December 12, 2019 | by: Lance Librorania
Digital transformation is a challenging task to pull off. In fact, only less than 30% of digital initiatives lead to success. But organizations are unfazed, as digital transformation is an undeniable part of staying competitive in the disruptive business landscape.
The appeal of digital transformation is in its ability to facilitate higher levels of scale, speed, and efficiency. Because of this, managers tend to tunnel-vision on the tech, and they can overlook other factors like the market, the economy, and the products, all of which hold significant stock over long-term success, oftentimes more than just digital capabilities.
There are investments that you want to make ahead, and there are investments that must be in sync with the market.
1. Cross-channel strategies
While traditional brick-and-mortar shops naturally gravitate towards online stores and services, the customer and the product must remain the prime concern. The adoption of digital initiatives like chatbots, social media, and online platforms should always be designed to improve the current customer experience, not complicate it.
Is this what the customers need? Will it make the product or services better? While online services may sound more efficient, a product’s branding that’s grounded on “personal touch” must strive to keep that customer experience in their digital personas.
2. Big Data
Big Data sounds like a big win to most leaders, and it’s all thanks to the sexy business case of data-driven insights and real-world applications. But data analytics and machine learning need a constant and deep stream of information to process to truly understand your business and effectively provide the right insights and predict the best outcomes: a trait that your best people may already be doing for you sans automated data science.
The scale of the data that analytics need multiplies along with the quality of the results you want, and it’s a hefty investment that works best with an infrastructure that’s ready for its data gathering needs.
While it’s easy to get carried away with automation, don’t leave everything to AI. Consider the three V’s: automation is best applied to high value (costs), high volume, low variance tasks. In its simplest form, artificial intelligence does the menial transactions, empowering your team to redirect resources and manpower toward more complex decision-making and uncommon processes.
It’s no surprise that going digital means key parts of your business, like customer data and internal processes, will find themselves under the threat of cybersecurity attacks. As malware, data breaches, and DDoS attacks evolve, so should your IT security. Investments in cloud platforms and online services must be accompanied by fortifying your SOC as well. Cybersecurity can no longer be just the IT team’s prerogative, but a company priority.
At the core of digital transformation is applying technology to support your organization’s abilities. It’s undeniably important to stay updated with innovation, but it’s critical to clearly define the goals and risks of each digital initiative.
Digital transformation is more than just a race to better tech. It’s a part of the constant growth and change in the way businesses operate. The transformation shouldn’t stop once the new tech arrives and is installed; the management must continue to monitor efficiency and utilize feedback channels to identify both opportunities and gaps that arise, making sure that the technology revolves around their customers, services, and processes — not the other way around.
How are other leaders planning their digital transformation investments? Hear their insights and discuss yours inside the exclusive roundtable sessions of Rockbird Media’s Digital Transformation series. Click here to find out more about the event and join the next one happening in Jakarta on April 14, 2020.