A Step By Step Guide On Digital Transformation For Businesses
As the world and its consumers become more digital. A company’s success is contingent on how digital it can become. It applies to B2C and B2B sectors as consumer behaviours, knowledge consumption, and processes have changed.
What is Digital transformation?
“Digital transformation is reinventing the business model. It’s reinventing processes”. It is the process of using digital technologies to create new. Or modify existing business processes and customer experiences to meet changing business and market requirements. This reimagining of business in the digital age is digital transformation.
Types of digital transformation
Many organizations focus on organizational transformation. But there are four types of digital transformation that you need to consider to realize its total value. These include:
- Process Transformation
- Business Model Transformation
- Domain Transformation
- Cultural/Organizational Transformation
Steps to Digital Transformation
Digital transformation is a long and complex process, so it’s essential to take a strategic approach from the outset. That means that you should build a digital transformation framework. And always revisit a step to see if you can make improvements—the following steps.
Understand why you are doing it
A key part of digital transformations is understanding the motivations for becoming more digital. No two businesses are the same. So, it’s essential to know why your business is embarking on this journey.
Think about the core reasons for your transformation. Is it to improve customer experience, increase the efficiency of your processes or manage your data?. Once you know the reasons, you can plan to ensure they are met.
Audit your company
To know where you need to go, you need to know where your company is now. Review what processes and systems are in place and how effectively they operate. If you are using digital tools and technologies. What are they, and are they working? Examine the workings of your organization, how it is structured, and how it operates?
Find your gaps
You are looking to drive digital transformations. Because there are inefficiencies in the business or opportunities you have not tapped. What gaps need to be filled?
For example, are you extracting value from your customer data? Do you have a way to engage and retain leads that come into the business? What’s your customer experience like from one channel to the next?
Your in-house capabilities.
Above and beyond technology, this stage is about looking at your talent. There’s no point in transforming your business if the digital skills aren’t there to steer it.
Creating a digital transformation strategy
Once you understand your motivations, capabilities, gaps and in-house talent. It’s time to create a digital transformations strategy that can guide your business. This should act as a roadmap for you to follow that will be tied to KPIs with a funding plan.
The digital and customer ecosystems constantly change, so it’s essential to make room to review your strategy. If external or internal factors warrant it. Agility is essential when navigating this type of transformation. And your company needs to be able to pivot and adapt if required. Want to know more about digital transformation? Contact us now!