4 Steps in Creating a Business Case for Digital Transformation
Here are 4 Steps in Creating a Business Case for Digital Transformation.
Much has and will be discussed around the topic of digital transformation, which has become a buzzword in today’s digital world. However, it is important to face the truth and realize the challenges companies face before they can begin their digital journey.
Some say the world is transforming towards digital. In fact, the world has already been transformed into a digital one. Is your organisation ready for the digital transformation?
According to Didier Bonnet, the Global Practice Leader Digital Transformation at Capgemini, companies that use digital technologies to drive higher profits, productivity, and performance are called “digital masters.” Digital mastery can be achieved by reinventing business models, creating better products and services, creating new digital businesses, and re-thinking value propositions through digital technologies.
Supposing that your organisation decides to go digital, where do you start the digital transformation journey? Didier Bonnet suggests that you first need to understand the starting point by asking question such as: Is my company a digital master already? Or is it somewhere between “beginner,” “fashionista,” “conservative”, or “digital masters” as he calls them.
#1: Framing the Digital Challenge
The first step of this transformation process is framing the digital challenge – meaning that you need to build an awareness of digital opportunities and threats, knowing your starting point and assessing your digital maturity. Then you need to create a vision and ensure that your senior team is aligned around it. As a leader, you need to create momentum around the entire digital transformation process by addressing the above questions early in process.
#2: Focusing your Investments
Once you’ve framed the digital challenge, the second step is focusing your investments – meaning translating your vision into an actionable roadmap, building a cross-silo governance structure, and putting in place the funding for the transformation process.
#3: Mobilising the Organisation
Once you’ve secured the investment, the third step in the process is mobilizing the organisation by communicating your ambitions and the changes needed now as well as building a momentum and engaging the workforce. Also, you need to establish new behaviour and start making your organisation’s culture more innovative.
#4: Sustaining the Transition
The last, but definitely not least, step is sustaining the transition – meaning building the strong foundational skills, aligning reward structures to overcome traditional organisation barriers, monitoring and measuring the process of transformation over time. However, a successful transformation of your organisation will not happen unless you have the capabilities, leadership, and commitment from senior team to execute your vision.
To stay relevant and competitive in this digital economy, many companies are creating digital steering committees to set a vision for companies to aspire and work towards that vision before it becomes too late. Digital drivers need to build a strong relationship with their IT department, marketing department, and senior executives to drive change.
Although becoming a digital master is a big challenge, it is achievable for any business, given that you have all the necessary digital and leadership capabilities mentioned above. Therefore, digital transformation strategy should be a top priority for every business that wants to not only prosper but survive. That’s because this world we luckily live in will be digital sooner rather than later and customers will expect companies to engage, interact, co-create, and stay relevant.
What do you think? Is your organisation ready for the digital transformation? Do you have the right IT infrastructure, capabilities, and leadership buy-in to meet the challenges ahead? Once you have successfully made the business case for digital transformation within your organization, Kosbit can provide you with a full audit of existing efforts and identify new opportunities.