inefficiencies and redundancies exist? What processes, resources, or additional info will you need?
-
Prepare your culture
Culture begins at the top, so your entire leadership must show enthusiasm for this Dx initiative. And keep in mind, it is not technology a the heart of your success with digital transformation; it is people.
And be ready for resistance, as it is human nature to have skepticism for new things. So be prepared to address some pushback. The key to success is identifying projects that will genuinely improve your employees’ lives, efficiencies, effectiveness, productivity, and happiness.
-
Create a roadmap for implementation
Now it’s time to create a strategic roadmap to achieve your vision. Map out how to reframe infrastructure, reskilling and training employees, updating your technology, recruiting new talent. And how to transition to a new, more agile process. Your roadmap must outline your key priorities, including a complete timeline.
You also must identify what bumps in the road you might experience. Try to anticipate any problems, and don’t expect quick results. And keep in mind the digital landscape is constantly evolving, so your roadmap must be adaptable.
-
Every project Should have an ROI
Our philosophy is; “You can improve it if you don’t measure it.” And we’ll be as bold to say, if you can measure it, don’t do it.
Up until now, technology projects have been given a sort of a pass. IT and technology projects have been bought and paid for but never measured. We hear this often; “we think it worked pretty good,” or “it didn’t work at all.” But they have no metrics to back up those assessments.
Which is the reason why so many digital transformation projects fail.
-
Map out the technology you choose
What is the formula for unsuccessful digital transformations:
New technologies + Old operations = Expensive Old Operations
If you fail to change and improve the processes and cultures within your business, your employees are just using expensive technologies to run old operations. Successful Dx doesn’t start with technology. It starts with people and strategy.
Final Thoughts
Digital Transformation is not a destination. It is a journey that never ends. New and emerging technologies will always be created. And creating an agile Dx strategy is your only way of succeeding.
The only way you will be competitive is to improve your Customer experience, differentiate your product or services, and keep your employees connected.
Creating a digital strategy isn’t easy, but it is critical for building a solid foundation to launch any digital transformation project.
Next Steps
We hope this article helped your efforts, and if you would like to connect with us to learn more about or Dx services, click on the link below.
If you aren’t ready to talk, we totally understand. However, here are a few more insights that may help.
How Digital Transformation (Dx) Impacts The Customer Experience?
Your Culture Is The Driving Force Behind Digital Transformation
