Get your ship ready to ride the tide
Digital transformation is changing how companies operate from the ground up – every part of the organization is impacted. Whether it is building new products or services, creating new customer experiences, or using data to create new marketing strategies technology is the enabler in how they are delivered. Technology has been a core component of business for decades and digital transformation is the latest chapter in its evolution. Although companies may experience some headwinds, digital transformation will have a lasting benefit on a company’s competitiveness and bottom-line results.
Modern, advanced technologies today such as AI, deep learning, IOT, data sciences and so on are putting intense pressure on companies to adapt to the new mandates of digital transformation. However, balancing between the established and new ways of doing things can be a daunting task and become an inhibitor in moving forward. Companies are grappling with how to create a smooth transition plan and integrate a digital transformation without disruption to its business.
Big challenges lie in the way
While most companies have already realized that digital transformation will lead to a nimbler and more flexible way of delivering products and services in the marketplace, established behemoths face significant headwinds from legacy system constraints, having the right skills with current employees, or struggle with a culture of innovation. The latter of these tends to be more difficult because innovation challenges the status quo – why fix something that isn’t broken? Of course, startups don’t face these same issues because they can start with a clean page and build a technology ecosystem using the latest tools.
Choosing to not evolve can result in a heavy price
Therefore, despite tangible obstacles companies are choosing to forge ahead with their own digital transformation initiatives. Most realize they don’t have a choice. Either adapt or fall further behind the competition, lose market share, or worse, risk extinction. Failure to evolve will lead to higher operating costs, slower responsiveness, and losing talent to more “cutting edge” companies. Real risks exist for those companies unwilling or unable to adapt yet embracing change will also be fraught with its own set of challenges.
There are smart ways to steer through the change
Taking on new platform, data, and upskilling initiatives while maintaining existing systems is not easy. Typically, companies will fail because they try to boil the ocean and are overwhelmed by an insurmountable influx of change. Trying to do too much at one time often leads to operational complexities and skyrocketing costs that become prohibitively expensive. The best approach to take in order to mitigate these risks are:
- Develop a safe test environment designed to envision, prototype and deliver ideas with speed and agility through collaboration between technology and business teams.
- Take an incremental approach for end-to-end development and cross functional integration creating a culture of friction-free innovation and decision making.
- Evolve the digital enterprise ecosystem built on seamless integration of engineering, DevOps, and data analysis through the use of plug and play, reusable microservices and APIs.
This approach greatly increases the likelihood of success and provides for a smoother transition. It is a friction-free transition to a modern platform by eliminating the risks of a “do it all at the same time” approach. A second benefit is that components are reusable and therefore can be easily adopted in other parts of the enterprise. Third, it represents an orderly take down of inflexible legacy systems in stages with minimal disruption to the end customer.
Digital transformation will create a culture where speed, agility, and innovation thrive leading to higher employee satisfaction, improved customer experience, and better bottom line results.